HANOVER, Germany—Continental and project developer Bertram Projektmanagement GmbH held a groundbreaking ceremony for a new distribution center near the Hanover airport.
Bertram Projektmanagement is investing around $48 million into the facility and outdoor areas of the approximately 861,000-sq.-ft. site. Continental is investing more than $12 million in machinery and equipment.
As a partner in the business park project, Continental will use the center to support ContiTech's supply of drive belts and surface materials for the automotive industry across Europe.
Growth in the automotive original equipment and replacement business has created a need to expand existing infrastructure, according to Philip Nelles, head of ContiTech's Hanover-Vahrenwald production plant.
"The state-of-the-art distribution center in Langenhagen offers everything we need to ensure that we are optimally equipped to manage the dynamic vehicle parts business," Nelles said in a statement about the ground-breaking ceremony.
As previously announced, ContiTech expects the "cutting-edge" distribution center to be completed by the end of this year.