The PWO Group today celebrated the laying of the foundation stone for its new engineering and production site, in Preljina near Čačak

By the end of 2025, the first components and systems manufactured here will be delivered to customers from the PWO Group’s tenth location

President of the Republic of Serbia Aleksandar Vučić, together with the Chief Executive Officer of "PWO Group Serbia" Carlo Lazzarini and the German Ambassador to Serbia Anke Conrad, laid the foundation stone for the construction of the new PWO Group factory in Čačak. The ceremony was attended by the mayor of Čačak, Milun Todorović, Minister of Economy Adriana Mesaroš, Minister of Internal and External Trade Tomislav Momirović, as well as representatives of the Development Agency of Serbia.

PWO will invest 89 million euros in establishing a plant for the development and production of parts, assembly tools, and components for the automotive industry, and it will employ around 550 new workers in Kragujevac and Čačak.

Chief Executive Officer of PWO Group, Carlo Lazzarini, stated that Serbia has become a "magnet" for many companies in the international automotive industry.

"Every fifth foreign investment in Serbia is in the field of mobility. Serbia has become a winner in the reorganization of production in the mobility sector in Europe, especially when it comes to electric vehicles. Serbia is one of the top three countries with relatively the highest growth in the export of components for electric vehicles," he said.

"What we produce can be found in almost every car, in seats, air suspensions, housings for electric motors, instrument panels, chassis parts, and batteries. Our main competence lies in the development of lightweight metal components and systems. We make steel light, which means less weight in the car, i.e., lower energy consumption and driving costs," Lazzarini said, emphasizing that the company plans to partner with local educational institutions to ensure collaboration in research, as well as greater cooperation with local suppliers.

German Ambassador to Serbia, Anke Konrad, stated that 30 percent of all German investments in Serbia are related to the automotive sector.

"These investments have created 38,000 jobs. PWO will advance that engagement," she added, mentioning that the arrival of PWO company in the Serbian market contributes to strengthening the ties between Germany and Serbia in professional vocational education and science, based on the engagement of companies, as well as the engagement of the German government through development cooperation.

President Vučić also highlighted that five out of the 15 companies that are the largest exporters from Serbia come from Germany. Vučić noted that economic cooperation between the two countries is almost perfect.

"In Serbia, 82,000 people work in German companies. Trade and service exchange this year will reach almost 12 billion euros. Germany is number one when it comes to Serbia's cooperation with any country in the world," he said.

He added that the PWO investment will help young people from the Mechanical-Traffic School and the Technical Faculty to have a secure future in Čačak.

The group operates in the metal industry sector and owns production facilities for parts for the automotive industry in Germany and the Czech Republic. In 2022, the group achieved consolidated revenue of 27 million euros and employed almost 3,000 workers, selling its products to EU countries, Mexico, and China.

Photo: TANJUG/VLADIMIR ŠPORČIĆ