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      Proposed tariffs cause tire shortage

      President Obama is facing a tough decision that will really have an impact on the tire industry, on trade relations with China, and on you, the consumer.

      The President must decide whether to pass a tariff on all tires imported from China, and he must take that action by Sept.17.

      The proposed tariff of 55% was approved by the U.S. International Trade Commission by a 4 - 2 vote, which then sends the issue to the President for a decision.

      Already some in the tire industry are concerned that if a tariff passes at such a high percentage, tire prices would sharply increase due to a shortage of supplies.

      Locally some tire supplies have already been affected just by the tariff proposal alone. ProNews 7 sat down with a local tire businessman, A to Z Tire President Phillip Nussbaum who said, " A lot of the suppliers that were destined with products coming into this country delayed the shipments coming in because they were afraid if there is a 55% tariff more than likely we would not accept the product because it is no longer competitive. With the delayed shipments the amount of tires on hand has been reduced significantly."

      That's nearly one third of all the tires sold are manufactured in China, and that includes most of the major brands of tires.

      On Sept. 17, the President could approve the tariff, he could decide on a lower tariff, or he could choose not to impose a tariff