SUMTER, S.C. — Continental Tire the Americas (CTA) has announced it will build an all-new tire plant in Sumter, S.C., to meet growing demand from both the retail level and automotive manufacturers.
The first phase of production capacity at the plant is expected to be nearly 5 million passenger and light truck tires when the plant reaches full production levels in 2017. A second phase in the announced project is expected to bring the plant’s capacity to 8 million units per year by 2021. Altogether, those initial phases of the project involve an investment of more than $500 million and the creation of more than 1,600 jobs.
"This important announcement is part of Continental’s growth strategy worldwide and, especially in this case, for the U.S. market," said Nikolai Setzer, member of Continental’s executive board and head of Continental’s global tire business.
"Increasing demand for Continental and General brand passenger and light truck tires in the U.S., as well as the improved business results for CTA, has made this significant investment possible. On behalf of the 160,000 employees of Continental worldwide, I would like to offer our sincere thanks to Gov. Haley, the state of South Carolina, the Port Authority, the city of Sumter and Sumter County."
CTA’s business growth is highlighted by an annual growth rate of 20 percent in volume for the passenger and light truck tire business in the Americas region in the past two years.
In addition to the plant, Continental has announced an investment of more than $4 million in its Lancaster County, S.C., headquarters to help meet the needs of its growing workforce. The company expects to add 1,700 jobs.
CTA’s headquarters in Lancaster County is home to more than 350 employees. The building opened in 2009. Due to the significant growth in the CTA business, Continental says it has been hiring additional employees at a steady pace. The investment will provide for a 16,000-square-foot addition, bringing the total size of the building to 91,000 square feet. The investment also includes the creation of 80 new jobs over the next four years.
State, local and federal programs will provide financial assistance that is instrumental in bringing this project to the United States and to Sumter. The next step in moving the project forward will be entering into definitive agreements for these programs.
Continental expects to begin construction of the plant in mid-2012 and complete the facility in 2013.
