State providing almost EUR 28.9 million in subsidies to Minth for two new factories in Loznica and Sabac – Investors obliged to invest EUR 225.7 million and employ 820 workers

The Ministry of Economy has signed two contracts on the allocation of incentive funds to companies from the Minth group, worth a total of EUR 28.9 million. The projects in Loznica and Sabac should bring at least 820 new jobs, while the total value of the required investments is around EUR 225.7 million.

The first contract was signed with the company Minth Automotive Europe, a limited liability company from Loznica, for the implementation of an investment project that includes the construction of a new factory for the production of automotive parts in Loznica and Sabac. According to the contract, the company is obliged to invest at least EUR 135.13 million and employ at least 600 new workers for an indefinite period by the end of 2026.

An incentive of EUR 17.3 million has been approved for this project, which represents, as stated, 12.8% of the eligible investment costs. The funds are scheduled to be paid in one tranche during 2027, after the company proves that it has fulfilled the contractual obligations regarding investments and employment.

The second contract relates to the company Minth Metal Parts Balkan doo Majur, based in Sabac. The investment project envisages the construction of a new plant for the production of metal decorative parts for the automotive industry, namely the first phase of the production of decorative stainless steel products. The company has committed to investing at least EUR 90.62 million and hiring at least 220 new workers for an indefinite period by the end of 2028.

An incentive of EUR 11.6 million has been approved for this project, also in the amount of 12.8% of the eligible investment costs. Unlike the first project, the payment will be made in three tranches: EUR 5.03 million in 2027, EUR 4.32 million in 2028 and EUR 2.24 million in 2029, subject to prior proof of fulfillment of the contractual obligations.

As a reminder, the Ministry of Environmental Protection recently gave approval to the company Minth Metal Parts Balkan doo Sabac for an environmental impact assessment study for the construction of the MMB automotive industry facility in Sabac, for which the application was submitted earlier this year.

MMB is part of the Chinese Minth group for the production of automotive parts, and this investment will be Minth’s fourth in Sabac. The new facility, as previously announced, will produce decorative moldings and seals made of aluminum or stainless steel and plastic pellets. The planned annual capacity of the factory for 2033 is 36 million decorative moldings and 136 million sealing parts.

The contracts also provide for multi-year commitments after the completion of the investments. The companies must maintain the contracted number of employees and the value of assets associated with the projects for a five-year period, with certain options for replacing the assets under the terms defined in the contracts.

Both contracts were signed in Belgrade on June 10, 2026.

I. Z.

Ministarstvo privrede Republike Srbije

Minth automotive Europe doo Loznica

Minth Automotive Parts Balkan doo Loznica

Ministry of Economy

Minth Automotive Europe

Minth Metal Parts Balkan doo Majur

Mint Šabac

Minth fabrika ukrasnih lajsni i zaptivki Šabac