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Old 11-17-2019, 07:58 AM
 
Location: NC
5,461 posts, read 6,067,076 times
Reputation: 9287

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I was just checking a national tire retailer for prices on the Hankook Dynapro AT-M

They list the exact tire by spec twice on their website. One is 177.95 dollars and the other is 222.95.

I did the comparison the website provides and they are identical tires with the exception of country of origin, US on the higher cost per tire and Korea on the low cost per tire.

What gives?
Is there that much of a difference in the manufacturing cost in US vs Korea?
Is there a difference in the quality of the tire?

Why such a big discrepancy in pricing?
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Old 11-17-2019, 09:37 AM
 
1,148 posts, read 1,407,632 times
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Interesting find. Yes, it can be significantly more expensive to manufacture stuff in the USA. There are higher employee wages, osha and epa regulations that need to be adhere to, higher taxes, higher cost of land for the factory, etc, etc etc.

I am a patriotic person who thinks those slightly higher costs are usually worth it. I go out of my way to buy things that are made here. I used to do assembly work at some factories when I was younger, and I am greatful to have gotten that opportunity. I like to pay it forward to support others in this country who need jobs.

Most people don't care and just want to pay the cheapest price, no matter where it was made.

The nice thing is that we have choices. Well, at least for now we do.
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Old 11-17-2019, 12:11 PM
 
Location: NC
5,461 posts, read 6,067,076 times
Reputation: 9287
Quote:
Originally Posted by bfrabel View Post
Interesting find. Yes, it can be significantly more expensive to manufacture stuff in the USA. There are higher employee wages, osha and epa regulations that need to be adhere to, higher taxes, higher cost of land for the factory, etc, etc etc.

I am a patriotic person who thinks those slightly higher costs are usually worth it. I go out of my way to buy things that are made here. I used to do assembly work at some factories when I was younger, and I am greatful to have gotten that opportunity. I like to pay it forward to support others in this country who need jobs.

Most people don't care and just want to pay the cheapest price, no matter where it was made.

The nice thing is that we have choices. Well, at least for now we do.
I agree with buying domestic at every opportunity and have paid more for a domestic product, but this discrepancy is 45 dollars per tire. That is no longer being patriotic, that's being plain stupid unless there is a difference in the quality of the two tires the is unseen in the basic comparison.

That's the main reason I put it out here for discussion. I wanted to see if the combined experiences of our fellow forumites might enlighten us to the process.
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Old 11-17-2019, 12:22 PM
 
Location: NC
5,461 posts, read 6,067,076 times
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This conversation about buying domestic and working for a manufacturer reminded me of an experience I had while I was working my way through college.

I worked at a curtain and bedspread manufacturer. They had a warehouse full of bedspreads (6000 of them) that were earmarked for Belk's dept stores in NC. The company overproduced the bedspreads and had many in surplus. K-Mart placed an order for a similar quantity of bedspreads that they needed immediately delivered. The Belk's spreads were considered high quality dry clean only items and the inserts in each box contained dry clean only instructions. Three of us, all college students were paid double time salaries to work all day on a Sunday opening each box, removing the dry clean only inserts and replacing them with machine washable inserts, then resealing the boxes and loading them on a truck to be delivered to K-Mart.
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Old 11-17-2019, 03:39 PM
 
2,376 posts, read 2,936,112 times
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Quote:
Originally Posted by getatag View Post
I agree with buying domestic at every opportunity and have paid more for a domestic product, but this discrepancy is 45 dollars per tire. That is no longer being patriotic, that's being plain stupid unless there is a difference in the quality of the two tires the is unseen in the basic comparison.

That's the main reason I put it out here for discussion. I wanted to see if the combined experiences of our fellow forumites might enlighten us to the process.
It's not being stupid if someone decides to spend more on US-made tires. Some people do not want to support companies who basically use sweatshop labor, cheap materials and have factories that produce a ton of harmful emissions while producing their products.

I would never buy anything from Korea. They can export things to the US and undercut our companies because their country does not require them to follow the same labor and environmental laws that US companies do. Some of choose not to support that kind of thing, not to mention the fact they do not engage in fair trade with other countries including the US.

Hankooks are trash tires, anyway. They use a different rubber compound in their tires that are more prone to uneven wear, cupping, etc. Tires are very much a you-get-what-you-pay-for kind of business.
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Old 11-17-2019, 04:08 PM
 
Location: OH>IL>CO>CT
7,523 posts, read 13,642,700 times
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Did you want this tire for use in heavy snow conditions ?

In checking the specs, did you notice that the 275/55-R20 113T SL ( only size made both in US & Korea) are both rated as "Not Rated For Severe Snow" ?

https://www.tirerack.com/tires/tires...l=Dynapro+AT-M

Note: While most Hankook Dynapro AT-M (RF10) tires meet the industry's severe snow service requirements (and are branded with the three-peak mountain snowflake (3PMSF) symbol), selected tires do not. Specific tires/sizes not meeting the industry's severe snow service requirements are identified with a "Not Rated For Severe Snow" notation on Specs."
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Old 11-17-2019, 05:05 PM
 
Location: NC
5,461 posts, read 6,067,076 times
Reputation: 9287
Quote:
Originally Posted by iamweasel View Post
It's not being stupid if someone decides to spend more on US-made tires. Some people do not want to support companies who basically use sweatshop labor, cheap materials and have factories that produce a ton of harmful emissions while producing their products.

I would never buy anything from Korea. They can export things to the US and undercut our companies because their country does not require them to follow the same labor and environmental laws that US companies do. Some of choose not to support that kind of thing, not to mention the fact they do not engage in fair trade with other countries including the US.

Hankooks are trash tires, anyway. They use a different rubber compound in their tires that are more prone to uneven wear, cupping, etc. Tires are very much a you-get-what-you-pay-for kind of business.
Same manufacturer, same parent company. Buying those made here or in Korea generate money for the manufacturer. I wasn't enquiring about who makes the money, I was inquiring if anyone knew the difference between the two tires.
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Old 11-17-2019, 05:09 PM
 
Location: NC
5,461 posts, read 6,067,076 times
Reputation: 9287
Quote:
Originally Posted by reed303 View Post
Did you want this tire for use in heavy snow conditions ?

In checking the specs, did you notice that the 275/55-R20 113T SL ( only size made both in US & Korea) are both rated as "Not Rated For Severe Snow" ?

https://www.tirerack.com/tires/tires...l=Dynapro+AT-M

Note: While most Hankook Dynapro AT-M (RF10) tires meet the industry's severe snow service requirements (and are branded with the three-peak mountain snowflake (3PMSF) symbol), selected tires do not. Specific tires/sizes not meeting the industry's severe snow service requirements are identified with a "Not Rated For Severe Snow" notation on Specs."
Yes, I did notice the snow rating (or lack of it), but these are the original tires on my truck. They have been through snow several times and handled it fine. I am going to replace these OEM tires soon, and will do so with a set of Michelins or Continentals. I just happened to wander into the difference between the OEM pricing on the Tirerack website and was curious about the difference other than location of manufacturing.
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Old 11-18-2019, 01:19 PM
 
998 posts, read 1,239,667 times
Reputation: 1512
In addition to different manufacturing costs which takes into account taxes, wages, environmental regulations, etc., you have to ship the Korean tires a weeee bit farther than you do the ones made in America if you're going to use them in Any City USA.

People don't realize that distribution costs make up a significant percentage of the retail price for a lot of consumable products.
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Old 11-18-2019, 01:35 PM
 
Location: NC
5,461 posts, read 6,067,076 times
Reputation: 9287
Quote:
Originally Posted by Regajohn View Post
In addition to different manufacturing costs which takes into account taxes, wages, environmental regulations, etc., you have to ship the Korean tires a weeee bit farther than you do the ones made in America if you're going to use them in Any City USA.

People don't realize that distribution costs make up a significant percentage of the retail price for a lot of consumable products.
But this issue of those prices on identical tires made the Korean produced much cheaper than the USA produced.
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