Cost of AG Goods Continued to Rise Year Over Year

Prices for materials used in the auto glass industry showed a very slight decrease in July 2021, according to recently released Producer Price Index (PPI) data from the U.S. Bureau of Labor Statistics (BLS).

The monthly PPI, which includes auto glass*, decreased negligibly by 0.1% from June 2021 to July 2021, but revealed a 5.7% increase from July 2020. According to BLS, the commodity classification “organizes products and services by similarity or material composition, regardless of the industry classification of the producing establishment.”

Prices for motor vehicle parts went up by 3.5% from July 2020 and, in the commodity grouping of the same index, prices increased month over month by 1.4%.

The PPI for molded rubber mechanical goods (automotive) showed no change when compared to the prior month reading, but rose by 1.2% from June 2020.

Adhesives and sealants saw a monthly increase of 2.1%, as well as a 6.1% increase from last year. Motor vehicle repair and maintenance, in the services grouping, also increased 1.8% over July 2020, with a 0.1% bump from June 2021, as well.

The cost of private passenger auto insurance services was down 2.9% compared the same month last year, with a slight increase of 0.7% from June 2021 to July 2021. On the other hand, commercial auto insurance saw gains of 0.1% from June 2021 and 4.6% from July 2020.

*This number is for the specialty glass category in July under the commodity category.

This article is from glassBYTEs™, the free e-newsletter that covers the latest auto glass industry news. Click HERE to sign up—there is no charge. Interested in a deeper dive? Free subscriptions to Auto Glass Repair and Replacement (AGRR) magazine in print or digital format are available. Subscribe at no charge HERE.

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1 Response to Cost of AG Goods Continued to Rise Year Over Year

  1. Random Guy says:

    So when will insurance companies STOP increasing discount rates under the guise of paying fair market pricing along with labor costs going through the roof.

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