Why are tires so expensive in Mexico?

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Pata Salada

Dec 23, 2010, 10:54 AM

Post #1 of 22 (16444 views)

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Tires in Mexico
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A couple of questions. First, why are tires so expensive in Mexico?

And second, are any tires manufactured in Mexico for sale here? There seems to be plenty of resources for it.

Peter

Dec 23, 2010, 1:21 PM

Post #2 of 22 (16403 views)

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Re: [Pata Salada] Tires in Mexico
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In Reply To
A couple of questions. First, why are tires so expensive in Mexico?

And second, are any tires manufactured in Mexico for sale here? There seems to be plenty of resources for it.

Tires are expensive here? I have bought many but hadn’t noticed they cost any more. But then I lived in California. Prices are going up everywhere. Computers are getting cheaper though.

Don’t know if they’re manufactured here. Foreign brand names, but that doesn’t mean anything.

chinagringo

Dec 23, 2010, 3:10 PM

Post #3 of 22 (16387 views)

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Re: [Peter] Tires in Mexico
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According to info gained from Sr. GOOGLE, both Bridgestone and Michelin tires are made in Mexico. On the other hand, many manufacturers have moved product to both China and Korea and I would bet that the higher prices are a reflection of duties.
Regards,
Neil
Albuquerque, NM

johnv

Dec 23, 2010, 6:37 PM

Post #4 of 22 (16333 views)

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Re: [Pata Salada] Tires in Mexico
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I just priced P-265R70-16 truck tires for an SUV and noticed the high price also. Michelins were MX$12,444 (US$1000) for the set of 4. BF Goodrich Long Trail were MX$10,448 (US$840) for the set of 4. I checked the online prices of the BF Goodrich Long Trail in Texas and they were US$672 all included for the set of 4. That is a full 20% cheaper in Texas. Prior to this I had never spent more than US$400 on a set of tires in in my life (40 years of tire buying).

Reefhound

Dec 23, 2010, 6:59 PM

Post #5 of 22 (16322 views)

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Re: [johnv] Tires in Mexico
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Tires have gotten really expensive for “name brand” but one can often find a lesser known brand for much less and often that tire gets better user reviews and is often made by one of the major manufacturers anyway.

Do they whack you for lots of surcharges in Mexico? Here it seems like you find a $70 tire and somehow it turns into a $100 tire by the time you add on mounting, balancing, valve stem, disposal fee, and warranty.

mazbook1

Dec 23, 2010, 8:10 PM

Post #6 of 22 (16310 views)

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Re: [Reefhound] Tires in Mexico
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Rarely if ever are there surcharges for all that stuff in México as it is “free” with the purchase, BUT with a captive market and streets with lots of tire-busting topes, rarely will you ever see any sort of actual SALE-PRICED tires in México.

This is also the case with batteries. Batteries don’t have the sort of life here in the tropics that they have up north, so with that same captive market, it’s nearly impossible to find any reasonably priced battery when you need one.

robt65

Dec 24, 2010, 6:56 AM

Post #7 of 22 (16238 views)

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Re: [mazbook1] Tires in Mexico
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Mazbook, I have to agree with reefhound. I priced new top line tires for my 2005 Tahoe and at several stores (in Tampico) was quoted prices only for the tires that DID NOT INCLUDE balancing etc. The costs were mind boggling! A full 30 % higher than in the USA. Cost that out and it more than paid for a trip to the USA to buy a set at either Discount Tire or Big “O”. I have found the same to be true here in Queretaro. Don’t declare tham and no duty is paid reentering Mexico. What ever you do DO NOT BUY TIRES MADE N CHINA or some other offshore countries. There are more and more sidewall failures being reported. You also might want to look into nitrogen filled tires given the extreme heat here in certain parts of Mexico. They evidently really do run cooler and this saves on wear from high speed (80 km or more) use in hotter parts of the country (USA or México).

robt65

Moisheh

Dec 24, 2010, 3:33 PM

Post #8 of 22 (16180 views)

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Re: [robt65] Tires in Mexico
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Tires are definitely more expensive in Mexico. As are most consumer goods. Some tires are made in Mexico but if you have an American vehicle it is likley they will be imports. If the tires come from an Asian nation the duties are about 50%. Sometimes goods are more expensive due to the poor distribution systems and very high freight systems. I bet the cost for a semi of goods is almost $3.00 a mile. About double NOB costs. Then there is the greed factor. Why are some oridinary items at Home Depot, Costco and Sam’s anywhere from 50 to 100% higher than in the USA. Why is a can of Jumex juice about 65 cents in Mexico and 33 cents at WM NOB??? Only the Shadow knows!

Moisheh

chicois8

Dec 24, 2010, 3:46 PM

Post #9 of 22 (16172 views)

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Re: [Moisheh] Tires in Mexico
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Maybe the same reason Tequila can be cheaper NOB, NAFTA

In Reply To
Tires are definitely more expensive in Mexico. As are most consumer goods. Some tires are made in Mexico but if you have an American vehicle it is likley they will be imports. If the tires come from an Asian nation the duties are about 50%. Sometimes goods are more expensive due to the poor distribution systems and very high freight systems. I bet the cost for a semi of goods is almost $3.00 a mile. About double NOB costs. Then there is the greed factor. Why are some oridinary items at Home Depot, Costco and Sam’s anywhere from 50 to 100% higher than in the USA. Why is a can of Jumex juice about 65 cents in Mexico and 33 cents at WM NOB??? Only the Shadow knows!

Moisheh
Ocanahua, Jalisco
San Mateo, California

DavidHF

Dec 24, 2010, 3:57 PM

Post #10 of 22 (16167 views)

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Re: [Moisheh] Tires in Mexico
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There is no one absolute answer. To wit; The Toyo tires I bought here cost exactly the same as NOB. Less actually because there was no charge for mounting and balancing. Go figure.

robt65

Dec 24, 2010, 4:03 PM

Post #11 of 22 (16166 views)

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Re: [Moisheh] Tires in Mexico
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Happy Holidays Moisheh,

Yes, I agree with you. I think you hit the biggest part on the head though and it has nothing to do with the “Shadow” It has everything to do with the “Greed Factor”. When will they learn (both here and NOB) that 100% of nothing (when the customer walks away because of that greed factor and a potential sale is lost) is nothing! Zero, “0”, “Nada” ?!

Everyone in their right mind would walk away . . .. .and should. Maybe someday they (the greedy ones) will get the message! No one, including yours truly, is against someone making a legitimate profit. I think most people understand, or should anyway, that in any country imported goods are going to be more expensive to an extent. When you have American companies sending materials here for goods that are also made here in México and in the USA and the product here is inferior that is Greedy management on the behalf of the American companies that are screwing the Mexican consumer, and that makes me angry. Zip Lock Bags for example made in the USA are a pretty good product, but made here in Mexico they are leaky and do not seal correctly. I have no doubt in my mind that when an American company opens a MFG plant here they send their old used machinery to the Mexican plant and buy new for themselves i the USA not only saving the cost of new machinery in Mexico but also using that machinery both new in the USA plant and the old sent to Mexico as tax deductions . . . . . again leaving the Mexican consumer screwed for value.

I admire that Julian Assange character not for the subject matter of leaking country security information but especially for the upcoming Bank of America info that is soon to hit the air as well as other large companies. I say sentence him to life of finding the true crap that private companies are doing to use and abuse the consumer. These are the culprits that have screwed our economy, again, corporate greed. Let him loose on American political fraud and make that public sure but not military or Embassy related material unless and only unless it involves factual corruption.

I would love to see large group of successful ex pats start an organization here to assist the honest Mexican entrepreneur to start true Mexican manufacturing companies and other businesses that would in a short time would make a big economic impact, . . . . . but I guess I am dreaming again. That’s one of my New Year’s Hopes. Aside from that it sure is good to be home again with my family in Mexico.
robt65

(This post was edited by robt65 on Dec 24, 2010, 4:05 PM)

Moisheh

Dec 24, 2010, 6:25 PM

Post #12 of 22 (16145 views)

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Re: [robt65] Tires in Mexico
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Hi robt: Merry Xmas to you! You have forgotten that this is not the land of free enterprise and certainly not open competition. If you tried to open that mfr. plant every inspector in Mexico would be on your a–. Mexicans are the world’s worst business people. They are successful because labour costs are almost nill. There are exceptions ( Cemex, Carlos Slim) but generally they do not reinvest in modern equipment or modern manufacturing methods. How many products that are made in Mexico for the Mexican market are world quality? I cannot think of any but there are probably a few. Perhaps some of the fine arts and crafts, floor tiles, and jewellry. But not in: machine tools, robotic equipment, packaging equipment, white goods, home furnishings, computer equipment,lumber,paint, office furniture and more. I could go on but just go to any large store and look at the goods. The Mexican stuff is all second grade. Costco has a policy of buying locally where possible but you dont see much local things in their stores. There are some auto parts that are made for the OEM market that are high quality but most of the mfrs. are either Japanese, German or USA owned: Bosch and Leer are two that come to mind.

Moisheh

mexliving

Dec 24, 2010, 8:11 PM

Post #13 of 22 (16128 views)

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Re: [Moisheh] Tires in Mexico
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i ordered my tires through sams club….. i did wait 3 weeks for them to arrive. carlos sleum also manufactures tires…. you are not allowed to bring tires on the back of your truck, they will be confiscated. its the typical abuse towards society in mexico. lets charge what we want to charge. nafta was supposed to be a free trade deal to benefit consumers but it did not…. it benefits the business owners that simply charge and arm and a leg for their goods.

Moisheh

Dec 25, 2010, 4:19 AM

Post #14 of 22 (16112 views)

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Re: [mexliving] Tires in Mexico
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mexliving: Tires can be imported just like most goods. You can put them in the back of your truck. The duty rate is 16% if you have less than $3000 worth of goods.

Moisheh

robbers

Dec 27, 2010, 8:27 PM

Post #15 of 22 (15991 views)

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Re: [Moisheh] Tires in Mexico
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I have found the following website helpful in that the reviews help you find the best value:

www.tirerack.com

robt65

Dec 28, 2010, 5:34 AM

Post #16 of 22 (15959 views)

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Re: [Moisheh] Tires in Mexico
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Hi Moisheh,

You said : “mexliving: Tires can be imported just like most goods. You can put them in the back of your truck. The duty rate is 16% if you have less than $3000 worth of goods.”

I say: Tires can be imported just like most goods. You can put them ON your truck. The duty rate is 0% .

robt65

Moisheh

Dec 28, 2010, 6:31 AM

Post #17 of 22 (15952 views)

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Re: [robt65] Tires in Mexico
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robt. Very funny!! I think the OP was not crossing with the vehicle that will need the tires!!

Moisheh

Reefhound

Dec 28, 2010, 8:24 AM

Post #18 of 22 (15924 views)

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Re: [robt65] Tires in Mexico
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I say: Tires can be imported just like most goods. You can put them ON your truck. The duty rate is 0% .

There’s probably a lot of that going on in the border towns. A poor Mexican living in Matamoros but with a U.S. visa could make a decent living driving into Brownsville in the morning with bald tires and coming back a few hours later with brand new tires.

Scott

Dec 28, 2010, 11:29 AM

Post #19 of 22 (15891 views)

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Re: [Reefhound] Tires in Mexico
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We buy all our tires at Costco Texas stores, generally 25% less than Costco Mexico stores, warranty and free rotations honored at all Mexico stores. As we go north once or twice every year, this has been easy to do. Kirkland brand auto batteries are top rated, sold in all Costco Mx. stores, prices are close to USA prices.
A politician thinks of the next election. A statesman, of the next generation.
– James Freeman Clarke

robt65

Dec 28, 2010, 1:22 PM

Post #20 of 22 (15863 views)

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Re: [Moisheh] Tires in Mexico
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In Reply To
robt. Very funny!! I think the OP was not crossing with the vehicle that will need the tires!!

Moisheh

Sorry Moisheh,

Just couldn’t pass that one up! Lost cotrol of myself . . . . . . . again! (smiling)

robt65

robt65

Dec 28, 2010, 1:25 PM

Post #21 of 22 (15862 views)

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Re: [Reefhound] Tires in Mexico
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Hey reefhound,

Now even I didn’t think of that one! (smiling) I think the guy better change trucks after the second try though! I bet they would catch on after that!

Can you imagine . . . . . a months wages for a full tuneup plus tires in the USA and return the truck to Mexico. Enough profit for one family for a month!

robt65

(This post was edited by robt65 on Dec 28, 2010, 1:27 PM)

Reefhound

Dec 28, 2010, 2:11 PM

Post #22 of 22 (15848 views)

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Re: [robt65] Tires in Mexico
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Actually, assuming some Mexican resident had the ability to find local buyers (could only do it for those whose bolt patterns matched his truck), I don’t see how they ever could catch on. The people that see you leaving are not the same people that see you returning and they do not record the condition or brand of tires on the vehicle anyway. As long as the cover story (I have family in both towns, etc.) is good, just put on the customer’s wheels with bad tires in the morning, drive across and get new tires, come back and return the wheels to customer. Assuming a set of tires in Matamoros costs $200 more, undercut the local price by $100 to entice buyers and make $100 profit.

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