Continental is extending its sustainability project in Indonesia’s West Kalimantan region, in collaboration with Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH and co-funding from Germany’s Federal Ministry for Economic Cooperation and Development (BMZ). The initiative focuses on training smallholders to produce natural rubber under defined sustainability criteria, with the goal of improving both environmental outcomes and farmer livelihoods.
Launched in 2018, the programme has already supported approximately 5,000 smallholders. Over the next three years, it will expand to reach an additional 1,000 farmers, embedding knowledge of sustainable agricultural practices and introducing traceability tools to improve transparency across the supply chain.
The project is located in Kapuas Hulu – a region that includes a UNESCO biosphere reserve. By preserving peatlands and forests, while promoting deforestation-free rubber cultivation, the initiative aligns with evolving European Union regulations and corporate sustainability ambitions.
According to Continental, the programme has increased participating smallholders’ income by an average of 27% since its inception. The initiative supports better rubber quality and yield through hands-on training in sustainable farming methods.
In parallel, the use of a digital traceability system allows natural rubber to be tracked from tree to factory. This technology underpins Continental’s broader goal of creating a deforestation-free and socially responsible supply chain.
The responsibly sourced rubber is not limited to Continental's own use—it is also made available to other manufacturers, signalling a shift towards more open, collaborative models in sustainable procurement.
Continental has publicly stated its ambition to achieve 100% responsibly sourced natural rubber by 2030, with a broader target of fully sustainable supply chains by 2050. The company’s sourcing policy outlines clear expectations for suppliers, focusing on social, environmental and human rights criteria.
As a member of the Global Platform for Sustainable Natural Rubber (GPSNR), Continental is actively shaping the industry’s response to sustainability challenges. The platform, which brings together stakeholders across the tyre value chain, has developed global guidelines that inform this and other localised initiatives.
This project reflects a growing industry trend towards supply chain traceability, particularly in high-impact raw materials like natural rubber. As environmental and human rights regulations tighten, tyre manufacturers are investing in long-term, locally grounded initiatives to secure responsible inputs. Continental’s model illustrates how digital tools, cross-sector partnerships, and farmer training can collectively support more sustainable tyre manufacturing. The focus on smallholders also aligns with broader ESG reporting requirements and stakeholder expectations for corporate transparency.
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