HANOVER, Germany-To help improve profitability, Continental AG plans to close of one of its 12 passenger tire plants in Europe this year, according to Chairman Hubertus von Grunberg. While the site to be closed has not been publicly identified, speculation has focused on four Conti Group plants Mr. von Grunberg singled out earlier as having unreasonably high production costs: Semperit AG's facilities in Traiskirchen, Austria, and Dublin, Ireland; Uniroyal-Englebert SA's factory in Newbridge, Scotland; and Conti's Hanover-Stocken plant.
Pneumant to focus on car tires
HANAU, Germany-Pneumant Reifen & Gummi Werke GmbH, once the primary source for all types of tires in the former East Germany, will become a car tire manufacturing specialist, under the direction of its new owner, SP Reifenwerke GmbH, a Sumitomo Rubber Industries Ltd. subsidiary.
SP Reifen intends to spend up to $35 million over two years to transform Pneumant's Furstenwalde plant into a car-tire-only production site, phasing out truck, farm and off-road tires. The plants' truck tire capacity will be transferred to SP Reifen's plant in Wittlich, Germany.