Construction of Aircraft Parts Factory Begins in Jakovlje North 2 Zone

Lauren Simmonds

Updated on:

As Poslovni Dnevnik writes, the construction of an aircraft parts factory in the Jakovlje North 2 has now begun, in which 450 employees will be employed in the first phase. This information was confirmed by the mayor of Jakovlje, Sanja Borovec, adding that two more new investors in this zone are expected in the near future.

“Although there have been rumors for months that nothing will come of the construction of the aircraft parts factory, the machines on the construction site show that we were on the right track. The effort we’ve put in over the last three years has paid off. In early December 2020, the Austrian aeronautical company FACC (Fischer Advanced Composite Components), began the construction of a factory in the Jakovlje North 2 zone that will produce parts that will be installed in the world’s most famous aircraft. According to the business plan, the company will employ 450 employees in the first phase,” said Sanja Borovec (HDZ).

She added that this investment, worth a massive 33 million euros, means providing jobs to the residents of this area, a better livelihood, but also a spring in the step of the further economic development of the Municipality of Jakovlje. The arrival of the FACC in Jakovlje began back in mid-2019, when the greenfield investment of this Austrian aeronautical company was initially announced. In the first phase alone, the plan was to invest around 30 million euros and create 600 jobs, and in the second phase, FACC planned to open another factory for the production of interior parts for aircraft with a total of one thousand employees.

Given the coronavirus crisis that hit the aviation industry hard in 2020, it is difficult to estimate the exact volume of the total FACC investment and its dynamics, and the investors themselves haven’t issued any comment on that. Upon arrival in the Jakovlje North 2 zone, it was pointed out that the pool of skilled workers was the most important for choosing the location for this large investment. For almost two years, the company negotiated the best location for its factory, which was supposed to be located within the EU, and all Eastern and Central European countries except Croatia were considered. In the end, Croatia was ahead of Slovakia and Poland.

Jakovlje was not the only location in Zagreb County, but it was chosen because of good traffic connections. A plus for Croatia was a good ten years of business experience with local companies, with which it will continue to cooperate intensively after the start of production. FACC is also satisfied with energy costs and other operating costs in Croatia, as well as investment incentives. In the first phase, the production of parts for Airbus is planned, namely parts for the interior of the aircraft from the luggage compartments and ceiling panels to the entrance part of the interior.

FACC will operate in Croatia under the name FACC Solutions Croatia. FACC otherwise has more than 3,400 employees in 38 countries and with revenues of 782 million euros. It is owned by the Chinese state-owned group AVIC Cabin Systems, which has 450,000 workers worldwide and generates huge revenues of 54 billion US dollars.

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