Construction of Austrian Factory Palfinger in Nis Announced – First Phase of Facility of New Chinese Investor Close to Completion

The construction of the Austrian factory Palfinger in Nis is planned and “very likely” for 2023, announced the city councilor Nenad Stankovic.

Palfinger is an Austrian company which, following negotiations with the government, the Development Agency and the City of Nis, obtained state land of around 7 ha, located in close proximity to the Zumtobel factory.

– The company wants to build a factory for the production of machine parts and employ 375 workers. The value of the investment is EUR 35 million. In the fourth quarter of 2022, the agreement was signed with the Government of Serbia and the Development Agency of Serbia on the allocation of state help subsidies, and then the beginning of the realization of the investment in Nis. The project of the company Palfinger, under the decision of Government of Serbia, has been pronounced a project of significance for the Republic of Serbia – says Stankovic, as reported by Juzne Vesti.

In addition to this Austrian company, according to Stankovic, the construction of the factory Yusei Machinery, a Chinese company which is a supplier of components for Xingyu Automotive Lighting Systems, which already operates in Nis, is in progress.

– The total value of the investment is EUR 20 million. The preparatory activities for the beginning of the realization of the greenfield investment, which entails the construction of the first phase, a production facility of 15,000 m2 in close proximity to the company Xingyu, are completed and the investor started building the facility in late June 2022. Interior finishing works are currently being done on the facility. The second phase of the project is the construction of a production facility of 10,000 m2. The planned number of workers is 150 in the first phase and 150 workers in the second phase – Stankovic clarified.

Said factory of LED lighting for the automotive industry, Xingyu, according to the Juzne Vesti news portal, was supposed to start working in 2021, but has still not been officially opened, and test production activities are still ongoing and only 150 employees work there, although it has been announced that there will be 1,000.

Stankovic also confirms that they have not yet officially commenced operations.

– The test production at the factory has begun, one facility is filled out, around 150 employees work there at the moment… They certainly have to honor the obligations within the deadlines that they have toward the Republic of Serbia, but in line with the dynamics they create themselves. Steps toward the realization of the second phase have already been taken – Stankovic said.

Grad Niš

Palfinger proizvodnja d.o.o. Niš

Xingyu Automotive Lighting Systems d.o.o. Niš

Yusei Machinery d.o.o. Niš

ZG Lighting SRB d.o.o. Beograd

City of Niš

Palfinger Austria

Palfinger factory in Niš

Xingyu Automotive Lighting Systems

Yusei Machinery

Zumtobel

new factories in Niš

automotive industry

construction of a factory