PARIS — Group Michelin has established minority-owned joint venture with a French company active in car sales in Africa and Asia to handle the import and distribution of Michelin tires in Kenya and Uganda.
The new venture, 49-percent owned by Michelin, is with CFAO Automotive, a Paris-based company with 133 sales and service locations in 34 African countries, three French overseas territories in the Pacific and Vietnam and Cambodia.
The new entity will provide the two countries, whose population numbers over 90 million, with tires for cars, vans and light trucks, Michelin said. The venture also will import tires for heavy goods, two-wheel, civil engineering and agricultural vehicles.
Michelin said it wants to accelerate the distribution of its high-end tires in these regional African powerhouse countries, where the venture will rely on Michelin's long-standing distribution partners.