Don’t put tyre purchases on the backburner – Delticom

Online tyre retailer Delticom has referred to passenger car tyres as the new “black gold” and comments that these guarantors of vehicular safety and mobility can now very often only be obtained at far higher prices than in 2010. Discussing the issue, Delticom AG CEO Rainer Binder makes it clear that “car drivers are likely facing drastic price increases in 2011.” Binder elaborates that “raw material prices are virtually exploding. Many manufacturers purchase the raw materials needed for tyre production months in advance. The drastic increase in raw material prices in the last few weeks will thus become noticeable in retail prices after a time lag. But further substantial price increases are expected in the course of the year. Against this backdrop I can only urge drivers who need new tyres to buy them now and not put purchasing tyres on the back burner.”

In addition to expected price increases, Delticom notes experts are forecasting tyre shortages and explains that the primary factors behind this anticipated shortfall in supply are the extended production time for winter tyres and generally limited production capacities. Another reason is growing demand from OEM customers within and outside of Europe; this may constrain production for the summer tyre replacement market.

Despite this dire outlook, Delticom reassures its customers of continued supply. Rainer Binder says “Delticom planned ahead. One of our advantages is our high, season-independent delivery capacity throughout the year, not just in common sizes, but also niche ones. Drivers deciding to buy tyres early on can get a bargain and still benefit from the lower purchase prices from last year.”