Conti to separate Tires, ContiTech as independent sectors

Hanover, Germany – Continental Group has introduced a new round of restructuring plans which will see the German group strengthening focus on market developments and customer requirements. 

As part of the plan, effective 1 Jan 2022, the Tires and ContiTech business areas will become independent group sectors, said Continental in a 30 Sept statement.

The two business areas are currently consolidated in the Rubber Technologies group sector.

The new group sectors will continue to be led by executive board members Christian Koetz and Philip Nelles.

For the first half, the Tires business reported a 90% rise in earnings to €1.37 billion on 28% higher sales of €5.6 billion. 

ContiTech reported 72% rise in earnings to €395 million, as sales increased 16% to €3.0 billion during the first six months of the year.

Under the new structure, the German group will have three 'group sectors', which will also include the ‘Automotive’ division.

With effect from 1 Jan 2022, the Automotive group sector will consist of five business areas:

•    Safety and Motion 
•    Autonomous Mobility
•    Smart Mobility
•    User Experience
•    Architecture and Networking

“In the future, Continental will be supported by three strong, equally represented and independent group sectors,” said supervisory board chairman Professor Wolfgang Reitzle. 

The move, he said, will accelerate “strategic realignment” and position the German technology group in an “agile, market-oriented and future-oriented manner with respect to the transformation of the mobility industry.” 

Following the restructuring, Continental’s executive board will be reduced in size and will comprise the following five members: 

•    Nikolai Setzer, chairman of the executive board and chairman of the Automotive Board
•    Wolfgang Schaefer, member of the executive board, responsible for finance and controlling, compliance, law and IT 
•    Dr Ariane Reinhart, member of the executive board, responsible for human relations and sustainability 
•    Christian Koetz, member of the executive board, responsible for the future tires group sector and group purchasing 
•    Philip Nelles, member of the executive board, responsible for the future ContiTech group sector