Serbia will grant €28.9 million in state subsidies to China’s Minth Group for two new automotive-component plants in Loznica and Šabac, supporting investments worth a combined €225.7 million and the creation of 820 jobs. The larger project will be developed in Loznica, where Minth plans to invest €135 million and employ 600 workers. The company’s Šabac investment is valued at approximately €90.7 million and is expected to create 220 jobs.
Investment and employment commitments
The combined subsidies represent roughly 13 per cent of the two projects’ total investment value. The state support forms part of Serbia’s efforts to attract foreign manufacturing investment and expand domestic production capacity within European automotive supply chains.
Minth manufactures exterior and structural components for vehicles, including aluminium battery housings for electric vehicles. The Chinese group has operated in Serbia since 2018 and already maintains manufacturing operations in both Loznica and Šabac.
Previous state support for Minth
The new incentive package follows earlier Serbian government support for Minth-related companies. According to calculations reported by local media, companies linked to the group received more than €37 million in Serbian subsidies between 2020 and 2024, in addition to land owned by the state or other public entities. The latest projects will add to Minth’s existing Serbian manufacturing footprint while extending its investment across the two western Serbian cities.
