Stories of state gifts to Xi: Small steel template reflects China's help for century-old Serbian factory

Chinese President Xi Jinping visited Smederevo Steelworks on the sidelines of his state visit to Serbia in June 2016, and received a gift the workers made. It was a steel template with the sketch of the blast furnace, chimney and plant of the factory. Behind the template is a story of the revival of this century-old factory, which was made possible by China.

The steel template with the sketch of the Smederevo Steelworks, which was a gift from the factory workers to Chinese President Xi Jinping in June 2016. (Photo/Hu Yang)

Once a large state-owned enterprise of Serbia, Smederevo Steelworks contributed 40 percent of the city's revenue in its heyday, and was closely linked with the work and life of nearly a third of local residents. Since the late 1990s, due to the decline of competitiveness, the factory was once on the brink of being closed. To save the factory, the Serbian government had organized many international tenders but all failed. Finally, the Chinese partners brought real hope to the country, said Aleksandar Vucic, then-Serbian Prime Minister.

Thanks to the Belt and Road Initiative (BRI), China's HeSteel Group (HBIS) purchased the Smederevo Steelworks for 46 million euros ($49.8 million), and established HBIS Serbia in April 2016. In less than six months, the plant turned it around. In 2018, it became the largest exporter of Serbia, exporting high-quality steel to over 30 countries and regions and saving more than 5,000 local jobs.

Chinese President Xi Jinping delivers a speech during his visit to HBIS Serbia in Belgrade, June 19, 2016. (Photo/Ding Lin)

Like the Smederevo Steelworks, a large number of factories have revived in countries along the Belt and Road. China's centrally-managed enterprises have participated in over 3,400 projects under the Belt and Road cooperation. For the people of BRI countries, the BRI means water conservancy projects, power plants, roads, bridges, schools, hospitals, and most importantly, a positive change of their destiny and a future worth expecting.