Michelin to close Dundee plant with loss of 845 jobs

Irving Hamilton
November 8, 2018

Talks are due to take place to discuss whether there is a "viable option" to secure the future of the Michelin tyre factory in Dundee.

Michelin calls the switch to larger tires "a profound transformation of the vehicle parc", and says even though the company has tried to adapt the plant, spending 70 million euros in recent years, its full conversion isn't a viable option.

Michelin said declining demand for the smaller-sized tires produced at the 47-year-old plant and increasing imports of low-priced products from Asia "have made the plant unsuitable and its conversion [to produce other types of tires] is not financially viable".

Troubles at the base, which opened in 1971, have been partly blamed on competition from cheaper products from Asia.

Unite's Scottish secretary Pat Rafferty said: "Unite has been aware of the challenging market situation facing the Michelin Group".

Ms Robison said Michelin had appeared to have a "bright future" in the city after investing £61 million in the plant over recent years.

The UK government has said it "stands ready" to do everything it can to assist.

For the Scottish government, Mr Mackay said he would be in Dundee on Tuesday, where he hoped to meet representatives of the workforce, the city council and the management team.

Polio-like illness rates rising
The news took a toll on Brandon, who was left wheelchair-bound because both his legs and his right arm were completely paralyzed. While it resembles polio, it's exact cause is actually unknown, although some sort of virus is suspected.

European Rubber Journal has learned that there are no concrete plans to transfer the capacity to any other Michelin plant at this point. That's the question that needs to be asked and needs to be looked at in detail.

"In particular we are reviewing how we invest the £150 million we are putting to the Tay Cities Deal, to make sure that the Deal can respond to this challenge".

"I don't know the answer to that, I think we're all trying to digest the news at the moment, but my view is I certainly haven't given up hope".

John Reid, factory manager at Michelin Dundee, said: "I have been part of Michelin Dundee for 26 years and I am very proud of the hard work and dedication shown by the team here".

The tyre manufacturer said in a statement that the claims the plant in Baldovie Road is "unsuitable and its conversion is not financially viable" and will close it by mid-2020.

The trade union representing numerous Dundee workers said it had not given up the fight to keep the factory open.

Group Michelin told employees at its auto tire plant in Dundee this week the factory will close by mid-2020, resulting in the loss of 845 jobs.

"Michelin Development, the group's entity dedicated to local economic development in the areas in which Michelin has operations, will also be working with local stakeholders to help create 845 new jobs".

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