Monday, August 21, 2006

More of less: OTR tire shortage could last until 2008

The on-going large OTR supply shortage presents both good and bad news. The good news: Mines and other operations that depend on OTR tires are learning how to squeeze more hours out of the tires they are currently running.

The bad news: Supply in 2006 will be worse than 2005. In fact, one OTR tire manufacturer doesn't expect a significant letup until 2008! That's a long time to wait, say OTR tire dealers. Mines will soon begin parking machines if they can't get replacement tires, says Al Chicago, senior vice president of Purcell Tire & Rubber Co.

"It's hand to mouth. Customers don't know what to do. They have equipment they want to buy, but where are they going to get tires?"

"We manage tires for 80 different customers," says Britt Johnson, co-owner of D&D Tire in Fernley, Nev. "It's frustrating when you're just scraping by in getting the tires you need."

Continued...



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