Continental announced a strategic shift in its India operations. As part of the new Continental India tire strategy, the company will discontinue its Truck and Bus Radial (TBR) tire business to focus on the growing Passenger Car and Light Truck (PLT) segment. This includes the closure of the TBR production line at its Modipuram plant in Meerut, Uttar Pradesh.
The company said the realignment intends to ensure the long-term sustainability of Continental’s tire operations in India. It follows a detailed business review and aligns with the company’s goal to strengthen its competitive position in the Asia-Pacific region.
Continental India Tire Strategy Rework
Continental will tailor its local product portfolio and manufacturing footprint to support future growth in the PLT premium tire segment. With demand rising in this category, the company said it sees greater opportunity to deliver long-term value.
The decision to exit the TBR segment follows continued challenges in maintaining profitability in a highly competitive and price-sensitive market. Continental has determined that long-term success in India requires greater focus on premium product segments where the brand’s strengths are better aligned.
Support Measures for Impacted Employees
TBR production in India will officially end by June. Continental will provide career counseling, job placement assistance, and offer a voluntary retirement and separation scheme to impacted employees.
The company remains committed to treating its workforce with respect and care throughout the process. It also continues to explore opportunities to support employees in finding roles within or outside the organization.
Despite the changes, India continues to be a critical growth market under the Continental India tire strategy. The company operates sales and distribution headquarters in Faridabad, a PLT tire manufacturing facility in Modipuram, and a new IT hub in Bengaluru.
