Raw material costs are trending up this year -- chiefly because of the rising prices of steel and oil -- but automotive purchasers are unlikely to panic.
From January through May, prices of 11 raw materials rose while four held steady or fell, according to a survey by AlixPartners, a New York consulting firm.
But raw materials still cost only $1,555 per vehicle, well below the recent high of $1,994 in mid-2014.
"It's a good-news picture," says Steve DuBuc, a director in AlixPartners' enterprise improvement practice. "If you look at the recent trend line, you might say that raw material prices are rising. But they're not coming all the way back. We're in a nice, tight price band."