Michelin CEO: Tire dealers will play key role in EV revolution

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TPMS Hyundai Elantra – 2023

Survey Shows Consumers Are Unaware Of Tire Tech

As electric vehicles (EVs) continue to become more popular in North America, Michelin CEO Alexis Garcin says consumers will need to learn that tires are “the most important rangeextending feature of an electric vehicle.” company says is capable of extending an EV’s range, while also reducing noise levels by 20%.

And he says independent tire dealers will play a critical role in educating consumers on that front.

Garcin, the president and CEO of Michelin North America Inc., recently spoke with reporters about three key pillars of the tiremaker’s business — its people, profit and focus on the planet through sustainability efforts.

“That’s a way to contribute to better mobility, but also make (the) tire an even more important piece (of) the car than it is today,” Garcin said.

He said the extra weight of EVs — along with their increased torque — puts more pressure on tires.

“We can see today that some tires might wear up to 20% faster. That’s why bringing technologies to the market and educating consumers can help the market, moving forward, while maximizing the performance of the tire (and) increasing the range of the car without sacrificing wear.

“And that’s a game-changing situation for us because that will leverage all the know-how of the last decades.”

So far, consumers are blind to the technology in those tires, according to a survey that was conducted on behalf of Michelin in the fall of 2022.

Results indicated that 83% of U.S. drivers aren’t sure what kind of tire an EV needs. The same survey showed that 52% of existing EV owners don’t know what kind of tire their vehicle needed either.

The survey also showed affordability (59%), range anxiety (43%) and how to charge the vehicle at home (37%) are the top EV-related concerns.

The tiremaker also began investing in RFID technology a decade ago and Garcin said that by 2024, “all of our tires will be equipped with RFID” so the company can further integrate its products with automakers’ platforms.

“We believe there is an opportunity that we’re already working at with several OEMs to make sure that we can provide a complete seamless tire experience … and provide consumers with much more predictive information instead of reactive information.”

That might come in the form of automated messages to alert drivers that it’s time to rotate their tires. It could also come in the form of studying a driver’s behaviors and recommending a different tire for a different kind of driving experience, said Garcin.

Even with that connected technology, Garcin said Michelin will continue to rely on its network of dealers.

“We have a very clear strategy in North America to rely on partners to service customers. That’s something that is very close to my heart and how we operate our business.”

Garcin said tire dealers will continue to be needed “to educate consumers that all tires are not the same.”

Much of the commentary focused on the company’s work tied to electric vehicles. Garcin pointed to Michelin’s role in new technologies in history, including the creation of the radial tire in 1946 and the company’s first fuel-efficiency-focused tire in 1992.

He noted that last year Michelin unveiled the Pilot Sport EV, a tire the

Garcin said Michelin believes tire technologies are inseparable from car technologies and that the tiremaker will play a role in software-defined vehicles. He says eight out of 10 EVs use Michelin tires. (In the fine print, Michelin makes that claim based on its tire sales to EV manufacturers with annual sales projections of at least 1,000 vehicles in the U.S. and Canada.)

At the same time, dealers can provide additional services to consumers and “enrich the experience for the end users.

“That’s why I mentioned connectivity. We could have those partners embedded into these connected offers. Think of all the services around tire management, tire maintenance.

“They are really part of our strategy. We don’t want to operate the service ourselves. That’s why we have those partnerships in place.” — Joy Kopcha