The leading Taiwanese tyre manufactures are reportedly planning to raise prices by between 8-12 per cent during 2017. According to local news reports, the price hike is a reaction to the jump in synthetic rubber and natural rubber prices.
Federal Corp. said in a December Taiwan Stock Exchange filing that it would increase prices by between 9-12 per cent days after Nankang Rubber Tire said it would increase prices by roughly the same amount. Hwa Fong Rubber reported it would increase prices by 8-10 per cent.
Cheng Shin Rubber, which produces the Maxxis brand internationally, is also said to be considering a first quarter 2017 price increase.
However, Kenda Rubber bucked the trend, saying it is planning to increase prices 3-5 per cent in 2017 in a bid to maintain “global competitiveness.
Global rubber prices soared 100 per cent to $2,200 per ton in December from $1,100 a year ago, Nankang Tyre spokeswoman Kuo Mei-hang told local news outlets. That figures represents a month-on-month increase of 47 per cent.