Continental Tire plans to ramp up Off-the-road (OTR) Vehicle Tire

Panama: Continental Tire the Americas L.L.C. plans to launch extended off-the-road (OTR) and agricultural tire range in North America region. According to the “Federico Jimenez” continental America commercial Specialty Tire (CST) business unit manager, the company has been planning to launch OTR and agricultural tire in North America region from 1^st August 2016.

Continental & Titan International Inc. are poised to jointly introduce the off-the-road (OTR) and agricultural tire in North America region, under a 10-year general-brand licensing agreement. Continental has been planning to expand its OTR tire portfolio and company is set to launch more products in this year at MINExpo 2016, scheduled during September 26-28 in Las Vegas, said Mr. Jimenez.

Continental tire has dedicated factories in Malaysia, Romania and South Africa for off-the-road vehicle tire production and has recently disclosed plans to invest USD56 million at its plant Lousada, Portugal, for radial agricultural tires.

According to a recent report published by TechSci Research, “Global OTR Tire Market By Vehicle Type (Mining, Construction and Industrial Equipment, Agriculture Vehicles, and Others), By Demand Category (OEM Vs. Replacement), By Region, Competition Forecast and Opportunities, 2011 – 2021”, Global OTR tire market is projected to grow at a CAGR of 8% during 2016-2021. On the basis of vehicle type, the market has been segmented into three categories - Mining, Construction & Industrial Equipment; Agriculture Vehicles; and Others. Among these categories, Mining, Construction & Industrial Equipment segment dominated the global OTR tire market during 2011-2015, and the segment in anticipated to maintain its dominance during the forecast period as well on account of growing construction, industrial and infrastructure activities across the globe and more specifically in major developing countries. As of 2015, there were over 200 OTR tire manufacturing facilities across the globe, with more than 50% plants in Asia-Pacific region. As a result, Asia-Pacific region dominated the global OTR tire market in 2015.

As per TechSci Research, launch of Continental new OTR tire in North America market, has expanded Company portfolio in global OTR tire market. Introduction of new OTR product range, would eventually lead to increase the market share of the company, in the overall Global off-the-road (OTR) vehicle tire market.