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Serbia to launch mass production of electric Fiat Grande Panda, boosts EV subsidies and support

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A week ago, trial production of the electric Fiat Grande Panda began in Kragujevac.

In just two months, Serbia will become the first country in the Balkans to achieve full-scale production of electric vehicles. Currently, electric vehicles make up less than 1% of the market in Serbia. As part of its efforts to improve air quality and environmental protection, the Ministry of Environmental Protection has allocated funds to support the purchase of electric vehicles.

Sara Pavkov, Secretary of State at the Ministry of Environmental Protection, emphasizes that this support is crucial for citizens. Electric vehicles produce no carbon dioxide emissions or other pollutants, making them an important factor in environmental protection.

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Subsidies for purchasing electric vehicles currently range from €250 to €5,000. Applications for these subsidies are submitted to the Ministry of Environmental Protection, which outlines all requirements on its website. Both individuals and businesses can apply for these subsidies, up to the allocated amount of 170 million dinars for this year, or by October 31 at the latest.

All properly completed applications will be processed further. The amount of subsidy received depends on the vehicle category:

  • Electric mopeds and light tricycles: €250
  • Electric motorcycles, heavy tricycles and light and heavy quadricycles: €500
  • Passenger vehicles with up to nine seats and cargo vehicles under 3.5 tons: €5,000

There is still 63 million dinars available, as 107 million dinars have already been reserved since the start of the program this year.

This year, the government has focused exclusively on electric vehicles, moving away from subsidies for hybrids. Electric vehicles are considered 100% ecological as they produce no emissions and do not use oil that could harm the environment, aligning with the country’s green transition goals.

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The program for subsidizing eco-friendly vehicles began in 2020 with an allocation of 120 million dinars, resulting in the purchase of 112 vehicles (four of which were electric). Last year, 433.27 million dinars was spent out of the planned 444 million dinars for environmentally friendly vehicles. By the end of this year, a total of one billion dinars will have been allocated, with 2,500 electric and hybrid vehicles subsidized to date.

Additionally, the government will establish a special fund for purchasing the Fiat Grande Panda once these vehicles become available on the market, according to the Secretary of State.

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