Michelin awarded $700 million-plus military aircraft tire contract
The Defense Supply Center - Columbus, Ohio (DSC-C) has awarded Michelin Aircraft Tire Co. LLC the 10-year, $700 million-plus (including options) Tire Privatization Initiative contract for aircraft tires.
This is the largest single tire contract ever awarded in the history of Michelin Aircraft Tire, the company says.
The Tire Privatization Initiative includes the wholesale supply, storage, and distribution functions for all aircraft tires used by the U.S. Department of Defense (DoD).
DSC-C will retain only the contracting function for aircraft tires. This allows the DoD to take advantage of the latest technologies, expertise, and business practices of private industry to provide a more responsive supply/support program for its forces, whether they are on home soil or deployed worldwide, says Michelin.
“Building on our success as prime contractor of the logistics program for U.S. Navy aircraft tires, Michelin is ready to step up as the one-stop source for all military aircraft tire needs,” says Francois Corbin, president of Michelin’s Aircraft Tire division
Michelin, along with its logistics partner Lockheed Martin MS2 in Moorestown, N.J., will assume responsibility for managing the supply and delivery of all U.S. Air Force and U.S. Army military aircraft tires across the globe in addition to their existing contract with the U.S. Navy.
Under its current contract with the U.S. Navy, Michelin is required to deliver Navy aircraft tires anywhere in the continental United States in 48 hours or less, and anywhere in the world, including deployed aircraft carriers, in 96 hours or less.
Michelin is currently exceeding the Navy’s delivery requirements, averaging over 98% on-time delivery with zero backorders.
Michelin North America continues to invest heavily in manufacturing, including increased tire production capacity to serve the needs of the U.S. Department of Defense. Michelin will meet the military’s aircraft tire demand by providing Michelin brand tires as well as sourcing and managing tires made by some of its competitors.