The investment will be used to transform the site into the Michelin Scotland Innovation Parc (MSIP) over the next 10 years. MSIP is a joint venture between Dundee City Council, Scottish Enterprise and Michelin.
The joint funding commitment comes a year after it was announced the Michelin plant would close in June 2020. The alliance to transform the site was set up in December 2018.
The Parc will be a centre for innovation and skills, with industry and academia working together with a focus on sustainable mobility, clean transport and low-carbon energy. It will include an innovation hub that will offer office space and business and innovation support services.
Scotland’s finance secretary Derek Mackay said: “I will be in Dundee tomorrow to meet workers from Michelin and to attend the Michelin Dundee Action Group. This joint funding commitment from the Scottish government and Michelin demonstrates our shared determination to transform the site to be a global destination for innovation and investment.
“MSIP will attract companies, research institutions and a highly skilled workforce. We want Scotland to lead the way in developing and manufacturing the technologies of the future and MSIP will be vital in helping us achieve this.”
Leader of Dundee City Council John Alexander said: “These announcements are testament to the hard work done by all the partners over the past year. We share a determination to deliver a vibrant long-term future for the Baldovie site, built around sustainable mobility and low carbon energy, and that vision is becoming a reality.
“With the funding agreed, work about to start on-site and a fantastic brand we can sell to the world, everything is in place to create something really special here in Dundee. There will be no let-up in our efforts to attract investment and create employment, and I look forward to welcoming tenants to this world-leading facility.”
Michelin Scotland Innovation Parc Chief Executive John Reid said: “This funding marks a significant milestone and allows us to move ahead with the construction of the Innovation Hub, the Skills Academy and the other works to prepare the site for its new companies.
“It will allow us to develop a vibrant site with a long-lasting benefit for Dundee and Scotland, as well as being a key part of Scotland’s response to the global climate emergency.