Car parts manufacturer Magna International Inc. has launched a new production facility in Odžaci, Serbia. The company uses flexible polyurethane foam to produce seating systems, head restraints and armrests.
The new factory will supply its output to automotive manufacturers Renault, Ford and Smart, the company said in a statement. Located about 150km from the country's capital city Belgrade, the Odžaci-based facility operates on a total floorspace of 4,300 square meters, and it has a workforce of 300. An additional 150 jobs could be created at a later stage.
The investment in Odžaci is worth about 5.5 million euros, according to the information obtained by local media. The plant's launching event was attended by a number of senior Serbian officials including the country's First Deputy Prime Minister Aleksandar Vučić.
"For Magna Seating, today represents an exciting step forward in the expansion of manufacturing capacity of our operations in Eastern Europe," Bernhard Niggemeier, executive VP Europe for Magna Seating, said at the event.
The company's product portfolio includes seating systems, seat structure and mechanism solutions, and foam and trim products for the automotive industry, according to data from Magna.
"Magna International will have opened seven facilities in eastern Europe between 2011 and 2013 to support increased automotive production in the region," the statement said.
Headquartered in Aurora, Ontario, Magna International operates 314 facilities and 89 product development, engineering and sales centers in 29 countries. The company has a workforce of 123,000.