Bob Ulrich

Editor

Bob Ulrich was named Modern Tire Dealer editor in August 2000. He joined the magazine in 1985 as assistant editor, and has been responsible for gathering statistical information for MTD's "Facts Issue" since 1993. He has won numerous awards for editorial and feature writing, including five gold medals from the International Automotive Media Association. Bob earned a B.A. in English literature from Ohio Northern University and has a law degree from the University of Akron.

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Global warming for tire imports

By: Bob Ulrich

We live in a global economy. That is not going to change, and protectionism is not going to help our economy get better faster. Even the United Steelworkers (USW) partially agree (more on that later).

Oh, countries can try. In a recent "Open Road" blog by USA Today's Chris Woodyard (http://content.usatoday.com/communities/openroad/post/2009/05/66878271/1), Russian Prime Minister Vladimir Putin stressed a "Buy Russian cars" mentality for his people. The Lady Niva SUV was manufactured in Russia.

But in photos of Putin standing next to the Lady Niva, those raised-white-letter, non-Russian BFGoodrich tires sure do stand out!

That brings me to the USW petition to limit Chinese consumer tire imports into this country. The union believes the influx of these tires has led to thousands of job losses and a growing number of plant closings throughout the United States.

According to the 2009 Modern Tire Dealer Facts Issue, passenger and light truck tire imports from China have grown 221% in the last five years. They represent close to 47 million units.

Right or wrong, If the consumer didn't want low-cost tires, then there wouldn't be such a rapid growth of Chinese imports. Same thing if they do want them, and there are domestic alternatives to those tires.

Really, it's all about what the consumer wants.

The USW says it is not advocating protectionism. By filing its petition with the U.S. International Trade Commission under Section 421 of the Trade Act of 1974, it is "entirely in compliance with international trading rules," including China's. That is true.

"As a general matter, trading nations accept a certain amount of control in the flow of goods as part of well-functioning, rules-based global trading system," adds the union. I accept that.

Will limiting the number of Chinese imports into this country even the playing field? I don’t think so. If it’s not China, then it will be Mexico or India or Thailand. I hear Monaco may open up a tire plant on the French Riviera (clothes optional).

Ultimately, if domestic manufacturers can produce the tires consumers in the U.S. want, they will benefit. Everyone has to come to the table to create a level-playing field, and that includes the USW.

Related Topics: Chinese imports, Facts Issue, Tire manufacturers, United Steelworkers

comments

1. Dan | May 28, 2009 at 05:44AM
   I totally agree. We have evolved into a global economy and must be prepared to deal with that. Let us not forget that a majority of the top manufacturers have production in China. The larger distributors and buying groups have sourced product from there. It is not just about the Chinese-owned entities. The ultimate choice is made by the retail consumer.