Employees, clients, local authorities, and other interested parties have been notified by Michelin North America that the business will start to reduce tire manufacturing at its Ardmore, Oklahoma, location. The process is expected to be finished by the end of 2025 or earlier. It is anticipated that the Ardmore mill will keep up its rubber-mixing operations.
The Ardmore facility has been producing passenger tires since 1970, and Michelin estimates that 1,400 people are employed in tire manufacture (not counting new contractors) as a result of the wind-down decision. The manufacture of tires will progressively move to Michelin’s additional passenger-tire facilities in North America.
Michelin stated that, despite investments made over the previous five years to increase technical capabilities and competitiveness, the Ardmore factory is ill-equipped to produce tires at competitive prices that would satisfy these changing market expectations in the years to come. The business claimed that continuing to spend in modernizing the Ardmore plant would have a detrimental effect on other U.S. locations within the network.
For particular stages of the wind-down, the timing is still unknown. Operations at the Ardmore factory are anticipated to continue trending lower until mid-2024, when the first round of personnel cutbacks will occur, according to Michelin’s analysis of the market demand projection. Phased cutbacks in other areas are anticipated until 2025 while transition preparations are completed.
Although Michelin’s rubber-mixing operations at the Ardmore plant serve other North American companies, it is anticipated that these operations will persist for some time after tire-manufacturing activities conclude.