@ContiTech closing Cosmoflex plant; expanding PVC hose plant(18/05/2560)

18 May 2017
107 times

ContiTech, a division of German automotive manufacturing company Continental and a specialist in rubber and plastics technology, has announced the closing of its Cosmoflex plant in Hannibal, Missouri in the US by the end of the year. The company also announced the expansion of the manufacturing capabilities and production capacities of its PVC hose business. In line with this, ContiTech is moving the PVC hose business into a new state-of-the-art competence centre at its upgraded plant in Mount Pleasant, Iowa, to modernise the industry hose production. Around 45 jobs will be affected by the closing of the Cosmoflex plant. The company said the affected employees will be given options including applying to transfer to Mount Pleasant or stay on at Hannibal and take a severance package upon its closure. ContiTech said the move is part of its plan to invest in new technology and increase efficiency. “Our primary goal is to become one of the leaders in technology and efficiency,” said Andreas Gerstenberger, global head of Continental’s industrial fluid solutions business unit. “The expansion in Mt. Pleasant allows us to drive synergies and combine technologies in both PVC and rubber hose operations under one roof. It culminates a comprehensive and strategic plan to increase our long-length and PVC hose capacity in North America by more than 20%. The leap in production technology gives us the bandwidth, capacity and ongoing support to better serve our customers’ needs,” Gerstenberger added. It was reported in April that ContiTech will add 36,000 sqft to its Mount Pleasant location as part of a US$12 million project.In 2016, Continental already invested approximately US$8 million into a brick-and-mortar expansion project at its rubber hose operations in Mount Pleasant. ContiTech has also announced a US$7.2 million expansion of its industrial hose plant in Mount Pleasant, Iowa, responding to the increasing demand for industrial hoses in the NAFTA region. Source: rubberjournalasia (17/05/2017)

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