Bridgestone to Close French Tire Plant - Tire Review Magazine

Bridgestone to Close French Tire Plant

The proposal that could impact 863 employees will not take place until the second quarter of 2021.

Bridgestone announced during an Extraordinary Works Council it will stop all activity at its French Bethune plant, as the company says it is the only viable path to safeguard the competitiveness of Bridgestone’s operations in Europe.

The proposal could impact 863 employees and will not take place until the second quarter of 2021. Bridgestone will continue to keep a high presence in France, notably through sales and retail operations with about 3,500 employees.

Bridgestone says it is “fully aware of the social consequences of this project and is committed to using all means at its disposal to define support plans for each employee.”

Bridgestone says the closure will be done in consultation and through sustained dialogue with employee representatives. Preretirement measures, support for the reassignment of employees to other Bridgestone activities in France and initiatives to facilitate external redeployment will be proposed by the company and discussed in detail with employee representatives in the coming months, the company adds.

Furthermore, Bridgestone says it intends to deploy a solid employment revitalization plan for the area. The company adds it has committed to establishing a dedicated outplacement program and to actively search for a buyer for the site.

Bridgestone says the current industry context for passenger tires is threatening Bridgestone’s competitiveness in the European market.

“For the last several years, the market for passenger tyres has been facing strong headwinds – even without taking into account the impact of the COVID-19 pandemic,” Bridgestone says in a press release. “The passenger tyre market has seen its volumes stabilize over the last few years (average annual growth less than 1%) while competition from low-cost Asian brands continues to increase (market share of 6% in 2000 increased to 25% in 2018), leading to general production overcapacity. This has resulted in pressure on pricing and margins, as well as overcapacity in the low rim diameter segment, given a declining demand in LRD. And, within Bridgestone’s overall European footprint, the Bethune plant is the least well-positioned and least competitive.”

Over the last years, Bridgestone says it has made attempts to increase the competitiveness of the Bethune plant. The company says these have proven to be insufficient and Bridgestone has been losing money on tires produced in Bethune for several years. Considering the current market dynamics, no improvement in the situation is foreseeable, the company says.

“Closing the Bethune plant is not a project we are taking lightly. But there is no other solution to overcome the challenges that we are facing in Europe. This is a necessary step to ensure that we preserve the sustainability of Bridgestone’s business in Europe,” said Laurent Dartoux, CEO of Bridgestone EMIA. “We are fully aware of the implications of the announcement made today and of the consequences that it could have for the employees and their families. This project is no reflection on the engagement of the employees, nor on their many years of commitment to delivering high-quality products for our customers; it is a direct result of a market situation that Bridgestone needs to address. The priority is clearly to find a fair and adapted solution for all the employees by offering each of them individual support, as well as solutions consistent with their personal and professional projects.”

You May Also Like

Apollo Tires debuts marketing campaign for longhaul truck tires at TMC

This campaign comes one year after Apollo Tires debuted its long-haul truck tire range at the TMC Expo.

Apollo-Smart-Tires-campaign

Apollo Tires US debuted a new integrated marketing campaign titled ‘Smart Tires for Not Smart Roads’ at the TMC Expo in New Orleans, LA from March 4-7. This campaign comes a year after Apollo Tires debuted its long-haul truck tire range at the TMC Expo.

The campaign was shot in California City and Lake Tahoe, CA and begins by showcasing a variety of road conditions that long-haul truck drivers are no stranger to, including potholes, cracked roads and roads covered in snow and rain and how Apollo long-haul "smart tires" stand up to any test, the company said.

Bridging the past and present: Totten Tire may be Birch Run’s best kept secret in tires

The single-location shop has always been able to draw the business it needs to keep busy, keep customers happy, and keep true to its roots.

K&M-Totten-Tire-Owners-1400
Pilot to add 30 Southern Tire Mart shops to its travel center network

Over the next year, the company plans to add more than 30 STMP shops to its travel centers for a total of over 85 locations across the country.

McCarthy Tire Service promotes new VP of human resources

Ann Sadusky joined the McCarthy team in October 2018 and has directed its human resource department since that time.

McCarthy-Ann-Sadusky--1400
Bridgestone to supply 15 Daytona 200 riders with BattlAx tires

Among the 15 riders, three riders from YART Yamaha, the winners of the 2023 FIM Endurance World Championship, will join Bridgestone’s team.

Bridgestone-Daytona 200

Other Posts

General Tire reveals spring promotion for G-Max, AltiMax tires

Starting March 1-April 30, with the purchase of four qualifying passenger General Tires, customers will receive up to $70.

GeneralTire-GMax-AS07-2.0-1400
SRNA promotes new director of OE for four-wheel and two-wheel businesses

He’s been with SRNA since Feb. 2013, focusing his time on motorcycle OE throughout the entirety of his tenure.

SRNA-Rick-Zimmerman
GRI appoints Barry Guildford as global commercial director

As the GCD, Guilford will lead the global sales and marketing organization of GRI.

GRI-Barry-Guildford
Goodyear reveals 40th Goodyear Highway Hero winners

Timothy VanNostrand of Northville, NY and Elijah Ramos of Victorville, CA won the honor and received awards from Goodyear for their actions.

highway-hero-t-vannostrand