Smederevo, Serbia - October 07, 2024

Smederevo, Serbia - Recent

The rebirth of the Smederevo Steelworks in Serbia serves as a vivid example of high-quality cooperation between China and Serbia under the Belt and Road Initiative (BRI) and their iron-clad friendship.

Situated by the scenic Danube River, the steelworks in Smederevo, a small city about 60 kilometers southeast of the Serbian capital Belgrade, had long been hailed as the "pride of Serbia" before it slid to bankruptcy more than two decades ago.

The steelworks, first established in 1913, once contributed 40 percent of local GDP at its peak, but in the late 1990s, it encountered difficulties due to changes in both domestic and international circumstance. It then faced two decades of struggle of survival and, in 2012, its then owner U.S. Steel Corporation sold the plant back to the Serbian government, leaving it with more than 5,000 employees and massive liabilities.

Thanks to the deepening high-quality BRI cooperation between China and Serbia, the century-old factory experienced a remarkable resurgence in 2016 when its Chinese partner, HBIS Group Co., Ltd., came on board. The Chinese company acquired the plant for 46 million euros (50 million U.S. dollars), just months after the two countries signed a memorandum of understanding within the BRI framework in November 2015.

During Chinese President Xi Jinping's state visit to Serbia in June 2016, he visited the steelworks and interacted with workers in the dining room, encouraging them to work hard to benefit local residents.

The acquisition of the steelworks and Xi's visit significantly boosted the morale of all the workers.

As a gift, factory workers presented President Xi with a round plate featuring the silhouette of the steelworks.

Through the tireless efforts of both sides, the steelworks turned its losses into profits within just a few months by the end of 2016, after suffering consecutive losses for seven years.

In 2018, the steelworks produced 1.77 million tons of steel, setting a record for the highest annual output in over a century since its establishment. That same year, it became Serbia's largest exporter.

Ahead of Xi's second state visit to Serbia in May 2024, 30 representatives of the workers with the steelworks wrote a letter to him in April, expressing their anticipation for his visit and hailing him as not only their guest but also a close friend of their steelworks and their city.

The workers also elaborated on the latest developments at the steelworks and its significant contributions to improving the well-being of local residents, expressing their gratitude to Xi for his care and support in facilitating the project.

In his reply letter dated April 29, Xi recalled his visit to the steelworks in 2016, during which he met with the workers face-to-face at the Smederevo Steelworks, saying he deeply felt their support for the mutually beneficial cooperation between China and Serbia, and sensed their high hopes for the bright future of the steelworks.

From their letter, Xi noted, he learned that with the joint efforts of the management teams of both sides and the workers themselves, the steelworks has taken on a new look, providing strong support for the development of Smederevo City.

The steelworkers expressed their excitement and anticipation upon receiving Xi's reply letter.

Shotlist:
Smederevo, Serbia - Recent:
1. Aerial shots of cityscape;
2. Aerial shots of Smederevo Steelworks;
3. SOUNDBITE (Chinese) Bailina (transliteration, full name not given), worker, HBIS Serbia (starting with shot 2):
"We were particularly afraid that if the company went bankrupt, our family would have no income.";
4. Wheat;
5. Various of Smederevo Steelworks, flags in plant;
6. SOUNDBITE (Chinese) Song Sihai, executive director, HBIS Serbia (starting with shots 4-5):
"HBIS Group Co., Ltd. decided to collaborate with Serbia in response to the Belt and Road Initiative, which also addresses our own business needs.";
7. Various of factory workers walking, in office, shaking with firm handshake;
8. Various of of cityscape, residents in downtown area, building;
9. SOUNDBITE (Serbian) Vladan Mihailovic, executive director for production, HBIS Serbia (starting with shots 7-8/ending with shots 10-11):
"After President Xi delivered the speech, it was clear to everyone that the Smederevo Steelworks was poised for a new future. I felt deeply honored to attend the event to hear his speech in person, and then to have the opportunity to showcase our hot-rolling equipment to him. I was also fortunate to engage in a conversation with him for a few minutes.";
10. Various of photos of Chinese President Xi Jinping's photos during his visit to Smederevo Steelworks in June 2016;
11. Various of logo of HBIS Serbia, globe sculpture;
12. Various of round plates featuring silhouette of Smederevo Steelworks;
13. SOUNDBITE (Serbian) Mitrovic (full name not given), deputy director, sintering furnace department, HBIS Serbia (ending with shots 14-17):
"I want to express my heartfelt gratitude to President Xi. The successful operation of the steelworks and the achievements we've made today are closely tied to his support and attention. I believe it's not just me, all the workers at the steel plant want to express their gratitude to President Xi. Every word in the letter fills us with warmth and energy, inspires us deeply, and reinforces our belief that our future will be even brighter.";
14. Various of Mitrovic walking in plant, at work;
15. Entrance to steel mill;
16. Various of steel production; workers;
17. Aerial shot of steel mill;
18. Various of residents in downtown area, national flag of Serbia, cityscape;
19. Various of steel production, workers;
20. Aerial shots of flags in steel mill;
21. Monitoring screens showing steel production;
22. Various of steel production;
23. SOUNDBITE (Serbian) Dalibor Ignjatovic, deputy head, cold rolling department, HBIS Serbia (starting with shots 19-22/partially overlaid with shots 24-25):
"The steelworks has attracted significant investments and built a sintering factory, which is a big project. Many other areas have also received upgrades due to these investments. Thanks to all of this, the competitiveness of our plant has greatly improved, providing us with a more stable future. The city has also experienced substantial growth. Over the past eight years, our lives have consistently improved, and I hope this positive momentum continues into the future.";
[SHOTS OVERLAYING SOUNDBITE]
24. Various of steel production, workers;
25. Various of cityscape, residents in downtown area, houses;
[HOTS OVERLAYING SOUNDBITE]
26. Various of factory workers.

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