Type
Offshoring/Delocalisation
Country
Germany
Region
Location of affected unit(s)
Trier, Homburg and Karlsruhe
Sector
Manufacturing
Manufacture Of Rubber And Plastic Products And Other Non-Metallic Mineral Products
Manufacture Of Rubber And Plastic Products
22.11 - Manufacture Of Rubber Tyres And Tubes; Retreading And Rebuilding Of Rubber Tyres
New offshoring locations
Poland

1,532 jobs
Number of planned job losses
Job loss
Announcement Date
28 November 2023
Employment effect (start)
28 November 2023
Foreseen end date
31 December 2025

Description

Frenche tyre maker Michelin announced to close three German sites as well as relocate the customer contact centre from Germany to Poland. In Germany, 1,532 employees are affected by the changes.

The production sites in Trier, Homburg and Karlsruhe will be closed step by step. The plant in Trier is to be shut down fully by the end of 2024 and the plant in Karlsruhe by the end of 2025. The French manufacturer produces truck tyres at both sites.

According to the company, the closures are necessary as Michelin suffered from a loss in market shares, high inflation and rising production costs in Germany. Overcapacities reduced competitiveness and prompted the firm to restructure its business. Apart from the closures in Germany, Michelin has also recently made employees in Spain redundant Michelin-2023-ES.

When it comes to the German job losses, the company announced to help affected employees individually when it came to their occupational future. The company is currently holding talks with the works council as well as with the chemical union IGBCE on suitable redundancy measures and possible alternatives.


Sources

Citation

Eurofound (2023), Michelin, Offshoring/Delocalisation in Germany, factsheet number 200590, European Restructuring Monitor. Dublin, https://restructuringeventsprod.azurewebsites.net/restructuring-events/detail/200590.