Continental’s ContiTech to Close Four German Plants Amid Restructuring Plans

Continental’s ContiTech division has unveiled a significant restructuring plan that includes the closure of four manufacturing plants in Germany, impacting around 580 jobs. The decision, aimed at optimising its industrial focus and adapting to shifting market demands, is set to take effect in 2025.

The closures will affect the following locations:

• Bad Blankenburg (Thuringia) – Conveyor belt production will cease, affecting 185 jobs.
• Stolzenau (Lower Saxony) – The entire plant will shut down, impacting 110 jobs.
• Moers (North Rhine-Westphalia) – This facility will close, affecting 47 jobs.
• Frohburg and Geithain (Saxony) – Toolmaking operations at these sites will be discontinued, affecting 58 jobs.

In addition to the closures, ContiTech will downsize operations at two more locations:

• Hamburg – The company will scale back activities in the Original Equipment Solutions (OESL) business, affecting 53 of 107 jobs.
• Hanover-Vahrenwald – A production line will be relocated to an automotive site, impacting 126 jobs.

Market Pressures and Industrial Shift

Continental cites a persistent decline in demand from key customer sectors, including automotive manufacturing and lignite mining in Europe, as the primary drivers behind these changes. The restructuring efforts are designed to streamline the company’s focus on its industrial business while adapting its product portfolio to evolving market conditions.

A Continental spokesperson stated that the company aims to implement these changes in a socially responsible manner, offering affected employees opportunities to transfer to other parts of the company where possible.

Long-Term Strategy

The restructuring aligns with ContiTech’s broader strategy to shift towards industrial solutions and reduce reliance on declining sectors. The tyre and automotive industries have been facing significant challenges, including supply chain disruptions, changing mobility trends, and environmental regulations, all of which have contributed to reshaping demand for components and materials.

As the company navigates these changes, the focus will be on enhancing operational efficiency and long-term sustainability within its industrial business.

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Q&A

Which ContiTech plants are closing?

Four locations in Germany:

• Bad Blankenburg (Thuringia)
• Stolzenau (Lower Saxony)
• Moers (North Rhine-Westphalia)
• Frohburg & Geithain (Saxony)

How many jobs will be affected?

A total of approximately 580 jobs will be impacted across plant closures and downsizing at other sites.

Why is Continental closing these plants?

The company cites declining demand from the automotive industry and lignite mining as key factors in its restructuring strategy.

What is the timeline for these closures?

The changes are expected to take effect in 2025.

Will affected employees be offered alternative positions?

Continental has stated that it aims to implement these changes in a socially responsible manner, potentially offering alternative employment options within the company.

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