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Horizon Addis Tyre S.C. is committed to produce best quality tyres by meeting customer’s as well as applicable statutory and regulatory requirement. The production of tyres in Ethiopia goes back to 1973, when Addis Tyre S.C. (ATC) the first of its kind in the country, was established with a yearly production capacity of 60,000 tyres and a total labor force of 260 people. Major inputs and raw materials for tyre manufacturing are imported from Malaysia, India, China, Indonesia, Egypt and Europe.
Natural Rubber is one of the major inputs. Among those imported raw materials, the price of natural rubber is constantly growing. After subsequent joint venture formation between Addis Tyre S.C. (Government Owned) and the Slovakian renowned tyre manufacturer, MATADOR –A.S. was established in June 2004 and the operation commenced in July 2004 with the hybrid trade name MATADOR-Addis Tyre S.C. However, due to shift in Business focus, MATADOR-Addis Tyre S.C. transferred its share to Continental AG on October 23, 2007. Continental AG, the world known German tyre manufacturer company with about 23% world tyre market share, has bought all Matador holding companies in Slovakia, Russia and Ethiopia.
The product types that are made by Horizon Addis Tyre Manufacturing are tyres, tubes and flaps for passenger cars, light truck cars, trucks and bus, farm, industrial and construction machineries, Military vehicles and other rubber accessories. The different products in the marketing mix of Horizon Addis Tyres Manufacturing within each category are shown below:
Three wheeler tyres
Passenger car tyres
Light truck tyres
Trucks and buses tyres
Farm or Agriculture tyres
Industrial Tyres
Construction Tyres:
Flotation Tyres
Military Tyre and Rubber accessories
Due to lack of concentration of continental AG, there was no significant progress on the commitment of MATADOR-Addis Tyre S.C. in terms of upgrading the existing Bias tyre technology and commencement of Truck Radial tyre production. Continental AG rather preferred to sale its share to a potential strong national investor who can discharge all joint venture obligations.