Continental has started the production and distribution of radial truck tyres in the Indian market. With an initial annual production capacity of 220,000 radial truck tyres, a dealer network of more than 1,400 outlets and sales and customer service teams in more than 70 cities across India, Continental has taken the next step in expanding its reach in India after acquiring Indian tyre manufacturer Modi in 2011. “India is the second largest market for truck tyres in the Asia-Pacific region (APAC) and we strongly believe that our premium technology products, manufactured locally and distributed through our Indian market organization, will make Continental a preferred partner in the tyre replacement and original equipment business,” said Dr. Andreas Esser, Head of the Commercial Vehicle Tires business at Continental. With Continental’s strategy accounting for investment in a local production facility, the launch of truck radials in India point at the German tier supplier’s move to diversify the global manufacturing footprint and expand business in growing markets such as India. Continental has invested heavily into the construction of a new production building apart from the machinery for making radial tyres. Continental also brought experienced staff from some of its other international production sites to India in an effort to train the local staff on the new machinery and production techniques. More than 100 local employees were sent abroad to the international production sites in Germany, Romania, China and Malaysia for comprehensive training in radial tyre production and technology. The Indian truck tyre replacement market is pegged at a little over 14 million units per year. Of these, 4 million units are radial tyres. Other 10 million are bias tyres. Over the last five years, the market has not only grown by approximately 24per cent, it has also marked a big shift towards radial tyres.
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