The closure of Dundee’s Michelin factory has been confirmed with the loss of 850 jobs.
The French tyre manufacturer announced last month its intention to shut the Baldovie plant by 2020.
An action group was set up in a bid to get Michelin to change their minds, however the firm has today opted to press ahead and cease manufacturing at the plant.
While the closure has been confirmed, Michelin has agreed to work with the Scottish Government and other partners to develop the site into a new training and skills centre.
Steve Dunlop, Chief Executive of Scottish Enterprise, who compiled the government’s proposition to Michelin, will lead the work to transform the future of the Dundee site.
The tyre giant has also appointed Jerome Monsaingeon as the company’s project leader for the partnership on the future of the Michelin site in Dundee.
Factory manager John Reid believes it “is a really positive outcome.”
He said: “Everyone involved in this partnership will work extremely hard to transform the Michelin site.
“We will channel our shared values and priorities to create a significant number of jobs and we will develop a facility that will benefit the economy of Dundee and beyond.
“In parallel with this work, Michelin will be supporting employees and doing everything we can to help them find the best outcomes possible.”
Economy Secretary Derek Mackay said: “Michelin has confirmed that, despite the offers of further Scottish Government support, structural market changes mean that the continued manufacturing of tyres at the Dundee site is not viable and that tyre production will therefore cease in 2020.
“Our shared aim is now to secure a long-term future for the site and to generate significant employment there.
“We will now work together to transform the site into a key location for new economic and employment opportunities in manufacturing, remanufacturing, recycling and low carbon transport, with Michelin sharing the Scottish Government’s ambitious climate change and low carbon vehicle commitments.”
Dundee City Council leader John Alexander added: “The commitment of the company and the partners in the working group could signal a new and exciting future for the Michelin plant in Dundee.
“Creativity, imagination and ambition are the hallmarks of our city and all of them will be brought to bear on finding a way to generate new opportunities and a sustainable outcome.
“We are ready to roll up our sleeves and get on with the business of putting flesh on the bones of this commitment, always with the understanding that there are still significant challenges to be overcome.”