Michelin Outlook Deteriorates Amid Weak North American Tire Sales

12 days ago

Khloe Mele

"Micheland the tire maker doesn't seem to on a roll. What's behind their drop today? Um it cut its outlook last night due to very weak sales of tires in North America. So it blamed in particular really slow demand for trucks and also for uh heavyduty vehicles that are used in agriculture. Um and it said of course that US tariffs did not help uh either and that that really hurt margins. So the tariffs have essentially led logistics companies to scale back purchases of trucks because there's been slower manufacturing activity. There's been slower trade activity which means there's less imported shipments to be transported and therefore less demand for tires."

Michelin revised its outlook downward after reporting very weak tire sales in North America, largely attributed to sluggish demand for trucks and heavy-duty vehicles coupled with the negative impact of US tariffs on margins, signaling broader risks in the tire market.