By Denna Bowman
Continental has officially opened its first tyres plant in China in a bid to strengthen its position in the key market.
The tyres manufacturer is also keen to expand its strategic growth in Asia with the building of the milestone tyre plant in Hefei, in the Anhui province.
Dr. Elmar Degenhart, CEO of the Continental Corporation, said: “Asia is one of our key growth markets. This investment is another major step into this direction, with which we are significantly enhancing our position in the automotive industry in China and in the Asia Pacific region.”
From 2012 onwards, nearly every second car worldwide will be manufactured in Asia, and China will the growth leader.
Continental is aiming to have an over-proportional growth in China and has expanded its presence in 18 production locations, 15 sales offices, representing a workforce of approximately 14,000 in the country.
The new high technology facility will have an annual production capacity of four million passenger tyres, which will be sold in the local Chinese and Asian market.
Nikolai Setzer, Executive Board member responsible for the Passenger Car and Light Truck Tires division, added: “Continental’s tyres business has been globally growing substantially for the past years in both segments, passenger and light truck tyres as well as commercial vehicle tyres.
“The opening of our manufacturing plant in Hefei is a key milestone on our journey to enhancing strategic growth and further increasing our presence in China and overall in Asia.”