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February 04, 2016 01:00 AM

Conti confirms plan for commercial tire plant in Miss.

Tire Business Staff
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    JACKSON, Miss. (Feb. 4, 2016) — Continental A.G. is confirming that it intends to build a commercial vehicle tire plant in Mississippi, where the state legislature earlier today approved an economic incentives package valued at more than $275 million.

    Conti declined further comment until Feb. 8, when it expects to make an official statement.

    According to various media reports, the tire plant project would entail an investment of up to $1.45 billion and eventually provide jobs for 2,500 workers.

    Mississippi Gov. Phil Bryant convened an extraordinary session of the Mississippi legislature today to consider measures aimed at supporting an industrial project that would include “certain tire or other rubber or automotive manufacturing plants….”

    The session considered a litany of suggested amendments to Mississippi Code of 1972 — also known as the Mississippi Major Economic Impact Act — to provide for financial assistance and/or tax breaks for an industrial project of this nature.

    The site in question is in western Hinds County near the community of Bolton, about 20 miles west of Jackson along I-20. Media reports put the size of the site at more than 900 acres.

    This would be the German tire maker's third tire plant in the U.S. and second with commercial vehicle tire capacity.

    Google Maps image

    The site targeted for the new Continental tire plant in Mississippi is reported to be near Bolton, about 20 miles west of Jackson.

    Conti makes truck tires at a plant complex in Mount Vernon, Ill., where it only recently completed work on a five-year, $224 million investment to raise capacity, including output of wide-base single truck tires.

    Conti also is in the midst of a $500 million expansion at its 2-year-old car and light truck tire plant in Sumter, S.C., where capacity will double by 2021 to 8 million units a year.

    Conti did not specify what types of tires would be made at the Mississippi plant, other than “commercial vehicle.”

    The company only recently disclosed that it would begin selling OTR and farm tires in North America as part of a global effort to expand sales in those product areas.

    The plant would be the third in Mississippi. Cooper Tire & Rubber Co. has a passenger/light truck tire plant in Tupelo, which has been in operation since 1984.

    Yokohama Tire Corp. opened a truck/bus tire plant in West Point last year.

     

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    Miss. plant needed to support CV tire demand growth — Conti
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