German Firm Leoni Has Opened its Third Factory in Nis: 21M Euro Invested, 1700 New Jobs Created

Yesterday, prime minister Aleksandar Vucic officially opened the Leoni factory in Nis, which produces cables for Jaguar and Land Rover vehicles and will employ 1,700 workers. The factory in Doljevac, which is close to Nis, is 25,000 m2 and represents an investment of over 21 million Euro. The Serbian government provided 10.5 million Euro in subsidies, which is equivalent to 7,000 Euro per job created.

The construction of the factory began in August 2013. The scrutineering and inspection took place in April 2014.

Leoni has been present in Serbia since 2009 and, together with Draxelmaier, it was one of the first of the German auto industry giants to invest in the country. This factory currently has three production lines in Serbia. Two are located in Prokuplje and one in Doljevac, near Nis.

Leoni has invested more than 36 million Euro in Serbia and currently employs 4,950 workers. Serbia has provided the company with a total of 19.25 million Euro in incentives. Leoni opened its first factory in Prokuplje, where it produces cables for BMW and employs 1,800 workers. The other factory in Doljevac produces cables for Land Rover and Jaguar and currently employs 1,500 workers who have permanent contracts and 1,000 workers with term-based contracts. The city of Doljevac gave the land to the company free of charge. The third Leoni plant is leased and is located in Prokuplje. There, the company employs 50 workers and produces cables for household appliances.

Leoni AG is one of the world’s leaders in cable production for the automobile industry. This company employs 68,000 workers in 32 different countries. It had a 4.1 billion Euro turnover in 2014 and a 115.1 million Euro net profit.

Prime Minister Aleksandar Vucic stated that the government’s objective is to reduce the unemployment rate to below 15% in the next two years and invited German investors to continue to invest in Serbia.

Vucic said that he expects that this German company will expand its production capacity, open new plants in Serbia, and hire additional workers. “The government will help them. We are ready to continue the collaboration and I am certain that we will have positive results,” Vucic stated, adding that he is proud that state money is being spent to provide jobs for Serbian citizens.

Moreover, the prime minister announced other good news and investments in the cities of Pcinj, Jablanica, Pirot, Toplica, and Nis, stating that the government will do everything possible to reduce unemployment in the South of the country.

(Tanjug, 18.11.2015.)

This post is also available in: Italiano

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One Reply to “German Firm Leoni Has Opened its Third Factory in Nis: 21M Euro Invested, 1700 New Jobs Created”

  1. jvcdd says:

    Vucic has his work cut out for himself to reduce the unemployment from 50% to below 15% in the next 2yrs. Not entirely impossible when he gives foreign companies over 10,000,000euros in subsidies and 20,000,000euros in incentives and they have only invested 36,000,000euros total. This means, SERBIA HAS MADE THIS FOREIGN COMPANY THE STRONGEST with only a true 6M euro investment for 5000 Serbian Slaves? If my logic and math are right? Way to go Vucic you may be the best master slave Serbia has so far? ( How many other deals like this one??? )

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