Manufacturing Agreements Signed Between Nokian And Michelin
On October 5th, Nokian Tyres and Michelin signed two manufacturing agreements, whereby Michelin will produce Nokian branded agricultural, industrial and truck tyres. The agreements are initially valid for three years and will be renewed annually thereafter. Test manufacturing of agricultural and industrial tyres has already begun at Michelin’s factory at Olsztyn, in Poland and the plan is for these tyres to go on sale this year.
Before this latest agreement, the majority of these tyres were manufactured in Romania by the Tofan Grup. This particular product sector has accounted for around 3-4 per cent of Nokian Heavy tyres’ net sales in recent years. The first Nokian branded truck tyres will be produced early next year at Michelin’s Polish truck tyre plant.
Truck tyres currently make up 15% of Nokian Heavy Tyres’ net sales. Commenting on the agreements, Nokian’s President and CEO Mr. Kim Gran said: “The off-take cooperation with Michelin gives Nokian Tyres the possibility of increasing sales of the tyres in question, to widen the product range and to significantly improve customer service.