PARIS (March 21, 2008) — Michelin is launching a new pricing system April 1 for its original equipment customers worldwide based on a scale indexed to changes in oil prices.
The change will affect passenger and light truck tires.
Michelin said the system "will clearly distinguish the effects of petroleum-based raw materials from the intrinsic value of Michelin tires" and called it a "pledge of transparency and clarity in Michelin's relations with auto makers."
Michelin said petroleum-based products account for about 60 percent of the cost of a passenger car or light truck tire.