ContiTech buys Chinese conveyor belt maker

Northeim, Germany - The ContiTech Conveyor Belt Group, has agreed to buy the conveyor belt operations of Tianjin Xinbinhai Conveyor Belt Co., Ltd., Tianjin. The relevant agreements were signed in China on 18 Oct, according to a press release from ContiTech.

The Chinese firm has a workforce of around 200 at its plant in Tianjin, a port city about 120 km southeast of Beijing, and produces industrial conveyor belts, mainly for metal and cement processing, the release said.

"This move gives us a new market in an up-and-coming region and strengthens ContiTech's position in China," says Hans-Jürgen Duensing, general manager of the ContiTech Conveyor Belt Group, in the announcement. “Now we can supply the Chinese market with products made right in the country.” Both sides have agreed not to disclose the purchase price.

ContiTech emphasises that it has been active in China for 30 years. It currently produces hose line systems, vibration components, air springs, surface materials, conveyor belts, drive belts and coated fabrics locally at nine modern production plants and is thus able to very successfully serve the needs of carmakers, machine and plant engineering and construction, mining, the printing industry, and rail transportation. ContiTech presently has 1800 employees in China.

ContiTech holds a global market leadership position for many non-tyre rubber products and is a specialist in plastics technology in the non-tyre rubber sector. The division develops and produces functional parts, components and systems for the automotive industry and other important industries. The division has around 25 000 employees. In 2009, it achieved sales of about €2.4 billion ($3.3 billion).

With global sales of about €20 billion in 2009, Continental is among the leading automotive suppliers worldwide. As a supplier of brake systems, systems and components for powertrains and chassis, instrumentation, infotainment solutions, vehicle electronics, tires and technical elastomers, Continental contributes to enhanced driving safety and global climate protection. Continental is also a competent partner in networked automobile communication. Continental currently employs approximately 143,000 in 46 countries.

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