French tyre maker Michelin Group has inaugurated what it says is its first global “future factory” in Shanghai, with a total project investment of about US$420 million. The facility represents the second phase of the expansion project of Michelin’s Shanghai plant.
The new plant features advanced, flexible production systems designed to serve China’s expanding energy vehicle (EV) market as well as the first high-performance green tyre that has successfully rolled off the production line.
As China’s mobility sector undergoes electrification, this project focuses on 18-24 inch high-performance large-size passenger car tyres, with approximately 70% of its capacity dedicated to serving EV models, said the company.
The firm first entered the Chinese market in the 1980s and has since witnessed the rapid growth of the country’s automotive sector and advances in EV technology.
Today, Michelin is said to hold over 30% of China’s high-end NEV tyre market and supplies numerous domestic automakers.
Equipped with Michelin’s latest machinery, the “future factory” can produce one tyre every 36 seconds and accommodates orders as small as 100 tyres, the firm added.
The expansion is set to add 1 million tyres to the plant’s annual capacity, increasing total output from 8.5 million to 9.5 million tyres/year.
According to the company, it uses artificial intelligence to optimise production management and operates entirely on renewable energy, implementing green practices across its production chain.