The Continental truck and bus tire factory in Otrokovice, Czech Republic will be significantly expanded, the tiremaker announced today. A total of €165 million will be invested over a period of five years to ultimately double truck and bus radial production capacity at plant to close on 1.5 million units per annum. More than 300 new jobs will be created throughout all production areas.
“The expansion of our truck and bus tire manufacturing footprint in Otrokovice is a strategic step focusing on long-term market growth,” stated Dr. Andreas Esser, head of Continental’s Commercial Vehicle Tires business unit. “The plant will not only continue to serve Europe, Middle East and Africa; we will develop Otrokovice also into a production hub for The Americas and Russia.”
“In addition to the further build-up of production capacity, we will also benefit from the synergies of being in the same location with our largest passenger and light truck tire production site worldwide,” added Thierry Wipff, Continental’s head of manufacturing, Commercial Vehicle Tires. “Logistics, technological competence and experience in up-scaling production are already in place. This additional capacity will give us more flexibility especially in regard to the product portfolio, and it gives us a chance to supply markets in Americas and Russia. We can flexibly adjust the ultimate timing of the stepwise capacity increase and corresponding invest to the market development and the demand for our truck and bus tires.”
Earlier this year, Continental announced plans to invest US$95 million into its North American truck and bus tire production in Mount Vernon, USA, and €100 million into its largest European truck and bus tire production in Puchov, Slovakia over the coming years. “While our Puchov project is mainly targeting on mid-term growth in the evolving markets of Eastern Europe, Middle East and Africa, the Otrokovice invest is a strategic step based on long-term market growth,” Esser explained.
Exactly one year ago, Continental’s plant in Otrokovice celebrated “20-40-80” – the twentieth anniversary of Continental operations in Otrokovice, 40 years of production at the current location, and 80 years of tire production in the Otrokovice region. With a current annual production capacity of 700,000 truck and bus tires and 21 million passenger and light truck tires, Otrokovice is home to Continental’s largest tire production site in the world. (Tyres & Accessories)
