Michelin to build new plant in Thailand image

Michelin Siam, the Taiwanese division of Michelin France – the largest French tire is preparing to build a new facility in Southern Region Industrial Estate, Songkhla Province, Thailand.

According to Michelin, the project is expected to be completed in early 2013.

The announcement comes shortly after the French company reaffirmed its full-year sales and operating profit targets, despite an uncertain truck tire market in the fourth quarter.

Revenue for the three months ended Sept. 30 was €5.14 billion ($7.15 billion), up from €4.65 billion a year earlier, and was below an average estimate of €5.21 billion compiled from a company survey of 12 analysts. Sales for the first nine months were 17% higher at €15.25 billion.

In other news, flooding situation still prevails in 20 provinces, including capital Bangkok and the central and northeastern region, while 44 other provinces are on the way of restoring, according to media reports.

The floods have affected about 4.0 million households and about 13.4 million people in 64 of 77provinces since July 25 2011.

Analysts estimate that lost vehicle production from the Thai floods may total about 250,000 globally – far fewer than the 700,000 from Japan’s Tsunami disaster in March – but the disasters had the disadvantage of coming on top of each other and were certain to hit the bottom line of all carmakers in 2011.