U.S. Navy renews key Michelin global tire supply contract

Jan. 1, 2020
Exercising a second five-year option, the U.S. Navy has extended its tire supply contract with Michelin.
Exercising a second five-year option, the U.S. Navy has extended its tire supply contract with Michelin.

The contract, which began in January of 2000, involves supplying all of the Navy’s aviation tires around the world, including deployed aircraft carriers.

“It’s an honor to have this opportunity to serve our men and women in uniform,” says Brett Carnes, director of military sales for the Michelin Aircraft Tire Co., Inc.

“Our goal is to make sure they have the support they need to carry out their duties, both here and abroad,” he adds. “We appreciate the indispensable help of our logistics partner Lockheed Martin in carrying out this mission.”

Michelin’s management of the Navy’s tire performance-based logistics (PBL) program has eliminated backorders, reduced the Navy wholesale tire inventory and reduced retail allowances by two-thirds, worth nearly $2 million, according to Carnes. Michelin has also reduced logistics response times, resulting in 99 percent on-time delivery anywhere in the world in four days or less, he reports.

Michelin also has a similar contract with the Defense Logistics Agency, known as the Aircraft Tire Privatization (ATPI), to supply aircraft tires to the U.S. Air force, the U.S. Army and several allied foreign militaries.

ATPI is about two and one-half times larger than the Navy’s program in terms of tire volumes, says Carnes, and Michelin still maintains a global on-time delivery rate of 98.7 percent.

For more information, visit www.airmichelin.com.

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