Textile firm to create 400 jobs at former tyre plant

A textile manufacturer has pledged to create 400 new jobs at the former Michelin tyre factory in Dundee after agreeing a deal to take over the site.

Wilkie said it will invest £50m in the plant, which closed in June 2020 with the loss of 850 jobs.

The company said it also plans to relocate the 190 staff who currently work at its base in Kirriemuir, Angus, to the Michelin Scotland Innovation Parc (MSIP).

Wilkie chief executive Hamish Rowan said it was the start of a "bright new era".

The company, which will become a main shareholder in the MSIP, said transport will be provided for Kirriemuir staff to the new site, which is 18 miles away.

Michelin announced its intention to leave Dundee in 2018, citing "unsuitable market conditions".

The tyre giant said a shift in the industry towards low-cost products manufactured in Asia meant the site, which had been operating for almost 50 years, had suffered.

Workers made more than 300 million car tyres from its opening in 1971 until it closed.

The site, which was retained as an economic hub by the Scottish government, currently has 16 tenant companies and 190 workers.

It includes an innovation hub and labs and a skills academy led by Dundee and Angus College.

The Wilkie deal will almost restore the workforce lost when the tyre plant closed.

Mr Rowan said the decision to leave Wilkie's historic home in Kirriemuir, where the company was founded in 1868, was not taken lightly.

However, he said the move to the site was an opportunity for the firm to "embark on an exciting new chapter".

He said: "While deeply rooted in its heritage and long-standing ties to Kirriemuir, the decision to relocate to Dundee was emotional and not taken lightly."

Mr Rowan added the move would enable the company to increase its potential.

He said: "The world-class infrastructure at MSIP provides a strong foundation for Wilkie to honour its proud legacy while embarking on an exciting new chapter of innovation and growth."

Scottish Enterprise will also now become MSIP's minority shareholder having run the site alongside Michelin and Dundee City Council since the factory closed.

MSIP hosted a design festival in the former plant in June, which featured exhibits from more than 180 artists.

Deputy First Minister Kate Forbes said the deal realised a long-held aspiration for the site.

She added: "When Michelin closed the doors on its tyre factory, the Scottish government promised to reinvest in the site's economic future.

"We hoped that we'd be in the position we find ourselves in today, bringing in a major employer like Wilkie with a strong Scottish heritage."

Ms Forbes said she was fortunate to have seen the site develop from an and idea to a business community that now connects "industry trailblazers with academia" to bring about "greener economic growth".