German Boysen Opens its Largest Foreign Facility in Subotica – EUR 65 Million Invested in Production Facilities for Vehicle Exhaust Systems

The German company Boysen Abgassysteme d.o.o. has opened a new production facility in Subotica. As eKapija has already written, the investment of EUR 65 million is one of the biggest investments in the city’s recent history.

Boysen is a world leader in the production of exhaust systems for the automotive industry and it has production facilities on all continents. The new factory was opened within the “Mali Bajmok” business zone and spreads on around 10 hectares.

The opening ceremony was attended by the president of Serbia, Aleksandar Vucic, who, on that occasion, underlined the importance of the opening of such factories, where the operating process is fully robotized and automated.

– Five hundred people will work at this factory. Vojvodina needs to catch up to Belgrade and even exceed it if necessary, it needs to progress – Vucic said and added that German investors were safe investors, since they provide additional stability to Serbia, the president’s PR service announced.

Along with the president of Serbia, the opening ceremony was attended by the German ambassador to Serbia, Thomas Schieb. He pointed out that the new factory in Subotica was yet another good example of a project by a German investor and “a symbol of the remarkable economic relations between the two countries”.

– German companies are increasingly active, and the investments since 2000 have exceeded EUR 3.5 billion. German companies have created tens of thousands of jobs in Serbia. Serbia is becoming increasingly interesting to foreign investors, especially the automotive industry, and the key to the development of the Serbian economy has also been confirmed in the White Book of foreign investors – said ambassador Schieb, as added in the announcement made by the president’s PR service.

Biggest Boysen facility abroad

In Subotica, Boysen will produce a highly innovative technology of exhaust gases with an automation degree of over 90%, and this is their biggest production facility abroad and one of the most modern factories in Europe, said the chairman of the Boysen Group, Rolf Dieter Geisel, at the opening of the factory.

– Our innovative team, which is beginning the production, consists of 80 employees, and in the next three years, BAS will offer attractive jobs to around 500 workers. Next year, in this location, we will realize a turnover of around EUR 100 million, and as soon as 2023, we plan a turnover of EUR 160 million – Geisel said.

He added that Boysen would invest EUR 70 million in the Subotica factory and that investments in the expansion of the facility on an area of over 100,000 m2 were planned.

– However, we are convinced that, in the next two years, we will steadily increase the production and that it will reach its full capacity in 2024 – Geisel said.

He also said that exhaust systems for Mercedes Benz V-Class vehicles and Sprinters were produced in two shifts at that moment and that, in the second phase, to begin several weeks later, the production of GAC bodies for Mercedes trucks of the Actros brands and other commercial vehicles of that brand was planned.

– At the peak of the production, we plan the making of 35,000 GAC bodies and up to 360,000 exhaust systems for Sprinters and V-Class vehicles. In the third phase, from 2024, the production of exhaust systems for A- and B-Class vehicles by Mercedes is planned – Geisel announced.

Boysen Abgassysteme d.o.o. Subotica

Ambasada SR Nemačke Beograd

Boysen Abgassysteme

Mercedes Benz

Embassy of Germany in Serbia

Aleksandar Vučić

Rolf Dieter Geisel

Thomas Schieb

Mali Bajmok business zone

automotive industry

exhaust systems

employment