The French company famous for making tyres and its round mascot is expanding further into advanced materials. The business is focusing on industries where products must work perfectly every time. Michelin has built its reputation over more than a century by producing reliable tyres for cars and trucks. Now the manufacturer is using that same expertise to create specialized materials for demanding applications. These include components for aerospace systems and medical devices where any malfunction could have serious consequences. The shift represents a strategic move for Michelin to diversify beyond its traditional tyre business. The company recognizes that its knowledge of rubber compounds and material science can be valuable in other markets. Industries like aviation and healthcare need suppliers who understand how to make products that perform consistently under extreme conditions. This expansion into high-performance materials allows Michelin to tap into new revenue streams. The tyre market faces challenges from electric vehicles and changing transportation patterns. By developing materials for critical applications the company can reduce its dependence on a single product category. The materials division focuses on creating solutions where reliability matters most. Aircraft parts must withstand tremendous stress and temperature changes. Medical equipment needs to function flawlessly during procedures. Industrial applications often require materials that can handle harsh chemicals or extreme wear. Michelin brings decades of research experience to these new markets. The same testing methods and quality standards that ensure tyre safety now apply to other products. Engineers who spent years perfecting rubber formulas are now developing advanced composites and specialized materials. The company sees significant growth potential in these sectors. As technology advances the demand for better performing materials continues to rise. Michelin aims to become a trusted supplier in fields where its reputation for quality and safety provides a competitive advantage.
Michelin’s big American shopping trip
Michelin has decided to purchase two American companies called Cooley Group & Tex Tech Industries. Experts believe the deal is worth more than 500 million euros. These two businesses produce specialized technical fabrics & materials made from polymers that work in very harsh environments. Their products are used in places ranging from operating rooms where surgeries happen to sites where rockets are launched into space. The acquisition allows Michelin to expand beyond its traditional tire manufacturing business. The French company wants to grow its presence in high-performance materials that serve different industries. Cooley Group and Tex Tech Industries both have expertise in creating fabrics that can withstand extreme temperatures and challenging conditions. These materials have applications in aerospace technology and medical equipment. The companies design products that must meet strict safety standards and perform reliably when conditions are difficult. Michelin sees value in adding these capabilities to its existing operations. The purchase represents a strategic move for Michelin as it looks for new growth opportunities. The tire maker has been working to diversify its business portfolio and enter markets where its engineering knowledge can be applied. Advanced materials represent a sector where demand continues to grow across multiple industries. Both acquired companies bring established customer relationships and proven manufacturing processes. Their products serve specialized needs that require technical precision and consistent quality. Michelin plans to integrate these operations while maintaining their focus on innovation and performance standards.
Michelin is using its acquisitions of Cooley and Tex Tech to enter new markets. In these markets the company’s history of making tyres is not as important as its advanced knowledge of polymer materials.
The exact purchase price has not been disclosed. Michelin plans to fund the transaction entirely in cash without taking on extra debt. The deals are expected to close by mid-2026 pending regulatory approval from competition authorities in the US & elsewhere.
The two acquisitions combined are expected to increase the turnover of Michelin’s Polymer Composite Solutions unit by approximately 20%. This translates to about $280 million or roughly €239 million in extra yearly revenue. Based on these figures the total value of both acquired companies is estimated to be between €460 million and €645 million.
Who are Cooley Group and Tex Tech?
Cooley Group started almost one hundred years ago in Rhode Island. The company makes coated polymer fabrics for specialized applications. Their products are used to keep drinking water clean and to contain corrosive chemicals. They also support complex medical devices and line structures that face harsh weather conditions. The company has developed a strong reputation in this field over the decades. Their fabrics are designed specifically for highly sensitive uses where quality and reliability matter most.
The company manages every step of the production process including weaving textile materials and applying polymer coatings. This complete control over manufacturing is unusual for American companies & allows Cooley to maintain high quality standards while managing expenses and developing new products.
Tex Tech Industries was founded in 1904 & has its headquarters in Maine. The company works in a completely different field but deals with equally complex technical challenges. It creates specialized textiles for aerospace defense and industrial uses. The company makes thermal protection systems for rockets, flame-resistant materials for aircraft seats and fabrics designed to resist abrasion, extreme heat & fire.
Both companies work in areas where materials play an essential role. These include aviation cabins and defense equipment. They also cover chemical barriers and hospital environments. Space launch systems are another key application area for their products.
From tyres to materials: a deliberate shift
The acquisitions show that Michelin does not want to be known only as a tyre company. The group launched its Michelin in Motion 2030 roadmap in 2021. Under this plan Michelin aims to generate 30% of its revenue from non-tyre activities by the end of the decade.
The strategy is built on three main areas: high-value materials customer experience services & sustainable mobility solutions. In practical terms, the Cooley and Tex Tech deals fit directly into the first category which focuses on materials science.
Staying in its comfort zone – just not on the road
Medical membranes and aerospace textiles might seem completely different from tyres at first glance. But they actually depend on the same core capabilities. All three require precise control of polymer materials & expert handling of complicated manufacturing methods. They also need rigorous testing under extreme conditions to ensure they perform reliably.
# Michelin has spent over a century perfecting rubber compounds that can handle heavy loads and extreme temperature changes while resisting constant wear and tear. This expertise applies directly to:
The company developed these materials through decades of testing in demanding conditions. Their rubber formulations must endure the stress of supporting vehicle weight while maintaining grip on various road surfaces. The compounds also need to perform reliably whether in freezing winter conditions or scorching summer heat. This accumulated knowledge proves valuable beyond traditional tire applications. The same principles that make tires durable and reliable work well in other industries that require tough and flexible materials. Michelin engineers understand how different rubber mixtures respond to pressure and friction over extended periods. The technology behind these compounds involves careful selection of raw materials and precise manufacturing processes. Each formula balances multiple properties including strength and flexibility and resistance to environmental factors. This balance ensures the final product performs consistently across different use cases.
- Flexible containment systems for aggressive chemicals
- Coated fabrics that must remain watertight for decades
- Lightweight, fire-resistant materials for aircraft cabins
- Thermal barriers on rockets facing extreme heat
Cooley & Tex Tech work well alongside Michelin’s current Orca brand. Orca operates in Europe and makes technical fabrics for marine applications and industrial and outdoor equipment. With these additions Michelin can now offer a wider range of products to international customers who need suppliers in multiple regions & want reliable quality standards.
A new reporting segment that signals intent
Michelin will turn Polymer Composite Solutions into a separate reporting division alongside tyres starting this year. This accounting adjustment tells investors something important. Non-tyre activities are no longer just a side project. They now represent a major industrial pillar with their own growth targets & profit margins and capital allocation plans. The change reflects how seriously Michelin takes this business segment. By giving it standalone reporting status the company signals that these operations deserve the same attention as the core tyre business. Investors can now track performance independently & evaluate how well the division meets its specific objectives. This organizational shift also suggests Michelin sees substantial potential in polymer composites. The company appears ready to invest resources and management focus into expanding this area. Rather than treating it as a supplementary revenue stream Michelin now positions it as a fundamental part of its long-term strategy. The decision to separate reporting creates transparency around financial results. Stakeholders can assess whether the division generates adequate returns and contributes meaningfully to overall company performance. This visibility helps justify continued investment & demonstrates accountability for results. Michelin’s move indicates confidence that polymer composites can stand on their own merits. The business must now prove it can deliver consistent growth and profitability without hiding behind tyre division numbers. This independence brings both opportunity and pressure to perform at the same level as the established tyre operations.
Michelin is separating its Polymer Composite Solutions division into its own business unit. This move encourages investors to evaluate the materials business based on its own merits rather than simply applying the same valuation metrics used for tire manufacturing. The company wants the market to recognize that this segment deserves a different assessment approach. Instead of being valued solely through the lens of tire industry standards the polymer and composite materials business should be judged on its unique characteristics and growth potential.
Michelin has traditionally been viewed as a company that depends mainly on car and truck tire sales. Now the business is developing a more visible presence in aerospace healthcare and defense sectors. This expansion could help stabilize company earnings over time. It may also draw interest from a new type of investor who focuses on advanced materials rather than automotive products.
North America becomes a second industrial backbone
Both Cooley and Tex Tech have strong connections to New England’s industrial sector. For Michelin this means more than just additional manufacturing facilities. The acquisition provides a stronger presence in the United States and puts the company closer to important customers in the medical defense and aerospace industries. It also makes it simpler to pursue contracts with government agencies.
Washington wants shorter & more secure supply chains in important industries. High-performance textiles used in defense healthcare & infrastructure match these requirements. Michelin uses these acquisitions to become a dependable supplier with local operations while maintaining its European research and development capabilities. The timing of these moves is significant. American policymakers have been pushing companies to reduce their reliance on distant suppliers for critical materials. Michelin responds to this pressure by expanding its manufacturing presence in the United States through strategic purchases of textile companies. These acquisitions allow Michelin to serve government contracts and private sector clients who need advanced materials. The company can now produce specialized fabrics domestically while leveraging technical expertise from its facilities in Europe. This approach satisfies regulatory requirements for local production without abandoning the innovation centers that Michelin has built over decades. Defense contractors need reliable sources for protective materials and composite fabrics. Healthcare providers require consistent supplies of medical textiles. Infrastructure projects depend on durable materials that can withstand harsh conditions. Michelin now offers all these products from American factories. The strategy makes business sense beyond just meeting government preferences. Shorter supply chains mean faster delivery times and lower transportation costs. Local production also reduces the risk of disruptions from international shipping problems or trade disputes. Companies across multiple sectors value these advantages when choosing their suppliers.
The new US operations work well with Michelin’s current North American tire and materials plants by creating chances to sell multiple products to the same customers. For example one aerospace client could buy cabin materials along with thermal protection fabrics & specialized seals from the same company.
A giant tyre business, but not the whole story
The global tyre market remains massive with industry analysts estimating its current value at approximately $264.7 billion & projecting growth to nearly $394.6 billion by 2030. This expansion stems from increasing car ownership in emerging economies and the transition to electric vehicles that require specialized tyre designs and materials.
Asia produces roughly 60% of the world’s tyres while Europe and the Americas each make up approximately 20% of global production. The industry leaders are Michelin, Bridgestone and Goodyear followed by Continental, Pirelli, Hankook, Yokohama & a number of rapidly growing Asian competitors.
| Rank | Company | Country | Tyre revenue (est. 2025) | Key note |
|---|---|---|---|---|
| 1 | Michelin | France | ≈ €28bn | Global leader, accelerating into composites |
| 2 | Bridgestone | Japan | ≈ €27bn | Strong in Asia and the Americas |
| 3 | Goodyear | US | ≈ €17bn | Major player in fleet services |
| 4 | Continental | Germany | ≈ €12bn | Big in Europe and EV tyres |
The additional €239 million in yearly revenue from Cooley and Tex Tech seems small when you look at the bigger picture. What matters here is not really the size of these deals but what they represent. Each acquisition moves Michelin further away from being simply a tyre manufacturer and closer to becoming a company that works across different materials and mobility sectors.
What this means for risk, growth and technology
Michelin’s strategy helps reduce risk by spreading its business across different economic patterns. Car sales go up and down with the economy and are affected by interest rates. Defense materials and medical textiles work differently because they depend on government budgets that are planned years ahead & on rules that require upgrades over time. Infrastructure membranes follow similar patterns since they are tied to long-term construction projects rather than consumer spending habits. This approach means Michelin is less vulnerable when car sales drop during economic downturns. The company can rely on steadier income from industrial products that governments and hospitals need regardless of whether consumers are buying new vehicles. Defense contracts often span multiple years and medical facilities must maintain certain standards by law. These requirements create more predictable demand compared to the automotive market where people delay purchases when times are tough. The diversification also protects against interest rate changes that make car loans more expensive and reduce vehicle sales. Industrial clients typically have established budgets and procurement schedules that are harder to cancel or postpone. This balance between cyclical and stable revenue sources gives Michelin more financial security across different market conditions.
There are challenges ahead. Bringing together two American companies that have their own distinct cultures and client relationships and research priorities will require considerable time. Michelin needs to preserve the entrepreneurial flexibility that allows smaller technical companies to stay competitive while simultaneously connecting them to its much larger industrial operations.
The technology possibilities here are significant. When engineers create advanced flame-retardant fabrics for aircraft seats they often discover applications in other types of transportation. The same materials that protect passengers in planes could make trains and buses safer too. Chemical-resistant membranes represent another area where aerospace innovation can spread to other industries. These materials were originally designed to handle extreme conditions in space or high-altitude flight. Now they could help create better flexible fuel tanks or hydrogen storage systems for cars & trucks. Heat shield technology from rockets offers lessons that extend beyond space travel. The materials and designs that protect spacecraft during reentry face temperatures that would destroy ordinary materials. Engineers studying these heat shields have found ways to apply similar principles to racing tires and aviation components that must withstand high temperatures. The knowledge gained from protecting rockets can make everyday transportation safer & more efficient. Each of these examples shows how solving problems in aerospace often creates solutions for other fields. The extreme demands of flight and space travel push engineers to develop materials and methods that perform beyond normal limits. Once these technologies exist they frequently find uses in less demanding but still important applications across the transportation sector.
A quick guide to polymer composite solutions
# Polymer Composite Solutions
Polymer composite solutions might sound like a complex technical term at first. However the concept is actually quite straightforward when you break it down. These solutions typically involve combining different materials together to create something stronger and more useful than the individual components alone. Think of it as mixing ingredients to bake a better cake where each ingredient serves a specific purpose.
## What Makes Up These Solutions
At their core polymer composite solutions consist of a few key elements working together. The base material is usually a polymer which is essentially a type of plastic or resin. This polymer acts as the matrix that holds everything together. Common examples include epoxy resins or polyester materials that you might find in everyday products. Then there are reinforcement materials added to the mix. These are often fibers like glass fiber or carbon fiber that provide extra strength and durability. The fibers get embedded within the polymer matrix much like steel rods reinforce concrete in construction. Sometimes manufacturers also add fillers to the combination. These might be particles or powders that help reduce costs or improve certain properties like heat resistance or electrical conductivity.
## Why Combine These Materials
The whole point of creating these composite solutions is to get the best qualities from different materials in one package. Polymers alone might be lightweight and easy to shape but they often lack strength. Fibers provide that missing strength but are difficult to use by themselves. When you combine them you end up with a material that is both light and strong. This combination approach allows engineers and designers to create materials tailored for specific applications. They can adjust the ratios and types of components to meet exact requirements for different projects. The result is a versatile solution that performs better than traditional materials in many situations.
- Polymers such as polyurethane, PVC, silicone or advanced elastomers
- Reinforcements like woven fabrics, nonwovens or fibres (glass, aramid, carbon)
- Processes including coating, lamination, extrusion and moulding
Engineers can adjust the thickness and layering of materials while adding different reinforcements to create products designed for specific purposes. These materials can be watertight while still allowing air to pass through. They can be extremely light but still resist impacts. They can remain flexible in cold temperatures while also standing up to chemical exposure. By changing these basic properties engineers develop materials that meet very particular requirements. The combination of different layers and additives allows for customization based on what the final product needs to do. This approach gives designers the ability to balance competing demands like weight and strength or flexibility and durability.
The company makes a wide range of products including inflatable hospital buildings and flexible storage tanks. It also produces liferafts and protective equipment along with conveyor belts & satellite parts. Michelin views each new product type as a specialized market segment. These segments offer long-term contracts & require advanced technical knowledge. This approach helps the company maintain better profit margins that are less affected by competitive pricing pressure.
Sheets shouldn’t be changed monthly or every two weeks : an expert gives the exact frequency
The group plans to keep acquiring similar high-tech materials companies if the Cooley and Tex Tech integrations work out well. This would create a connected system where tyres represent just one part of a much larger field of science. That science focuses on developing polymers that can withstand the most demanding conditions anywhere in the world.
