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Michelin blames cheap imports for Dundee job threat

Michelin Dundee

Michelin: challenging conditions


 

Tyre manufacturer Michelin is blaming cheap Asia imports as it warns of job losses at its Dundee plant.

The company said  “extremely challenging trading conditions” are likely to see output fall from 6.2 million tyres in 2017 to 5.4 million per year over the next three years.

Michelin Dundee currently employs about 850 people and in a statement, the company said: “We are working with employees, unions and the Michelin Group to meet these market challenges.

“We will explore all options to maximise the efficiency of the plant, and those options could include restructuring working patterns and reducing headcount.

“Michelin Dundee continues to appreciate the hard work and flexibility of its employees, and we will update them before the end of the year.”

The union Unite said it had been working closely with European trade union partners and Michelin on the issue of cheap imports into Europe from Asia.

Marc Jackson, Senior Shop Steward at Michelin Dundee, said: “Unite the Union has been aware over the last few months of the challenging market situation in close dialogue with our European partners.

“The reduction in production will impact the Dundee site more than any other site within the Michelin group, as we manufacture smaller tyre dimensions.

`’Unite have always worked together with Michelin through difficult periods and we will continue to do so.  We understand this is one of the most challenging periods we have faced as one of the main reasons for the announcement is an influx of cheap imports from Asia.   

“At this moment in time our members can be assured that we will be looking to protect their terms and conditions and to maximise jobs on site. The union and the company are working hard to deal with these issues and to give the factory the best opportunity going forward and to be as competitive as possible.”

Scottish Enterprise allocated £4.5m into new production machinery in addition to a £12m investment by the Michelin Group to support increased demand for larger tyres in the Dundee factory last year.

 



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