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Zumtobel to build new luminaire production plant in Serbia

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Austrian lighting company Zumtobel Group is to expand its production network by adding a new plant in Niš, southern Serbia.

The primary role of the planned luminaire plant in Serbia is to handle the additional volumes that are planned for the years ahead. The new site will offer the Zumtobel Group the opportunity to supply its core European market at optimal cost in a market environment marked by high pressure on prices,.

“The lighting market is hard fought and given the pressure on costs and the erosion of product prices we are constantly striving to improve our cost structures. The planned production site in Serbia will help boost our competitiveness and give us a means of responding more flexibly to market requirements as a Group. It will also enable us to position our plants and utilize their capacities in line with their strengths. In the process we are banking on a combination of our established integrated production network and the new plant in Serbia,” says Alfred Felder, Chief Operations Officer, Zumtobel Group.

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When the final phase of construction work is completed, the new plant will have cost up to EUR 30 million. Construction will take place in two phases covering the next two and a half financial years. The first luminaires are slated to roll off the production lines at the new factory in financial 2018/19.

“This step into Eastern Europe signals further growth for the Zumtobel Group. At the same time the construction of this new plant forms part of our global operations strategy and is designed to ensure that, in the long term, we are well placed to offer our customers in Europe innovative products at optimal cost,” says Alfred Felder.

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