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Michelin denies abusing market position in France

Tire maker Michelin said its behavior was “impeccable” and it did not dominate the French market after a report said the competition council was probing possible abuse of its position.

French daily Le Figaro said the Ministry of Finance had sent a case to the competition council.

“We have not heard of any new dispute. We believe our business policy is impeccable. Michelin has an important market position in France, but not a dominant one,” a Michelin spokeswoman said.

Michelin informed its distributors at the end of 2007 that it would cut commercial advantages to those linked directly or indirectly to a rival tire maker, the paper said.

Le Figaro said tire distributor Vulco, which is linked to Michelin's US rival Goodyear, complained to the General Directorate for Fair Trading, Consumer Affairs and Fraud Control (DGCCRF), a unit of the Ministry of Finance.

The Ministry of Finance had no immediate comment. (Reuters)