Russia: Michelin sells its activities to local tire distributor, saving 250 jobs
Michelin is selling its activities in Russia to Power International Tires LLC, 26 May 2023
After suspending its industrial activities in Russia on March 15, 2022, following the start of the conflict in Ukraine, Michelin today is announcing the signature of an agreement to sell its two local companies, Michelin Russia Tyre Manufacturing Company (MRTMC) LLC and Camso CIS LLC, to Power International Tires LLC. A known partner of Michelin, Power International is one of the main tire distributors in Russia and has a presence throughout the country.
This agreement, which follows several months of work and the study of various options, aims to preserve jobs, the principle that has guided the Michelin Group’s thought processes at every stage in this project. Approved by the competent local authorities, it will allow for saving 250 jobs, mainly based in Davydovo. The option to pass the activity on to local management, despite all the Group’s efforts, was not possible due to major difficulties preventing these activities from being rendered autonomous.
Recognizing that all employees could not join Power International, Michelin has allowed those who wished to leave the Company to do so under good conditions...