“We have never experienced such strong pressure,” Jean-Dominique Senard told a shareholder meeting at which his nomination as successor to Michel Rollier as CEO was approved.

Senard also said Michelin’s 2011 operating result would increase and reiterated long-term targets set out in October, including for operating profit before non-recurring items to be clearly above 2 billion euros ($2.8 billion) by 2015.

“This year, raw material rises will have a 1.8 billion euro impact on our accounts,” Senard told the shareholders’ meeting in Clermont-Ferrand, central France, where Michelin has its headquarters.

Senard, who will take over from Rollier on the latter’s so-far unspecified retirement date, told shareholders the danger was not a supply squeeze, thanks to new production due to come into operation, but price volatility was a worry.

Rollier told the meeting Senard had “extensive experience of management, real industrial skills, and a high level of knowledge of international circles, which will be very much appreciated.”

Rollier said that in the years the two have worked closely together, Senard had also demonstrated his ability to manage operations and his leadership skills.

Michelin pledged in April to hike prices further to offset raw material costs. It said that over the next nine months it would increase prices to cover 400 million euros of 2011 cost headwinds, adding to previous increases covering 1.4 billion.

Earlier this month, Michelin announced truck tire price rises to help offset rising costs.

Rubber prices remain high despite recent falls from record levels.

Physical rubber prices have dropped more than 20 percent since hitting a record $6.40 per kilogram in February, driven by selling on the Tokyo Commodity Exchange and worries about a drop in demand from China.

In May 2010, physical rubber prices were around $3 per kilo.