Prime Minister Mirko Cvetkovic and General Director of Fiat-Chrysler Group Sergio Marchionne officially opened a factory of Fiat Automobili Srbija in Kragujevac, a project of the Serbian government and Italian Fiat worth approximately €1 billion.
Cvetkovic, Parliament Speaker and Acting Serbian President Slavica Djukic-Dejanovic, Marchionne and General Manager of Fiat Automobili Srbija Antonio Cesare Ferrara put their signatures on the first model of Fiat 500 L.
Cvetkovic pointed out that the newly opened factory is one of the most modern car factories in the world, and will produce the Fiat 500 L model exclusively in Serbia.
He said the joint project of the Serbian government and Fiat will raise the reputation of our country and will bring profit to Fiat as well as to Serbia as a partner in this business.
The Prime Minister stressed that the investment of €1 billion in the plant is probably the largest investment in any production capacity in Serbia in the past few decades, and added that in full production the plant will employ 2,500 workers and another 10,000 people indirectly.
Marchionne said that by opening the new plant, an intensive preparation that lasted for more than three years has been successfully completed, and added that today is a new beginning for this completely redesigned factory and the most modern industrial plant with the latest Fiat technology.
In full capacity the plant will produce about 200,000 cars a year, he said and announced that the new model Fiat 500L will appear on the market next spring.
He said that Fiat chose to invest in Serbia because of the attractive environment for foreign investment, strong industrial tradition and young, highly skilled workforce.
The Serbian government and Fiat on 29 September 2008 signed an agreement on the establishment of the company Fiat Automobili Srbija, a joint company in which the Italian Fiat has 67%, and the Republic of Serbia 33%.
This large investment was funded in the same proportion, and the same principle will apply when splitting the income.
The Kagujevac plant was designed to produce approximately 300,000 vehicles annually. It is currently equipped to produce 200,000 vehicles and is expected to contribute significantly to the recovery of the domestic economy.
Source Serbia Gov.
