China’s MINTH Holdings Limited is investing 950 million euros in the construction of new production facilities for the automotive industry in Leskovec and Cuprija, the office of Leskovec Mayor Goran Cvetanovic said today.
The first phase of the project in Leskovec is expected to create 1,000 jobs, and the entire investment cycle is expected to last five years, Beta reports.
The Memorandum of Understanding was signed the day before at the Serbian Government building by the Mayor of Leskovec Goran Cvetanovic, the Minister of Economy Adriana Mesarovic and representatives of MINTH.
MINTH Holdings was founded in 1992 in China and is headquartered in Ningbo.
MINTH is one of the world’s top 100 auto component manufacturers and supplies products to leading automakers: BMW, Mercedes-Benz, VW Group, Tesla, Honda, Toyota, Nissan, Ford, etc.
The company specializes in the production of aluminum, plastic and composite body parts, trim panels, frames, roofs and interior parts. It has plants in China, the USA, Mexico, Germany, Thailand and, since 2018, in Serbia (Loznica).
MINTH is already active in Serbia, producing components for the world’s leading automakers. The new investment confirms the strengthening of industrial cooperation between Serbia and China in the field of high-tech production.
Why Serbia?
– Geographical advantage: Serbia is located at the crossroads of supply between the EU and Asia, making it a logistically convenient base.
– Duty-free access to the EU, EFTA, Turkey and EAEU markets under a number of agreements.
– Low costs: labor costs are lower than in Eastern Europe and Turkey.
– Stable investment cooperation with China: including the One Belt, One Road initiative and Serbia’s participation in the China-Central and Eastern Europe (17+1) format.
The importance of the project for Serbia
– Employment growth in southern Serbia, a region with traditionally high unemployment.
– Diversification of industry with a focus on high-tech production.
– Deepening Chinese presence in the economy – not only infrastructure, but also the real sector.
– Industrial transformation of Leskovets, which was historically a textile center but has lost industrial momentum in recent years.
Risks and challenges
– Dependence on one large investor at the regional level
– Possible dominance of China in strategic sectors, including through subsidies and tax preferences
– The need to ensure infrastructure readiness (electricity, water, roads), which will require efforts from local authorities and the state budget
The MINTH project is not just a local plant, but a strategic element in the supply chain of the global automotive industry. For Serbia, this is an opportunity to strengthen its position on the industrial map of Europe and grow from a subcontractor territory into a European production hub.
Source: https://t.me/relocationrs/1198
