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Gorenje Set to Build New Serbian Plant, Awaits State Decision

Gorenje Group d.d., Slovenia’s biggest appliance maker, said it’s close to a decision on expanding its Serbian production and may soon sign agreement with the government that will support its 20 million-euro ($26.4 million) investment.

The new factory in the western Serbian city of Valjevo, 100 kilometers (60 miles) southwest of Belgrade, will produce cooling appliances that are “bigger and of higher value” than those made at the facility, Chief Executive Officer Franjo Bobinac told reporters today.

“Our decision to start a new plant is almost final,” Bobinac said. “We just need to reach a final agreement with the authorities” on infrastructure and other support, he said.

President Boris Tadic, the leader of Serbia’s ruling Democratic Party, pledged support for “this type of investment” at a campaign stop in the area today ahead of May 6 elections. Gorenje currently has three production facilities in Serbia.

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