Germany's ZF Friedrichshafen starts building plant in Pancevo – Investment worth EUR 160 million, jobs for 1,000 people

The German company ZF Friedrichshafen started building an electric powertrain factory in Pancevo today, in which EUR 160 million will be invested and where up to 1,000 workers are to be employed.

The City of Pancevo let the German investor use construction land in the North Business Zone for free.

The first investment phase will be realized by 2021, and it entails the construction of a 25,000-m2 facility on 10,8 hectares and the creation of 540 jobs.

In the second phase, from 2022, the location would be expanded and another facility of 25,000 square meters would be built.

ZF Friedrichshafen employs more than 140,000 people in 230 locations in 40 countries, and its last year's revenues amounted to EUR 36.4 billion.

The opening of the factory in Pancevo was attended by Serbian President Aleksandar Vucic, who said that it was one of the biggest investments in Serbia and that it would mean a lot to the least developed part of Vojvodina, but also to the entire country.

Vucic also expressed hope that ZF Friedrichshafen would open production facilities in at least another two or three locations in Serbia and employ 100 people at its scientific research center.

– Thank you for being here – Vucic said to the German investor.

– May you stay here for long and come again. We will offer at least 5% more for investments than everyone else – Vucic emphasized and reminded that German companies currently employed over 47,500 people in Serbia.

A manager at ZF Friedrichshafen, Michael Hankel, said that numerous factors had contributed to the choice of Serbia as the country for an investment of EUR 160 million, Tanjug reports.

– Numerous factors have influenced the decision where to build the factory, and we picked Pancevo thanks to the excellent infrastructure. We have plenty of room to expand the factory, potentials for its development, several transportation roads, and there's also the proximity of the capital of Serbia – Henkel said.

What sets ZF apart, Henkel explained, is the use of new technologies and electromobility.

– We are using a new generation concept in order to cover today's transportation sectors and those that will appear in the future through a special approach. It is especially important to address all flaws in the field of electric cars – he added.

That mobility is ZF's main advantage and root of success is confirmed by the company's Jorg Grotendorst, who explained that the car engine production at ZF doubled each year and that they expected to produce close to half a million electric engines the next year.

ZF Friedrichshafen AG Beograd

Grad Pančevo

ZF Friedrichshafen

City of Pancevo

electric and hybrid powertrain plant

electric powertrains

EMobility

electric engines

gearshift electronics

gearshift mechatronics

microswitches

PCB

North Business Zone Pancevo

Aleksandar Vucic

German investments in Serbia

Michael Henkel

Jorg Grotendorst