SHANGHAI -- The Michelin Group inaugurated its first global "future factory" in Shanghai on Friday, with a total project investment of 3 billion yuan ($425 million). The new plant features advanced, flexible production systems designed to serve China's expanding new energy vehicle market.

The global tire giant first entered Chinese market in the 1980s and has since witnessed the rapid growth of the country's automotive sector and advances in NEV technology. Today, Michelin holds over 30 percent of China's high-end NEV tire market and supplies numerous domestic automakers.

Equipped with Michelin's latest machinery, the "future factory" can produce one tire every 36 seconds and accommodates orders as small as 100 tires. Approximately 70 percent of its output will be dedicated to NEVs, while the order-to-delivery cycle has been reduced from 10 days to five. The expansion is set to add 1 million tires to the plant's annual capacity, increasing total output from 8.5 million to 9.5 million tires per year.

The facility aims to integrate leading manufacturing capabilities with a core commitment to sustainability. According to the company, it uses artificial intelligence to optimize production management and operates entirely on renewable energy, implementing green practices across its production chain.

The future factory marks a key step in Michelin's long-term commitment to China, supporting high-quality growth and green transition, said Matthew Ye, president and CEO of Michelin Greater China & Mongolia, at the launch ceremony.