With a 62% share of consolidated sales (PY: 64%), the automotive industry – with the exception of the replacement business – was Continental’s most important customer group in fiscal 2024. The Automotive group sector accounted for the lion’s share, but the Tires and ContiTech group sectors also generated significant sales figures in this market segment.
The second-biggest market segment for Continental was the global replacement-tire business for passenger cars and commercial vehicles, with 27% of total sales in fiscal 2024 (PY: 25%). Because passenger cars and light commercial vehicles make up a considerably higher share of the replacement-tire business, their development is particularly important to our economic success.
The third-biggest market segment for Continental was the global business with industrial customers and spare parts from the ContiTech group sector, with around 9% of total sales (PY: 9%).
Continental’s biggest sales region in the reporting year was again Europe, which accounted for 49% of sales (PY: 48%), followed by North America at 26% (PY: 27%) and Asia-Pacific at 21% (PY: 21%).
Development of new passenger-car registrations
In 2024, the number of new passenger-car registrations increased in most major international automotive markets. Regional differences were still evident, however, particularly in terms of new registrations of electric vehicles as government subsidies were reduced or discontinued. The availability of many car models continued to improve year-on-year, while the market launch of new series by manufacturers was pushed back. Geopolitical and macroeconomic uncertainties and high consumer prices led to ongoing subdued demand in many relevant markets.
According to preliminary data from the German Association of the Automotive Industry (Verband der Automobilindustrie, VDA), 13.0 million new vehicles were registered in the European car market (EU27, EFTA and the United Kingdom) in 2024, around 1% more than in the previous year. In Germany, 1% fewer car models were registered in 2024. The USA recorded a slight rise in new vehicle registrations, up by 2%; in Brazil, the rise was significantly higher at 14%. Passenger car sales fell by around 7% in Japan.
In China – the world’s largest car market – the VDA recorded growth in 2024. The number of newly registered vehicles rose by 6% to 23.0 million units, slightly outperforming the Chinese economy as a whole. In India, sales of new vehicles were up 4% to 4.3 million units in 2024.
Development of production of passenger cars and light commercial vehicles
Challenging economic conditions and a lack of predictability in terms of funding structures curbed purchases of cars and light commercial vehicles weighing less than 6 metric tons industry-wide in 2024. Production figures fell as a result, although some new high-volume models were still in the start-up phase. At the same time, certain models were discontinued by traditional manufacturers. Newer brands from Asia and North America benefited from this the most.
According to preliminary data, Europe and North America recorded a 5% and 1% decline, respectively, in the production of passenger cars and light commercial vehicles in the reporting year. China increased its production by 4% in 2024.
According to preliminary figures, global production for 2024 fell by 1% to 89.5 million units.
Development of production of medium and heavy commercial vehicles
The production of medium and heavy commercial vehicles weighing more than 6 metric tons fell year-on-year in our core European market in the reporting period due to the weak economic environment, high inflation and high energy costs. Preliminary figures indicate that production volumes for medium and heavy commercial vehicles fell by 22% year-on-year.
In our other core market of North America, high financing costs and a fall in demand in the reporting year led to a 4% decline in production figures compared with the high level seen in 2023.
Development of replacement-tire markets for passenger cars and light commercial vehicles
After a weak start to 2024, sales in the replacement business improved in Europe from April onward. Demand continued to pick up over the course of the year, partly due to tire dealers reducing their inventories in 2023. Following a strong first quarter, the market in North America performed moderately overall. By contrast, the replacement-tire market in China remained buoyant after a strong year in 2023. The markets trended further upward in the second half of the year – boosted in particular by strong business in Europe on the back of demand for winter tires.
Sales volumes of replacement tires for passenger cars and light commercial vehicles weighing less than 6 metric tons rose by 7% in Europe (excluding Russia) for 2024 as a whole. In North America, demand in the year under review was slightly higher than in the previous year, increasing by 2%. Positive growth was also recorded in China, with a rise of 1%. According to preliminary data, global sales volumes of replacement tires for passenger cars and light commercial vehicles rose by 3% in the reporting year.
Development of replacement-tire markets for medium and heavy commercial vehicles
In our core market of Europe (excluding Russia), preliminary data for 2024 indicates that demand for replacement tires for medium and heavy commercial vehicles weighing more than 6 metric tons was on a par with the previous year. In North America, however, demand rose by 7% year-on-year.
Development of industrial production
In addition to vehicle production and the replacement business for the automotive industry, the development of various other industries is crucial to the success of our ContiTech group sector. ContiTech products are used in particular in equipment, machinery and vehicles for railway transport, mining, agriculture and other key industries. As well as the general development of gross domestic product, the development of industrial production is therefore regarded as an important indicator for ContiTech’s business with industrial customers.
In the reporting period, industrial production in the eurozone continued to be affected by increased costs and the weak economic environment, sliding year-on-year as a whole. In the USA as well, industrial production was down slightly on the prior-year level. China, on the other hand, recorded growth in industrial production compared with the previous year, influenced by economic stimulus packages and other factors.
| Changes to vehicle production, the tire-replacement business and industrial production in 2024 (compared with 2023) | ||||
|---|---|---|---|---|
| Passenger cars and light commercial vehicles | Vehicle production | Tire-replacement business | ||
| Europe | -5% | 7% | ||
| North America | -1% | 2% | ||
| China | 4% | 1% | ||
| Worldwide | -1% | 3% | ||
| Medium and heavy commercial vehicles | Vehicle production | Tire-replacement business | ||
| Europe | -22% | 0% | ||
| North America | -4% | 7% | ||
| Industrial production | ||||
| Eurozone | -2.9% | |||
| USA | -0.3% | |||
| China | 5.4% | |||
Preliminary data.
Sources:
Vehicle production: S&P Global (Europe with Western, Central and Eastern Europe incl. Russia and Türkiye).
Tire-replacement business: LMC International Ltd. (Europe with Western, Central and Eastern Europe (excluding Russia) and Türkiye).
Industrial production: Bloomberg.
