Michelin "to make big investments in China" - report is not confirmed

Liaoning, China - Chinese press sources are saying Michelin is planning to spend around $300 million to create the world's biggest tyre plant in Shenyang, China. Michelin confirmed that it is studying its options at Shenyang. but said no decision has been made and declined to confirm or deny the press speculation or numbers quoted in the press.

Xinhua News Agency reported that, "A government official said that a memorandum has been signed with Michelin covering new truck tyre and car tyre projects." The report continued, "When the two projects are implemented, the Shenyang base will produce 12 billion tyres annually, and become the world's largest tyre production base." It should be noted that total global demand for tyres is currently around 1200 million units/year. The figure of 12 billion given in the article is more likely to be 12 million.

Michelin said it constantly reviews capacity at its plants around the world, but said no decisions had been taken on any possible expansion in Shenyang.

This is an external link and should open in a new window. If the window does not appear, please check your pop-up blocking software. ERJ is not responsible for the content of external sites.

Xinhua via China Daily Source (country)

France's Michelin to spend 300 mln usd to expand China production - Xinhua Forbes (US)