DALTON, Georgia - Higher gas prices are leading to higher manufacturing costs for Georgia's carpet industry.
Experts say changes in gas prices reverberate along the supply chain and are ultimately passed on to the consumer. The most popular carpet fiber - nylon - is petroleum based. And the carpet backing polypropylene is closely tied to the price of oil.
That's why many executives in Dalton, known as the Carpet Capital of the World, are keeping an eye on the price of crude.
Mohawk Industries, one of the world's largest carpet makers, raised carpet prices 7 percent to 10 percent in February to offset raw material cost hikes.
Chief executive Jeffrey Lorberbaum warned that changes in raw material and energy costs are among several issues the company will grapple with throughout the year.