Tokyo-The Yokohama Rubber Co., Ltd., announced today that it will raise the prices of its exports of tire products incrementally, starting in September. This move is a measure to partially offset the high and rising cost of natural rubber and of synthetic rubber, carbon black and other petrochemical materials. Yokohama will raise the prices of all of its tire product exports, including tires and tubes for passenger cars, for trucks and buses, and for construction and mining equipment. The increases will range from 5% to 15% and will vary by product and by market.

Yokohama has strived to absorb the surge in raw material costs, which began in 2004, through internal cost reductions. It has also raised prices of some tire products in some export markets. Necessitating the nearly across-the-board price increases announced today was a further rise in raw material and energy costs in 2006 and a related rise in shipping costs. Further price increases are possible, according to today's announcement, subject to trends in raw material costs.