In 2024, the Serbian government allocated a total of at least €93.45 million in investment incentives to 54 companies, according to calculations by Biznis.rs based on the Ministry of Economy’s report on co-financed investment projects. This sum, however, is not final, as some projects listed in the report, such as the construction of a tire factory in Zrenjanin by Chinese company Linglong, do not include data on payments made in 2024 or previous years.
The report highlights that incentives were distributed to both domestic and foreign companies across various sectors, including automotive, chemical, food, and hospitality industries.
The data, as of December 25, 2024, shows that the last recorded project receiving state support was the reconstruction and adaptation of Hotel Slavija in Belgrade. However, no payments have been made for this project in 2024. It is anticipated that the first tranche of €3.6 million in incentives for this project will be disbursed in two installments in 2025 and 2026.
In 2024, the largest individual payout of €18.33 million went to FCA Serbia, the Kragujevac-based car manufacturer, as it prepares to begin series production of the electric Grande Panda. This company, which is a joint venture between Stellantis and Serbia, had already received €15.5 million in incentives in 2023, with a total contracted support of €48 million.
In the automotive and auto parts sector, other companies such as Soylemez Rubber&Plastic, Vorwerk, and ZF Serbia also received incentive payments in 2024.
One notable example missing from the report is the Chinese tire manufacturer Linglong, which has contracted to receive a total of €75.82 million in incentives from Serbia, alongside land valued at €7.66 million for its factory in Zrenjanin. While the Ministry’s report does not specify whether Linglong received any payments in 2024, it is known that €6.82 million was due for collection that year, with the remaining amounts due in 2025 and 2026.
In addition to Linglong, Japan’s Toyo Tire, which opened a factory in Indjija in December 2022, was paid €2.7 million in 2024. In 2023, Toyo received the largest tranche for this project, totaling €20 million.
Significant payments were also made to MTU Maintenance, which has an aircraft maintenance plant and an engineering center in Serbia. In 2024, MTU received the fourth tranche of €1.5 million for its new production plant, and the fifth tranche of €3.56 million for its new production and engineering center in Pančevo.
Serbia’s glass manufacturer Srpska Fabrika Stakla (SFS), owned by Slovenia’s Vaider group, received its first tranche of €6.48 million for the reconstruction, construction, and equipping of its glass production facility.
The hospitality industry also benefitted from the incentive scheme in 2024. Millennium Resorts, part of the Millennium Team, received €1.13 million as the third tranche for a wellness resort project in Vranjska Banja. TM Hospitality, based in Belgrade, received €1.2 million for the construction of a five-star hotel in Zlatibor, bringing its total support to €2 million over three years. Additionally, Promont Group received €1.35 million for a family hotel project in Irig, bringing the total support for this project to €3.3 million over three tranches.
Food industry companies also benefitted from the program. Chips Way, PONS bakery from Čačak, and Don Don from Belgrade received incentives for expanding production capacities and modernizing their facilities.
These incentives reflect Serbia’s ongoing efforts to foster growth across various sectors, with significant contributions from both domestic and foreign businesses. The government’s strategy aims to enhance industrial development and improve infrastructure in key industries such as automotive, hospitality, food production, and more.
