Tyre industry pioneers, Michelin has a long history. Having begun in 1889, Michelin is now the second-largest tyre manufacturer in the world after Bridgestone and larger than both Goodyear and Contineantal.
Despite initially planning to sell its Davydovo, Russia tyre production plant to the factory’s local management, Michelin is now in talks with Moscow-based Power International Shiny LLC. Michelin reportedly hopes to reach an agreement with the new buyers “soon”.
On 20 February 2023, Michelin held the opening ceremony for its new China headquarters office building in Shanghai. Joan Valadou, Consul General of France in Shanghai, Ye Fei, President of Michelin China, and others attended the event. The new headquarters of Michelin China is located in Changning District, started construction in September 2022 and was completed in January 2023.
Full-year 2022 financial results show that – in terms of share price performance, at least – Japanese tyre manufacturers are leading the way on the global stage. Much has happened in the last five years, but five-year share price data is clear that the costs of chip shortages, shipping, dearer raw materials, pandemic and war have hit European and Western tyre brands harder than their Japanese counterparts. We compared the share performance of five of the largest European and Western tyre brands (namely: Michelin, Goodyear, Continental, Pirelli and Nokian) during the last five years with the leading Japanese-based tyre manufacturers (Bridgestone, Sumitomo Rubber Industries, Yokohama and Toyo Tires) in order to gain an insight into their relative performance.
Pyrum Innovations will soon begin work on a new facility not far from its main plant in Germany. It reports that the town council in Homburg has unanimously approved the sale of a section of land to Pyrum for the purpose of setting up a new pyrolysis plant. The company hopes the planning and approval process can now “begin as soon as possible.”
Three months after pausing operations in Russia, Michelin issued a press release on 28 June 2022 acknowledging the technical impossibility of resuming operations there. At the time it spoke of transferring control of its operations to local management, and Michelin tells us that the intention was to dispose of its operations in Russia by the end of last year.
In spite of lower sales volumes, a combination of “firm pricing discipline” and “fast-growing non-tyre sales” helped Michelin increase its overall sales to €28.6 billion in 2022. The company achieved segment operating income of €3.4 billion, while net income reached €2.0 billion for the year, up 8.9 per cent on 2021.
Much has changed since 2005, the year the Tire Industry Project (TIP) was formed. To bring the TIP focus more in line with the zeitgeist and elevate its commitment to sustainability, the body has made changes to its organisational structure, including the addition of a fourth co-chair.
Public transport operator Warrington’s Own Buses has switched to an exclusive Michelin policy with the tyre manufacturer’s Services & Solutions division, as the business prepares to transition its entire bus fleet from diesel to electric. An important part of the new agreement will see 105 new electric buses arrive at the company specified with Michelin X InCity EV Z tyres as original equipment. The X InCity EV Z is Michelin’s first range of bus tyres specifically designed for electric vehicles (EVs).
BMW M GmbH is adding a “formidable special edition model” to its product range in 2023, an “exclusive high-performance car that combines supreme dynamic prowess with the everyday usability of an M3 saloon.” Announcing the upcoming debut of the BMW M3 CS, BMW (UK) says the car will come with “track tyres as standard.” Accompanying photos show this tyre to be the Michelin Pilot Sport 4 S.
Banffshire-based haulage contractor, Ian S Roger, marked the company’s 50th anniversary in style with a new gold liveried Volvo FH 540 6×2 tractor unit, fitted with Michelin X Multi Z and X Works D tyres as original equipment. The eye-catching FH joins a mix of MAN, Renault, Scania and Volvo trucks as part of a 32-strong fleet of vehicles used for a variety of agricultural-based haulage work. Almost the entire fleet now runs on Michelin tyres.
Yesterday we reported that Mobivia Group had reacquired from Michelin its 20% stake in ATU or would do so “in the next few days,” becoming once again sole owner of the German garage and automotive parts network. At the time, Mobivia hadn’t responded to requests for further information, but a statement from company headquarters arrived this morning and sheds some light on the reason behind the buyback. What’s more, further research suggests Michelin was unable to realise its purchase price when selling the stake.
Five years ago, Michelin purchased a 20 per cent stake in German automotive parts and servicing network ATU for 60 million euros. The French tyre maker has now confirmed that majority shareholder, France’s Mobivia Group, will acquire the minority stake from Michelin “in the next few days” and thus become the retail chain’s sole owner
In order to offer a “comprehensive response to evolving employee expectations” about their working environment and conditions, Michelin has entered into a new four-year agreement with the four labour unions representing its workforce in France. The tyre maker and the CFDT, CFE-CGC, CGT and SUD unions signed the ‘People and their Working Environment’ agreement on 5 January 2023.
Kumho has replaced Michelin as control tyre supplier to TCR Australia, adding the race series down under to a touring car championship portfolio that already sees it providing tyres for TCR Europe, TCR South America, TCR Brazil, TCR Spain, TCR Eastern Europe and TCR Denmark. The tyre maker will also supply control tyres for the new in 2023 TCR World Tour.
Nearly 50 DHL Express vans will begin running on the Michelin Uptis airless tyre to make last-mile deliveries in Singapore by the end of 2023. The pilot programme begins with the first vehicles making delivery trips from 10 January.
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