July 27, 2019
Dear Valued Customer,
As you may be aware, our government recently added an additional 15% tariff to all types of tires coming from China. This in turn has caused a ripple effect among non-China tire producing countries who have always maintained a specific price ratio from China’s prices. These non-China countries have also seen a greater demand for their products due to the China tariffs and have raised their prices as well to maintain this ratio.
Several manufacturers have announced price increases, and some of our competitors have done so as well. In addition, rising costs of transportation are creating additional cost pressures on tire suppliers in the United States.
To account for these pressures, OmniSource USA will be making changes to our pricing on the 1st of August. We will be adjusting prices on Radar and Patriot PLT as well as RoadLux TBR. On average, most of our products will see an increase of about 2.5% to 4.5%.
OmniSource USA recognizes the importance of keeping prices as competitive as possible. In order to do so, we have been taking the following steps, among others:
• We have shifted significant amounts of production out of China
• We have consolidated centers, modified routes, and completely reorganized our supply chain
• We continue to invest heavily in R&D to bring you the high-quality broad selection of products in our premium Radar brand and our budget brands like Patriot in sizes which are normally only available in high-end brands costing significantly more.
We recognize you have options and appreciate your business. Please take this opportunity to stock up on some of your popular SKU’s before August 1st.
Also, please reach out to your local OmniSource team if you have questions, comments or suggestions.
We thank you for your continued patronage.