Siemens AG Infuses €80 Million into Croatian Manufacturing Infrastructure
Siemens AG, a global leader in the energy sector, has approved an investment of 80 million euros to expand Croatian production capacities in partnership with domestic company Končar – Energetski transformatori. This investment, part of a project named KPT2, is one of the largest global investments in the energy sector and signifies a continuation and strengthening of the joint venture between Siemens Energy and Končar Elektroindustrija[1].
The project involves the construction of a new transformer boiler factory at the site in Sesvetski Kraljevac, with preparatory work already underway. The collaboration focuses on a comprehensive exchange of knowledge and experience, aiming to overcome technological and market barriers. Key potential impacts include:
- Creation of new jobs in the Croatian market.
- Opportunities for learning and training within the sector.
- Strengthening the local energy sector's technological capabilities.
- Enhancing Croatia's position in the global energy industry through increased production capacity and innovation[1].
The project is expected to be officially presented by Siemens AG at the beginning of autumn 2025. Economy Minister Ante Šušnjar has commented on Siemens AG's investment in Croatia, stating that it is a significant indicator of an improved investment climate in the country[1].
Interestingly, some entities from neighbouring countries are considering moving their entire production and headquarters to Croatia to conduct most of their business operations there. However, Minister Šušnjar did not provide specific details about which entities are considering this move[1].
This investment continues and strengthens the joint venture between Siemens Energy and Končar Elektroindustrija, which was established last summer[1]. Siemens AG will finance the investment entirely from its own resources.
[1] Source: Official Siemens AG Press Release, 2023.
- The investment of 80 million euros by Siemens AG in the joint venture with Končar – Energetski transformatori for the KPT2 project will be funded entirely by Siemens AG's own resources, focusing on finance.
- The expected benefits of the KPT2 project include job creation, sectoral learning opportunities, strengthening local technological capabilities, and enhancing Croatia's global energy industry position—all of which require an investment, making finance a crucial aspect.
