Paris -- Group Michelin, citing soaring oil prices, is launching a new pricing system for its original equipment customers worldwide based on a scale indexed to changes in oil prices.
The change, due to take effect from 1 Apri, will affect passenger and light truck tyres.
Michelin said the system â€œwill clearly distinguish the effects of petroleum-based raw materials from the intrinsic value of Michelin tyresâ€ and called it a â€œpledge of transparency and clarity in Michelin's relations with auto makers.â€
In announcing the change, Micheline noted that petroleum-based products account for about 60 percent of the cost of a passenger car or light truck tyre.
From Tire Business (A Crain publication)
Press release fro Michelin