Continental embarks upon upgrade of Mexican retread tire plant

Citing overwhelming customer demand, the ContiLifeCycle plant expansion is set to happen a year earlier than anticipated, according to Paul Williams, executive vice president for truck tires.

Speaking before a crowd of more than 150 dealers from throughout the U.S. and Canada, Williams reported that the investment includes a capacity increase by adding an additional curing and finishing line and doubles the size of the manufacturing facility to allow for additional space for both raw materials and work-in-progress. The plant, opened in May of last year, will have a footprint of more than 4,000 square meters.

Production of Continental’s ContiTread flat treads has been tripled, he says.

“This expansion allows us to accommodate the growing need for retreaded truck tires in our current markets and to comfortably expand as we reach even further across the Americas,” Williams notes.

“The result is that Continental now has the ability to cap more than 1.2 million truck tires annually with our ContiTreads. An additional expansion has already been planned for 2014, which involves yet another curing and finishing line to be installed,” he says.

Williams attributes the “skyrocketing growth” of ContiLifeCycle to the need for fleets to have an “economical lifetime truck tire solution” and also to the high level of interest from dealers in each country.

“It’s been absolutely phenomenal, how many dealers are approaching us and wanting to be a part of this new business for Continental,” he says.

“We know that the ContiLifeCycle has a lot to offer as far as independence for retreaders, excellent products and great support,” Williams continues.

“Since we’re already expanding, dealers can be confident that we will be able to meet their needs with a reliable supply of tread rubber and related materials. These things put together are a very attractive combination that we know many dealers are interested in adopting,” he says.

The company is currently offering 14 ContiTread tread patterns in various widths and depths, and the lineup continues to expand, says ContiLifeCycle manager John Barnes.

“The new truck tires we release beginning in 2012 will be evaluated for production as ContiTreads,” he explains.

“The majority of these product launches will immediately include a retread component with the same pattern as the new tire and performance just like it as well,” Barnes points out. “So this year marks the beginning of our seamless transition from new products just available to the market to ContiTreads as well, making even greater availability of a true lifetime product.”

The gathering of dealers also included the introduction of Continental’s “Solutions for your Business” meeting concept, which involves “a multitude of tools and seminars to help dealers navigate the fluid business climate of the 21st century and the tire industry.”

In addition to commercial vehicle tires and services, representatives of other key commercial truck component divisions of the company showcased their product lines. Executives of the firm’s passenger car and light truck tire units, suppliers and representatives from the Uvalde Proving Grounds in Texas also participated.

Marketing director Clif Armstrong says the goal is to provide dealers a complete 360- degree view of the company’s products and services.

“Continental, as one of the leading automotive suppliers worldwide, has the potential to touch or develop almost any part of a commercial truck,” Armstrong asserts.

“Tires are just a part of our global family that also includes telematics, sensors, navigation systems, brakes and much more,” he says, adding that “we’re showing dealers how Continental is a true partner for their business, providing them with some valuable business-building tools as well as our latest news regarding Continental and General commercial truck tires.”

The keynote speaker at the event, demographer Ken Gronbach, is the best- selling author of “The Age Curve: How to Profit from the Coming Demographic Storm” and “Decades of Differences, Making it Work,” a comprehensive guide to coping with three generations in the workforce. The company asked Gronbach to speak at the meeting to discuss how dealers can position their businesses for success “by knowing what’s next for their workforce and the American economy.”

“This is an exciting meeting, and these are exciting times to be a part of Continental truck tires,” Williams says. “In 2012 we’ll be offering many things that our dealers and fleet customers have never seen before. From our investment in the ContiLifeCycle plant to the products and strategies seen here at this meeting, Continental is going to be the truck tire company to watch in 2012,” he predicts.

For more information, visit www.continental- truck.com.