Michelin nixes Mexico plant
Groupe Michelin has decided to "adjust its production capacity in North America due to the decline of regional tire markets" and will not proceed with building a new plant in Mexico.
The factory was going to be located in the state of Guanajuato, Mexico, as announced in August 2007. It was intended to produce tires for the North American market.
On the upside, "productivity gains and additional investments in existing North American production facilities will enable Michelin to respond to continued strong demand for high performance and large diameter tires," say Michelin officials.
Mexico remains an important manufacturing base for Michelin. The tiremaker has invested more than $200 million in its Querétaro plants over the past two years, creating more than 100 new jobs.
Officials note that all of Michelin’s other investment projects in North America "will continue."