Is Michelin really planning a new plant in Mexico?
The rumor has it that Michelin Group might be working on plans to build a $510 million plant in central Mexico with an aim to produce around 5 million passenger & light truck tyres per year with its focus on the North American market.
Michelin North America Inc. spokesperson Eric Bruner declined to comment on the report published by the Reuters news agency. However, if the rumors are to be believed, the plant will be located in the state of Guanajuato & will produce passenger & light truck tyres mostly for North American, European & Asian markets. The plant is expected to create around 1,000 jobs in the region & is slated to begin production in year 2017. In addition to that the plant will have the capacity to double its production by year 2020.
Michelin had announced plans to build a $740 million passenger & light truck tyre plant in Guanajuato in August 2007. At the time, Jim Micali, then the chairman & president of Michelin North America, said that Mexico was “the fastest-growing market in North America, where Michelin had experienced considerable success.” The project was cancelled one year later as the company had decided to “adjust its production capacity in North America due to the decline of regional tyre markets.”