Skip to main content
Sister Publication Links
  • Rubber News
  • European Rubber Journal
Subscribe
  • Login
  • Register
  • Subscribe
  • Current Issue
  • News
    • OPINION
    • BUSINESS/FINANCIAL
    • COMMERCIAL TIRE
    • GOVERNMENT & LAW
    • Humanitarian Award
    • RETAIL TIRES
    • SERVICE ZONE
    • TIRE MAKERS
    • Best Places to Work
    • RUSSIA WAR IN UKRAINE
  • Aligning with ADAS
  • Data
    • DATA STORE
  • Custom
    • SPONSORED CONTENT
  • Events
    • ASK THE EXPERT
    • LIVESTREAMS
    • WEBINARS
    • SEMA LIVESTREAMS
  • Resources
    • DIRECTORY
    • CLASSIFIEDS
    • SHOP FLOOR
    • AWARDS
    • BALANCING
    • DEMOUNTING
    • SAFETY
    • TIRE REPAIR
    • TPMS
    • TRAINING
    • VEHICLE LIFTING
    • WHEEL TORQUE
    • Best Places to Work
  • ADVERTISE
  • DIGITAL EDITION
MENU
Breadcrumb
  1. Home
  2. News
March 02, 2016 01:00 AM

Michelin to restructure HQ mfg. activities

Crain News Service
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print

    CLERMONT-FERRAND, France (March 2, 2016) — Group Michelin is planning to restructure its industrial and service activities in Clermont-Ferrand, investing $98 million through year-end 2018 in several measures designed to strengthen the group's decision-making center.

    At the heart of the resturucturing is the company's decision to close a truck retread plant in Combaude, a Clermont-Ferrand district, and redeploy the facility's 330 employes to other industrial sites in the area, the firm said.

    Michelin cited two factors in its decision to close the plant: the “strong recruitment needs” of other plants in the Clermont-Ferrand area and reduced demand for retreads in the European Union.

    Michelin said it will need to hire 400 production workers over the next three years to fill job openings at other factories in the Clermont-Ferrand area, where it has two other tire plants and a number of other headquarters facilities.

    Much of the $98 million investment program will go toward financing new equipment and advanced production processes at the firm's tire plants in Cataroux (racing tires), Gravanches (high-performance car and light truck/van tires) and Combaude (engineering support for other factories, including the design of curing molds and high technology textile reinforcements, and the development of specific tools for manufacturing processes.)

    Michelin did not quantify the investment's impact on production capacities at these sites, but it did say it will reorganize its engineering group, which employs 970 workers in Clermont-Ferrand out of 1,100 in France and 2,400 worldwide.

    The project also is intended to consolidate the positioning of its Clermont-Ferrand sites with activities that have high technological content and high added value, Michelin said, including the creation of a manufacturing engineering entity at the Carmes/Clermont-Ferrand site.

    Overall the reorganization will result in 164 job cuts by year-end 2018, but without any compulsory layoffs, Michelin said.

    Regarding the retreading plant, Michelin said the plant's closing reflects a 25-percent drop in demand European-wide between 2007 and 2015 for truck retreads. This has meant Michelin “is now forced to rationalize its industrial base by focusing its retreading activities on a limited number of sites.”

    To finance these restructuring projects, Michelin will enter a provision of approximately $60 million in non-recurring expenses in its accounts through June 30.

    This report appeared on the website of European Rubber Journal, a United Kingdom-based sister publication of Tire Business.

    Letter
    to the
    Editor

    Do you have an opinion about this story? Do you have some thoughts you'd like to share with our readers? Tire Business would love to hear from you. Email your letter to Editor Don Detore at [email protected].

    Most Popular
    1
    Goodyear adds two sizes to Workhorse lineup
    2
    Bridgestone to raise prices on consumer tires July 1
    3
    R2R law not needed in Canada, say auto makers, dealers
    4
    Tatneft selling Russian tire business to holding company
    5
    Hankook opens largest tire testing facility in Asia
    SIGN UP FOR NEWSLETTERS
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    Newsletter Center

    Staying current is easy with Tire Business delivered straight to your inbox.

    SUBSCRIBE TODAY

    Subscribe to Tire Business

    SUBSCRIBE
    Connect with Us
    • Facebook
    • LinkedIn
    • Twitter
    • RSS

    Our Mission

    Tire Business is an award-winning publication dedicated to providing the latest news, data and insights into the tire and automotive service industries.

    Reader Services
    • Staff
    • About Us
    • Site Map
    • Industry Sites
    • Order Reprints
    • Customer Service: 877-320-1716
    Partner Sites
    • Rubber News
    • European Rubber Journal
    • Automotive News
    • Plastics News
    • Urethanes Technology
    RESOURCES
    • Advertise
    • Privacy Policy
    • Privacy Request
    • Terms of Service
    • Media Guide
    • Editorial Calendar
    • Classified Rates
    • Digital Edition
    • Careers
    • Ad Choices Ad Choices
    Copyright © 1996-2022. Crain Communications, Inc. All Rights Reserved.
    • News
      • OPINION
      • BUSINESS/FINANCIAL
      • COMMERCIAL TIRE
      • GOVERNMENT & LAW
      • Humanitarian Award
      • RETAIL TIRES
      • SERVICE ZONE
      • TIRE MAKERS
      • Best Places to Work
      • RUSSIA WAR IN UKRAINE
    • Aligning with ADAS
    • Data
      • DATA STORE
    • Custom
      • SPONSORED CONTENT
    • Events
      • ASK THE EXPERT
      • LIVESTREAMS
      • WEBINARS
      • SEMA LIVESTREAMS
    • Resources
      • DIRECTORY
      • CLASSIFIEDS
      • SHOP FLOOR
        • BALANCING
        • DEMOUNTING
        • SAFETY
        • TIRE REPAIR
        • TPMS
        • TRAINING
        • VEHICLE LIFTING
        • WHEEL TORQUE
      • AWARDS
        • Best Places to Work
    • ADVERTISE
    • DIGITAL EDITION