Alabama unit to close in 2028 due to “structural inefficiencies” and increasing competition in OTR markets
Greenville, South Carolina – Michelin North America Inc. is to close its tire plant in Tuscaloosa, Alabama under a reorganisation of its US manufacturing operations serving the BFGoodrich Tires brand.
Production for BFGoodrich Tires will be consolidated at its plant in Fort Wayne, Indiana, as the Alabama operation is shut down in phases by yearend 2028, the company announced 25 June.
The reorganization will impact approximately 1,200 employees in Tuscaloosa, as tire-production and rubber-mixing activities gradually ramp down over the next two years, according to Michelin North America.
Both sites, it explained, “operate well below their designed capacities, resulting in structural inefficiencies… while BFGoodrich Tires faces intensifying competition in its core recreation/off-road market segment.”
“Due to the size, footprint and infrastructure of the Fort Wayne factory, that site is better positioned to consolidate the capacity and meet future demands for the success of BFGoodrich Tires,” ” said Terry Redmile, Michelin’s senior vice president for manufacturing operations in the Americas.
“Unfortunately, we could not identify any feasible structure that would enable us to continue operating in Tuscaloosa while also supporting long-term value creation across our factories in North America,” added Redmile.
Michelin North America said it intends to collaborate with public and private stakeholders to explore “new missions” for the Tuscaloosa site.
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