Recently, Michelin announced that it will close the tire retreading plant in Clermont-Ferrand, France, and will further abolish 164 jobs.

Michelin
Michelin tires

At the same time, Michelin also plans to invest 90 million euros in the region to build a project.

Michelin said that since 2007, sales of retreaded tires have been declining in Europe, coupled with increasingly fierce competition for imported tires from China, and it is impossible to reverse the decline in sales within a short period of time.

In view of the current “renovation crisis”, the production of retreaded tires had to be limited in the case of overcapacity in the European tire retreading sector.

In fact, Michelin has already begun to adjust the production of retreaded tires. In November last year, Michelin closed a small refurbishment plant in Alessandria, Italy; in Germany, due to the serious difficulties faced by the European refurbishment market, the Air Laurent plant will be closed by the end of 2016 and will be with the French Wanglong base integration.

It is understood that Michelin has 970 employees working in the Clermont-Ferrand area. The closure of the retreaded tire factory Michelin did not force layoffs.

Michelin will treat the 330 employees of the factory differently, of which 266 production workers will be scheduled to other factories according to classification.

If a person close to retirement wants to retire early, Michelin will provide them with an early retirement plan.

At the same time, by the end of 2018, Michelin will slash 164 jobs, involve related staff, and likewise not force layoffs. Instead, it will provide an internal mobility plan that can choose to work in new functional departments and factories, supplemented by a voluntary retirement plan.

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