Why Was Tyre Price Order Cancelled?

Chronicle (Levin), 5 April 1949, Page 5

Why Was Tyre Price Order Cancelled?

WELLINGTON, April 4. A recent Price Tribunal direction for a reduction in the prices of all -tyres. was eancelled by the Tribunal before the date it was due to become operative, This wae stated tonight by Mr. W. A, Sutlierland, secretarv of the Automobile Association (Wellington). He told rouncil members of the association that just before Christmas, the Tribunal ordered a reduction of 15 per cent. in the price of motor car tyres and 74 per cent. in the price of truck tyres. The order was to come into effec.t on January 24. Before this date tyrp distributors wer.e informed that the order had bebn cancelled. The reduction, continued Alr. Sutlierland, would have meant to 200,000 prjvate car owners in New Zealand, a saying of more than £1 op each new tyre. 1 Mr. E. A. Batt, chairman of thej councilj said'lTTefe was now a direction that cars imported unassembled into New Zealand had to be litted with tyres already in the Dominion. He did not know whether this meant that they Irad to be shod with loeadly Jmad.e tyrps. Mr. E. Palliser said the imported tyre was cheaper than the locally made one. A few of the most popular cars, liowever, would continue -to enjoy the benefit of imported tyres as they re-: |uired a size of tyre not schfiduled for production in New Zealand. On Mr. Batt '3 motion, the couneil •psQjved to a.sk the Price Tribunal why, he reduction ordered in December, had jeen cancelled.