Gray market for OTR tires is growing, say tiremakers

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The extreme shortage of large OTR tires has created lots of problems, say tire manufacturers. At the top of the list: more OTR tires are going to the gray market.

OTR tiremakers are encouraging dealers to help them track down errant units. "When we can find serial numbers on these tires, we're tracing them," says Todd Ramsay, director of sales for Michelin North America Inc.'s earthmover unit.

"Last year we shut down a dealer because he was sending tires" to the gray market, says Nelson Richards, national sales manager, Yokohama Tire Corp.

"The only reason the gray market exists is because (dealers) buy these tires," he adds.

For more about the OTR tire market, see the April issue of Modern Tire Dealer, available this month.

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