Michelin suspends production in Russia and exports to its market

Paris, 15 Mar Michelin announced on Tuesday that it is suspending the activity of the tire factory that it has in Russia and also exports to its market, in view of the severe disruptions caused by the war in Ukraine and the impact of Western sanctions against Moscow. The French group, which did not mention at any time the possibility of leaving Russia, explained in a statement that “in this very difficult and uncertain context” the priority is “to accompany all employees affected by this crisis”, in particular those in Russia. It also indicated that it remains “fully mobilized” and intends to adapt its decisions “according to the evolution of the situation”. Its Davydovo plant, where there are about 750 workers (out of 1,000 employees of the company in Russia), is engaged in the manufacture of passenger tyres and retreads for trucks, mainly aimed at the Russian local market. A spokesman told Efe that a small part of the production was also destined for northern European countries. The plant, which has a capacity of between 1.5 and 2 million tires per year, contributes 1% of the group's global production. The Russian market, to which Michelin also exports tyres manufactured in other countries, accounts for 2% of its global sales. Since the first days of the war, and in line with the obligations arising from the Western embargo, Michelin had suspended a contract for the supply of aircraft tires for the Russian airline Aeroflot. In addition, on March 4, the Michelin Guide indicated that it was suspending its recommendations for restaurants in Russia, just five months after launching the first food guide dedicated to Moscow. CHIEF ac/rcf/jac