The Serbian government has approved €7.06 million in state incentives for the Chinese automotive supplier Finestamping Technology to support the development of a production facility in Apatin, where the company plans to manufacture motor cores for electric vehicles. The subsidies are part of Serbia’s broader industrial policy aimed at attracting foreign investment into the automotive and advanced manufacturing sectors.
The investment agreement between the company and Serbia’s Ministry of Economy was signed in December 2025, committing the Chinese investor to build a factory producing components for electric motors used in the automotive industry. According to the contract, the project involves a minimum investment of €47.1 million and the creation of 150 permanent jobs by the end of 2028.
Finestamping Technology operates globally as part of the Fine-Stamping Technology Company Limited, itself belonging to the Chinese Zhenyu Group, which specializes in manufacturing precision components and equipment for the automotive industry. Within the group, the business generated an estimated €771.6 million in consolidated revenue in 2023 and employed approximately 6,028 workers worldwide, reflecting its role as a mid-sized industrial supplier within global automotive supply chains.
The facility in Apatin is designed specifically for the production of laminated cores used in electric motors, a critical component in EV drivetrains. These cores form the magnetic structure of the motor and are produced through high-precision stamping processes. They are used in multiple applications including electric vehicle traction motors, automotive EPS systems, compressor motors and other electromechanical systems, positioning the plant within a rapidly expanding segment of the automotive industry.
State incentives covering roughly 15% of the total project value will be disbursed in four installments between 2026 and 2029, conditional on the company fulfilling investment and employment commitments. The first tranche of about €1.95 million is expected in 2026, after the company demonstrates that it has invested at least €25 million and hired the first employees under permanent contracts. Additional payments will follow as the investment and employment targets are met in subsequent years.
The project represents the first overseas manufacturing unit for Finestamping Technology in Serbia. The company established its Serbian subsidiary in April 2024, registering the business under activities related to the production of automotive components. At the time of the subsidy application, the local entity had not yet employed workers, reflecting the early stage of the investment process.
Construction of the factory began earlier within the Robno-transportni centar (RTC) industrial zone in Apatin, where a modern manufacturing complex was developed across approximately 7.5 hectares of land. The facility includes production halls as well as administrative and supporting infrastructure designed to support large-scale industrial operations.
The investment is part of a broader strategy by Serbia to position itself as a regional hub for automotive component manufacturing, particularly within emerging electric vehicle supply chains serving European markets. According to the investment documentation, the primary target markets for the Apatin plant are countries of the European Union, reflecting the ongoing relocation of parts of the automotive supply chain toward Southeast Europe.
Apatin has been gradually developing its industrial capacity through foreign direct investment projects in recent years. The arrival of a supplier specialized in EV motor components strengthens the region’s link with the evolving electrification of the automotive sector, which increasingly requires specialized manufacturing capabilities such as precision stamping and advanced metal processing.
Within the wider context of Serbia’s automotive sector transformation, the project aligns with ongoing developments such as electric vehicle component production, battery manufacturing initiatives, and supplier ecosystem expansion. The country already hosts numerous automotive suppliers serving European OEMs, and investments in EV-related components represent an attempt to integrate local manufacturing into the next generation of vehicle technologies.
