Automotive Components Sector in the Republic of Macedonia

Automation & RoboticsIndustrySouth-East European INDUSTRIAL Мarket - issue 3/2012

Macedonia has a history of automotive components manufacturing which started in the 1960s initially to supply the former Yugoslavian automotive producer Zastava. Today, the automotive components sector is compiled of a number of companies. Quality products being produced in these factories, in compliance with automotive standards TS 16949 and ISO 9001 assures that the production in the Macedonian automotive components sector is exported.

The country is particularly suitable as a location for the manufacture of high value to weight and labor-intensive products such as safety systems (seat belts, airbags), electronics (controllers, sensors), precision engineered and plastic products, aluminum and zinc die-casting, and grey iron casting components.

In the recent privatization process, a number of companies have been bought by overseas investors and continue to produce a range of components for cars, buses, trucks and locomotives. Existing component manufacturers in Macedonia supply to the European, Russian, Turkish and African markets, amongst others. Investors in Macedonia can freely export to a market of over 650 million people. The automotive industry in these markets is particularly buoyant as global players over the last ten years have invested over 20 billion euro in car manufacturing in Central and Eastern Europe alone, and further investment is anticipated.
Macedonia offers a particularly cost-competitive operating environment for auto component manufacturing. The labor force is well educated, flexible and has a strong work ethic. The educational system is willing to collaborate with incoming investors in finding ways to meet their skills needs, as demonstrated by one of the major universities training 165 students in Java and C++ in anticipation of the needs of Johnson Controls, which has constructed a 40 million USD facility outside Skopje to manufacture electronic automotive components.

Companies operating in the automotive componets sector
Curently there are around 50 companies operating in Macedonia, covering seat belts and seat belt parts production, busses and coaches, various automotive and machine parts, and railway vehicles and components.

• Aluminium and Zinc Foundry - Aluminium pressure-die castings for the needs of automobile industry
• MZT Learnica - Clutch parts
• LTH Learnica - Brake components and anti-vibration products for OEM
• Urum - Metal parts

Seat Belts and Seat Belt Parts
• Sipo - Seat belts and seat belts parts
• Velmaks - Seat belt parts
• Eurotehnika - Seat belt parts

Buses and Minibuses and Vehicle Bodies Upgrade
• Brako Veles - Cargo trailers
• KGL Systems - Vehicle body upgrade
• IEV - Design and production of coaches
• Marana Automotive - Design and production of commercial vehicle bodies

Machine Parts
• RDV Faber - Different kinds of tools and rear lights
• Alatnica SVEMEK - Pneumatic and hydraulic parts by design: cylinders, valves, screws, implants, and other machine parts

Other Automotive Parts
• Johnson Controls Skopje - Printed circuit board components
• HI-TECH Corpotarion Skopje - Multi-layer printed circuit boards for automotive, communication and electronics
• EIN-SOF Skopje - Automotive diagnostic software
• Elko Elektromehanika Skopje - Auto electrics
• STD, Nov Dojran - Shock absorbers for trucks and buses
• MZT Oprema za vozila, Skopje - Springs
• RUEN International Technologies - Clutches (clutch cover, clutch disk and release bearing), gears and gear elements for three types of vehicles: passenger cars, heavy duty (trucks and buses) and tractors
• Sigurnosno Staklo - Bent tempered and laminated glass for the needs of the automotive industry (a variety of windscreens)
• TE-TE Plast Skopje - Moulds and plastic parts
• Vesna SAP Probistip - Starter batteries
• Johnson Matthey - Production of catalysts
• Miriplast - Plastic parts and car accessories
• Tehnoproduct - Rubber parts, hoses, metal parts

Source: Agency for Foreign Investments of the Republic of Macedonia