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.
Publishing its latest tracker of premium European tyremakers financial fundamentals, financial analysts report that pricing is currently a headwind and raw materials a tailwind year-to-date, however, raw materials will shift to a headwind in the second-half of 2024.
Michelin has supplied original equipment tyres for all generations and evolutions of the Porsche Macan since its launch in 2014, and the latest version of the SUV is no exception. The tyre maker is proposing three tyre ranges for this strategic model, Porsche’s first all-electric SUV, a decision it calls a “show of confidence that bolsters Michelin in its position as a pioneer and as a preferred original equipment partner.”
Michelin Group has disclosed its financial results for the first quarter of 2024, reporting total sales amounting to €6,642 million. This figure marks a decline of 4.6 per cent compared to the corresponding period in the previous year. The decrease in sales can be attributed to various factors, including a decline in tyre volumes, driven by weaknesses in certain markets, including construction and agricultural tyres, as well as mining tyre inventory drawdowns.
Evolution in the design of loaders has led to a generation of machines that deliver significantly more load capacity, speed and transmission torque than their forebears. In order to adapt to the more powerful and sturdy vehicles operating in quarries, Michelin is offering a tyre suited to these changes – the Michelin Xtra Defend E4 L4.
On 15 April, Michelin, the CNRS, and the University of Strasbourg inaugurated the SpinLab associated research laboratory. This Strasbourg-based endeavour is dedicated to the study of the electrospinning process for the optimal production of nanofibrous materials. Over four years, these teams will collaborate to develop an innovative electrospinning platform, with the aim of creating novel and distinctive fibrous materials tailored for diverse applications, including tyres.
Michelin has introduced a number of measures aimed at fostering “social and societal cohesion.” The company intends to guarantee all Michelin employees worldwide a ‘living wage’ and ‘universal social protection floor’. It is also implementing what it calls a ‘lifelong learning approach’.
Manufacturers approach tyre suitability for electric vehicles from varying angles. While some believe that EVs require specialised fitments, a growing number promote their entire product ranges as equally suitable for electric, petrol and diesel vehicles. Examining both approaches, Auto Bild has tested five standard tyre models and three specialised EV tyres. It fitted these eight products to a Kia EV6 in size 235/55 R19.
Michelin is set to transfer the truck tyre production capacity it currently operates at its Olsztyn, Poland factory to Romania. Currently, 430 people work in the Olsztyn, Poland factory truck tyre production operation.
At the end of January, the European Commission (EC) announced that it is had begun conducting “unannounced inspections” – commonly known as dawn raids – at the European offices of the world’s leading tyremakers. The investigation intends to find out whether or not “the inspected companies may have violated EU antitrust rules that prohibit cartels and restrictive business practices”. In the days immediately after that news broke, it quickly became apparent that (in alphabetical order) Bridgestone, Continental, Goodyear, Michelin, Nokian and Pirelli all received those visits. All the above companies issued statements denying the allegations and confirming that they are cooperation with the authorities. The EC’s announcement was short on detail and the investigated tyremakers are being understandably tight-lipped about the whole thing, which leaves significant questions about what the grounds for such an investigation were in the first place.
Initiating detailed coverage of European tyre manufacturers, analysts at Jefferies Equities Research fated Pirelli as their top pick, followed by Continental and Michelin. “Continental is trading on the largest discount to Michelin in years and the ex-tyres business is at the lowest multiple (2x EBIT) in three years. Pirelli is at a two per cent discount to Michelin versus a premium for >90 per cent of the last three years.
Punctures had been an increasing problem for Millstream Estate Services of late, but not since equipping its grass cutting fleet with airless Michelin X Tweel Turf wheels. The Milton Keynes-based business now runs the tyre and wheel combination on five of its six Kubota ZD 1211 zero-turn mowers and plans to upgrade the remaining machine in the near future.
Following the news that Michelin has been selected by Peugeot to exclusively equip the new Peugeot 3008 and E-3008 sold in Europe, the tyremaker is emphasising that, whether hybrid or 100 per cent electric, all the SUVs in the Peugeot 3008 range will receive tailor-made tyres produced by Michelin via “European manufacture as close as possible to the markets”.
Electric vehicle (EV) owners are reporting faster tyre wear rates than they experience on internal combustion engine (ICE) vehicles. And that’s leading to a widening satisfaction gap between original equipment tyres and electric vehicles (EVs) and ICEs, according to the J.D. Power 2024 U.S. Original Equipment Tire Customer Satisfaction Study, released at the end of March. The study shows that EV owners have similar expectations of tyre wear as do owners of ICEs, despite EV tyres wearing faster due to greater vehicle weight and higher torque.
With the delivery of 17 Vauxhall Combo vans, Michelin has completed the first phase of its electric vehicle (EV) transition programme in the van fleet that its Services and Solutions division operates in the UK. The electric vans, supplied on a four-year lease and featuring a Michelin livery that emphasises the company’s sustainability commitments, are part of “ambitious” plans to electrify the division’s 54-strong fleet by 2026.
Reporting the official groundbreaking of a Collaborative Innovation Center at the company’s Cataroux site in France yesterday, the Michelin Group says the ceremony “marks a major milestone” in this innovation-focused project, which it considers the only one of its kind in Europe. Michelin and four other entities have spearheaded the project since 2020, investing 61 million euros in a facility that will serve as a nexus for business and innovation stakeholders.
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