Continental has started construction of its first fully owned tyre distribution centre in the US. The tier one supplier said the $69m facility in the Dallas-Fort-Worth Metroplex in Texas will improve services for customers.
Continental currently serves the US market through seven distribution centres. The company said the choice of Dallas-Forth Worth was based on a comprehensive network study that identified the area as a key distribution hub.
Construction of the new distribution centre started in September this year and it will initially have capacity to store more than 800,000 tyres, with operations set to begin in 2026. The facility will initially span around 70,000 sq.m, with the potential to expand to 116,600 sq.m.
“Designed for future expansion, the new distribution centre will include advanced automation technology and sustainability features, such as solar panels,” said Bill Caldwell, senior vice-president, Continental Passenger Car and Light Truck Tires in the US. “We see the facility as a blueprint initiative for future building designs in respect of automation and renewable energy supply.”
Continental said that its investment in digitalisation and automation across global locations was built on research and development of new technologies, alternative materials, environmentally friendly production and logistics process improvements. It said that by 2050 it aimed to achieve 100% climate neutrality along its entire supply chain.
Continental’s US tyre plants in Illinois, Mississippi and South Carolina have an annual production capacity of more than 16m. The company said it has invested more than $1.5 billion in its American tyre manufacturing operations.
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