French tyre maker Michelin reported a 3.4% decline in sales in the first half of the year, with sales falling to 13.03 billion euros. The company confirmed its full-year guidance, despite facing U.S. tariffs imposed by President Donald Trump.

Michelin’s business is suffering from a slowdown in the automotive market, especially in Europe. The company recorded a 6.1% drop in volumes, with U.S. tariffs impacting around 65 million euros in the first half and expected to reach 200 million euros for the full year.

Chief Financial Officer Yves Chapot noted that the company’s results were negatively affected by lower volumes in original equipment sales. Michelin is looking to accelerate investments in the United States to mitigate the impact of tariffs, with 70% of sales in the U.S. being locally produced.

Read more at Yahoo Finance: Michelin posts H1 sales in line with market forecasts