Continental to Close Hanover and Clairoix Tyre Plants
Continental AG has opted to end production at its Hanover, Germany (truck tyre) and Clairoix (passenger car) production plants. Some 1900 employees at the two plants will be affected (780 in Hanover and 1120 in Clairoix). Truck tyre production at the company’s Puchov, Slovakia, (Continental Matador Rubber) will also be cut by 20 per cent.
Describing the current OE and replacement market trends as “steadfastly dire” a Continental statement explained that the company is basing the production cuts on the prediction that the market will not recover enough in the short or medium-term future to utilise existing production levels. Officials explained that the lack of demand has resulted in overcapacities of 15 million passenger and 1.7 million commercial vehicle tyres. The planned cuts focus on the Hanover and Clairoix plants, the statement added.