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Michelin reacts to drop in demand for BFG tires

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Michelin North America Inc. is in the process of reducing production of BFGoodrich consumer tires in the United States. The reason is a drop in demand.

On Tuesday, Oct. 1, 2013, the company began implementing an "indefinite" layoff of less than 10% of its workforce at the its Tuscaloosa, Ala., plant. In an official statement, the company said the action will "help align production and inventory with current market demand for BFGoodrich passenger and light truck tires."

Details concerning the implementation are being finalized. "We continue to monitor the tire market and will react accordingly," added Michelin.

The Tuscaloosa plant is one of two consumer tire plants run by BFGoodrich Tire Manufacturing Co., a Michelin subsidiary. The other is located in Fort Wayne, Ind. Both remain the only two unionized Michelin plants in North America.

(Local unions associated with the United Steelworkers recently ratified a three-year agreement with BFGoodrich Tire Manufacturing.)

The Tuscaloosa facility has the capacity to produce 23,000 passenger tires and 7,000 light truck tires a day, according to the the 2013 Modern Tire Dealer Facts Issue.

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