LYDNEY, England (Oct. 28)—Watts Industrial Tyres P.L.C., a major European maker of industrial tires, has agreed to solid tires for Continental A.G. at a joint venture plant in Sri Lanka to support Conti's push into the North American and Asian markets.
"This cooperation with Watts will enable us to develop our sales in important markets," said Dieter Saar of Continental, in a joint statement on the agreement.
"We are delighted to be working with Continental, and this agreement will ensure that our new Sri Lankan facility can benefit from the economies of scale that this volume will provide," said Doug Pearson, managing director of Lydney-based Watts Industrial Tyres.
Watts has been sourcing tires from the Sri Lankan unit, Eu-Retec (Pvt) Ltd., for several years and earlier this year acquired half the equity in Eu-Retec.
Watts makes solid tires using both rubber and polyurethane, as well as pneumatic tires, together with wheels, for industrial uses. It has been sourcing solid industrial tires via joint venture agreements in China and Sri Lanka for several years.