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Magna Steyr officially commits to building a production facility and creating many new jobs

 

On Tuesday, 17 October 2017, three representatives of Magna, the Minister of Economic Development and Technology Zdravko Počivalšek, and the Mayor of Hoče-Slivnica Municipality Marko Soršak, signed, in the presence of Prime Minister Miro Cerar and Magna’s leading representative in Europe, Günther Apfalter, an agreement on strategic investment implementation and a €18.6 million financial incentive to be allocated by the Slovenian state for the first phase of the project.

 
By signing the agreement, the investor, according to PM Cerar, committed to realising investments amounting to a minimum of €100 million during the course of the next 10 years, and creating at least 1,000 new jobs in the process. “Today, we are starting a new chapter in the development of the Štajerska region and Slovenia as a whole,” Cerar affirmed, and reiterated that this was the largest greenfield investment in the history of independent Slovenia.

 
Cerar stressed that “far from materialising by itself, the interest shown by the foreign investors was a direct result of the careful and methodical work of the current government”. Over the past three years, this government has shown what can be achieved with a stable government that has time on its side, a strong vision and a focus on the welfare of the people, businesses and society as a whole.

 
After signing the agreements, Zdravko Počivalšek, the Slovenian Minister of Economic Development and Technology declared: “Today is the official start of the deadline for investment implementation. This is an important milestone and the result of 18 months of hard work. Given that we are also preparing a new Act on Investment Incentives, this sends out a positive signal to investors that investment incentives are being regulated in Slovenia and that the country welcomes new incentives.”

 
Apfalter explained that Magna chose the Hoče location due to its favourable strategic position close to the airport, the motorway and the railway, as well as for all the workers available. “The cooperative spirit of the government and the local community has made us feel welcome, which is vital for us and for our future work in this area,” he added.

 
The first phase, which is valued at an estimated €146.4 million, envisages the paint facility to be completed and employing 404 workers by no later than the end of October 2022. The Pomgrad construction company already initiated preparatory works a few days ago, with construction set to be finished by the end of next year. Production is expected to start in early 2019.

 

 

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