Michelin Weighs Shuttering More Plants on Europe Downturn
- CEO says exports from the region are no longer competitive
- Europe inundated with budget tire imports from China
Rows of tires on the production line at the Michelin Gravanche manufacturing plant in Clermont Ferrand, France.
Photographer: Nathan Laine/BloombergThis article is for subscribers only.
Michelin said Europe’s “difficult economic situation” is causing a drop in tire demand across different sectors that is leading to overcapacity in the region.
The company on Wednesday flagged potential further factory closures after the recent decision to shut some struggling plants and businesses in Germany and Poland. While the manufacturer confirmed its full-year guidance, some analysts had predicted an outlook hike.