With the significant upward pressure on oil and other raw commodities, prices are up. According to a variety of sources, steel prices, both hot and cold rolled, are up and trending higher in the near term. And, according to TLG Research, the recent earthquake and tsunami in Japan adds some concern, in terms of how much capacity has been lost.

"Whether looking at oil-based products such as rubber, or precious metals and steel, the price pressure upward is strong," says Tom Langer, founder of TLG Research. "And, with oil holding at above the $100 a barrel mark as this is written, the transportation costs are likely to increase again as well. Counteracting this is the pressure by distributors to hold the line on price increases. It will be a delicate balance for all."

At the service repair center level, TLGR says it continues to be impressed by shop owners and managers as they more and more clearly understand the value of their bay time, and the lost opportunity for bay time left idle.

“The service repair center owners/managers are facing increased energy prices, increasing benefit costs, looming shortage of techs and the threat of increasing labor rates unseen in years,” Langer added. “For techs, the primary costs are additional benefit cost sharing and equipment. This will surely keep the pressure on all vehicle repair facilities.”

Click here to see data from the previous quarter.

Methodology for Pricing Calculations:
The pricing is based on changes in the current quarter relative to the prior quarter. The data is collected from service repair centers with additional service repair center level pricing information provided by Nu-Way Automotive. The "Parts Categories" includes only the parts. The "Service Categories" include both parts and labor and is based on the average reported. Pricing is collected in percent change, and is averaged across the U.S. Where needed, the data is weighted in order to represent the entire market.

Focused exclusively on all segments of the global automotive industry, TLG Research (TLGR) offers clients a unique approach to obtaining and keeping a global competitive advantage. Recognized as the “Parts Problem Solvers,” TLGR provides information quickly and cost effectively. Founded in 1992 by Thomas Langer, a 30-year industry veteran, TLGR, through its proprietary database, provides a unique "menu driven" approach to offer services such as price comparisons and strategies, product/market data, channel information, competitive analysis, surveys, new product strategies and technical writing.