Europe is moving industry, emissions and pollution to the Balkans in a hidden energy crisis.

In recent years, much has been said about Germany's energy policy. The rejection of cheap and reliable Russian natural gas was a serious blow to German industry. The closure of six nuclear power plants by the German Green Party could not have come at a worse time. From the outside, it looks like a slow-moving train wreck. Why would an oil industrialized nation voluntarily destroy its industry.

The war in Ukraine, the energy crisis and anti-Russian fever are being used to destroy public infrastructure and financialization.

The result is that the EU, and mainly Germany as the bloc's key industrial power, is following a line of displacement - something that is increasingly aimed at moving polluting industry and energy production beyond EU borders and to the periphery of the Balkan peninsula. According to European elites, such an initiative would "help the EU achieve its geopolitical, economic and climate goals".

Look at Germany's automotive industry.

It accounts for about five percent of Germany's GDP and is certainly struggling because of rising energy costs and because it is increasingly losing ground to domestic competitors in its largest market, China. The rise of electric vehicles also poses its own challenges. All of these problems are leading to plant closures and job cuts in Germany, as well as prompting speculation about the "death of the auto".

At the same time, however, many car companies closing their plants in Germany are relocating or expanding their operations in the Balkan peninsula.

Wages there are much lower and environmental protection measures are by no means comparable to European standards.

There is a short list of companies I could find moving operations to the Balkans:

• Continental will close its plant in Lower Saxony by the end of 2027, affecting 900 employees. Meanwhile, Continental is expanding its operations in Novi Sad, Serbia, where it already employs 1,350 people. In addition, Continental plans to increase production efforts at its new plant in Kač, Serbia, investing an additional 150 million euros and creating another 1,500 jobs.
• ZF Friedrichshafen is closing its shock absorber plant in North Rhine-Westphalia, which employs 700 people.

It's worth noting that this trend of cutting jobs in Germany and moving operations to "low-cost" countries began long before the whole energy disaster and the destruction of Nord Stream.

In 2019, German cable and wiring systems manufacturer Leoni announced job cuts in Germany while expanding its production capacity in Pančevo, Serbia, with a €50 million factory - the company's fourth in the country.

It is also worth noting other examples from the SeeNext report: German automotive muffler manufacturer Boysen has also entered the Serbian market with the opening of a factory in Subotica, Serbia, in November 2021. In 2019, the government of Subotica announced Boysen's plans to invest 65 million euros in the construction of a factory in the Mali Bajmok industrial zone.

Also, German auto parts manufacturer Brose has established itself as one of the main automotive investors in Serbia over the past three years, investing 180 million euros in the construction of a plant in the town of Pančevo. The Serbian government first announced plans to invest Brose in October 2019, and the country's development agency later said manufacturing and research activities began two years later.

Ford's decision to terminate 2,300 jobs in Germany and 1,300 in the U.K. received a lot of media attention, most of which emphasized plans to bring several of those jobs to the U.S., but Ford is also expanding in Romania.

In fall 2022, Ford Otosan announced a planned €490 million investment to support the launch of the next-generation Ford Courier model.

In April 2023, Ford Pro announced that Ford Otosan will begin production of the new Transit Courier model at the Krajova plant. In addition, the plant is also expanding its production capacity in Craiova to produce electric vehicles from 2024.

The new Mercedes-Benz subsidiary in Romania, Star Assembly, is expanding its product portfolio to include the assembly of electric drive units for the new generation of Mercedes-EQ electric vehicles. The plan covers the production of electric drive units for Mercedes-EQ models starting in 2024. According to the company's press release, the plant will significantly increase production in 2025.

It should be noted that the EU has plans to build gas-fired power plants, pipelines and liquefied natural gas terminals in the Western Balkans at a cost of 3.5 billion euros. According to Global Energy Monitor and Bankwatch, these plans are forcing countries in the region to import gas at much higher volumes than before, making the transition to clean energy sources more difficult.