February 14 (SeeNews) - German cable and harnessing manufacturer Leoni plans to open a third factory in Serbia in 2018, in order to take advantage of the good investment climate in the country, the managing director of Leoni's Serbian unit, Clemens Sachs, has said.
The company is in the process of preparing a 18,000 sq m land plot in Nis, in southern Serbia, for the construction of its third factory which will employ 2,400, Sachs said, speaking on Serbian public broadcaster Radio Televizija Srbije (RTS) on Monday.
You can download the 2023 Automotive industry in Southeast Europe report here
"When we started, we did not plan a fast expansion of production, but the good conditions offered by the country, the excellent cooperation with local authorities and the educated young people who wish to develop helped us achieve excellent results and plan a third factory in Serbia," Sachs added.
Leoni booked a revenue of 120 million euro ($127.4 million) from its business in Serbia in 2016. The company operates factories in the municipalities of Prokuplje and Doljevac and currently has a workforce of 5,000 employees in the country.
In August, Leoni said it plans to invest at least 22 million euro in expanding its manufacturing operations in Serbia. The company agreed a 5.5 million euro financial support package with the government and committed to make no staff cuts over a five-year period.
($ = 0.941753 euro)