Factory closures in France are expected to hit “thousands of jobs” in the coming weeks and months, Industry Minister Marc Ferracci warned on Saturday, days after two of the country’s biggest employers announced layoffs amid a deepening recession in France’s manufacturing sector.
Published on: 09/11/2024 – 15:48
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“There are a number of sectors in a worrying situation,” Ferracci said told France Inter radio on Saturday, citing the chemical, automotive and metal industries.
These difficulties are mainly due to “very strong international competition… which is not always very fair because it is highly subsidized China and the United States”.
Ferracci’s comments came just days after Michelin and Auchan – two of France’s biggest employers – announced layoffs, raising concerns that unemployment could rise again afterward. years of improvement.
The closure of industrial sites will affect thousands of jobs, the minister acknowledged, underlining that the government was “fighting” to find private buyers and, if necessary, “provide the best possible support to workers and the revitalization of sites”.
On Tuesday, French tire company Michelin, which was founded 135 years ago, announced the closure of its sites in Cholet and Vannes in western France in early 2026, resulting in the loss of 1,254 jobs. It cited high costs and cheap Asian competition.
“We looked at our options but could not find an alternative to (closing) these two locations” Michelin President Florent Menegaux told Le Monde daily, adding: “The one constant at Michelin is that it is always evolving.”
The French tire group Michelin is ceasing its activities in Russia
Strike action
Michelin’s action angered French unions. The hardline CGT called on all Michelin workers to strike, while the more moderate CFDT urged management and the government to reconsider the closures and find alternatives.
Prime Minister, he spoke in the National Assembly on Tuesday Michel Barnier said he regretted Michelin’s decision and that affected employees should be helped by all available means.
“The automotive sector is in a difficult situation, and not only in our country,” Barnier said, adding that Europe must protect its car industry from “unfair” foreign competition with stronger action and less “naivety”.
Ferracci called for a European “emergency plan” to save the sector, and said he would work on formulating policy proposals – such as a continent-wide ecological bonus or a joint loan to finance investments – in the coming weeks at EU level.
Michelin’s announcement comes just weeks after unions at Europe’s largest carmaker Volkswagen warned of planned factory closures.
(with news wires)
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