Continental to exit agricultural tyre business by end of 2025
Continental’s decision to withdraw from agricultural tyres will reshape supply chains and force farmers and dealers to reconsider long-term plans.
GLOBAL – Continental AG has confirmed that it will stop producing agricultural tyres by December 2025. The company, one of the largest tyre manufacturers worldwide, said the decision reflects a shift in its Commercial Specialty Tires (CST) division.
In a statement, the company explained that it will no longer compete in the agricultural tyre market because of high costs and intense competition. Instead, it will focus on tyre segments that it believes carry stronger growth potential.
These include material handling tyres for forklifts and logistics equipment, earthmoving tyres for construction and mining, and port tyres for cargo handling.
“This step allows us to redirect resources toward areas where demand is growing faster and margins are more sustainable,” a Continental spokesperson said.
By concentrating on those sectors, the company aims to improve profitability and secure a stronger market position in industries where customers place higher value on durability and performance.
Impact on farmers and dealers
The decision affects well-known tyre lines such as TractorMaster, Tractor70, Tractor85, CombineMaster, and CompactMaster. Continental confirmed that some multi-purpose tyres will remain in production since they serve multiple industries.
Although the agricultural tyre line will be phased out, Continental said it will meet all current supply contracts until the end of 2025.
The company also promised to provide warranty coverage for tyres already sold and to continue technical support for dealers.
“Farmers can expect supply continuity for the next harvest cycles, and our dealer partners will receive support during this transition period,” the company said.
Industry reactions
Industry experts point out that Continental’s withdrawal highlights the wider challenges in the agricultural tyre sector. Rising raw material and energy costs, coupled with heavy competition from players like Michelin, Trelleborg, and BKT, have created a difficult environment for manufacturers.
“This exit will likely push farmers to diversify their suppliers,” said Joseph Mwangi, an agricultural machinery dealer based in Nairobi. “Farmers want assurance that the tyres they buy today will have long-term support.”
The impact will differ across regions. In Europe, equipment manufacturers may quickly shift orders to competitors. In Africa, where access to durable and affordable tyres is critical, dealers will likely face supply chain adjustments as they replace Continental products with other brands.
A wider trend in agribusiness
Continental’s move reflects a broader trend of companies reassessing their role in agriculture. Earlier in 2024, Bridgestone scaled down its farm tyre presence in some Asian markets for similar reasons, while other firms have invested heavily in specialised tyres with advanced technology.
For farmers and dealers, the lesson is clear. Long-term reliability of tyre support has become as important as immediate performance and price.
As Continental steps away, other tyre makers may step in to fill the gap, opening space for stronger competition and potentially new investments in underserved markets.
Continental’s decision shows how even established companies must balance costs and customer demand in a global market that is becoming harder to predict.
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