Germany Business Partner 2021 - Continuity In Change by CorD Magazine

FEATURE

GERMANY 2021

FEATURE

GERMANY 2021

CONTENTS FEATURE

POST-MERKEL COOPERATION COMMENT

DIRECTOR OF THE GERMANSERBIAN CHAMBER OF COMMERCE (AHK SERBIA)

CONTINUITY IS A GERMAN TRADEMARK H.E. THOMAS SCHIEB, AMBASSADOR OF GERMANY TO SERBIA

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GROWING OPPORTUNITIES FOR COLLABORATION FRANK ALETTER, MANAGING

KNOWLEDGE LEAPS BORDERS MILOMIR GLIGORIJEVIĆ, CEO OF TELEGROUP SYSTEM

COOPERATION GROWING WIDE AND DEEP UDO EICHLINGER, PRESIDENT OF THE GERMAN-SERBIAN CHAMBER OF COMMERCE (AHK SERBIA)

GASES FOR LIFE MESSER TEHNOGAS

READY FOR THE NEXT STEP IN SERBIA ROMAN STRAKOŠ, MANAGING DIRECTOR, BROSE SERBIA

HOW VISION BECOMES REALITY ZF SERBIA

CULTURE IS ESSENTIAL IN PANDEMIC TIMES FRANK BAUMANN, DIRECTOR, GOETHE-INSTITUTE BELGRADE

QUALITY AHEAD OF ITS TIME ZORAN ĐURIĆ, MIELE SERBIA GENERAL MANAGER

EMPLOYEES ARE OUR GREATEST ASSET PIERLUIGI GHIONE, MANAGING DIRECTOR & HEAD OF HEADPLANT, LEONI WIRING SYSTEM SOUTHEAST

QUARTET FOR A SECURE FUTURE DUŠICA, NEVENA, SLOBODAN AND DUŠAN JANKOVIĆ, Inmold Plast

IMPRESSUM EDITOR IN CHIEF Neda Lukić n.lukic@aim.rs ART DIRECTOR Branislav Ninković b.ninkovic@aim.rs PHOTOS Zoran Petrović COPY EDITOR Mark Pullen mrpeditorial@mail.com

PROJECT MANAGERS Biljana Dević b.devic@aim.rs Vesna Vukajlović v.vukajlovic@aim.rs Mihailo Čučković m.cuckovic@aim.rs OFFICE MANAGER Svetlana Petrović s.petrovic@aim.rs FINANCE Dragana Skrobonja finance@aim.rs

GENERAL MANAGER Maja Vidaković m.vidakovic@aim.rs PUBLISHER Ivan Novčić i.novcic@aim.rs DIRECTOR Ana Novčić a.novcic@aim.rs a.novcic@cordmagazine.com

PRINTING Rotografika d.o.o. Segedinski put 72, Subotica GERMANY 2021 Published by: alliance international media Prote Mateje 52, 11111 Belgrade 17, PAK 126909, Serbia Phone: +(381 11) 2450 508 Fascimile: +(381 11) 2450 122 E-mail: office@aim.rs; office@cordmagazine.com

www.aim.rs; www.cordmagazine.com No 32 ISSN: 2560-4465 All rights reserved alliance international media 2021 The views expressed in this publication are those of the presenter; they do not necessary reflect the view of publications published by alliance international media

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RIGHT ON TRACK PETER WOLF, SECTOR FUND MANAGER, GIZ

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NEW INVESTORS ARRIVING DRAGAN SIMOVIĆ, MEMBER OF THE SUPERVISORY BOARD OF MILITZER & MÜNCH SERBIA; MEMBER OF THE BOARD OF DIRECTORS OF THE SERBIAN-GERMAN CHAMBER OF COMMERCE (AHK SERBIA)

NURTURING IT’S OWN LEADERSHIP POSITION LJILJANA TOPIĆ, DIRECTOR, GALENIKA PHARMACIA

ORDNUNG MUSS SEIN

GERMANY 2021

CLIMATE IS THE KINGMAKER IN GERMAN COALITIONBUILDING

GERMAN CAR BRANDS ENGINEERED TO PERFECTION

AN EXAGGERATED TREND?

EVERY CHALLENGE IS AN OPPORTUNITY FOR GROWTH BRANKA PERIĆ ŠLJIVIĆ, DIRECTOR OF INTERNATIONAL TRANSPORTS AT PERIĆ TRANS COMPANY

STRIVING FOR A WORLD BEYOND POVERTY TIMO STEGELMANN, INTERIM MANAGING DIRECTOR OF HELP - HILFE ZUR SELBSTHILFE – SUSTAINABLE AID WORLDWIDE

MODERN ARCHITECTURE IN GERMANY

RELIABLE PARTNER TO THE SERBIAN ECONOMY FOR 20 YEARS GERMAN-SERBIAN CHAMBER OF COMMERCE / AHK SERBIA, ACTIVITIES

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SATISFIED PARTNERS ARE KEY TO SUCCESS NEMANJA ĆIRIĆ, BUSINESS DEVELOPMENT MANAGER, GP GRADJEVINAR

THE DANUBE CONNECTS SERBIA AND GERMANY CRISTIAN SALLAI, DIRECTOR OF THE GERMAN NATIONAL TOURIST BOARD’S BELGRADE OFFICE, REGIONAL OFFICE OF BOSNIA-HERZEGOVINA, BULGARIA, CROATIA, MONTENEGRO, ROMANIA AND SERBIA 7

GERMANY 2021

COMMENT

POST-MERKEL COOPERATION Some of the topics that top the bilateral agenda include strategic cooperation in the field of climate change, as well as in the field of research and innovation. These themes are of lasting importance to mutual cooperation between the two countries and will hopefully outlive any election outcomes

ermany’s 25th September elections were from the very beginning dubbed “the most unpredictable elections in years”, as they indeed usher in a new era after Chancellor Angela Merkel’s 16 years in office. The outcome, which was watched closely around the globe, is of particular importance for the Western Balkans, and probably for Serbia in particular, as Chancellor Merkel’s policy had a strong impact on all aspects of political and economic life in Serbia. Some observers, such as Simon Ilse, director of the Heinrich Böll Foundation’s Belgrade office, think that her objective of eventually bringing Serbia closer to the EU has failed and state that “it is now high time for a fresh, new start to Germany’s relationship to the key enabler or blocker of a European future for the region – Serbia”. Indeed, Merkel’s attitude towards the Western Balkans was a key shaper of European Union policy towards the six countries of the region. It will obviously take some time before we can discern how the European and Balkan policies of Markel’s successor

will look and whether the Western Balkans will remain a German strategic interest. Merkel certainly intrigued many with her decision to devote one of her last foreign visits in her capacity as chancellor to Belgrade and Tirana.

German investors increasingly see the Western Balkans and Serbia as places to invest in more complex activities Some believe that she wanted to deliver a critical message regarding future bilateral relations between these two countries, while others are of the opinion that she wanted to support President Vučić ahead of upcoming elections. Some interlocutors emphasise in particular her message related to the exploration of lithium. It remains to be seen which of these reasons is correct. If one turns to hard data, there is one area that shows strong and unambiguous evidence in all aspects: over recent years, German companies

have invested around €3 billion in Serbia, creating more than 65,000 jobs and turning a significant number of Serbian SMEs into supplier companies of the German car industry. As a result, the trade exchange between the two countries is growing constantly, reaching 5.3 billion euros in 2020. According to the German-Serbian Chamber of Commerce, German investors see Serbia as a suitable destination for investment. According to the results of the opinion poll that’s regularly conducted among German companies in Serbia, the investment climate is good and the business environment is slowly but surely improving. Another sign of progress in mutual relations is the shift from labourintensive activities to those that are at a higher technical level. Furthermore, suppliers are today working on much more complex projects than they were previously, while the topics occupying the interest of political leaders from both sides include cooperation in the field of climate change and in the field of research and innovation. These are all good news items.

GERMANY 2021

INTERVIEW

H.E. THOMAS SCHIEB, AMBASSADOR OF GERMANY TO SERBIA

CONTINUITY IS

A GERMAN TRADEMARK

There is no doubt that the Western Balkans and EU enlargement will remain high on Germany’s agenda. Whoever becomes the next Chancellor will certainly have a significant interest in democratic, prosperous and stable Western Balkan countries that are part of the European family and will be part of the EU as soon as possible ~ Thomas Schieb deliver on reforms, the EU will also deliver,” says Schieb in this interview.

ngela Merkel’s stepping down from the political scene was followed closely in Serbia and the other countries of the Western Balkans, with attention that reflected the common belief that this German Chancellor has had a decisive influence on the policy pursued in this 10

Your Excellency, departing German Chancellor Angela Merkel has chosen the Western Balkans as the last region that she will visit prior to concluding her professional career. What kinds of messages do you think should be drawn from that fact? To start with, I’d like to say how grateful we were for the very warm welcome Chancellor Merkel received in Belgrade. With her trip to Belgrade and Tirana, Chancellor Merkel once again underlined the great significance that the German government attaches to Serbia, the region as a whole and its EU integration. In Belgrade, she had excellent talks with the President about all relevant issues. Chancellor Merkel also exchanged views with civil society representatives from all Western Balkan countries. She then met all six heads of government in Tirana. She underlined the great importance that the Berlin Process, launched by Germany in 2014, continues to bear fruit. Serbia and the region will remain high on our agenda. region by the European Union. With assurances that Germany will remain committed to the EU enlargement process, regardless of who becomes the new chancellor, German Ambassador Thomas Schieb insists that “the speed of enlargement remains in the hands of the respective countries. When you

To what extent will Chancellor Merkel’s final visit to Serbia and the messages she gave be binding for her successor? Do you expect new developments in German relations with Belgrade? A trademark of German foreign policy is continuity. There is no doubt that the

EU ACCESSION

INVESTMENTS

OPEN BALKAN

Germany is, and will remain, a strong supporter of Serbia’s EU accession. Our position is clear: clusters can and will be opened contingent on reform progress, particularly in the area of the rule of law

Since the year 2000, German companies have invested approximately 3.1 billion euros in the country and created around 70,000 jobs. This is impressive indeed

The Open Balkan initiative, in our understanding, provides an important impulse to ongoing efforts to realise the regional economic integration of all WB6 countries

Western Balkans and EU enlargement will remain high on Germany’s agenda. Whoever the next Chancellor will be, whether Armin Laschet or Olaf Scholz, they will certainly have a significant interest in democratic, prospering and stable Western Balkans countries that are part of the European family and will be part of the EU as soon as possible. The speed of enlargement remains in the hands of the respective countries. When you deliver on reforms, the EU will also deliver.

the resumption of the opening of EU accession negotiation chapters, i.e., clusters. Why is that? Germany is, and will remain, a strong supporter of Serbia’s EU accession. Our position is clear: clusters can and will be opened contingent on reform progress, particularly in the area of the rule of law. It is true that Serbia

Should the current European integration deadlock be attributed to a lack of results in the dialogue with Priština or the poor assessment of the situation in Serbia with regard to the rule of law? Both areas are relevant for EU integration. Justice reform, progress with other relevant legislation and – even more importantly – the implementation of laws in the rule of law, e.g., with regard to the fight against corruption and for the improving of media freedom – are key elements for the progress of accession talks.

Federal elections were held in Germany at the end of September, marking an historic change of chancellor, with the departure of Angela Merkel. However, you have noted that there will be no major changes to German foreign policy. Do you nonetheless expect some new directions in terms of the topics or policies that will be prioritised? Indeed, Germany elected a new Bundestag on 26th September. This heralded the end of an era in a way, as Angela Merkel will leave office after 16 years – only Helmut Kohl served for a similarly long period. But, as I said before, I don’t expect any major changes in Germany’s foreign policy. In principle, all political parties that have a realistic chance to form a new government agree that European integration is of key importance, as are the transatlantic partnership, the promotion of multilateralism and an international rules-based order. One issue that will certainly be an even higher priority for every new government is the fight against climate change. During Chancellor Merkel’s visit, we once again heard that Germany supports Serbia’s EU integration path. However, the fact remains that Germany and other EU member states don’t currently support

Whoever the next Chancellor will be, whether Armin Laschet or Olaf Scholz, they will certainly have a significant interest in democratic, prospering and stable Western Balkans countries that are part of the European family and will be part of the EU as soon as possible has delivered on some relevant opening benchmarks, but there was not enough time for the EU to assess that before the June conference. I am quite optimistic for December. I strongly encourage all relevant stakeholders to remain committed to the reform path.

You’ve spoken about the excellent cooperation between Germany and Serbia on the economic front. How would you explain the continuous interest in investing in Serbia among German investors, despite Serbia’s slow progress on EU accession? Since the year 2000, German companies have invested approximately 3.1 billion euros in the country and created around 70,000 jobs. This is impressive indeed. The “quality” of German investments is also improving, i.e., German companies are investing more and more long-term, helping to transfer knowhow and technology, as well as fostering innovation potentials, generating higher ‘added value’ in Serbia. The close proximity to the European Union, the availability of a skilled workforce and an environment that’s generally supportive of foreign direct investments are among the main factors contributing to Serbia’s attractiveness as a destination for investments by German companies. Moreover, those German companies that are already present in Serbia are satisfied – according to the annual survey of the German-Serbian Chamber of Commerce, AHK, around 90% of its members would invest in Serbia again. 11

GERMANY 2021

INTERVIEW

remain. The OHR still has an important role to play in maintaining stability and security in the country, and to ensure the implementation of the civilian aspects of the Dayton Peace Agreement. Given the experience and expertise of new High Representative Christian Schmidt, I expect that he will keep Bosnia-Herzegovina high on the international agenda. Besides that, he will focus on achieving progress in the implementation of the 5+2 Agenda, which is a precondition for the successful completion of the mission of the OHR – also with a view to speeding up the country’s journey “from Dayton to Brussels”.

At the same time, it is important to note that reforms to foster competition and improve the provision of public services, as well transparency and legal security, will further contribute to promoting a strong and competitive private sector in this country. Sustainable economic growth in Serbia, based on a strong private sector, is crucial when it comes to making Serbia’s economy fit for EU accession. Investors are very well aware of this and they are counting on Serbia’s path towards the EU. How would you assess the regional initiative that was recently renamed Open Balkans? The Berlin Process, initiated by Germany in 2014, aims at improving regional cooperation among the WB6 countries and thereby facilitating their path towards EU accession. One concrete endeavour is to create a Common Regional Market in the Western Balkans, thus boosting economic relations among the WB6 countries. At the last Berlin Process summit meeting in 12

It is true that Serbia has delivered on some relevant opening benchmarks, but there was not enough time for the EU to assess that before the June conference. I am quite optimistic for December July, leaders of the Western Balkans reconfirmed their commitment to this important project. The Open Balkan initiative, in our understanding, provides an important impulse to ongoing efforts to realise the regional economic integration of all WB6 countries. It is very important that any regional initiative is inclusive, i.e., open to all WB6 countries. What do you expect from the Bosnia-Herzegovina mission of your countryman Christian Schmidt? Since its establishment, the Office of the High Representative (OHR) has contributed substantially to peace and stability in B-H. And yet, challenges

Elections will also be held in Serbia next year. Do you believe that the interparty dialogue will prove successful and provide conditions for free and fair elections, preventing another opposition boycott of the elections? Plurality of opinions is obviously very important in every democracy. A parliament should reflect the opinions of its citizens and allow for constructive political debates. We therefore hope that the interparty dialogue, which is facilitated by the European Parliament, can contribute to providing the conditions for free and fair elections and, thus, the participation of opposition parties in the elections. One of the key elements of this dialogue, which also includes the participation of representatives of the European Parliament, is media freedom. Do you think the current situation in the Serbian media can ensure the fair representation of all participants in the elections? We share the assessment of the EU Commission that more needs to be done to ensure media freedom in Serbia. The goal must be to enable an environment in which freedom of expression can be exercised without hindrance. This includes journalists being able to work without threats, media laws being fully implemented, the independence of the Regulatory Body for Electronic Media being strengthened and transparency in media ownership increased.

GERMANY 2021

FEATURE

GERMANY 2021

INTERVIEW

UDO EICHLINGER, PRESIDENT OF THE GERMAN-SERBIAN CHAMBER OF COMMERCE (AHK SERBIA)

COOPERATION GROWING WIDE AND DEEP There are great opportunities for cooperation between German and Serbian companies, and both sides are ready to use those opportunities. German companies that currently operate in the country are satisfied with the productivity and motivation of their employees, while new prospective investors are increasingly looking for Serbian suppliers specifically

erman companies are increasingly considering Serbia under the scope of their strategies to secure nearshoring suppliers, says Udo Eichlinger, President of the German-Serbian Chamber of Commerce (AHK Serbia). Indeed, he notes, over the past year AHK has observed that more German companies are looking specifically for suppliers from Serbia. “This is certainly done from two points of view: on the one hand, we have positioned Serbia as part of the Western Balkans purchasing initiative as a supplier market for Germany. On the other hand, we find that German companies base their purchasing strategy on different pillars,” says Eichlinger. “Here again, the proximity to the EU and good quality structure of Serbian products offer themselves”. According to our interlocutor, the focus is currently on the metal processing industry, mechanical engineering, IT and the food industry. The metal processing industry accounts for almost 40% of Serbia’s manufacturing exports and is experiencing continuous growth. In the IT industry, Serbia has established itself as an outsourcing location for software, telecommunications and consulting services. Serbia has very favourable climatic conditions for a wide variety of agricultural products, experienced and quality-conscious manufacturers, suitable expertise and food technicians, as well as a globally recognised selection of various plant products. “We should continue to mar-

PROGRESS

FOCUS

EDUCATION

In the latest survey conducted by the German-Serbian Chamber, the list of positive factors cited by German-Serbian companies includes the tax system and tax management for the first time

The focus of German companies in Serbia is on the metal processing industry, mechanical engineering, IT and the food industry

Serbian education has to turn learning through work into a competitive advantage in attracting foreign investments that contribute greatly to the Serbian economy

ket these positive aspects in order to use the advantages of a realignment in the purchasing area,” says Eichlinger.

East and West, human resources, and to persevere in improving the business environment. For many major investors, in their final decisions concerning investment location, infrastructure, the education of workers, the proximity of the market and the possibility of protecting contracts and property were more important than subsidies.

to our business concept of having sustainable operations. But where there is a different approach, it is definitely beneficial to have this kind of support and commitment to the EU principles of free competition and equality.

What criteria would you cite as being decisive in choosing an investment destination? The availability of professional staff is nowadays one of the most important factors in a company’s decision to invest in a particular country. This is exactly the chance for Serbian education to turn learning through work into a competitive advantage in attracting foreign investments, which contribute greatly to the Serbian economy. In addition to that, a concentration of sectors in the same area can ease efforts at developing the required talents. Training and school resources can be bundled and a joint definition of required skills can improve the content of curricula. If you were to rank the factors that attract investors in terms of importance – from an improved business environment, the rule of law, good geographical connectivity and others – how would subsidies rank on your list and why? Thanks to the demanding economic reforms it has implemented in the previous period, Serbia has positioned itself as one of the most important investment destinations in Central and Eastern Europe. Attracting foreign direct investment, mainly through the investments of multinational companies, is seen as a way to transfer knowhow, technology and business organisation to domestic companies, as well as to increase labour demand and increase exports. Due to the connection of domestic companies with foreign investors and their inclusion in the value chain, their productivity and product quality increase. It is necessary to make the most of the key advantages of Serbia, which are embodied in its regional position and preferential access to the markets of

At Siemens we are particularly proud of our Mobility factory in Kragujevac, which produces trams and components for light rail vehicles. Many projects are underway and a lot of trams will be produced here and used throughout Europe It also needs to be noted that subsidies are also available to Serbian companies in the same way. Taking subsidies or not is definitely a business decision and a need of both foreign or local companies. For example, Siemens in Serbia did not take subsides, due

According to the Government of Serbia, we are no longer a country of cheap labour. Does this concur with the perspective of German companies doing business in our country? What do they see as being the most important criteria? Serbia is of great interest to the German economy, both as a procurement and sales market and as a production location. There are great opportunities for cooperation between German and Serbian companies, and both sides are ready to use those opportunities. Numerous factors that could be of great interest to potential German partners are noteworthy, including the free trade agreement with the EU, a productive and high-quality labour market, state subsidies and good logistical connections to Central and Western Europe. Having said that, we also find it important that jobs are also created for less skilled people to achieve inclusive growth of the economy. Your member survey for this year showed that AHK Serbia member companies are extremely satisfied, while the list of key challenges that they identify still includes the business climate, legal framework and corruption. Have your members noticed any positive shifts in these areas, and, if so, where? Exactly, the results of the latest survey conducted by the German-Serbian Chamber of Commerce in March and April show optimism. Satisfactory assessments of German-Serbian companies were given to criteria related to the labour market in Serbia: companies are satisfied with the productivity 15

GERMANY 2021

INTERVIEW

alone. Each region brings with it some benefits. There are numerous opportunities to establish cooperation with Niš, Čačak, Zaječar and Kragujevac, and here we are primarily referring to areas like the automotive, textile, IT and some other industries. At Siemens we are particularly proud of our Mobility factory in Kragujevac, which produces trams and components for light rail vehicles. Complete trams are manufactured in Serbia. Many projects are underway and a lot of trams will be produced here and used throughout Europe.

and motivation of employees, their qualifications, academic education and dual education, and for the first time the list of positive factors includes the tax system and tax management. Unfortunately, it needs to be noted that Transparency International’s research shows no change in the corruption index. We have addressed this with the Serbian government on various occasions and offer our assistance to improve the business environment to a sustainable level. Serbia has an ever-increasing problem when it comes to retaining its educated and talented young workers. What do you think is the cure to this brain drain? German companies are committed to Serbia. German companies transfer certain values to their way of doing business. I just want to mention that we run an additional health programme that gives a great benefit to our employees. We find that a working healthcare system and good infrastructure – not only in the larger cities, but also in rural areas – are key to avoiding a certain brain drain. How do you attract educated personnel at Siemens specifically? Nowadays it isn’t always easy. It became a challenge to attract engineers to our area of business, since it is predominantly one of the most in-demand 16

By using innovation, we can truly change people’s lives with solutions for the future, which really makes us an attractive employer occupations of the last decade. But, to tell you the truth, we consider ourselves lucky, as employees choose us on many occasions. That’s not just a phrase, but something that Siemens has been working on for more than 170 years. We have almost 400,000 employees worldwide and we’re all bound by the same principle: to work for a company that cares about people, about the work-life balance, about society. Needless to say, our company is among the world’s most innovative companies. Using innovation, we can truly change people’s lives with solutions for the future, which really makes us an attractive employer, wouldn’t you agree? We are increasingly seeing German companies heading to Serbia’s interior. With the exceptions of Belgrade and Novi Sad, which of the country’s industrial centres would you single out and why? German industry is present in all parts of Serbia – more than 70,000 people are employed at about 400 German companies. For example, more than 50 German companies operate in Vojvodina

Do you consider Serbia as being on the right track when it comes to keeping pace with the Fourth Industrial Revolution and digitalisation? Apart from the building of eGovernment structures, do you see any domains of the industrial sector that could represent good examples of this transformation? I must say that the Government of the Republic of Serbia has recognised the importance of digitalisation, which has contributed to significant development in this area over the past few years. The Government has acknowledged the importance of investing in this as great capital for economic stability and future growth. Digitalisation, as one of the priorities of the Government of the Republic of Serbia, transforms everyday work in the public sector and raises its economy, transparency and quality of work. I believe Serbia should just maintain the good direction it is taking by nurturing a positive business climate in the country, which proved to be extremely stable, even under the conditions of the coronavirus pandemic last year, which means a stable GDP this year and certainly the creation of even better conditions for young people and talented individuals who live and work in Serbia, as well as to entice our people who have left Serbia to come back and have good and stable jobs. One aspect of the new normal we have all been living in over the past year and a half is remote working, and with this model it is possible to work from any part of the world in some business areas, so why not use this opportunity and stay in Serbia?

GERMANY 2021

INTERVIEW

FRANK ALETTER, MANAGING DIRECTOR OF THE GERMAN-SERBIAN CHAMBER OF COMMERCE (AHK SERBIA)

GROWING OPPORTUNITIES

FOR COLLABORATION

Serbian companies are very well positioned to attract the interest of German investors seeking to diversify their supply chains or find alternative sourcing destinations. This trend mirrors an upsurge in bilateral business relations

he Delegation of the German Economy in Serbia and the German-Serbian Economic Association celebrated their 20th anniversary in Serbia this year, while the German-Serbian Chamber of Commerce (AHK Serbia), which unites them, celebrated its fifth anniversary this April. “There have always been good business relations between Germany and the Western Balkan countries,” says our interlocutor Frank Aletter, Managing Director of the German-Serbian Chamber of Commerce (AHK Serbia). These business relations have increased over recent years, not only in terms of trade, but also with regard to

How do you see the chamber’s future operations and activities? What has changed, or has yet to change, when it comes to the way AHK Serbia delivers its services? The German-Serbian Chamber of Commerce regularly provides information and networking events for its members. At the same time, it also addresses current economic topics and provides a public-private dialogue. The challenges of doing business have, however, increased over the previous years when it comes to climate and environmental protection, digitalisation and finding the right talents for companies. These topics need to be addressed with strategic partners and stakeholders. The chamber has established working groups in these areas to provide knowledge support for its members. German FDI. This trend started around 2012 and, according AHK data, the COVID situation has only marginally slowed the interest of German investors. “Due to the disruption of the supply chain from Asia, interest of German investors who want to diversify their supply chains has been picking up again. At the same time, companies based in Germany are also seeking alternative sourcing destinations and Serbian companies are very well positioned in this regard,” says Aletter. “These developments are also reflected in the number of members of the German-Serbian Chamber of Commerce, which started with 30 member companies and now stands at 370 corporations.”

The AHK Road Show has been held in cities that are considered as being Serbia’s new centres of innovation, such as Novi Sad and Čačak, for example. How attractive are these centres to German companies that have a higher technical level of operations? During the roadshow to Novi Sad and Čačak, it was particularly interesting to meet Serbian companies in the IT sector or in the field of digitalisation and robotics. These are certainly areas that are very interesting for the German market. In addition to that, there is high demand for skilled and experienced personnel in the field of digitalisation. Thus, companies in these two cities are very attractive for potential partnerships

INTERESTS

Climate and environmental protection, digitalisation and finding the right talents for companies are emerging topics that need to be addressed with strategic partners and stakeholders with German companies. The AHK Road Show has proven to be a good marketing tool to promote these two locations. AHK Serbia has an important role to play in supporting dual education in Serbia. To what extent are your members involved in dual education today; and how has the COVID-19 Pandemic impacted this area of their work? Currently, one of the main pillars of AHK Serbia is the support and implementation of dual education as vocational training and dual studies in Serbia, especially when it comes to guidance and practical training provided by our members. Our chamber built a “Dual education” working group – to support members through the implementation and conducting of dual education in their companies. AHK enables a strong network amongst members and stakeholders for sharing experience, monitoring the implementation of the dual education law and bylaws in Serbia, building synergies for cooperation with VET schools, using linkages to Serbian VETs, universities, training and science centres, as well as to German dual education institutions and providers like the Federal Institute for Vocational Education and Training (BIPP), the international AHK network, the German IHK network and to German VET schools as well. We also gather feedback from our members regarding the implementation phase of dual education and its success and challenges, and then forward the main issues of that feedback to leading bodies like the Serbian Ministry of Education, the local chamber of commerce in Serbia, other stakeholders and key players in the country. After being introduced to secondary schools, dual education is now gaining a more prominent role in tertiary education in Serbia. How important is tertiary dual educa-

INVESTMENTS

Various German companies are investing in the R&D field, particularly in the areas of the automotive sector, energy solutions and artificial intelligence

tion for German companies, both at home and abroad? Our members are in the process of restructuring and updating their industrial processes in line with new technologies, furthering digitalisation through the use of, for example, AI, 3D printing, or augmented reality, and thus complex digitalised technologies demand spe-

AHK enables a strong network among its members and stakeholders for sharing experiences, monitoring the implementation of the dual education law and bylaws in Serbia, as well as building synergies for cooperation with various partners cialised knowledge and skills based on further education and qualification, and the higher education of their employees. As it is essential to educate young people at an academic level that can provide solutions to complex and abstract questions, the helpfulness of also hiring young people who have already been exposed to practical tasks can’t be overlooked. In Germany, the concept of dual education

POTENTIALS

Companies in Novi Sad and Čačak that hail from the IT sector or operate in the field of digitalisation and robotics are very attractive for potential partnerships with German companies also transferred to tertiary dual education. This has been proven as a working tool to provide the right personnel for the relevant job profiles. The future will show whether this is a concept that will work in Serbia. AHK Serbia offers a wide network and the support of an expert in the development of dual study programmes, thanks also to the international network of the GIZ programme “Business Scout for Development”. You’ve noted the fact that fostering cooperation in science and research, and in business areas, would benefit both countries. Could you be more specific with regard to areas and fields of cooperation? Various German companies are not only investing in the area of production in Serbia, but also in the field of R&D. This has been seen in particular in the areas of the automotive sector, energy solutions and artificial intelligence. There are flagship projects on the way, in which those companies cooperate with universities. Such initiatives are welcome, but can certainly be increased in the aforementioned sectors or other areas of activities. Some foreign and bilateral chambers of commerce in Serbia are involved in supporting Serbian start-ups or pairing start-ups and traditional companies from their own countries with innovative companies from Serbia. Have you considered such an option? This has already been practised for the last several years. AHK Serbia is a bilateral organisation that also supports Serbian companies in matching with German companies in Serbia, as well as providing support to enter the German market. If a start-up company approaches us, we provide all relevant services and open access to our network. As mentioned above, demand is very high, particularly in the IT sector, and creates opportunities. 19

GERMANY 2021

FEATURE

MILOMIR GLIGORIJEVIĆ, CEO OF TELEGROUP SYSTEM

KNOWLEDGE

LEAPS BORDERS TeleGroup system is one of the leading technology companies in the field of information and communication technologies, the modernisation of the electricity industry, technical and Cyber security, intelligent transportation systems and the construction of telecommunication infrastructure in Serbia

eutsche Telekom assessed TeleGroup as a modern, structured company with excellent potential and that, with our expertise, working discipline, experience and references, we are worthy of their attention and trust in becoming their partner - proudly notes TeleGroup system’s CEO Mr Milomir Gligorijević. Over the past 20 years of operations on the Serbian market, TeleGroup has succeeded in gaining an enviable reputation in our region and abroad. What makes you particularly proud? I’m primarily proud of our many years of operations and survival on such a dynamic market. We have been operating in Serbia for 20 years, and in BosniaHerzegovina for 25 years, while we are also present in other countries of the region, where we operate to the highest standards of the sector. Our success is precisely the fact that we know what we’re doing and that we always keep pace with modern technologies. Thanks to our knowhow, competencies and our personnel, we are today participating in the development of strategic projects. I’m proud of the entire families that have grown up and work at our company today, and I’m also happy about the frequent returns of the best staff after they’ve worked on foreign markets and projects. Our results, our people, our courage and knowhow have built a reputation that has stood the test of time and earned the attention of foreigners. It was five years ago that you recognised the potential to expand

we are part of that. Deutsche Telekom, as one of the world’s leading telecom operators, is striving to become a leader in building Europe’s digital sovereignty. It is a special honour for us that – alongside the infrastructure investments that we’ve agreed to make over the next five years, as well as maintenance – we are today jointly discussing great ideas and opportunities to engage highly qualified personnel for future project planning, optimisation and design projects in telecommunications. We are today working and thinking together with the teams of Deutsche Telekom.

We consider the model of work in Germany and at home as being optimal for our mentality your operations to the territory of Central Europe. How did Germany distinguish itself on that large market of huge opportunities? Germany is the economic locomotive of our part of the world. We analysed the development of telecommunication and saw that our expertise would be important in the future, particularly in the area of building optical infrastructure. That future is already unfolding today, as we talk. Germany has strongly, and with huge resources, launched the implementation of a huge project – FIBER OPTICS TO EVERY RESIDENT – and

How did your cooperation with Deutsche Telekom come about? What recommended you to them – was it your strong references, expertise, experience? The initiative originated with our company. We are fortunate that, in addition to wonderful engineers, we have excellent experts working in communications and international relations, who recognised that our knowhow can leap borders. With clear communication and the presenting of our expertise, Deutsche Telekom gave us the opportunity to prove ourselves on pilot jobs in the German cities of Kiel and Braunschweig. We’ve proven ourselves and met expectations in the domain of our working method, knowhow and quality. Next came a chance to cooperate further on the building of future networks over the next five years and in maintaining existing infrastructure. My dream, which I initiated five years ago while working with Siemens, has now blossomed with new energy

with the launch of Deutsche Telecom projects development. I have enjoyed the way they discuss, do business and plan, because their procedures, rules and business culture were things that attracted and encouraged us to endure on the difficult path of proving our competencies. How does your cooperation with Deutsche Telekom function? Directly or through subsidiaries? Do you have subcontractors? Our cooperation with Deutsche Telekom is totally direct and open. We create it mutually. We easily agreed that, due to simplicity and legal regulations, the cooperation would be led by TeleGroup GmbH, as a German legal entity. Deutsche Telekom is acquainted in fine detail with the personnel and all other capacities and resources at TeleGroup system’s disposal, and it accepted to enable other companies in our system, apart from TeleGroup GmbH, to participate in projects: TeleGroup Belgrade and TeamEnergo from Serbia, Tech Team from Croatia, TeleGroup Banja Luka, TeleGroup Sarajevo, G&T Inženjering Banja Luka from Bosnia-Herzegovina and Diagram from Slovenia. All of our companies are involved in this project, yet even all of us are not enough, we strive to cover the vast needs and as a key partner of Deutsche Telekom Technik in Balkans we are broadening our human resource capacities to meet the groving needs of the work in the next five years in the North of Germany. Is it true that you have the best teams in the area of copper and optical infrastructure, and that your cooperation with Deutsche Telekom provides an opportunity for TeleGroup employees to train and develop? Yes, that’s correct. We really have high-quality teams. These are people who’ve been working together for a long time and have been engaged in projects with almost all telecom companies in the region. Our people are really top masters of their craft, ennobled with knowledge and, even more importantly, vast experience. We love our home,

family, friends from the neighbourhood, our cafes and musicians. That’s precisely what brought us all back from the abroad to our homeland. However, in order for our region to be modern and competent, we must sometimes stretch our seven-league boots. That’s why we consider the model of work in Germany and at home as being optimal for our mentality. For us, cooperation with Deutsche Telekom represents, among other things, a chance to train and improve our people and to work at home, but also in Germany, with a

have the ambition to be the first in the development of fiber optics, which is why we are happy to have arrived at the right time! TeleGroup GmbH is growing and developing through ever more projects, the technological equipment we have at our disposal, the expansion of our human resource capacities and expansion to new offices in Hamburg and Kiel. We are currently concentrating on the north of Germany, where we were welcomed very collegially and with great respect. We independently, as a system,

Ivana Kojadinović Žižić (Telegroup), Borislav Tadić (Senior Vice President Deutsche Telekom ), Annett Berthold (Senior Vice President Calculation Deutsche Telekom), Milomir Gligorijević

We are currently concentrating on The North of Germany, where we were welcomed very collegially and with great respect reliable employer that keeps pace with the ambitions of the market. Are you proud of the fact that your cooperation with Deutsche Telekom has opened the door and provided an opportunity for other Serbian companies to work on this demanding market? TeleGroup is the first company from Serbia to have direct cooperation with Deutsche Telekom, and we consider that a great success and a true privilege. Germany and Deutsche Telekom

covered the areas of Braunschweig, Kiel, all the way to Lubeck. We are happy with the fact that we have justified the trust of our German partner and thus enabled other companies from our market to demonstrate their expertise and knowhow. We are impressed that we are in the company of serious companies from Serbia, that we are together defending and raising the reputation of our country and profession. Our company’s doors are constantly open to all interested engineers, technicians and fitters who have knowledge of the German language and accept discipline and apply the rules of the profession, and who strictly respect the organisation and wish to shoulder with us, work “side by side”, to build something great together! 21

GERMANY 2021

BUSINESS

ROMAN STRAKOŠ, MANAGING DIRECTOR, BROSE SERBIA

READY FOR THE NEXT STEP IN SERBIA Brose is the world’s fourth-largest family-owned automotive supplier. In 2021, the company’s new site in Pančevo started its operations - and the next development steps are already being prepared negative effects, we were able to cope well thanks to close cooperation with our partners. Brose Serbia achieved every important milestone on time or even quicker than originally planned. Our plant has been in operation since 1st July. We are currently producing electronics and cooling fan motors, while preparing to increase our capacity as planned. The next step will be the start of our production line for electric oil pumps in early 2022.

n his interview for CorD, Brose Serbia Managing Director Roman Strakoš expresses his satisfaction with the decision to set up a new location near Belgrade and describes his plan for the next years.

Is everything in your new plant in Pančevo progressing according to plan? What exactly will be produced at this facility located near Belgrade? We struggled with COVID restrictions over recent months, just like 22

The next step for Brose Serbia will be the start of our production line for electric oil pumps in early 2022 other companies. We were particularly hard hit regarding the training of our new employees abroad, due to various, changing regulations. The situation also had a negative impact on the availability of the necessary construction workforce and material. Despite those

How would you assess your company’s cooperation with representatives of the City of Pančevo and the Republic of Serbia? Have they done everything required to ensure that this largest German investment in Serbia to date is being implemented to the mutual satisfaction of all involved? I see Serbia as a great place for our production and development location, with many people qualified and willing to take part in creating the future of mobility. This was the reason we chose Serbia in the first place, and good cooperation with the local and national government confirmed our decision. So far, we have always been able to find a way to together resolve every issue that came up. How much assistance in the implementation of this project have you received from representatives of the German-Serbian Chamber of Commerce and the Serbian Development Agency - RAS?

We received major support and guidance from RAS, which was and is very helpful. The commitment of the entire RAS team is outstanding, and the Republic of Serbia can be really proud of them. With the Chamber of Commerce, we mainly cooperate with regard to educational topics and in order to get in contact with other German companies. How much have you invested in Serbia to date and what is the total value of this latest investment? Until the end of 2021, we will have invested a high double-digit million euro amount here, which is about three quarters of our investment for the first phase of the new location. Alongside the constructing of the factory and procuring of equipment, you’ve also worked to identify the best possible personnel. Are you satisfied with the quality of the workforce that’s available? How many workers will be employed?

This autumn, we will also start our internship programme: 19 students will be working at Brose, with some of them even staying in Germany for a couple of months In general, we are very satisfied with the technical qualification of people, as well as their ability to speak English. At the moment, more than 350 people are working at Brose Belgrade. This number is supposed to grow to 1,100 by 2025. Of course, this growth will depend on the further development of the automotive industry, which is still rather volatile due to the pandemic and the shortage of semiconductors. Are you perhaps planning to collaborate with local schools, colleges and institutes on identifying and promoting talented individuals at an early stage and encouraging the development of research projects? We are in intensive discussions with local high schools in Pančevo to set up a

dual education programme. There is also close cooperation with the universities of Belgrade and Novi, Sad specifically the faculties of Mechanical Engineering, Electrical Engineering and Technical Sciences. This autumn, we will also start our internship programme: 19 students will be working at Brose, with some of them even staying in Germany for a couple of months.

How realistic is your plan to achieve revenue of around €440 million in Serbia by 2025? With our long-term planning and order situation, that goal is still realistic. However, as already mentioned, our business development is closely linked to the situation of the automotive market in general, which is still facing several crises today. 23

GERMANY 2021

BUSINESS

ZF SERBIA

HOW THE VISION BECAME REALITY The story of ZF Serbia began in 2018, when the foundations of this important greenfield site of ZF’s youngest and innovation-driving E mobility division were laid in the city of Pančevo, in Vojvodina, Serbia

F was then already leading the transformation to new mobility and taking major steps to advance new technologies and products, with the strong conviction that electromobility is the future of the automotive industry, and all strategic decisions were made with the aim of developing, expanding and accelerating this change. With ambitious future plans, ZF decided to come to Serbia and invest in a new production site, and by the time this modern production facility was officially opened, in June 2019, the investment had already increased and the extension of the plant and research & development centre were already under construction. A significant investment of 160 million euros was agreed for the construction of phases I and II of the Pančevo plant, as an expansion of ZF’s global production

FROM LEFT: MILAN GRUJIĆ, MICHAEL STAUCH

network, and additional funds amounting to 35.6 million euros were allocated in the second phase of the investment for the construction and equipping of the ZF Serbia engineering centre Pančevo. This marked the biggest German investment in Serbia, initiated the new industrial zone in Pančevo and was a signal for other investors to come to Serbia. ZF understood and recognised the positive change in the investment climate, local efforts that will secure long-term political and economic stability, and also adequate infrastructure and workforce potential, but also the most important factor: the existence of credible and consistent local and national government support and understanding that will enable the desired progress of this project. Today, just three years on, we can have a realistic view of the impressive

results that ZF Serbia has achieved here and state that this location is an evident example of strategic thinking, correct decision making, great visons, promises kept and the joint effort of ZF team members and successful cooperation, but also great friendship between Serbia and Germany, company ZF and the City of Pančevo, which will continue through new plans and future challenges. ZF Serbia’s Pančevo location is today the biggest E-mobility location outside Germany, covering the entire design and production process from the first customer product to serial production, bringing the advantages of all those processes being instigated at the same time and in the same location. The growing team of highly skilled, trained and educated employees at this 58,000m2 production facility is currently working mainly on the production of starter generators for Volvo vehicles, electric motors for the third generation of hybrid transmissions for BMW and electric axle drives for Mercedes-Benz. Furthermore, microswitches and gear shift systems are also produced at the Pančevo plant. The state-of-the-art engineering centre, comprising 3,000m2 of office space and 3,600m2 of its high-tech testing area, currently employees 100 engineers. A cross-functional engineering team deals with the development of new products of the Division Electrified Powertrain Technology, the design of electric motors, the development of electric axle drives, as well as software calibration, testing and validation. Within the scope of the testing centre, in which approximately €20 million has been invested for modern testing equip-

ment, there are 16 test rooms for testing and verifying electric motors, as well as endurance and performance tests in active and passive operations, but also for validating the overall system. It was in January 2021 that the first tests began being conducted at in this most modern research centre in Serbia, and they have been in operation ever since, while also supporting serial production at the Pančevo Plant. The ZF Serbia Pančevo plant, together with the associated research & development centre, currently employs close to a thousand people. We, as the new E Division, are convinced that now is the time to put sustainable mobility at the heart of everything we do. We contribute by electrifying mobility globally, with ZF technology inside. Our goal is very clear: for us to become a world leading company in electrified mobility!

speed and, realistically, have managed to do more than we planned. ZF is the most modern trend in the automotive industry. This has been recognised by our clients, partners, employees, the entire company and the division within which we operate.

We now know that ZF’s innovative and courageous vision of the future and well-conceived strategy have yielded results and we remain on the right track as inspirers and leaders of change when it comes to the development of the automotive industry.

WORD FROM THE MANAGEMENT Michael Stauch, ZF Serbia, Managing Director - Technical The Engineering centre in Pančevo is the final improvement of this ZF location. On the one hand, we have current serial production, while on the other, we now have everything in one place. This is authentic for us and a great opportunity for the location in Pančevo, Here we have a young team that’s motivated, well-educated and able to absorb the knowledge of new technologies, which is why ZF is developing the location faster and into more areas than what we initially intended. We are now a complete plant, we are able – from the first contact of a customer, via development and production – to deliver everything to any automotive customer with regard to E-mobility, and that’s something we didn’t initially think we would be able to achieve so quickly, after just two or three years. Milan Grujić, ZF Serbia, Managing Director - Technical We have invested significant resources and all our knowledge, provided support for this project to proceed at incredible

ZF is a global technology company that supplies systems for passenger cars, commercial vehicles and industrial technology, enabling the next generation of mobility. With its comprehensive technology portfolio, the company offers integrated solutions for established vehicle manufacturers, mobility providers and start-up companies in the fields of transportation and mobility. ZF continually enhances its systems in the areas of digital connectivity and automation in order to allow vehicles to see, think and act. The company has a global workforce of 153,500, with 271 locations in 42 countries. In 2020, ZF achieved sales of €32.6 billion. Founded in 1915, ZF has evolved from a supplier specialising in aviation technology to a global mobility technology company. With the acquisition of WABCO, the company significantly increased its competence, especially in the field of technology for heavy commercial vehicles, buses and trailers. ZF last year spent more than seven per cent of its turnover from sales on research and development. With its innovative portfolio, ZF focuses on “Next Generation Mobility” for passenger cars, commercial vehicles and industrial applications. Group shareholders include the Zeppelin Foundation, administered by the City of Friedrichshafen, holding 93.8% of shares, and the Dr Jürgen and Irmgard Ulderup Foundation, Lemförde, with 6.2%.

GERMANY 2021

BUSINESS

MESSER TEHNOGAS

GASES FOR LIFE Messer Tehnogas AD, a part of Messer SE & Co. KGaA, a leading international family-owned company in this field, is the largest producer of industrial, medical and specialty gases in Serbia and the Balkans, and it’s 92 years of tradition guarantees the reliability and quality of delivered products

esser Tehnogas supplies over 4,000 customers in Serbia and abroad, selling over 650,000 tons of products in Serbia and throughout the Balkan region. Its clients have at their disposal professional and responsible teams for technical and logistic services 24-hours-a-day, 365-days-a-year, using over 50 trucks and tank trailers.

MEDICAL GASES Messer Tehnogas AD has been at the forefront of the fight during the COVID-19 Pandemic, as a producer and distributor of liquid and gaseous medical oxygen, which the WHO has declared an essential medicine for the treatment of COVID-19 patients. During the state of emergency, at a time when virtually nothing was known about the virus and most of the economy had ground to a halt, this company was working every day, with increased capacity for the production of medical oxygen. In order to meet the requirements to increase the oxygen supply capacity, the company has invested significant funds: 14 stable storage tanks were mounted and more than 20 mobile storage tanks were made operational; central gas supply systems were installed in seven hospitals, sometimes even while patients were already admitted; thousands of seamless cylinders for compressed gases were procured or repurposed, while production switched from one-shift operation to three-shift operations, at all five Messer locations. Logistics, under extraordinarily dynamic engagements, made deliveries around the clock, without breaks for weekends and holidays. Through constant communication, Messer Tehnogas performs the regular 26

By implementing over 300 applications of different gases in everyday life, Messer Tehnogas constantly shows how important its business is for everyday life and work! and reliable distribution of medical gases to all necessary institutions on the territory of Serbia. SPECIALTY GASES The Messer Tehnogas specialty gases portfolio consists of several product lines: high purity gases; standard and individual gas mixtures; specialties like some inorganic gases, refrigerants and liquid helium, as well as high purity liquid gases. All of these products are

delivered from the Pančevo production plants to customers in Serbia and across the SEE region. The applications of special gases are very diverse. Many modern analytical methods require pure gases or gas mixtures as working gases, while analysers must be calibrated by high precision gas mixtures. Gaseous Helium is used for filling of balloons and aircrafts, to detect leaks and in liquid phase as an MRI coolant reaching superconductivity state. Resonators in CO2 lasers work using specific, precisely defined gas mixtures. Noble gases or their mixtures with other components are used to charge halogen bulbs, for insulation in windows or for production of plasma display panels. As different applications of specialty gases mixtures are, so are the industry areas: for quality control in the fields of petrochemical, chemical, pharmaceutical or food industry, specialty gases are used for analytical purposes. In hospitals, calibration gases are used from blood gases analysis to lung function diagnostic. Simulations of natural gas mixtures are used for the calorific control and composition of natural gas; gas mixtures are used in biogas plants for the control process, as well as for quality control when adding biogas to the natural gas grid. Approvals for placements of new motor vehicles on the market, as well as regular technical inspections for the control of exhaust fumes, are based on high-precision calibration gases. Low concentration calibration gases are used to control emissions of exhaust fumes from various industrial plants, as well as for the continuous monitoring of air quality.

ZORAN ĐURIĆ, MIELE SERBIA GENERAL MANAGER

QUALITY AHEAD OF ITS TIME

Since its founding in 1899 until today, when it employs almost 21,000 people, Miele has remained a family company which has at its core commitment and responsibility towards the founders, employees, customers, suppliers, the natural environment and society

iele Serbia achieves excellent sales results that rank it alongside economically stronger markets, and thus, from year to year, it records double-digit growth in terms of turnover and increases its network of showrooms and its local Miele team Miele is a beloved brand in Germany, as the world’s leading manufacturer of premium home appliances that also operates successfully in Serbia. What else do we need to know about your company? Miele is today synonymous with highquality, durability, innovation and service values in all markets where it operates. Our dedication to our customers is reflected primarily in top quality and the guarantee of a long service life of appliances. At a time when there is lots of talk suggesting that products from the consumer electronics segment are nowhere near as reliable as they used to be, each of our appliances is tested for a 20-year service life. In addition, led by the needs of users, we strive to continuously improve, implementing the latest technologies and creating appliances that will ease users’ daily lives. When it comes to Miele in Serbia, more than a decade of successful operations has shown us that customers in this area really know how to recognise and value quality. Your brand’s motto is “Immer Besser (forever better)”. Does that mean forever better than others, because you don’t give way to the competition? Or forever better than yourself, because you provide your customers with only the best?

than they do for other brands. For me personally, being “Immer Besser (forever better)” means providing full support to consumers and going a step further than what they already expect. With this goal, at the beginning of this year we opened an exclusive Miele sales salon or, as we call it, the Miele Experience Centre, in the Belgrade Waterfront area, which provides customers with the opportunity to utilise the professional help of advisors and the widest range of appliances that they can try at the sales salon to select the one that best suits their lifestyle.

We strive to continuously improve, implementing the latest technologies and creating appliances that will ease users’ daily lives The fact that we strive to be better than ourselves leads to us being “Immer Besser (forever better)” in everything we do. It is actually this guiding idea that was imprinted on the first machines by the company’s founders, Carl Miele and Reinhard Zinkan, that motivates us, on a daily basis, to redefine the notion of excellence in doing business and enables us to advance year on year when it comes to quality and innovation in our range. This is also expected of us by consumers, who traditionally set higher criteria for Miele

Miele is known as a company that sets standards when it comes to quality and design, but also when it comes to care for resources and sustainability. Is it time for long-life devices in the field of home appliances? Although sustainability only recently came into the focus of the general public, with us it is a corporate principle that has been applied since the company’s founding, primarily through the longevity of appliances, which is the ultimate form of sustainability and a counterpoint to the current culture of discarding. The desire for us to also be “Immer Besser (forever better)” in this segment is at the heart of the brand’s current global campaign, through which we want to show how Miele offers its customers “Quality ahead of its time”, in terms of product design, performance and sustainability. It is very important for us that – through this campaign on our local market, now with a focus on sustainability – we will be one of the pioneers and will impact on the world being a better place to live. 27

GERMANY 2021

BUSINESS

DUŠICA, NEVENA, SLOBODAN AND DUŠAN JANKOVIĆ, INMOLD PLAST

QUARTET FOR A SECURE FUTURE The core business of Požega-based company Inmold Plast is the production of high-quality tools for injection moulding of plastics and non-ferrous metals. It specialises in tools for injection moulding of thin-walled packaging and tools for injection moulding of technical parts, while it is additionally engaged in the production of IML robots fairs, trips, conferences and meetings. Nevena: At work I currently mostly use the way of thinking that I acquired during my studies. Slobodan: I had the good fortune to study in a country that has a very developed industry, where we also operate, so I learned many things that we’ve applied in our company. One of the main advantages of studying abroad is that a person matures more than they would by studying in their home country.

nmold Plast is a family-owned company that has changed a lot in the 15 years since it was founded. Apart from the uncompromising quality of its products, of which founder and owner Goran Janković is extremely proud, he is equally proud of his four children who are already involved in the business. As a graduate mechanical engineer, Goran started his private business in a 1994 partnership. He then became independent in 2006 and founded family company Inmold, which has become a serious company over the past 15 years, growing at an average rate of more than 30 per cent annually. He and his wife, Milka, began including their children in the company’s work to a greater or lesser extent, with daughters Dušica and Nevena and sons Slobodan and Dušan joining the business. Although they were all educated abroad, they see their future in Serbia,

in this family company that employees don’t leave. Their parents are their role models in both work and life, while they are each other’s greatest support. What compelled you to decide to stay with the family company, despite having the clear possibility of working abroad? Dušica: Our father started gradually including each of us in the work before our studies. We travelled a lot with him and met many people from the business world. I quickly realised that a job with the family business would allow me to travel and study. How much of the knowledge that you acquired during your studies have you managed to apply at the company? Dušica: I apply a lot of what I learned during my studies on the job, mostly at

And how useful was the knowledge you acquired at the company during your studies? Dušica: Everything I’ve ever learned could also be applied during my university education at some point. Nevena: Working at the company during my summer holidays changed the way I viewed my studies - I acquired a better notion of what work I wanted to do and how to apply the knowledge I gained at university. Slobodan: The way of thinking and professional knowhow that I mastered at the company helped me to initially pass exams in production engineering. Dušica and Nevena, what is it like to work together in the same company with your sister? Dušica: Work has been easier and more relaxed for me since Nevena joined me, because from that moment I’ve had someone to share the responsibility that we bear on our shoulders, as children of the owner. Nevena: Dušica broke the ice, so it was easier for me. I work with her like I do with every other colleague in the company.

Slobodan and Dušan, how did you end up studying at the same faculty? How much was your brother a factor? Slobodan: We were influenced the most by our father, of course in a positive way. If I’d been asked, I would have suggested that Dušan study something else. Dušan: My decision to enrol at the Faculty of Mechanical Engineering was influenced by the whole environment, not only my father, but great “credit”, or “blame”, for that belongs to Slobodan. Is there anything you would change at Inmold Plast? Dušica: The company is growing ever more year-on-year, which is why I think we need better organisation and an amendment of the current system and way of working. But we’ve already started working on that... Nevena: With us there is constantly something that’s changing, in accordance with the growth of the company. I also have some new ideas that we’ll work on in the period ahead. Slobodan: We’ve become an extremely complex system over the years, which must be viewed as a whole and constantly improved as a whole. All the knowledge acquired abroad – at fairs, in visits to other companies and working with suppliers, customers and partners – should be adapted to our company and implemented to bring us growth and progress. Dušan: I wouldn’t comment on this topic as yet. The others have more knowledge and experience than me. Is there anything that you’re particularly proud of when it comes to your family business? Dušica: I’m very happy that we invest a lot in young personnel and employees generally. Inmold Plast really offers many opportunities for further development, for travel, participation in conferences, fairs etc. I’m proud of the fact that we collaborate with many companies that are synonymous with quality, not only on the European market, but also worldwide, but I’m also proud of our membership in the German-Serbian Chamber of Commerce.

Nevena: I’m proud of the fact that, unlike our peers who study here and then move abroad, we did the opposite – we returned to Serbia to work for ourselves. I’m proud of the way our company works with students. I’m proud of the employees who view this company as their home, the people who participate in changes, the organisation of the company, the list of customers who place their trust in us over many years etc. Slobodan: I’m proud of the fact that my father, with his knowledge, work

and experience, succeeded in developing such a successful company in a small community like Požega. Dušan: I constantly think about the rhythm at which we’re developing and the ambitions of my family that drive us forward, and that makes me very proud. Do you have a motto or something that guides and directs you? Dušica: You shouldn’t go through life, but grow through life. Nevena: If you can dream something, you can also make it happen. Slobodan: There’s no way I could decide on just one... I have multiple lessons: whatever happens, a solution can always be found, you just don’t need to panic. Whoever stops advancing starts regressing. Work, work and only work! One needs to move forwards at all costs. Dušan: Hard work pays off.

What is the most precious thing in your life? Dušica: My family is my most precious thing: my husband and my son Matija. Knowhow, family upbringing, dear people. Nevena: Family, proper friends, honest advice and the positive people around me. Slobodan: A family that I can always rely on and that I know wants the best for me. In the first place are my daughter Dunja and my wife, who is a great pillar of support for me in everything. Dušan: Family and friends. What have you learned from each other? Dušica: That we should fight if we want something and not give up easily. Nevena: We are constantly learning from each other and pointing out each other’s flaws and mistaken moves, but we also know how to offer praise when someone does something well. I learned to more quickly and easily accept constructive criticism. We learned tolerance and how to work together to solve problems. We apply that both in life and work. Slobodan: That each of us, with our own characteristics and abilities, is unique in this community of ours. We differ from each other greatly, which provides us with lots of room to learn from each other. Dušan: I learned from my three older siblings to be tenacious and persistent in everything I do. What are your plans? Dušica: I plan to work on myself, to improve, and thus contribute maximally to the further development of the company. Nevena: On the business front, I intend to dedicate myself to learning and improving my knowledge, and on the personal front I want to travel a lot and meet new, interesting people. Slobodan: I want to continue developing Inmold, together with my family. Dušan: My plan is to contribute as much as possible to the progress of our company with my knowhow and fresh ideas. 29

GERMANY 2021

INTERVIEW

FRANK BAUMANN, DIRECTOR, GOETHE-INSTITUTE BELGRADE

CULTURE IS ESSENTIAL IN PANDEMIC TIMES “When I think about a dream project that could be done in the future, the first thing that comes to my mind is that we should organise a big party and concert on the occasion of Serbia entering the European Union” Goethe-institute. That was the effect of 2020. We tried, like everybody else, to switch and change formats, but some of us cannot stand to hear the word “streaming” any longer, because it has become too much. Everything is streamed, everybody produces, but where is the audience?

ike other cultural institutions, Goethe-institute is facing lots of challenges during the still ongoing pandemic. Nevertheless, it has adapted to the new reality, establishing its COVID relief fund and changing the way projects are implemented. Here we speak to Goetheinstitute Director Frank Baumann to discuss various topics, including the importance of culture during a crisis, how to act against disregard for culture, relations between official institutions and the sphere of culture, and mainly the Goethe-institute’s past, current and upcoming projects.

During past months we’ve seen lots of analysis and discussion about the impact of COVID-19 on the economy, on education and even on international relationships. In your opinion, what is the most significant impact that the pandemic has had on the culture and creative sector? As is known, all cultural events had to be cancelled in the previous period, all institutions in the field had to be closed and all artistic projects were postponed or cancelled. The same applied to the cultural and creative industry and, of course, to us at the

If we reflect on the period behind us, what could be concluded about the importance of culture during a crisis? If we’re talking about the lockdown situation and the complete shutdown that was unnecessary, my impression is that places of culture should be among the first to reopen, and not among the last. And the question is: with which institutions or spheres of live do we compare culture and cultural institutions? The importance of culture is evident, as it can help people overcome their fears. And fear is palpable when a life-threatening virus is waiting just around the corner. The problem is that there are people who regard art, music, literature, and film as something almost superfluous, something you can easily do without, which is wrong. All these people who see the fundamental relevance of culture as being in line with leisure activities, comparing it with fitness studios and casinos, must allow themselves to be accused of being too lightly discrediting everything that defines our democracy. Because culture is essential in pandemic times. In Germany, we have the term “Systemrelevanz” - what is relevant for a society and what is not. And culture was obviously not relevant.

There were a bunch of artists who used this and said: “We ARE systemically relevant”. It cannot be that system relevance includes only that which is countable and that which is measured in prices, numbers and values. The filling station is relevant, but the cinema is relevant as well, for other reasons. How can we combat the serious undermining of culture that you mention? By speaking about it further and, as a cultural institution, by trying to reopen platforms, rebuild stages, make even bigger projects, increase the budget and support local artists and the culture sphere. The Goethe-institute and the German Federal Foreign Office, together with some other organisations, established the International Relief Fund which has, for the second time, provided support to mainly NGOs in dealing with the negative consequences of the coronavirus pandemic. And we could support local NGOs not just by coproducing projects, but by supporting them in a tangible, budgetary way, including by purchasing the technical equipment that they need or, for example, covering staffing costs. This fund is present in several countries – Serbia, Montenegro, North Macedonia and a couple of others – and it could serve to prove that this is situation where even dinosaurs like the Goethe-institute are able to react quickly and adequately. At least two of your projects – “Playing Narratives” and the platform “Next Generation” – are aimed towards the youth. Could you tell us more about this and the responses you’ve received? “Playing Narratives” is a project that targets young professionals and those who want to become professionals in the gaming field. It is about bridging the gap from a comic story to a game i.e., how to develop it. The idea originated with our French colleagues and is our joint project. For us, it was interesting to see how immense the support was from Serbian companies that operate in the gaming business. These companies have been really interested, because they also know that they can get a grip on these talented youngsters through such a project.

“Next Generation” is the creative platform that we established in 2010 in order to deepen our communication with the youth. We have been focused on a few projects over the last several years. In cooperation with visual performance artist Darko Dragićević from Berlin, we realised the projects – “Failure as Practice”, “Lie & Theft as Practice” – the book will be presented soon – and we are now in the third phase, “Inequality as Practice”. The young artists who participate in this platform have a possibility to attend workshops

The importance of culture is evident, as it can help people overcome their fears. And fear is palpable when a life-threatening virus is waiting just around the corner with Darko and other visiting professors, mainly from Berlin, sharing the specific experience of connection in the collective body and working on a given topic. Before the pandemic, this project was well noted in Berlin, and the cooperation we’ve already established with the Tanzfabrik Festival will continue. For us, this means the building of bridges between Berlin and Belgrade. Among other programmes within the scope of the “Next Generation” platform, we currently have a programme in which

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GERMANY 2021

INTERVIEW a group of ten young artists and visual artists are dealing with the issue of commons. The topic they are working on is the institution of the future. Speaking in some previous interviews, you mentioned that you see “a certain threat wherever culture and history are presented (and financed) top-down.” How would you describe the relationship between officialdom and the sphere of culture? The relationship between official, state institutions and the cultural scene is always asymmetrical. That happens because the first one should partly finance the second, which is something that’s demanded in our contemporary societies. We have the right to demand this – that the state finances culture. But, of course, it is not just a deal like any other, because in culture you never know what you’ll get. In my eyes, that is something that should be accepted as being part of the game. That’s because culture is not financed for those who pay for it, but for society as a whole. I’m now speaking about artistic freedom, which is a very important value. We have the idea that art is basically allowed to do everything, which doesn’t mean 32

“Playing Narratives” is a project that targets young professionals and those who want to become professionals in the gaming field. It is about bridging the gap from a comic story to a game i.e., how to develop it

We staged this exhibition in cooperation with the EVZ foundation (The Foundation Remembrance, Responsibility and Future) and the preparatory phase alone lasted almost three years. We are very satisfied that we could continue this exhibition’s international tour. Namely, the initiative originated in Belgrade but included five other cities – Novi Sad, Podgorica, Tirana, Augsburg and Berlin - and also four curators and around 10 artists who dealt with the issue of forced labour under Nazi occupation. We consider this topic as being very important and so many families have their personal stories, but we noticed that those who were impacted very rarely speak about it, nor is that present in the public sphere. That’s why the exhibition is entitled “Missing stories”. It encompasses different perspective from several countries. It has to date been organised in Belgrade, Novi Sad, Podgorica and Tirana. Every place has brought something that was peculiar to that city, and the accompanying programmes have been different. Hopefully, the exhibition will be presented in Augsburg and should end its tour in Berlin.

that it must do everything. But it is generally allowed to do so. I then found this quote by a former German constitutional judge and high-ranking lawyer: ‘the liberal and secularised state lives on the condition that it cannot guarantee itself’. This is an interesting philosophical approach we should reflect on.

What are your plans for the coming months? We are once again collaborating with the Belgrade Jazz Festival and the BITEF festival. We also have our own Goethe Film Festival, organised together with KC Grad. I have to say that, unlike in the other countries where I’ve worked, Serbian partners always know who they would like to present and invite from Germany. Awareness of what is going on in Germany is at a very high level here.

One of the Goethe-institute projects is the transnational exhibition “Missing Stories. Forced Labour under Nazi Occupation. An Artistic Approach”, as an issue that presents one of the forgotten memories in regional history education. What have reactions to the exhibition been like and are you planning similar projects in this field in the future?

Is there any (dream) project that you would really like to do, in terms of cultural exchanges between our countries, but which you have not yet implemented? When I think about a dream project that could be done in the future, the first thing that comes to my mind is that we should organise a big party and concert on the occasion of Serbia entering the European Union.

GERMANY 2021

BUSINESS

PIERLUIGI GHIONE, MANAGING DIRECTOR & HEAD OF HEADPLANT, LEONI WIRING SYSTEM SOUTHEAST

EMPLOYEES ARE OUR GREATEST ASSET With its global production network and technological expertise, Company Leoni is one of the leading manufacturers of wiring systems that help customers build next-generation vehicles. Its Kraljevo production facility is the largest Leoni plant in Serbia

eoni Serbia takes care of, and invests in its employees, as human resources are seen as the company’s biggest asset. That’s why Leoni organises numerous internal and external training courses and programmes aimed at developing and enhancing talent, but also to encourage the hiring of highly qualified staff

Is it true that Serbia is the only European country in Leoni’s global production network that has four production plants? Have you already become the largest employer in our country’s manufacturing industry? That is correct. Leoni Serbia is currently the only European entity with four production facilities within the Wiring Systems Division. The company’s management recognised Serbia as not only a great investment destination, but also an opportunity to build and operate at four production plants within a single country. Our first plant, in Prokuplje, was opened in 2009, then came Malošište plant in 2014, and Niš factory in 2017 and, finally, our Kraljevo plant, the construction of which began in 2018. Leoni Serbia currently employs around 13,000 people, which makes us the largest private industrial employer in the country. Moreover, this strengthens Leoni’s position as a high-performance supplier to the international automotive industry. Is Kraljevo factory, where 50 million euros have been invested, among your largest plants? What kind of capacity does it have? 34

The construction of the plant began in August 2018 and we have just now, in September 2021, marked its official opening. The entire building spreads over an area of more than 60,000sqm, 45,000sqm of which represents the production area. The business produces harnesses for one of the world’s premium carmakers, with a capacity and planned production of up to 2,000 cable sets per day. Leoni has to date invested 55 million euros in the building and equipment for its newest production facility. Leoni Kraljevo plant currently employs 3,728 people, while at its full capacity (by year’s end 2023), the factory will be employing around 5,000 people. This also makes our Kraljevo production facility the largest Leoni Serbia plant when it comes to the number of employees.

Leoni has to date invested 55 million euros in the building and equipment for its newest production facility

You are proud of your investments in your people and their continuous professional advancement. Does this mean that you consider employees your greatest and most important resource when it comes to ensuring good operations and excellent results? Leoni Serbia won the People Development Award at our Wiring Systems Division Summit, which also confirms our efforts and the company’s dedication to its employees’ professional advancement and overall progress. The most important share of our successful business operations on a daily basis falls under the category of individual and team accomplishments, without which we would not have reached the company’s scale and business performance that we have today.

FireBox for your safety The FireBox is tested for power cables of up to 16 mm2 and has been approved for fire and telecommunication cables with a wire diameter of 0.8 mm. The expanded FireBox product family guarantees the maintaining of electrical function according to DIN 4102 Part 12 in the case of fire. Both power cables and data cables can be connected or branched, while two different sizes, with six different connection units, provide additional application options. The FireBox is tested for power cables of up to 16 mm2 and approved for fire and telecommunication cables with a wire diameter of 0.8 mm. Thanks to the inclusion of V-TEC cable glands, or flexible plug-in seals, cable insertion is made particularly easy. A simple 90° turn of the corner screws fixes the FireBox lid quickly and simply. The high temperature-resistant ceramic connection unit of the OBO FireBox is completely preinstalled and, together with the bolt ties, forms a fire protection system that’s tested for the maintaining of function according to DIN 4102 Part 12. As such, it meets the strict requirements for electrical connections of key safety systems. It is no longer necessary to cover metal parts, as the protective conductor terminal is connected to the support clamp. The robust housing, made of halogen-free thermoplastic, can withstand the heaviest loads. It is impactresistant, break-resistant and, with its high IP66 protection rating, provides protection against spray water. Together with OBO products for individual function maintenance routing, the FireBox offers a unique range of cable routing options, with the maintaining of electrical function for 90 minutes (E90). OBO is one of only a few manufacturers to offer function maintenance systems for the connection, fastening and distribution of power and data cables in cable systems from a single source.

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GERMANY 2021

FEATURE

PETER WOLF, SECTOR FUND MANAGER, GIZ

RIGHT ON TRACK As a provider of international cooperation services for sustainable development, the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH is dedicated to building a future that’s worth living in for around 120 countries worldwide

he results that we’ve achieved over previous years, such as the introduction of digital solutions for better public services and the improvement of framework conditions and capacities for water and waste management in many local communities, instil us with confidence that we are on the right track - says GIZ Sector Fund Manager Peter Wolf. GIZ has spent a full decade working around the world, on behalf of the German government and its international partners, to shape the future. Are you satisfied with what you’ve achieved? The GIZ Open Regional Fund for Southeast Europe – Modernisation of Municipal Services (ORF MMS) that I am allowed to introduce today is conceived as a cooperation and networking platform for all relevant stakeholders in the six Western Balkan countries (WB6) who want to use the benefits of stronger regional cooperation and improved local economic development. Together with our partners, we are creating better living conditions and perspectives for the local population across the region. With the development of an e-registration system for seasonal workers in agriculture, over 46,000 people could work with full social security benefits, while the government generated 4.8 million euros in additional taxes and contributions from 2019 to 2020. The overarching framework for all the activities of our 23,600 employees, cooperation partners and commissioning parties is the 2030 UN Agenda, with its Sustainable Development Goals. You are currently focused on the new 2021-2024 project cycle. What can you tell us about this cycle?

proposals to national authorities and intensive capacity building measures to local governments aimed at fostering economic development and improving the business climate. The transfer of best practices, such as the e-registration system for seasonal work from Serbia to other WB6 countries, will be facilitated, including further digital transformation in local communities, COVID- 19 post-pandemic recovery and the promotion of inclusiveness through the support of vulnerable sections of the population following the principle “Leaving no one behind”.

We managed to reform the system for issuing building permits that led to the country climbing 177 places on the World Bank’s Doing Business list In the upcoming project phase, a strong focus will be placed on further strengthening regional networks and their capacities to create a businessfriendly environment. Based on the transfer of knowledge between governments, civil society and the private sector at the local, national and regional levels, as well as the exchange of best practices from EU member states, this project will facilitate cooperation and develop innovative approaches to fostering economic reforms. The efficient dissemination and transfer of knowledge will be implemented throughout sector-specific network organisations. The project will provide support for the development of concrete reform

You work to improve conditions for the development of municipalities and local economies in the six countries of the Western Balkans. Who are your partners in this important work? In order to meet these challenges, our ORF MMS constantly strengthens the capacities of regional sector-specific networks, such as the Network of Associations of Local Authorities in Southeast Europe (NALAS), the Regional Capacity Development Network for Water Public Utilities in Southeast Europe (RCDN) and the Network for Business-Friendly Certification Southeast Europe (BFC SEE). These are the strategic partners of our work in the region. The ORF MMS additionally promotes cooperation between these regional networks and national decision makers. Beside the involvement of ministries, municipalities, public utilities enterprises and their regional umbrella organisations, as well as international and bilateral donor programmes, the constant growth of the commitment of the private sector is duly noted and highly appreciated.

GERMANY 2021

DRAGAN SIMOVIĆ, MEMBER OF THE SUPERVISORY BOARD OF M&M MILITZER & MÜNCH SERBIA; MEMBER OF THE BOARD OF DIRECTORS OF THE SERBIAN-GERMAN CHAMBER OF COMMERCE (AHK SERBIA)

The policy of the Government of Serbia plays one of the crucial roles, because subsidies encourage the arrival of investors. With the connecting of the Serbian-German Chamber of Commerce and the Government of Serbia, the bringing in of foreign investors is being implemented successfully, which represents a recipe for success

he Militzer & Münch Group employs approximately 2,100 workers in 27 countries. And over the course of just two years, M&M Serbia has reached a level of six branches and more than 160 employees in the country. M&M places its focus on complicated markets and demanding customers who expect the best prices, shortest deadlines and top professionalism. Are you satisfied with the results that you’re achieving? I am satisfied with the increase in the number of workers, because a larger number of workers shows that we have ever-more work. I estimate that we will not stop here when it comes to achieving our goals, i.e., the jobs that should be implemented over the next year. With the concluding of new contracts, there will also be an increase in the number of employees. The current forecast for the next year is that we will have around 250 employees in Serbia.

What distinguishes your company from the competition the most? What currently sets us apart from our competition is automation and the use of modern technologies, in order to conduct work better and faster. We offer our clients faster and more efficient handling, i.e., realising work in the warehouse, with the installing of lifts and conveyor belts with a capacity of 500 to 700 cartons per hour. Likewise, under the scope of the automation of our warehouse, included in our latest investment is a so-called sorting machine, which sorts up to 1,500 cartons

We offer our clients faster and more efficient handling with the installing of lifts and conveyor belts with a capacity of 500 to 700 cartons per hour per hour, thus shortening the time needed to unload, separate or sort goods by destination, which reduces errors to a minimum. To what extent does the SerbianGerman Chamber of Commerce encourage cooperation between our countries and businesspeople; and how much does it contribute to the arrival of new investors in Serbia?

BUSINESS

NEW INVESTORS ARRIVING The Serbian-German Chamber of Commerce has great significance in contributing to the arrival of new investors in Serbia. The first contact that a potential investor company makes, apart from with the Embassy of the Federal Republic of Germany, is with this chamber. The SerbianGerman Chamber of Commerce’s board of directors comprises successful businesspeople whose companies have invested in Serbia and serve as role models. I could take as an example the ZF Friedrichshafen factory, which, apart from employing a large number of people, has brought high technology to Serbia. In that sense, this factory represents a paragon for other potential investors from Germany, with which interest in coming to Serbia has increased greatly. What changes were brought to you by the pandemic? During the time of the pandemic, we saw what was happening with transport and logistics, and how much the pandemic impacted the business. The ban on movements accelerated online commerce in a way, which was demonstrated during the first days of lockdown in Serbia. A trend of increasing online business still exists and is expanding. An important element of e-commerce is the courier service, i.e., the logistics sector, to ensure the timely delivery of a shipment, which can also be specific. I believe this trend will continue and increase in our country, because online commerce is currently undergoing expansion.

GERMANY 2021

BRANKA PERIĆ ŠLJIVIĆ, DIRECTOR OF INTERNATIONAL TRANSPORTS AT PERIĆ TRANS COMPANY

EVERY CHALLENGE IS AN OPPORTUNITY FOR GROWTH Perić Trans Company was founded almost three decades ago. It has been providing international transport services since 1996, while it has also been selling and leasing used construction machinery and equipment since the 2000s. This company has been patiently conquering new markets for years, growing and developing to the position where it today has 160 employees

hanks to its wide range of construction machinery and equipment, state-of-the-art fleet, mobile services and professional personnel, this family company is able to offer and guarantee the fast and high-quality implementation of works for its clients

Your company celebrates its 30th birthday during next year. What has your development path looked like? Your portfolio surely wasn’t as rich and diverse at the start... Perić Trans Company is a family company that was founded in 1992, and we’ve been engaged in international transport services since 1996. The company has grown gradually over the years, developing and conquering markets. We currently have 160 employees. New business opportunities on the market encouraged us to develop another sector of operations: sales and hiring of used construction machinery and equipment. This proved to be another excellent business move, as shown today by the more than 250 different units in stock that are available for to buy or hire. In late 2016, due to the need to expand our business and function more easily on the European market, we founded a subsidiary company, Perić Trans Company in Slovenia. I can state unreservedly that we are in that group of companies that have taken great strides forward from year to year and from decade to decade, so that today, after almost thirty years 38

What is your recipe for success? How important was the fact that Perić Trans Company is a family company when it came to expanding your business, increasing the number of employees and securing a leadership position in your branch of industry? One of the main factors is persistence and perseverance in achieving plans set, as well as responsibility and a desire to respect everything agreed upon. The proper selecting of clients was certainly a crucial factor, because our company has developed and advanced gradually thanks precisely to our clients, to their needs and requirements. The long-term commitment of the family spawned Perić Trans Company as it is today.

We have developed and advanced gradually thanks to our clients, to their needs and requirements of operations, we have become a modern company with the latest generation haulage vehicles and a wide range of construction machinery and equipment. Our core business is international transport to the European market, while a large part of our operations comprises the selling and leasing of construction machinery and equipment, as well as civil engineering works. We are among the top players in every segment of our operations and invest constantly in the company’s development.

What are the biggest challenges you face and how do you handle them? Considering the turbulent years behind us, we have grown accustomed to challenges and resolve them as we go. We consider large projects that force us to leave our comfort zone as challenges, and we see them as opportunities for the company to grow. Our primary advantage is the exceptional flexibility and readiness of the company to respond to inquiries and implement works quickly and to a high standard of quality. When it comes to the renting of equipment, we cover the whole of Serbia, and one of the biggest jobs currently is linked to the construction of the Moravian Corridor, from Pojat – Kruševac to Čačak.

SATISFIED PARTNERS ARE KEY TO SUCCESS

GERMANY 2021

NEMANJA ĆIRIĆ, BUSINESS DEVELOPMENT MANAGER, GP GRADJEVINAR

Since its founding more than three decades ago, GP Gradjevinar has been, and remains, a company that insists on the high quality of every project phase, respect for agreements with partners, the constant educating of employees and the application of the latest technologies. And all of this in combination has led to it building an enviable reputation

P Gradjevinar received numerous messages of commendation from German partners for its work constructing the new buildings of the German Embassy and the German School in Belgrade, as well as for the reconstruction of the building of the Goethe Institute, which proves that GP Gradjevinar satisfies Europe’s most stringent standards of quality.

After three decades of operations, GP Gradjevinar is today a recognisable brand not only in Serbia, but also abroad. What forms the basis of your excellent reputation? The very fact that GP Gradjevinar has existed as a company for more than three decades is one of the factors proving that we’ve become a recognisable brand. From the very outset, one of the most important principles that has been present in our operations is the inclusion of high quality in every part of a project’s implementation. That is one of the key elements of our brand. Moreover, by respecting all agreements with all our partners, both domestic and foreign, we have gained great trust, which wasn’t easy to maintain during the previous difficult decades. Of course, in order for us to be able to continue providing that high quality, we also pay great attention – apart from quality and respect for deadlines – to the constant educating of our associates, thus enabling us to monitor and apply all new technologies. All of this together helps to rank us among the most serious construction companies operating on the market of the Republic of Serbia, and thus also a recognisable brand.

very important for us, because our investors are very pleased to continue collaborating with us and are happy to recommend us to their partners who are planning activities in Serbia. In short, works are the best advertisement and recommendation

Our investors are very pleased to continue collaborating with us and are happy to recommend us to their partners Your company’s motto is “ Satisfied partners are the key to our success”. Are satisfied partners also the best advertisement and the best recommendation? We think it is. When we say “partners”, we aren’t only referring to our investors/ clients, but also our long-term suppliers, subcontractors and others who participate together with us on the implementation of all projects. With dedication, expertise, commitment and serious work, the results must be positive and our investors/clients satisfied. This kind of recommendation is

Is the fact that you were engaged on the construction of the new buildings of the German Embassy and the German School in Belgrade, as well as the reconstruction of the building of the Goethe Institute, proof that you satisfy even the most stringent European standards of quality? The constant education and training of all associates in our company enabled us, as a general contractor, to implement even the most demanding projects when it comes to high standards in the field of construction, and to implement them to a high quality in the projects that you listed. The realisation of these projects was a great and beautiful challenge for us, in which we showed that we can satisfy the most stringent European standards envisaged by these projects, especially when taking into account the specific nature of the construction industry, and of course all with respect for agreed deadlines. As such, there was no lack of either satisfaction or praise among our partners – the German Federal Foreign Office, the Embassy of the Federal Republic of Germany in Belgrade, the German Federal Ministry of Construction and the German Federal Ministry of Education, Science and Culture. Our motto also simultaneously describes the history of our company - the brand that we’ve created: “Satisfied partners are the key to our success”. 39

GERMANY 2021

BUSINESS

LJILJANA TOPIĆ, DIRECTOR, GALENIKA PHARMACIA

NURTURING IT’S OWN LEADERSHIP POSITION Galenika Pharmacia produces more than 50 different medical devices - sterile and non-sterile compresses, plaster strips, bandaid plasters, bandages and sanitary materials, vehicle first aid kits, cabinets and first aid packs - and last year it also supplied us with surgical masks when they were most important

our contribution to the struggle against the pandemic, which is unfortunately continuing. We also made 200,000 protective masks for children at our new plant in Petrovac na Mlavi, produced masks with silver nanoparticles for the Novak Đoković Foundation and protective masks with five protection filters. Our surgical masks were initially distributed to the four largest clinical centres in Serbia - Belgrade, Kragujevac, Niš and Novi Sad, with the remainder sent to other health institutions. If we were able to produce millions of masks, we would have sold them, which is why I feel the need to emphasise the fact that not a single mask was sent abroad.

his renowned domestic company supplies all healthcare institutions in the country, from health centres, pharmacies and pharmaceutical facilities, via private and state hospitals and clinics, to large health centres Your company had stable production and the certain placement of its products of unquestionably high quality for years, and then came the pandemic. And everything changed overnight, right? Yes, that’s right ... The Coronavirus changed everything. Until then, our factory had produced the complete range of sanitary consumables - compresses, gauzes, bandages, disinfectants, and then, practically overnight, surgical masks became the number one product. The pandemic also taught us how to react at lightening speed and how to switch to products that we’d previously only had as a supplement to our portfolio. We switched machines that hadn’t previously had that purpose to the function of producing masks 24 hours a day, and during that period, when things were at their toughest, our employees exerted superhuman effort. Drivers worked for 24 hours, all employees were on call 24 hours a day, in readiness to respond to every call. Work was done in three shifts, with invoicing and deliveries also carried out at night. We should also make special mention of the fact that the pandemic led to the establishing of excellent cooperation between competing companies, which wasn’t the case before, particularly not in this form or scope.

Galenika Pharmacia is a member of the German-Serbian Chamber of Commerce, which is yet more confirmation for us and our work, because the German market only accepts goods of the best quality It wouldn’t be strange if the speed of production, changes to the production programme and work around the clock had led to a fall in quality, but that didn’t happen at your company... Believe it or not, we managed to maintain quality, which is testified to by the fact that, for example, the “Beograd” Pharmaceutical Institution, as the country’s largest such institution, didn’t have a single complaint. We are very proud of

As we’re already on the subject of foreign trade, which are your traditional export markets? Do you stick to old partners or have you established new collaborations in recent years? Galenika Pharmacia has for years been recording excellent export results with the B-H Federation, North Macedonia and Montenegro, while we also sell products to Nigeria and Iraq, and we’ve also been cooperating with Germany for the last two years. Our company has become a member of the GermanSerbian Chamber of Commerce, which is yet more confirmation for us and our work, because it is well-known that the German market is one of the world’s most demanding and that they only accept goods of the best quality. I’m proud of the fact that we managed to secure our market leadership position and to maintain it successfully.

Help is present in 21 countries, has 8.1 million beneficiaries, 636 employees and 83 projects with a volume in excess of 35 million euros. Its primary mission is emergency relief, followed by developmental assistance to create resilient communities and individuals

For 40 years, Help has been striving to create a world free of poverty and social injustice, in which everyone can live freely and with dignity, peace and security. What prevents us from collectively achieving that? As our primary mission is emergency relief, followed by developmental assistance to create resilient communities and individuals, we respond to people’s needs, whether caused by nature or man. Every action undertaken by Help contributes to the improvement of individuals’ and communities’ quality of living and supports them in moving towards self-reliance. In 2020 alone, we managed to touch the lives of, and empower, over 8.1 million people worldwide. Sadly, human-induced climate change sends us a few steps back in our mission. But that only compels us to regroup and respond in an agile manner to the everchanging world. Backed by the donor community, Help works in partnership with national and local stakeholders and communities to jointly bring and create synergies to secure sustainable and efficient collective growth. The numbers testifying to your work are impressive. Has the pandemic led to any changes in your work?

Photo Credit: ©“Help - Hilfe zur Selbsthilfe”

e at Help share our expertise and work together with national and local partners, as well those in need, providing tools and assets to build regional networks and structures to empower people and secure a decent living - says Help interim MD Timo Stegelmann.

The German-funded socioeconomic empowerment of the Western Balkans is focused on job creation, building personal and professional skills and small-scale initiatives The pandemic led to many changes globally that impacted heavily on everyone and forced us to adapt swiftly to support those in need. Micro and small businesses shook under the unexpected burden. Many had stopped working by the end of 2020, and the Western Balkans is no exception. Every fourth person in this area is at risk of poverty. Help responded rapidly on-site to support marginalised groups with food and hygiene, hospitals with the equipment required to treat COVID-19 patients, communication tools for school pupils, persons with disabilities, prison inmates

BUSINESS

STRIVING FOR A WORLD BEYOND POVERTY

GERMANY 2021

TIMO STEGELMANN, INTERIM MANAGING DIRECTOR OF HELP HILFE ZUR SELBSTHILFE – SUSTAINABLE AID WORLDWIDE

and the elderly. We provided face masks and disinfectants. And we continued supporting self-employment, employment and the building of skills and knowhow. We have always taken care to ensure that our projects have the lowest possible eco-footprint, and we now do even more by encouraging innovative green ideas that will further contribute to achieving the Sustainable Development Goals. As an organisation, we constantly learn and improve internally and externally through responsible and transparent project management. On an equal basis, we endeavour to efficiently strengthen resilience and create a better tomorrow for all. Your latest projects in this region are dedicated to the economic and social empowerment of the Western Balkans. Which areas demand special attention when it comes to empowering people? We have many projects in this region and the German-funded socioeconomic empowerment of the Western Balkans is focused on job creation, building personal and professional skills and small-scale initiatives. The goal is to create mechanisms and networks for the empowerment of marginalised groups, including COVID-19 recovery measures and the facilitation of inclusion and social prosperity. We expect to have empowered 5,000 people by the end of this project. That’s because we at Help share our expertise together with national and local partners, and with those in need, providing tools and assets to build regional networks and structures to empower people and secure them with a decent living. 41

GERMANY 2021

TOURISM

CRISTIAN SALLAI, DIRECTOR OF THE GERMAN NATIONAL TOURIST BOARD’S BELGRADE OFFICE, REGIONAL OFFICE OF BOSNIA-HERZEGOVINA, BULGARIA, CROATIA, MONTENEGRO, ROMANIA AND SERBIA

THE DANUBE CONNECTS SERBIA AND GERMANY The Belgrade office of the German National Tourist Board (GNTB) will celebrate the tenth anniversary of its operations next year. Having advanced from 1.4 million trips in 2010 to 3.2 million in 2019, this region has seen above-average growth compared to Germany’s other source markets

ligence applications like chatbots, as our marketing tools.

ermany is full of hidden gems and treasures that can be found once you agree to stray from the beaten track. This was one of the elements that determined this year’s main topic: German Local Culture - showing the world a different side of Germany

Are the citizens of the six markets of the region that you cover acquainted with the offers of German tourism? They certainly are! The German National Tourist Office in Belgrade is promoting Germany as a travel destination on six Balkan Markets: Serbia, 42

The GNTB is promoting German Local Culture with a focus on the road less travelled, beyond the standard checklist of tourist hotspots Bosnia-Herzegovina, Bulgaria, Croatia, Montenegro and Romania. Our Belgrade Office promotes the diversity of Germany’s tourist products and we strive to be a pioneer when it comes to using immersive technologies (virtual, augmented and mixed reality), voice assistants and other conversational interfaces, as well as artificial intel-

Germany has been among the world’s most visited tourist destinations for decades. What deserves the credit for this fact? With its 51 UNESCO World Heritage Sites, Germany is among the countries with the highest density of natural and cultural treasures. The international recognition of Germany as the number 1 cultural travel destination in Europe also gains further impetus during this year, from the latest decisions of the UNESCO World Heritage Committee. The Mathildenhöhe artists’ colony in Darmstadt is now a UNESCO World Heritage Site; the health resorts of BadenBaden, Bad Ems and 2 Bad Kissingen, along with eight other locations, have also been awarded the World Heritage title of “Major Spa Cities in Europe.” We think that the diversity of the offer – from major cities to small villages, natural sites to spa and luxury travel – is the key to our success. Which are the most popular German cities that have attracted the most tourists for years? Are trends changing? It is really hard to single out one or two particular cities. There is basically something for everyone in Germany’s diverse selection of over 10,000 towns and cities. There are countless different sides to Germany and German cities. The vast spectrum of different architectural

Source: GNTB/Julia Nimke

styles and art forms have shaped the country and bestowed a distinctive character on every region. You can discover the museum scene, street art, medieval centres of small towns, maritime cities etc. A third of the world’s opera performances take place in Germany, at over 80 opera houses. There are castles, parks and gardens at the heart of the country’s cities, and much more. So, as you see, before being able to single out any of the cities I would have to know if you prefer a small town or a metropolis, culture or nature, street art or museums. From Munich to Hamburg, via Berlin and Frankfurt, there is something for everyone. Are there any lesser-known or completely unknown destinations, events or other places and manifestations in Germany that are worth seeing, visiting, touring...? We would like to take our guests off the beaten track, beyond the standard checklist of tourist hotspots, to discover the unique atmosphere of Germany’s towns and cities, and to meet the people who live there. We’ll introduce them to traditional professions and the artisans who are redefining centuries-old handicrafts for the modern age. In short, we invite you to join us on a journey through a Germany that is sure to amaze.

Belgrade is a highlight for everyone in Europe. Everybody wants to come here and has heard of Belgrade Over previous years we’ve been promoting different aspects of the variety of German tourism: for example, Bauhaus, UNESCO, Nature etc. Sustainability has become one of the most important topics that we’ve been highlighting recently. And the COVID-19 Pandemic has led to travellers around the world becoming even more concerned about sustainability. Unspoilt nature, the careful use of resources and a focus on wellbeing are gaining in importance. So, we are picking up on this trend and expanding the scope of our ‘Feel Good’ campaign in 2021. At the same time, during this year and next, GNTB is promoting German Local Culture with a focus on the road less travelled, beyond the standard checklist of tourist hotspots. If you had to single out something that connects Serbia and Germany, what would that be? The Danube is definitely the first thing to cross my mind. This river that is known as the “source of Europe” for a very good reason. Serbia and Germany are attached to one another at all levels: naturally by the Danube, culturally and also economically.

So, it is also very hard to single out a single aspect that bonds our countries. As a tourism expert, you would certainly know what Serbia could do to raise the profiles of other places to ensure their inclusion on the list of the region’s most popular destinations... What tourism potentials are waiting for us to exploit? Serbia has a lot of treasures to offer visitors. From nature to culture, from amazing rural areas to amazing cities and towns, from wines to amazing culinary experiences. I believe that these treasures that distinguish Serbia from its neighbours should be the ones to focus on. But I would not underestimate the developments of previous years. I’ve now been living here for 10 years and I’ve witnessed huge developments. Belgrade is a highlight for everyone in Europe. Everybody wants to come here and has heard of Belgrade, but also Novi Sad and its surroundings, or the country’s festivals. But Serbia’s amazing nature has also started to be discovered by foreign visitors. There has been evident development of the tourism sector over the past 10 years, and a lot of projects are unfolding. And I think they are doing so in a very successful way! I would say that sustainability should be one of the priorities. www.germany.travel 43

GERMANY 2021

GERMAN ELECTIONS

BY KARL MATHIESEN AND ZIA WEISE

CLIMATE IS THE KINGMAKER IN GERMAN COALITION-BUILDING The two parties crucial to forming a post-election government differ starkly on climate and energy policy

limate policy is one of the keys to forming a new German government. But with the two smaller parties crucial to forming a post-election majority coalition having utterly different philosophies on how to reach

Germany’s climate goals, the issue will be a major faultline in upcoming talks. The election of 25th September saw the Social Democratic Party (SPD) take a narrow win with 25.7 per cent over 24.1 per cent for the Christian Democrats (CDU/CSU). The Greens

came third with 14.8 per cent, while the liberal Free Democrats (FDP), according to preliminary official figures, were fourth with 11.5 per cent. Now the Greens and FDP are planning a common approach to bargain more effectively with the two bigger groupings.

It won’t be easy. The Greens have more in common with the SPD, while the FDP and the CDU/CSU overlap on many issues. “The next government must be a climate government,” said the Greens’ coleader, Annalena Baerbock. She added her party wants “massive investment” in infrastructure aimed at greening and modernising the country, and favours a higher level of government intervention in the economy. The FDP believes the free market will deliver climate goals. “The election result makes one thing clear,” Volker Wissing, the party’s General Secretary, told the broadcaster ARD on the morning after the election, “People don’t want climate protection at the expense of prosperity, and people also don’t want prosperity at the expense of nature and the environment. That’s why we need to bring these things together and work out a solution as to how we can reconcile climate protection and prosperity.” Both the FDP and the Greens want the finance ministry in any coalition — currently occupied by SPD chancellor candidate Olaf Scholz. The Greens also want to create a climate ministry with the right to veto any other ministry’s decision to ensure all government policy is in line with the Paris Climate Agreement. The FDP has signalled it would be fine with a climate ministry, but without the veto rights. The finance job will be “crucial for issues like public spending programmes, EU debt-and-budget questions and carbon pricing,” said Georg Zachmann, a senior fellow at the Brugel think tank. “That will be very important for moving from climate targets to actual climate policies.” The climate affected the election through the catastrophic floods of July, but it wasn’t a clear factor in the election outcome. Almost half of voters polled beforehand said it was the most important issue for them, but fewer than a quarter actually based their vote on it. The absence of a real debate over climate change highlights a broad consensus on the issue; every likely coalition member backs reaching carbon neutrality by between 2040 and 2050. But the question of how to achieve

that, an issue mostly too boring or complicated for stump speeches, divides Germany’s parties. POLES APART A battle over the future of the car sector shows the distance between the FDP and the Greens on Germany’s largest industry, and is a crucial factor in hitting the country’s upcoming climate targets. The European Commission has proposed 2035 as an end date for the sale of polluting vehicles, a date the Greens want to move forward to 2030.

A battle over the future of the car sector shows the distance between the FDP and the Greens on Germany’s largest industry, and is a crucial factor in hitting the country’s upcoming climate targets. The European Commission has proposed 2035 as an end date for the sale of polluting vehicles, a date the Greens want to move forward to 2030 The FDP opposes any vehicle ban. The Greens are critical of the Nord Stream 2 gas pipeline from Russia, of which the FDP is also sceptical. But he election also saw the Social Democrats overwhelmingly reelected in the state of Mecklenburg-West Pomerania, where the

pipeline makes landfall, and whose SPD leader has been supportive of the project. Another critical divide is how to cushion households from the impact of climate policies. The Christian Democrats and FDP favour pricing carbon emissions and relying on market mechanisms to spur companies to slash their products’ carbon footprint. In a speech in the Bundestag earlier in September, Baerbock criticised the FDP and CDU for their free-market approach to climate and social policy. Relying on a high CO2 price alone “is deeply socially unjust,” she said. “The market won’t regulate the climate crisis, because the market does not care about people.” The SPD also favours greater redistribution. But Baerbock repeatedly attacked Scholz for supporting Germany’s 2038 coal phaseout date even as he travelled to the flood-stricken areas in July. The Greens want to exit coal by 2030. The division over carbon pricing could have major consequences for EU policy. The European Commission recently proposed extending its Emissions Trading System to cover fuels for road transport and heating — a system already in place in Germany, championed by the CDU in Brussels and supported by the FDP. But both the German Greens and SPD are wary of the idea. Nevertheless, the reemergence of Social Democrats in Germany boosted the spirits - and potentially the political fortunes - of the EU’s Green Deal chief, Dutch Socialist Frans Timmermans, who tweeted: “Social justice, climate protection and the green transformation of our economy and society go hand in hand and the election result underscores this.” “Ahead of the election, the parties liked to talk a lot about the climate,” said Ottmar Edenhofer, chief economist at the Potsdam Institute for Climate Impact Research. “If they mean it, they have to get serious now no matter what coalition. All parties are facing the same challenge … Whoever procrastinates now is driving up the costs and risks to all people.” 45

GERMANY 2021

GERMAN COMPANIES AND NEARSHORING

AN EXAGGERATED TREND? In line with Germany’s historical competitiveness strategy, which focuses on quality and not cost when it comes to considering nearshoring, German companies prefer countries that have a reputation for being innovative and having an environment that fosters innovation. This is an important piece of information for Serbian policymakers who hope to attract more FDI by tapping into this trend

t is widely believed that the COVID-19 lockdowns disrupted global supply chains and pushed many to consider nearshoring. Euler Hermes, a global leader in trade credit insurance, recently surveyed a sample of high-level executives in 1,181 companies in the U.S., the UK, France, Germany and Italy, covering a wide array of industries, from IT, tech and telecoms, machinery and equipment, chemicals, energy and utilities, to the automotive and agrifood sectors. According to the results, between 13 and 18 per cent of French companies consider reshoring in the medium to long term, vs. three to six per cent

In the recent survey, German companies stated that they might consider nearshoring and that the Western Balkans might benefit from this, but that this remains unclear in Italy and six to 10 per cent in Germany. This is the result of the survey sample showing that 76 per cent of German companies report that less than half of their suppliers are located outside the country, as opposed to an average of 65 per cent for other countries.

German companies said that they’d rather move their production to, or find new suppliers in, Austria, which is likely because a third of German companies’ suppliers are already in Austria. In choosing other countries where they would move their production, about 30 per cent stated that the (selected) country has to have a reputation for being innovative and having an environment that fosters innovation”. This reason shows up among the top three reasons, behind choosing supplier locations. In comparison, only an average of 20 per cent chose the same answer. Marcus How, head of Research & Analysis at ViennEast Consult-

ing, a Vienna-based investment risk advisory company specialising in the CESEE regions, recently wrote an opinion piece for SEE News in which he claims that “Central Eastern and Southeast Europe (CESEE) is in pole position to benefit from industrial nearshoring in particular, given its safe haven status, the skillset of its workforce relative to its cost, legal protections and access to Western European hubs”. Yet, as noted previously, instances of nearshoring are relatively rare. Eurofound recorded only 15 instances of reshoring in EU member states in CESEE between 2014 and 2018, of a total of 250 in the wider bloc. In comparison, there were 25,000 cross-border investments during the observed period. Such modest numbers are the result of two major trends: first, the process is slow and expensive for companies; and second, CESEE countries differ strongly in terms of being fit for such a process. How believes that industrial capacity and infrastructure quality are key to attracting companies that are considering nearshoring. He outlines Serbia and North Macedonia as having developed limited manufacturing that is systematically integrated into GVCs. But this is not enough. Neither low labour costs and taxes, nor deeper integration into GVCs on account of increasing trade and convergence with the rest of the EU, will be sufficient, claims How. According to him, “governments will need to be strategic in courting these investments, where currently they are blandly managerial, even under populist or otherwise authoritarian elites. This can partly be done through improvements to the business environment, including through institutional reform, an area in which most countries in the region are badly lagging. In this sense, the same old lessons still apply”. How prizes Serbia as a possible viable alternative for companies seeking nearshoring options, as the country combines tax relief measures with customs waivers on machinery, and cash grants to subsidise investment in

its manufacturing sector, while maintaining an effective system of technical education for its labour force. “It has emerged as a leading destination for greenfield FDI, partly as a result of this, and partly because of other unique advantages – and all in spite of its institutional regression,” writes How. The Vienna Institute for International Economic Studies offers a

While some experts praise Serbia for combining tax relief measures with customs waivers on machinery, and cash grants to subsidise investment in its manufacturing sector, as attractive points for companies considering nearshoring, German companies already operating in the Western Balkans give more weight to the quality of the workforce and institutions slightly more nuanced and optimistic view on nearshoring in the Western Balkan countries. In a survey conducted in November and December 2020 by the Chamber Partnership

Western Balkans, the Delegation of German Economic Affairs in BosniaHerzegovina, the Delegation of German Industry and Commerce in North Macedonia, the German-Serbian Chamber of Commerce and Germany Trade and Invest, companies stated three main reasons for investing abroad: relatively lower labour costs (32%), entering new markets (21%)

and finding workers who cannot be easily found at home (18%). WIIW found that the quality and availability of labour is the main reason for investing abroad. Contrary to How’s claims, this survey showed that lower taxes abroad are of minor importance, as well as incentive schemes that governments provide to foreign investors. Instead, stability, governance and institutions of the country were rated as the second most important reason to invest. Interestingly, relocation due to the pandemic was rarely mentioned, at least among companies included in the survey. Asked how COVID-19 has affected their plans to invest in the Western Balkans, most companies stated that they were not affected (60%), while about a fifth said that they postponed their plans until after the pandemic, while 6% say they cancelled their investment plans completely. 47

GERMANY 2021

ARCHITECTURE

MODERN ARCHITECTURE IN GERMANY German architects are very conservative when they are designing new buildings, however in some places where the surrounding area allows them (and, of course, the authorities) they build modern buildings, which is something that is welcome by some and rejected by others. In this article you will see some interesting new buildings from Germany that you will surely like

CONGRESS HALL IN BERLIN

ADIDAS LACES

GERMAN MINING MUSEUM

MERCEDES BENZ MUSEUM

BBI INFO TOWER

LUNEBURG UNIVERSITY’S LIBESKIND BUILDING

GREEN CLIMATE FUND HEADQUARTERS

CENTRE FOR VIRTUAL ENGINEERING

GERMANY 2021

SOCIETY

BY JOE BAUR

ORDNUNG MUSS SEIN For centuries, Germany has been synonymous with order. So how can a rule-abiding nation also have an anything-goes spirit?

n the high-speed train gliding smoothly from Berlin to Düsseldorf, a young man started chatting to me. He eventually asked, “What are some of the cultural differences you’ve noticed between Germans and Americans?” As if on cue, a middle-aged woman hovered over us and gave a harsh, “Shh!” with her finger pressed against her lips. She pointed to a sign of a mobile phone with a cross through it, indicating that we were in the Ruhebereich, the quiet carriage of the train. “You must be quiet,” she said, before returning to her seat. “That,” I said to the man sitting next to me. “That’s different.”

In the nearly four years I’ve lived in Germany, that woman’s reprimand was just one of many examples I’ve experienced of Germans strictly adhering to the rules in the name of preserving Ordnung (order). Because in Germany, as the famous expression goes, “Ordnung muss sein” (“there must be order”). In fact, this proverbial saying is so well-ingrained in the German psyche that it’s become a cultural cliché for Germans around the world, and a way of life for them at home. In Germany, your brown bottles must be recycled separately from your clear ones. You must be quiet after 10pm. You must always obey

the red man at a crossing, even if no cars are coming. And if you want to get anything done in this country, you need to print and fill out the proper forms, make an appointment, take your number and wait to be called to find out if you followed the rules or missed something in the fine print – which you probably did. On the surface, “Ordnung muss sein” seems to be the foundation of German personal and social conduct. But, stereotypes aside, is Germany really “orderly”? As with many things “German”, the answer may go back to Martin Luther. In addition to forever changing how Germany (and the world) worships,

many of the humble Reformationist’s personal preferences (from a love of beer to books to severe Bauhausinspiring design) have continued to shape German culture for the last 500 years. In fact, according to volume 67 of his Sämmtliche Werke text, it was the jowly monk himself who appears to have first written the earliest iteration of the expression. Luther wrote, “Ordnung muss sein unter den Leuten” (literally: “There must be order among the people”). But Dr Wolfram Pyta, director of the Department of Modern History at the University of Stuttgart, contends that Luther wasn’t referring to the virtue highlighted in the contemporary use of “Ordnung muss sein”. “Luther called for obedience to authority in his theological writings,” said Pyta. “But this isn’t identical with … the expression ‘Ordnung muss sein’, which isn’t necessarily aimed at state order, but rather at order in one’s private life.” While there’s not much documentation of the phrase in the centuries after Luther, a 1930 article published in The New York Times claimed that Paul von Hindenburg, the last president of the Weimar Republic, had made the phrase “world famous”. The expression became further tied to German culture when Hindenburg graced the cover of TIME magazine in 1934 with the exclamation “Ordnung muss sein!” printed underneath his photo. The cover story, “Germany: Crux of Crisis”, quotes Hindenburg shouting his “useful aphorism which serves him on all occasions” at Adolf Hitler while discussing politics. “Order is considered to be a Prussian value on equal standing with fulfilling obligations, punctuality, hard work and honesty,” said Christina Röttgers, a German culture expert who helps international companies understand the German mindset to work with them effectively. Whatever the expression’s true origins, “Ordnung muss sein” is certainly embedded within the fabric of German society. But interestingly, Germans don’t discuss it, because according to Röttgers, the values and

rules associated with it have already been internalised. Nobody needs to talk about the rules because it’s assumed everyone already knows them. “Ordnung is in the water supply,” quipped Joachim Krüger, a German professor of psychology at Brown University. “Every child learns this saying in the context of cleaning their room,” added Röttgers. “For Germans themselves, it’s part of their everyday lives, but they don’t think about it any more than someone thinks about grammar while they’re speaking.” Verena Netscher, a personnel consultant from Cologne, agreed. “I think

Around the country, every German I asked agreed with Netscher’s sentiments. “There’s order and that’s a good thing,” Lukas Pietrek, a law student in Düsseldorf, wrote to me. “But a lot of people are nevertheless too orderly and stuffy.” Needless to say, Ordnung has slipped into everyday German vocabulary. If you seem distraught, a passerby might ask, “Alles in Ordnung?”. In English, that’s, “Are you OK?”, but literally, they’re asking, “Is everything in order?”. If everything is as it should be, then you’re “in Ordnung”.

WAREHOUSE DISTRICT IN HAMBURG

In Germany, your brown bottles must be recycled separately from your clear ones. You must be quiet after 10pm. You must always obey the red man at a crossing, even if no cars are coming. And if you want to get anything done in this country, you need to print and fill out the proper forms it’s something that exists in the minds of people in Germany,” she said. “But I don’t think anyone is especially striving to achieve this ideal.”

It’s also stitched on uniforms of the men and women who work for the Ordnungsamt (Germany’s Public Order Office). This is essentially a special police force that focuses on misdemeanours, which in Germany includes playing loud music during quiet hours, parking violations and enforcing when and how long your dog is allowed to bark (10 minutes at a time and no more than 30 minutes a day outside of quiet hours, according to a court decision). If you’re caught on the wrong side of the Ordnungsamt, you’ll get an Ordnungswidrigkeit – a misdemeanour. Yet, whenever you mention “Ordnung muss sein”, Germans are quick 51

GERMANY 2021

SOCIETY

to mention another expression, “Ordnung ist das halbe Leben” (“Order is half of life”). And when they tack on the rest of the expression, it turns Germans’ trademark tidiness on its head: “Unordnung die andere Hälfte” (“And disorder the other half”). Nobody will deny that there are splashes of disorder in Germany. Commuters across the country burst onto trains before people have a chance to get out; people routinely vandalise rubbish bins bearing the word, “Ordnung!” on them; and the nation’s “newest” airport is finally set for take off in October after a nine-year delay due to design flaws, scandals and general chaos. In fact, for more than 100 years – from the hedonistic parties of the Weimar Republic to the boho-squat raves before unification to the techno temples of today – my home of Berlin has been renowned around the world as an anything-goes lab of cultural experimentation. Nearly 20 years

FRANKFURT SKYLINE 52

after the city’s former mayor called it “poor but sexy”, people from around the world still move here precisely to free themselves of rigid life plans and to be whoever and whatever they want without a judgmental glance. But even in a city legendary for its libertine tolerance and anarchistic spirit, there are still strict, unwritten rules. Want to grab spray paint and tag part of the Berlin Wall? There’s a designated section of Mauerpark

As with many things “German”, the answer may go back to Martin Luther. In addition to forever changing how Germany (and the world) worships, many of the humble Reformationist’s personal preferences have continued to shape German culture for the last 500 years

where you can do that. Want to go au natural? There are unmarked swaths of the city’s central Tiergarten park and surrounding lakes where clothing is severely frowned upon. And want to do drugs and have sex with strangers? No-one will bat an eye at most Berlin clubs – so long as you do your business in the right room. Berlin may be a special beast, but the deeper you dive, the more you’ll see this carefree cultural attitude across Germany. Frankfurt has its growing Bahnhofsviertel neighbourhood full of brothels and clubs. Hamburg’s St Pauli area is one of Europe’s most raucous red-light districts. Even the most conservative corners of Bavaria and the former East Germany embrace the Freikörperkultur (free-body culture) of relaxing in the buff at certain campsites, beaches and resorts. Of course, each of these examples still fits neatly within Germany’s specific sense of order: it’s less about

banning certain things and more about making sure you’re doing them in the proper, assigned place. Chat softly on the quiet carriage of a train and you’re likely to get scolded. But drink a beer on Berlin’s subway and no-one will say a word because of another unwritten rule that public drinking – and even public transit drinking – is generally deemed acceptable. “Most hold themselves to the rules because they’ve learned that the rules are reasonable,” explained Röttgers. “But everyone has their own interpretation of the rules because people are individuals.” Of course, if you run afoul of someone’s interpretation of the rules, many strangers may gladly let you know

But even in a city legendary for its libertine tolerance and anarchistic spirit, there are still strict, unwritten rules. Want to grab spray paint and tag part of the Berlin Wall? There’s a designated section of Mauerpark where you can do that. Want to go au natural? There are unmarked swaths of the city’s central Tiergarten Park and surrounding lakes where clothing is severely frowned upon that you’ve disrupted their Ordnung. “Germans aren’t shy about pointing out when others break the rules,” said Röttgers. “Strangers will rebuke you because there’s an expectation that everyone will follow the rules.” That explains why a neighbour of mine shared a video of how to properly deconstruct a cardboard box for the recycling bin in my apartment building’s WhatsApp chat. “In five seconds, a box is made small. If I can do it, you all can, too.” The message was signed with a kissy-face emoji. But on the whole, German order is rather pragmatic. “Ordnung muss

MARTIN LUTHER STATUE, DRESDEN 53

GERMANY 2021

SOCIETY

PALACE OF JUSTICE, MUNIC

sein” doesn’t mean building a false reality. It means Germans demand that systems are in place to prevent the worst from happening, like Kurzarbeit (short work) – a programme that allows businesses to decrease the hours of their employees during times of crisis (like the 2008 financial crash and the ongoing coronavirus pandemic) and the government will pay 60% of the remaining salary to avoid mass unemployment. Having travelled extensively through all of Germany’s 16 states, I have seen Ordnung operate swiftly and smoothly, from the Black Forest to the Baltic Sea. But I’ve also seen Germans throwing this order overboard at “acceptable” times – be it embracing their carnal core at Carnival, screaming at hordes of armoured guards at football matches or launching fireworks from crowded streets and balconies on New Year’s Eve. 54

THE BERLIN WALL

In the end, Germany – like any country – is more than just one phrase. “There are a lot of expressions that, when put together, build a picture of a culture,” Röttgers said. “‘Ordnung

muss sein’ is just an excerpt.” Now if you’ll excuse me, I have some cardboard boxes to “make small” and ensure my dog isn’t barking more than his daily allotted limit.

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GERMANY 2021

GERMAN BRANDS

BY BRIAN JONES

GERMAN CAR BRANDS ENGINEERED

TO PERFECTION

German car brands are known for manufacturing high-class vehicles that consistently exceed driver expectations as far as performance and appearance are concerned. This reputation makes these brands the leaders in automotive production worldwide, with many of their marks ranking higher than similar American, Japanese, and Korean car brands

nd German car brands also feature a long history of innovative technologies and cutting-edge engineering — advances which were subsequently adopted by other European car companies. Plus, many of these vehicles just look stellar. From supercars to SUVs, 56

these manufacturers have made some of the models that serious gearheads covet. A BRIEF HISTORY OF GERMAN CAR BRANDS German car history began in 1870 when Nikolaus Otto and Karl Benz invented the 4-stroke internal combustion engine.

These two mechanical engineers helped Germany launch into the automotive production business. By 1901, about 900 cars were being produced annually in Germany. Today, Germany has one of the largest automotive workforces in the world. According to Worldometers, Germany is

the third-largest auto manufacturing country after China and Japan. And these brands aren’t just about quantity, as they also routinely claim top-marks for quality too. In 2021, German car brands claimed three World Car Awards, including the World Car of the Year (Volkswagen ID.4), the World Luxury Car (Mercedes-Benz S-Class), and the World Performance Car (Porsche 911 Turbo). TOP GERMAN CAR BRANDS: THE TITANS, SLEEPERS, AND HAS-BEENS When most people think of German car brands, companies such as Audi, BMW, and Mercedes-Benz obviously come to mind. While these are a few of the most well-known German car brands, there are several other manufacturers that you might not have heard of. We’ve rounded up some of the top German car brands currently in operation and a few that have, sadly, ceased production. AUDI Audi began production in 1909. Currently headquartered in Ingolstadt, Germany, the company received its name, which means “listen” in German, from its founder, August Horch. In 1932, Audi merged with Horch, Wanderer, and DKW to form Auto Union UG. The four linked rings in the Audi logo come from these four companies. Then, in 1966, Audi became part of the German automobile giant: the Volkswagen Group. In the United States, Audi continues to become more popular each year. They offer a wide variety of vehicles in the American market. Sedans and sportbacks include the A3, A4, A5, A6, A7, A8, RS 3, RS 7, S3, S4, S5, S6, and S7.

They also sell numerous crossovers and SUVs including the Q3, Q5, Q7, Q8, and e-Tron. As far as their coupes and convertibles, they are known for

creating sporty, performance vehicles including the TT and R8 with special runs like the Panther Edition R8 aimed at Audi enthusiasts. MERCEDES-BENZ Mercedes-Benz has been in business since 1926. The car manufacturer operates out of Stuttgart, Germany and was founded by Gottlieb Daimler who also worked with Karl Benz. Since its inception, Mercedes-Benz has had a reputation of being a manufacturer of luxury cars. The Mercedes-Benz logo has become synonymous with quality, emblazoning some of the best cars in the industry.

Over the years they’ve produced numerous types of vehicles including trucks, limousines, vans, and buses. In fact, the Mercedes-Benz 600 was a luxury vehicle that became a popular limousine model that was produced from 1964 through 1972. Mercedes offers some unique car models. Their sedan lineup includes the A, C, E, and S-Class as well as the Maybach. Coupes also include some from the C, E, and S-Class plus the AMG-GT. Their SUV lineup has also grown to include the GLA, GLC, GLE, and GLS. Several of their vehicles are also produced as convertibles. These include the C-Class, E-Class, AGT-GT, plus the SL Roadster. BMW BMW has been around since 1916 and is headquartered in Munich, Bavaria. Founded by Franz Josef Popp, BMW stands for Bayerische Motoren Werke (Bavarian Motor Works) and is often recognized instantly by its iconic blue and white roundel logo. Their greatest successes over the years have come in the realm of handling, horsepower, and performance, solidifying their place amount the best German car brands in the world.

Since its inception, BMW has released many luxury passenger cars, sports cars, and SUVs. BMW USA offers a wide variety of luxury vehicles. They range from the X1-X7, 2-Series to 8-Series, Z4, M Models, i3, i4, and i8. From comfy daily drivers to modified track-day beasts, the various iterations of BMWs lineup have found a faithful following in both casual drivers and motorsport enthusiasts around the world. VOLKSWAGEN Volkswagen has been one of the most popular German car brands since 1937 when Ferdinand Porsche started the company. This automotive giant is currently headquartered in Wolfsburg, Germany. Over the years, Volkswagen went on to acquire other iconic brands such as Bentley, Rolls-Royce, Lamborghini, Bugatti, Skoda, and SEAT. Though not as flashy or luxurious as some of the other German car brands, Volkswagen has created some wellknown vehicles including the Beetle and the Vanagon. They don’t have as many models as some of the other German car brands, but buyers still have a decent selection of reliable vehicles to choose from.

Volkwagen’s sedans include the Arteon, Passat, Jetta, and Jetta GLI. They also make the Tiguan, Taos, and Atlas SUV models; or if you’re looking for an EV, check out the ID.4, winner of the 2021 Car of the Year. Hot hatch enthusiasts can opt for the Golf or the souped-up Golf GTI. 57

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PORSCHE Porsche is another well-known German automaker. Founded in 1931 by Ferdinand Porsche, its current headquarters are in Stuttgart, Germany.

Porsche mainly specializes in highperformance sports cars and has gained a lot of its reputation from its factoryracing team. Many older Porsches are worth a good deal of money today. The Porsche 911 has been a mainstay in the sports car world for years. Current sports car models include the 718 Cayman, GTS, Boxster, and Spyder as well as the 911 Carrera, Targa, Turbo, and GT3. Across the board, you have your pick of high-end trim packages and can even opt for a cabriolet (convertible). Porsche also produces a Panamera sedan plus the Macan and Cayenne SUVs as well as its debut play in the EV market, the Taycan. OPEL You might not be familiar with this German car brand as Opel currently does not sell any models in the U.S. However, the brand, also known as Adam Opel AG, is popular in Germany with its headquarters in Rüsselsheim.

Founded in 1862 by Adam Opel, the company began by manufacturing bicycles but quickly branched out to release the first vehicle in 1899. Opel grew in popularity from there. At present, the company and its parent brand, Vauxhall, are currently owned by PSA Groupe. Opel came to the States branded as Buicks. It’s possible you’ve seen some Opel cars in old gangster movies. And 58

you’ve likely spotted the 1969 Opel GT in “Starsky and Hutch” to the 1970 Opel GT in “Criminal Minds.” At present, the brand makes a solid lineup of cars, SUVs, and even a van. The European market has a choice of the Astra, Corsa, Crossland X, Grandland X, Insignia, and Zafira. ALPINA Alpina has been around since 1965 and is currently owned by BMW, with its headquarters in Buchloe, Germany. Though you might not know about this brand, you’ve possibly seen the badging on a BMW. Alpina works closely with BMW to produce high-performance versions of BMW and Mini cars.

The brand is recognized as an automotive manufacturer as opposed to an aftermarket tuner as each Alpina vehicle leaves the assembly line with a unique serial number that differentiates it from its Bimmer counterpart. Self-branded as “cars for automotive gourmets,” Alpina isn’t one to churn out a huge quantity of models, but if you do spot one in the wild, it’s sure to turn heads with its bespoke touches — namely their 20-spoke alloy wheels, Alpina Blue metallic paint, the thin, pinstripe styling, and, of course, the Alpina badging. Alpina currently crafts seven sedans (D3 S, B3, XD4, D5 S, B5, B7, and B8) and two SUVs (XB7 and XD3) all finished out with posh touches inside and out. GUMPERT AIWAYS Founded in 2004 by Roland Gumpert, Gumpert was originally based in Denkendorf. This niche German car brand had a unique mission from the get-go — to usher in the new generation of sports cars.

Though seemingly ambitious, Gumpert did just that with the Apollo, a streetlegal car that drew praise for its speed and driving feel. Unfortunately, Gumpert never branched out into mass production of the Apollo. The company filed for bankruptcy in 2013, which ended the production of the Apollo. But 2020 saw the resurgence of the Roland Gumpert name with the Nathalie, which holds the distinction of being the first hydrogen super sports car with a methanol power cell. This eye-catching EV, coming out of Ingolstadt, has a similar cutting edge vision: “To develop the world’s first electrically-driven super sports car with racing performance and intelligent energy technology.” ISDERA This privately-owned German car brand began in 1969 under the direction of Eberhard Schulz. Based in Hildesheim, Germany, the company is also known as “Ingenieurbüro für Styling, Design und Racin” which means “engineering company for styling, design, and racing.” Their main focus is on manufacturing sports cars, but not in the same way most automakers do. Instead, they utilize a small team of automotive craftsmen to build each car. This has led to a fleet of some of the most unique (and rare) cars you can find on the road, including the legendary Isdera Commendatore 112i built in 1993. At present, the company has shifted its focus to 100% EV with the eye-cathing Commendatore GT as the most recent example of their handiwork.

GERMAN CAR BRANDS: GONE BUT NOT FORGOTTEN In addition to the current German car brands, a few brands are longer in production but are still worth reminiscing about. Consider yourself lucky if you spot one of these classics on the road.

ADLER Adler was a German car brand that also produced motorcycles and, before World War II, typewriters. The word Adler means “eagle” in German, and the brand produced vehicles from 1900 to 1957. In their cars, they utilized De Dion 2 and 4-cylinder engines ranging from 1032 to 9081 cc. In fact, in 1930, Adler created a lightweight VW prototype featuring a tubular chassis, independent wheel suspension, and a mid-mounted engine. After WWII, they did not resume production of cars but went on to make motorcycles for eight more years. The Adler motorcycle designs were eventually given to Britain and became associated with Triumph.

AUTO UNION AG Auto Union AG vehicles were in production from 1932 through 1966. The brand later became Audi. Prior to that, Volkswagen owned them for a short time. In the original vehicles, the company focused heavily on two-stroke engines which became less popular during the 1960s. As customers began looking for four-stroke engines, Auto Union AG started selling off shares of the company with help from the West German government.

DKW You might recognize DKW as one of the German car brands that merged with Auto Union AG. Known as the “steam-

powered car” or “the little wonder, these vehicles were built from 1916 through 1966. Originally founded by a Danish engineer, DKW’s last car was the F102. Audi then built the four-stroke F103, its successor. The trademark for the company is still owned by Auto Union GmbH, which is part of Audi AG.

BORGWARD The Borgward car company was based in Bremen and founded by Carl Borgward. The automaker produced vehicles from 1929 through 1961 and had four brands: Borgward, Goliath, Lloyd, and Hansa. All were sold to international customers. The Borgward Isabella was a popular premium model during the 1950s, often driven by the working-class. In 1961, some controversial insolvency proceedings brought the company to an end. The brand saw a revival during the 21st century through the Borgward Group AG, with manufacturing and design in China instead of Germany.

EISENACHER MOTORENWERK (EMW) Eisenacher Motorenwerk was a shortlived German car brand, only existing from 1945 through 1956. Most people knew the company, which was based in Eisenach, as EMW. They produced sports cars plus some Formula One cars during the 1950s. EMW was one of the Formula One car

builders in 1952, but they didn’t race in more than one event. The vehicle only made 12 laps before ending the race due to exhaust trouble. Prior to WWII, the EMW plant was a BMW factory. After the war ended, the Soviets took over the location. They attempted to continue under the BMW brand but were sued and forced to change the name to EMW. In the end, they closed down due to bankruptcy.

KEINATH Founded by Horst Keinath in 1983, Keinath was once headquartered in Reutlingen. With a special focus on building race cars, they received some attention while in production for creating a variant of the Opel Monza. They also created a GTR that was stylish, powerful, and sporty for which the boutique automaker was best and last known for.

THE NUMBERS DON’T LIE: DRIVERS LOVE GERMAN ENGINEERING AND PERFORMANCE If you take a look at current and recent global car sales numbers, it’s clear that the German car brands aren’t going anywhere in Germany or in the United States. And for good reason, as these German car brands are known for producing high-performance automobiles loved by the general public. They also tend to rank high on reliability and often are leading the field in innovative features. So next time you’re out shopping for a new car, don’t forget to book a test drive with the Germans. 59

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GERMAN-SERBIAN CHAMBER OF COMMERCE / AHK SERBIA, ACTIVITIES

RELIABLE PARTNER TO THE SERBIAN ECONOMY FOR 20 YEARS Germany has been one of Serbia’s largest investment partners for years, and this year has special importance – as it marks the 20th anniversary of the establishing of the German-Serbian Chamber of Commerce. Approximately 400 companies with German capital currently operate in Serbia. They have created more than 70,000 jobs and contribute to modernisation and the introduction of European norms and international standards on a daily basis

he German-Serbian Chamber of Commerce (AHK Serbia) is part of the system of German foreign trade and industrial chambers, which has 140 offices in 92 countries worldwide. AHK Serbia represents the interests of its member companies, providing them with informational support for their operations and striving to develop and improve German-Serbian trade and cooperation in all aspects of the economy. JUBILEE OF THE GERMAN-SERBIAN CHAMBER OF COMMERCE With the long tradition of its presence and sustainable operations, the German-Serbian Chamber of Commerce is a stable partner of Serbia that has and will always focus on improving bilateral economic relations between Serbia and Germany, through the constant intensification of cooperation in the economic, cultural and educational-technical spheres. Testifying to the quality of this cooperation is the fact that the volume of bilateral trade has increased by 250% over the last eight years, reaching a new maximum of more than five billion euros in 2019, and that level of €5 billion of bilateral trade was maintained in 2020, despite the year having been

marked by the Coronavirus pandemic. In the aspects of educational and technical cooperation, the German-Serbian Chamber of Commerce has played a decisive role, together with other partners, in introducing a system of dual education to secondary schools in Serbia. AHK Serbia identified three main strategic directions for this year that are already well into the process of being implemented: green business, digitalisation/innovation and vocational education – life-long learning. AHK ROAD SHOW To commemorate this year’s significant jubilee for the association, AHK Serbia has been working in cooperation with the Embassy of the Federal Republic of Germany in Belgrade and organisation Germany Trade & Invest (GTAI) to organise the special “AHK Road Show” event, which aims to further bilateral economic cooperation through promotions in four Serbian cities. Within the scope of the AHK Road Show project, gatherings of business leaders and institutional partners of the German-Serbian Chamber of Commerce were held in Subotica (14th May), Novi Sad (20th May), Čačak (1st June) and Niš (3rd June).

AHK CSR ACTION “TREE FOR BELGRADE” Representatives of GSCC member companies, with Belgrade Mayor Zoran Radojičić in attendance, planted 329 trees on the right bank of the Sava beside the Belgrade Fair, as part of the “Tree for Belgrade” action. Thanks to the responses of 37 member companies, an area of 10,000 square metres of land situated alongside the Belgrade Fair has been greened. Within the framework of this action, the largest number of seedlings was planted through the “Tree for Belgrade” challenge.

Representatives of these German organisations exchanged experiences on important topics and issues arising within the framework of bilateral economic cooperation, while presentations covered the work of the Chamber, types of support available, potential opportunities for cooperation and entry to the German market, leading trade fairs in Germany and many other significant projects. Comprising the German delegation were Frank Aletter, managing director of the German-Serbian Chamber of Commerce, Anne-Kristin Piplica, head of the Economic Department of the German Embassy in Belgrade, and Martin Gaber, Germany Trade and Invest correspondent for the Western Balkans. Business gatherings were attended by municipal presidents/mayors, local government representatives, representatives of regional and local chambers of commerce, representatives of AHK Serbia member companies and numerous local business leaders. According to the accounts of participants, the events held within the scope of this AHK tour symbolise the very close relations between Serbia and Germany that lead to the opening of new topics and opportunities to further improve foreign trade cooperation to the benefit of both countries. Assistance in the organising of the event was provided by companies DHL Serbia, JugoImpex, Tehno-Coop, ComData, MerkurXTip, Siemens and the Stanković Law Office.

The GSCC would like to thank the following member companies for their participation and donations in the “Tree for Belgrade” action: Lawyer Damir Petrović, B. Braun Adria RSRB d.o.o. Belgrade, Brose d.o.o., Delta Motors d.o.o., DHL, Health Centre “Vizim”, Eldisy Serbia d.o.o., Gebrüder Weiss d.o.o., GP Građevinar d.o.o., Hemofarm AD, Henkel Serbia, HÖDLMAYR Zastava d.o.o., Holleman, IB Interbilanz Consulting & Audit d.o.o. Belgrade, Klett publishing house d.o.o., Knauf Insulation d.o.o. Belgrade, LIDL Serbia KD, Linde Viljuškari d.o.o., Messer Tehnogas, Nes Communications, Phoenix Pharma, ProCredit Bank, Profine d.o.o., Quadra Graphic, Radisson Collection Hotel, Old Mill Belgrade, Unija Smart Accounting d.o.o. BG, Robert Bosch d.o.o., Schmitz Cargobull d.o.o., Siemens Serbia, Star Import (Mercedes Benz), Structura Concept d.o.o., TNation d.o.o., TPA Serbia d.o.o., Vorwerk Autotec Serbia d.o.o., Vorwerk Drivetec Serbia d.o.o., Vossloh – Schwabe Serbia d.o.o. and ZF Serbia d.o.o. YOUNG ENERGY EUROPE 2.0 - ENERGY SCOUTS IN SERBIAN COMPANIES – THE BUSINESS SECTOR IN THE ENVIRONMENTAL PROTECTION MISSION During the 2021-2024 period, the German-Serbian Chamber of Commerce – under the patronage of the German Federal Ministry of the Environment, Nature Conversation and Nuclear Safety (BMU) – will implement the project Young Energy Europe 2.0, which will enable professionals in Serbia to make improvements in the areas of energy ef61

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ficiency and the optimisation of resources, thereby providing a great contribution to advancing both the economy and the environment. The project’s aim is for future energy scouts to recognise and utilise the potential to make energy savings and optimise the use of resources within their companies. Within the scope of training each year, participants will acquire basic knowledge on the topic of energy – from its production and importance to environmental protection, to its efficient use. They will apply their newly acquired knowledge within their companies, thereby providing a great contribution to both companies and environmental protection. The training courses will help companies become more energy efficient and reduce their CO2 emissions. Adapted to suit companies, the YEE programme serves to strengthen climate protection and reduce companies’ climate costs, thus showing that economic activities and climate protection can go hand-in-hand. The Young Energy Europe project is being implemented in Serbia, Bulgaria, Greece, Croatia, Poland, Slovakia, Czechia and Hungary.

The project is funded under the auspices of the European Climate Initiative (EUKI) of the German Federal Ministry of the Environment, Nature Conservation and Nuclear Safety (BMU). Participation in training courses is free. The German-Serbian Chamber of Commerce invites all interested companies to participate in the project and thus receive numerous benefits for their operations while contributing to the strengthening of environmental awareness and environmental protection. 2021 BUSINESS CONDITIONS IN SERBIA SURVEY The German-Serbian Chamber of Commerce conducted its 16th annual survey of the economic environment in Serbia among AHK Serbia member companies. The results of the survey were presented at a press conference by GSCC President Udo Eichlinger and Managing Director Frank Aletter, but were also analysed by State Secretary at the Serbian Ministry of Economy Milan Ljušić, German Ambassador Thomas Schieb and Director of Strategic Analysis, Services and Internationalisation of the Serbian Chamber of Commerce & Industry Mihailo Vesović. 62

GSCC members companies gave a positive assessment of the economic climate in Serbia and expressed positive expectations within the scope of their own operations. Moreover, despite the year of the pandemic, 90 per cent of participating companies said that they would invest in Serbia again. Pointing out the greatest threats and risks to the development of their companies over the next twelve months, respondent business leaders cited falling demand, the economic framework and legal security, as well as the labour shortage. The GSCC worked in cooperation with member companies to prepare a Position paper with proposals for eliminating these threats, which it submitted to the competent institutions. DUAL EDUCATION The GSCC provides its member companies with an opportunity to join the group for dual vocational education, dual studies and professional qualifications, and to play an active role in working to improving related topics. The first meeting of the AHK Serbia “Dual Education” working group was held in June 2021. The aim of the first meeting was to identify the main challenges confronting companies in dual vocational education, dual studies and qualifications, as well as to provide tangible suggestions for their improvement. Discussions among participants and representatives of various economic activities led to the identifying of three topics for which a real need for further discussion exists. These include the lack of a skilled workforce for industry, insufficient interest among students

in dual education and increasing the number of hours they spend learning through practical working engagements in companies. In accordance with this, AHK Serbia will thematically adapt the upcoming meetings of the “Dual Education” working group.

WESTERN BALKAN PURCHASING INITIATIVE As the seventh consecutive event co-organised by the German Federal Association of Materials Management, Purchasing and Logistics (BME e.V.) and representative offices of the German economy in the Western Balkans (AHK), under the patronage of Germany’s Federal Ministry for Economic Affairs and Energy (BMWi), the Western Balkan Purchasing Initiative will take place from 28th September to 15th October 2021. The goal of the event is to promote the Reverse-Procurement concept (B2B matchmaking), enabling German customers to meet with selected suppliers from the Western Balkan region: Serbia, Croatia, Bosnia-Herzegovina, Slovenia, North Macedonia, Montenegro and Albania. This event will focus on the metals industry, cast and forged parts and other direct groups of materials. ONLINE CONFERENCE “ENERGY EFFICIENCY IN BUILDINGS INCLUDING GEOTHERMAL” The GSCC, under the patronage of Germany’s Federal Ministry for Economic Affairs and Energy, and in partnership with German consulting and service company energiewaechter GmbH, held an online conference on the topic “Energy efficiency in buildings including geothermal”. Conference participants received relevant information on the financing of projects in the field of energy efficiency for buildings in Serbia and Montenegro, the potential and use of geothermal energy and energy efficient buildings in Germany and Eastern Europe. The event was also attended by representatives of German companies, who presented their range of products and services in the area of energy efficiency. AHK BOARD TALKS The AHK Board Talks represent a new format of online AHK Serbia events at which participants discuss current topics with experts from the Management Board of the GermanSerbian Chamber of Commerce. Two panel discussions have so far been held on the topics of digitalisation and transport & logistics. The panel on the topic of digitalisation was hosted by GSCC President Udo Eichlinger, while the host of the

event addressing the topic of transport & logistics was GSCC Management Board member Dragan Simović. SPEED BUSINESS MEETING The Radisson Collection Old Mill Belgrade hotel provided the venue for a meeting that included more than 60 representatives of the member companies of three bilateral chambers: the German-Serbian Chamber of Commerce, the French-Serbian Chamber of Commerce and the Chamber of Italian-Serbian Businessmen. After a break of more than a year, and with all applicable epidemiological measures respected, the participants had a opportunity to meet in-person and initiate potential business cooperation. The event was held under the patronage of the Radisson Collection Old Mill Belgrade and companies Messer Tehnogas, Sky Express, Gebrüder Weiss and Rhenus Logistics. SERBIAN VISIONS The sixth consecutive Serbian Visions Multicongress, this year held in an online format, took place from 1st to 5th February 2021. Under the new format, the multicongress ran for five days and included six manifestations per day. Help in the organising of the event was provided by companies Tahograf and Messer Tehnogas.

- 30 online events within the scope of the multicongress - 30 participants and event organisers: NGOs, institutes, guilds, associations, universities, faculties, professional associations, companies etc. - 30 different forms of presentation: discussions, forums, presentations, online workshops, webinars, film screenings etc. - 30 interesting topics covering the fields of human rights, economics, education, culture, innovation, healthcare, security, environmental protection and animal welfare, EU integration etc. WEBINARS, DIALOGUES AND ONLINE PANEL DISCUSSIONS The German-Serbian Chamber of Commerce, in cooperation with its member companies and partners, organises numerous online events that address current topics. AHK Serbia has closely monitored developments and the changing needs of members since last year, organising a large number of webinars in cooperation with member companies, experts, GSCC partners, competent institutions and other bilateral chambers both in the country and abroad. 63

Germany Business Partner 2021 - Continuity In Change

Articles inside

RELIABLE PARTNER TO THE SERBIAN ECONOMY FOR 20 YEARS

GERMAN CAR BRANDS ENGINEERED TO PERFECTION

MODERN ARCHITECTURE IN GERMANY

ORDNUNG MUSS SEIN

THE DANUBE CONNECTS SERBIA AND GERMANY

AN EXAGGERATED TREND?

CLIMATE IS THE KINGMAKER IN GERMAN COALITION- BUILDING

STRIVING FOR A WORLD BEYOND POVERTY

NURTURING IT’S OWN LEADERSHIP POSITION

SATISFIED PARTNERS ARE KEY TO SUCCESS

NEW INVESTORS ARRIVING

EVERY CHALLENGE IS AN OPPORTUNITY FOR GROWTH

RIGHT ON TRACK PETER WOLF, SECTOR FUND MANAGER, GIZ

CULTURE IS ESSENTIAL IN PANDEMIC TIMES

EMPLOYEES ARE OUR GREATEST ASSET

QUARTET FOR A SECURE FUTURE

QUALITY AHEAD OF ITS TIME

READY FOR THE NEXT STEP IN SERBIA

GASES FOR LIFE MESSER TEHNOGAS

POST-MERKEL COOPERATION

HOW VISION BECOMES REALITY

KNOWLEDGE LEAPS BORDERS

COOPERATION GROWING WIDE AND DEEP

CONTINUITY IS A GERMAN TRADEMARK

GROWING OPPORTUNITIES FOR COLLABORATION