Factory closures in France are expected to affect "thousands of jobs" in the coming weeks and months, Industry Minister Marc Ferracci warned on Saturday, days after two of the country's largest employers announced layoffs amid a deepening recession in France's manufacturing industry.
“There are a number of sectors in a worrying situation,” Ferracci told France Inter radio on Saturday, citing the chemical, automotive and metallurgy industries.
These difficulties are due in particular to “very strong international competition ... which is not always very fair because it is highly subsidised in China and the United States”.
Ferracci's comments came just days after Michelin and Auchan – two of France's largest employers – announced layoffs, sparking worries that unemployment could once again go up after years of improvement.
The closures of industrial sites will affect thousands of jobs, the minister acknowledged, underlining that the government was “fighting” to try to find private buyers and, if necessary, “provide the best possible support for employees and the revitalisation of sites”.
On Tuesday, French tyre company Michelin, founded 135 years ago, announced the closure of its Cholet and Vannes sites in western France by early 2026, with the loss of 1,254 jobs. It cited high costs and cheap Asian competition.
"We assessed our options but couldn't find any alternatives to (closing) these two sites" Michelin Chairman Florent Menegaux told Le Monde daily, adding: "The only constant at Michelin is that it's always on the move."
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Strike action
Michelin's move outraged French labour unions. The hardline CGT called on all Michelin workers to go on strike, while the more moderate CFDT urged management and the government to revisit the closures and seek alternatives.
Speaking in the National Assembly on Tuesday, Prime Minister Michel Barnier said he regretted Michelin's decision and that affected workers must be helped with all available means.
"The automotive sector is in a difficult spot and not only in our country,", Barnier said, adding that Europe must protect its auto industry against "unfair" foreign competition with stronger action and less "naiveté".
Ferracci called for a European "emergency plan" to save the sector, saying he would work towards formulating policy proposals – such as a continent-wide ecological bonus or a joint loan to finance investments – at the EU level in the coming weeks.
Michelin's announcement comes just weeks after unions at Europe's largest car manufacturer Volkswagen warned of planned plant closures.
(with newswires)
