Continental, a renowned German automotive supplier, has announced the closure of four plants and the downsizing of two others within its ContiTech division. This strategic move is in response to a persistent drop in demand in customer sectors such as the automotive industry and lignite mining, affecting approximately 580 employees.
The closures will take place at the sites in Bad Blankenburg, Stolzenau, Moers, and the dual location in Frohburg and Geithain. Additionally, operations at the Hamburg site will be scaled back, and a production line will be relocated from Hanover-Vahrenwald to an automotive facility.
ContiTech, known for its expertise in rubber, plastic, metal, and textile products and systems, has been undergoing reorganization since early 2024 to focus on expanding its industrial business. The planned closures aim to streamline operations and adjust the product portfolio to meet evolving market demands.
The Bad Blankenburg plant, specializing in conveyor belts for South American markets, will close, impacting 185 jobs. The Stolzenau facility, which manufactures cargo compartment covers and employs 110 people, will also shut down due to market challenges. In Moers, the special conveyor belt business decline will result in the closure of the plant and impact all 47 jobs.
Furthermore, the Geithain and Frohburg locations will close due to a decrease in demand for blow mold tools, affecting 58 jobs. The Hanover-Vahrenwald plant will transfer production of passenger-car air springs to the Czech Republic, impacting 126 jobs. Lastly, in Hamburg, 53 out of 107 jobs at the Original Equipment Solutions (OESL) will be affected as activities are relocated.
ContiTech group sector head and Continental executive board member Philip Nelles emphasized the necessity of these measures to respond to market changes and reposition the company for sustained growth. The company has informed employees at the impacted locations and will begin discussions with local employee representatives.
Continental’s restructuring efforts, including the closure of facilities and job cuts, are part of a larger restructuring plan to adapt to evolving market conditions and ensure long-term economic growth. Despite the challenges, Continental remains committed to navigating the changing landscape of the automotive and mining industries in Europe.
