SARAJEVO (Reuters) - Serbia on Thursday signed a 190 million euro ($199.67 million) deal with Franco-Italian car maker Stellantis for the production of an electric vehicle at its car manufacturing plant in Kragujevac.
"A new era begins today," President Aleksandar Vucic said after the signing ceremony. He said electric vehicle production should start at the beginning of 2024.
Fiat Chrysler (FCA), which is part of Stellantis, produces motor vehicles at the Kragujevac plant and is among Serbia's top ten exporters.
Vucic said that Serbia, which has not yet produced electric cars, will have to consider the opening of numerous charging stations to attract local buyers, as well as to adopt a new energy strategy.
"We have to secure cheaper electricity and to achieve that we have to have more renewable energy," Vucic said.
He said Serbia will participate in the investment with 48 million euros.
($1 = 0.9516 euros)