Continental tyres up 5-10% from May

23rd March 2011, Comments 0 comments

German auto parts company Continental said Wednesday it would raise the price of its tyres by five to 10 percent in Europe owing to higher rubber prices.

The price of normal tyres would increase by five to eight percent, while winter tyres would cost from eight to 10 percent more starting in May, a statement said.

"Continental is responding to the very high prices for the main types of rubber and other raw materials used in tyre manufacturing," the company said.

When the company presented annual results in early March, chairman Elmar Degenhart estimated the effect from higher material prices at more than 700 million euros ($990 million).

Continental's French rival Michelin said in October that it would raise its tyre prices by five percent.

Other companies producing for the auto sector have taken similar measures, like chemical giant BASF, which said Tuesday it would charge more for brake fluids and coolants.

© 2011 AFP

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