Continental to divest ContiTech, focus on tires

Hanover, Germany – Continental AG’s executive board has decided to make ContiTech an independent entity in the course of 2026, with the parent company focusing solely on its tire business.

The German manufacturer will enter a “preparatory phase” to analyse potential transaction structures and develop an implementation timeline, Continental announced on 8 April.

As things stand, Continental said it considers the sale of ContiTech to be "the most likely option."

This would take place after the spin-off of Continental's Automotive group sector (ERJ report) and the planned sale of ContiTech’s Original Equipment Solutions (OESL) business (ERJ report).

As a result, ContiTech will operate independently as "a material solutions specialist with a strong industrial focus."

Continental AG will therefore become "a global company focused on tires."

In a last step, the still overarching holding functions will then be transferred to Continental AG.

Over the past three decades, “Continental has used targeted acquisitions and organic growth to build up three strong group sectors in their respective industries,” said CEO Nikolai Setzer.

These group sectors – Automotive, Tires and ContiTech – are now ready for independence, he added.

“We are creating three strong, independent champions that will achieve their full growth and value creation potential as independent companies,” Setzer said in Hanover.

With the restructuring, Continental’s executive board will also be adjusted, though Setzer will remain CEO.

Dr Ariane Reinhart, executive board member for HR and sustainability and director of labour relations, will step down from her position on 30 June.

Ulrike Hintze will be appointed as director of labour relations and executive board member for HR effective 1 July.

She will continue to manage the HR function in the Tires group sector at the same time.

Setzer will take over responsibility for sustainability from Reinhart in addition to his responsibility for IT and communications.

Continental's Tires group sector generated sales of €13.9 billion in 2024 with a workforce of more than 57,000.

The division produces a range of car, truck, bus, two-wheel and speciality tires as well as smart solutions and services for fleets and tire retailers.

ContiTech has around 39,000 employees and recorded sales of €6.4 billion in 2024 .

The unit is specialised in material solutions with a clear industrial focus. The group sector’s core industries currently comprise off-highway mobility, mining, construction and home, energy management and automotive.