Turkey’s Teklas gets EUR 10 million in subsidies from Serbian government

The Turkish company Teklas Automotive, which according to the Serbian government’s plans is supposed to employ 1,200 former Geox’s workers laid off in Vranje last year, has received 10.7 million euros of state aid from the Ministry of Economy to open another plant in Vranje, in addition to the one in Vladicin Han.

Teklas undertook to employ 500 people by 2028, as well as to pay out salaries 20% higher than the minimum wage.

The State Aid Commission published on its official website their decision from January 24, stipulating that the Ministry of Economy had granted a state grant to Teklas Automotive to open a production plant that will produce liquid circulation systems for the automotive industry in the southern Serbian town of Vranje.

The grant, in the amount of 10,775,000 euros, was approved last year, just 10 days after Geox closed its factory in Vranje. The government’s Economic Development Council gave its final approval of the grant on December 20th.

Teklas undertakes to employ at least 500 workers by the end of 2028 and to invest at least 22 million euros in tangible and intangible assets in the same period.

Teklas also undertakes not to reduce the total number of employees below 1,631, of which at least 1,175 should be permanent employees, in the period of five years from the completion of the investment project. Teklas has to cover at least 25% of the total investment from its own funds.

(Nova, 13.03.2022)


This post is also available in: Italiano

Share this post

Leave a Reply

Your email address will not be published. Required fields are marked *

scroll to top