Workers feel a continent away when government sugarcoats, rather than leads

Thursday, 01 May 2025 9:38 AM MYT
By Praba Ganesan
MAY 1 — The first rubber tyre factory was built in the United States in 1889. Not sure when the first one was erected in Malaysia but they certainly ramped up production before the Great War since Malaya was the world’s largest producer of natural latex.
Ups and downs, over a hundred years. Even when our neighbours had more rubber trees and plantations, manufacturing was synonymous with Malaysia.
Unfortunately, this May Day, the 950 employees at the Continental tyre factory in Alor Setar have to explore other career options since it ceases operations end of 2025.
The German company in its media statement this week explained it was “adapting to changing customer demand, the company seeks to optimise its local product portfolio and its manufacturing footprint.”
Those PR experts brought in to craft the message would be proud of themselves. It’s difficult to dissect it, let alone make sense of it, and therefore rebut it.
Continental continues its factory in Petaling Jaya. That’s good news.

German manufacturer Continental said it is ‘adapting to changing customer demand’ as it shuts down its tyre factor in Alor Setar, Kedah in December 2025, but will continue operations in Petaling Jaya, Selangor. — AFP pic
In an economically turbulent world, where automation, trade wars and artificial intelligence shape and reshape productivity each time workers return to their desks on Monday, there is no sure thing.
Life-long employment is a myth. Secure employment is possible but not guaranteed. Contracts are the norm and the chances of laughing oneself to death when informed about the glories of the gig economy is very real.
Before code-writing geniuses send me their bank statements to stump me, there are two types of gig work.
One is about a generation of younger people with high skillsets who seek flexibility and party-time, bouncing from one resort town to another, living the dream by writing code between surfs. Kudos to them.
The other gig work, fulfilling transactional tasks for a nominal fee, as evidenced by delivery guys and e-hail drivers, is not sexy. A much larger number of workers fill these.
One type of gig community member lives in a Mont Kiara condominium, and the other at the end of the road where Segambut begins, in the squatter zones.
Workers are not what we call the privileged and nor do they prefer to be called that.
Workers in essence, those who embody class struggle, express a willingness to toil in exchange for a living wage. They are also children of today even if they continue a tradition of centuries, meaning they are forewarned that labour intensive manufacturing is on the wane.
For this May Day, there are two things the Malaysian government can offer.
‘Follow me, let’s do this together’
Leadership and honesty.
They cannot offer the world to our workers, but they can tell them they will stand right up at the front of the issues affecting employment and say truths, even if those truths hurt.
Let’s re-examine the Continental Kedah exit situation.
The company seeks to use the next six months to retrain, counsel and relocate where possible. Kedah agrees to absorb some factory personnel into state payroll and find them other jobs.
What is absent is the willingness to frame the situation better to Malaysia.
When a monumental event occurs, those with the education and training — the civil service primarily — have a duty to process the developments and offer a summary which aids general comprehension.
Instead, the news is dominated by the company’s information, which is about them protecting their own interests. Who is protecting the interests of the Malaysian workers by ensuring the Malaysian workers understand the situation better?
Not many it appears.
The state government is bent on not appearing at fault or to fail to look like they are doing enough. The federal government is quiet for now.
For instance, to explain that it is not a regional downsize. Since October 2024, Continental has upped its capacity in its Rayong (two hours south of Bangkok) plant by over 3 million tyres, which in turn is expected to create 600 new jobs.
In its other media statement from last year, it speaks about Asia-Pacific being one of its strategic growth markets.
Which justifies why they seek to invest a further 300 million euros (RM1.4 billion) in its Thai plant.
Rayong, together with nearby Changan, are the automotive centres for Thailand in its Eastern Economic Corridor. Continental aims to supply for the rising electric vehicle action.
When done and dusted, the facts are Continental continues to make tyres, probably more, just not as much in Malaysia.
If Continental feels so, how much longer before the others let a similar sentiment creep up ostensibly to improve their profit margins.
Knowing that, or to anticipate it, arms the Malaysian workers. That’s good government work.
Malaysia has no means to control world events. But world events scare Malaysians.
They do not expect the government to solve their problems, like a European manufacturer leaving. It picks what serves its profit and loss statements and not the Malaysian people.
Malaysian workers do need, even if they do not realise, leadership from their government.
To listen to inconvenient truths. Facts are important, even if repetitive. They assist in decision making. Denials do the opposite, they force the victims, in this case Malaysian workers into confusion and paralysis.
The way our ministers explain situations, it appears by the mere tightening of a single bolt success will follow. As the tyre manufacturing situation inadvertently reveals, there are a plethora of problems requiring a transformation in our automotive industry.
There are questions, they are pressing questions.
Telling more, honestly, is not going to be a liability for the government. Workers are more likely to back a government which tries to summarise the situation and communicate it. Again, however stark the observations it is far better than to be in the dark.
This is leadership.
There are more Continentals ahead, and workers are worried. A little light from the government fights the darkness. The workers walked through worse before. For a change, the government may join the walk.
MAY 1 — The first rubber tyre factory was built in the United States in 1889. Not sure when the first one was erected in Malaysia but they certainly ramped up production before the Great War since Malaya was the world’s largest producer of natural latex.
Ups and downs, over a hundred years. Even when our neighbours had more rubber trees and plantations, manufacturing was synonymous with Malaysia.
Unfortunately, this May Day, the 950 employees at the Continental tyre factory in Alor Setar have to explore other career options since it ceases operations end of 2025.
The German company in its media statement this week explained it was “adapting to changing customer demand, the company seeks to optimise its local product portfolio and its manufacturing footprint.”
Those PR experts brought in to craft the message would be proud of themselves. It’s difficult to dissect it, let alone make sense of it, and therefore rebut it.
Continental continues its factory in Petaling Jaya. That’s good news.

German manufacturer Continental said it is ‘adapting to changing customer demand’ as it shuts down its tyre factor in Alor Setar, Kedah in December 2025, but will continue operations in Petaling Jaya, Selangor. — AFP pic
In an economically turbulent world, where automation, trade wars and artificial intelligence shape and reshape productivity each time workers return to their desks on Monday, there is no sure thing.
Life-long employment is a myth. Secure employment is possible but not guaranteed. Contracts are the norm and the chances of laughing oneself to death when informed about the glories of the gig economy is very real.
Before code-writing geniuses send me their bank statements to stump me, there are two types of gig work.
One is about a generation of younger people with high skillsets who seek flexibility and party-time, bouncing from one resort town to another, living the dream by writing code between surfs. Kudos to them.
The other gig work, fulfilling transactional tasks for a nominal fee, as evidenced by delivery guys and e-hail drivers, is not sexy. A much larger number of workers fill these.
One type of gig community member lives in a Mont Kiara condominium, and the other at the end of the road where Segambut begins, in the squatter zones.
Workers are not what we call the privileged and nor do they prefer to be called that.
Workers in essence, those who embody class struggle, express a willingness to toil in exchange for a living wage. They are also children of today even if they continue a tradition of centuries, meaning they are forewarned that labour intensive manufacturing is on the wane.
For this May Day, there are two things the Malaysian government can offer.
‘Follow me, let’s do this together’
Leadership and honesty.
They cannot offer the world to our workers, but they can tell them they will stand right up at the front of the issues affecting employment and say truths, even if those truths hurt.
Let’s re-examine the Continental Kedah exit situation.
The company seeks to use the next six months to retrain, counsel and relocate where possible. Kedah agrees to absorb some factory personnel into state payroll and find them other jobs.
What is absent is the willingness to frame the situation better to Malaysia.
When a monumental event occurs, those with the education and training — the civil service primarily — have a duty to process the developments and offer a summary which aids general comprehension.
Instead, the news is dominated by the company’s information, which is about them protecting their own interests. Who is protecting the interests of the Malaysian workers by ensuring the Malaysian workers understand the situation better?
Not many it appears.
The state government is bent on not appearing at fault or to fail to look like they are doing enough. The federal government is quiet for now.
For instance, to explain that it is not a regional downsize. Since October 2024, Continental has upped its capacity in its Rayong (two hours south of Bangkok) plant by over 3 million tyres, which in turn is expected to create 600 new jobs.
In its other media statement from last year, it speaks about Asia-Pacific being one of its strategic growth markets.
Which justifies why they seek to invest a further 300 million euros (RM1.4 billion) in its Thai plant.
Rayong, together with nearby Changan, are the automotive centres for Thailand in its Eastern Economic Corridor. Continental aims to supply for the rising electric vehicle action.
When done and dusted, the facts are Continental continues to make tyres, probably more, just not as much in Malaysia.
If Continental feels so, how much longer before the others let a similar sentiment creep up ostensibly to improve their profit margins.
Knowing that, or to anticipate it, arms the Malaysian workers. That’s good government work.
Malaysia has no means to control world events. But world events scare Malaysians.
They do not expect the government to solve their problems, like a European manufacturer leaving. It picks what serves its profit and loss statements and not the Malaysian people.
Malaysian workers do need, even if they do not realise, leadership from their government.
To listen to inconvenient truths. Facts are important, even if repetitive. They assist in decision making. Denials do the opposite, they force the victims, in this case Malaysian workers into confusion and paralysis.
The way our ministers explain situations, it appears by the mere tightening of a single bolt success will follow. As the tyre manufacturing situation inadvertently reveals, there are a plethora of problems requiring a transformation in our automotive industry.
There are questions, they are pressing questions.
Telling more, honestly, is not going to be a liability for the government. Workers are more likely to back a government which tries to summarise the situation and communicate it. Again, however stark the observations it is far better than to be in the dark.
This is leadership.
There are more Continentals ahead, and workers are worried. A little light from the government fights the darkness. The workers walked through worse before. For a change, the government may join the walk.
The labour market should be kept flexible.
ReplyDeleteCompanies that are no longer competitive should be allowed to shut.
Government role is to provide a business friendly environment and supportive education and training structure.
In bolihland, the govt's role in all sectors is to provide rentseeking for the elites, cozy job environment for the paperpushers & ceilingless upward career advancement for those hp6 giatunas graduates.
DeleteGoodyear factory in Shah Alam shut down just last year. 550 jobs lost.
ReplyDeleteNow have to buy cheap dangerous Old Bullyland tires.
https://www.nst.com.my/business/corporate/2024/03/1022381/goodyears-shah-alam-plant-close-after-52-years-550-workers
Cheap dangerous china tires?
DeleteTell that to the organizer of Formula 1 Grand Prix & the World Motorcycle Grand Prix.
Mmmm…never heard of market, offering a range of products for various vehicle types. Some of the leading Chinese tire manufacturers include Linglong, Triangle & Sailun?
Especially the last one, in process of replacing Pirelli, the ex Italian tire marquis of racing sport. Pirelli is now majority owned by the Chinese, just in case u fart senselessly again.
Continental tutup in Bolehland, buka lebeh besar di Siam...we just got screwed by the Germans.
ReplyDeleteOctober 09, 2024
Continental Expands Capacity of its Tire Plant in Thailand
Production capacity to grow by 3 million tires annually; 600 additional jobs to be created
Planned investment more than 300 million euros
"Our latest capacity expansion in Rayong reflects our strong growth in the Asia-Pacific region, one of Continental Tires’ strategic growth markets," says Dalibor Kalina, Head of Continental’s Business Area Replacement Tires in the Asia-Pacific region
Hanover, Germany, October 9, 2024. Continental is boosting the production capacity of its tire plant in Rayong, Thailand, by additional 3 million units per year. The gradual expansion plan of the operations stands for a planned total investment of more than 300 million euros (13 billion Thai Baht). The Board of Investment of Thailand is supporting the project under its Investment Stimulation Measure for Economic Recovery Scheme, thus supporting Continental’s ongoing growth in Thailand and the APAC region. This expansion will create approx. 600 additional jobs in the upcoming years. With more than 900 employees already working in its Rayong tire plant, the company is reinforcing its commitment to the Thai market and the Asia-Pacific region.
"Our latest capacity expansion in Rayong reflects our strong growth in the Asia-Pacific region, one of Continental Tires’ strategic growth markets. With our increased production capacity, we will meet the demands of our customers even better, locally in Thailand, and regionally in the Asia-Pacific markets," says Dalibor Kalina, Head of Continentals Business Area Replacement Tires in the Asia-Pacific region.
"At Rayong, we take great pride in being a very versatile and reliable part of Continental’s global tire production network. We supply the vehicle manufacturers and the replacement tire sector with both passenger, light truck tires and motorcycle tires," says Vignesh Devasenapathy, Plant Manager of the manufacturing facility in Rayong.
"At Rayong, we take great pride in being a very versatile and reliable part of Continental’s global tire production network. We supply the vehicle manufacturers and the replacement tire sector with both passenger, light truck tires and motorcycle tires. Our latest expansion is a significant milestone in addition to this year’s anniversaries of 15 years of tire business in Thailand and five years of tire production in Rayong," says Vignesh Devasenapathy, Plant Manager of the Continental tire plant in Rayong. He adds: "I want to thank my entire team for their passion and dedication in delivering our commitments to our customers, which is the basis for our success here at Rayong."
At its Rayong plant, Continental produces premium tires, like the MaxContact MC7, and other tire lines that also meet the specific requirements of electric vehicles. In 2023, Continental equipped all the top five highest-volume manufacturers of electric vehicles in the Asia-Pacific region with original equipment tires. In addition, Rayong is one of the biggest Continental motorcycle production facilities worldwide.