CEVA awarded Continental contract

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CEVA Logistics has been awarded a new contract to provide UK warehousing and transportation services to Continental, a tyre manufacturer and distributor.

Under the new five-year contract, worth more than $50 million, CEVA will manage Continental’s 21,000 square metre warehouse at Central Park, Rugby, which will involve receiving product, storage, and dispatch activity of around three million tyres each year.

CEVA will also manage Continental’s UK transport requirements, which is backed by a dedicated CEVA fleet as well as a network of regional partners.

CEVA’s managing director for UK, Ireland and Nordics, Michael O’Donoghue, explains: “I’m absolutely thrilled to announce this new agreement with Continental. The team has designed a truly excellent collaborative solution, which will deliver greater efficiency fuelled by our unyielding commitment to continuous improvement.

“With the clear similarities in our operating cultures and with the hybrid management operating model in place, I’m extremely confident that the operation will realize its full potential in the very near future.”

Continental supply chain director, Stewart Jackson, says: “We were also impressed with the ingenuity CEVA showed with regards to it storage strategies and transport management systems. With these aspects in mind, we are delighted to be partnering with CEVA in such a collaborative manner and look forward to recognizing the benefits that this will bring to our overall supply chain performance.”

This announcement builds on the launch of CEVA’s TireCity in Italy. Announced in June, the hub, which covers an area of 50,000 square metres, is strategically located in Somaglia, in the province of Lodi, and is fully dedicated to the warehousing, handling and cross docking of products in the tire market.