Wennemer: Retreading Is Not Continental’s “Core Business”
Following the news of Bandag’s sale to Bridgestone, Continental AG CEO Manfred Wennemer told journalists that a strategic acquisition of Bandag would have been too expensive and did not fit into the company’s strategy. Speaking to a group of journalists, Wennemer added: “Retreading is not core business for Continental.” While company executives may be trying to distance Continental from the retreading side of the commercial vehicle business, the exact effect Bridgestone’s acquisition will have on Continental’s partnership with Bandag remains to be seen.
During a Central London media briefing, presented by Continental UK commercial product marketing manager, Jill Rodgers, and truck and remould brand manager, Mike Nyren, Nyren stated that Continental research shows pre-cure retreads only make up 25 per cent of the UK retread market. Tyres & Accessories’ research, based on 2005 statistics and published in the June 2006 Retreading Special suggests that the pre-cure share of the market was around 57 per cent.
At the briefing, the day after the news of Bandag’s sale broke, Nyren told Tyres & Accessories that he saw it as an “interesting development” that follows Bridgestone’s active development in the commercial vehicle market.