Review | Serbians See Bright Future in Serbia-China Cooperation under Belt and Road Initiative

During a recent visit to an auto parts manufacturing facility invested by a Chinese enterprise in the southern city of Niš, Serbian President Aleksandar Vučić highlighted the remarkable progress achieved through Serbia-China trade and economic cooperation, calling it a source of pride for both nations. He stressed the vital role Chinese investment plays in driving Serbia's economic and social development and creating employment, reaffirming the government's commitment to providing full support for Chinese enterprises operating in Serbia.

Economic and trade relations between China and Serbia have gained significant momentum in recent years. China's initiatives to "boost high-standard opening-up to the world" and "advance high-quality Belt and Road development" have struck a strong chord across Serbian political, business, and academic sectors. Serbian observers say the partnership, rooted in mutual respect and mutual benefit, has yielded tangible gains for both nations and provided a valuable reference for international economic cooperation under the Belt and Road Initiative (BRI) framework.

Data from the Chinese side shows that from 2013 to 2024, Serbia's exports to China surged from $22 million to $1.9 billion, representing a nearly 85-fold increase. During the same period, China's direct investment in Serbia expanded from €22.2 million to €1.4 billion.

China has become Serbia's largest source of foreign direct investment. Chinese enterprises have expanded operations across multiple sectors in Serbia, including steel, infrastructure, mining, and energy. Major collaborative projects between the two countries, such as HBIS Smederevo Steel Mill, Serbia Zijin Copper Doo Bor, and the Hungary-Serbia Railway (i.e., Budapest-Belgrade railway), have revitalized Serbia's economy and accelerated its modernization.

Marko Čadež, President of the Chamber of Commerce and Industry of Serbia (CCIS), told Xinhua News Agency in a recent interview that Serbia has sustained annual export growth to China exceeding 50% in recent years. The China-Serbia Free Trade Agreement (FTA), which entered into force in 2024, has opened new market access for Serbian goods in China.

Čadež expressed particular interest in the development of the Hainan Free Trade Port (FTP), viewing it as an opportunity for Serbian enterprises to actively explore cooperation potential with China in sectors including tropical agriculture, premium tourism, and healthcare, thereby broadening the scope and depth of bilateral trade and economic partnership.

Katarina Zakić, Head of the Regional Centre Belt and Road at the Institute of International Politics and Economics, believes that China's evolution from "opening-up" to "high-standard opening-up" aligns closely with Serbia's development priorities. She noted that Serbia is pursuing economic restructuring, seeking to transition from a raw materials exporter to a nation with modern industry and innovation capabilities, making China's technology, experience, and market access critical to achieving these goals.

China-Serbia cooperation is expanding into higher-tech, innovation-intensive sectors. Zakić noted that Serbia seeks to deepen collaboration with China in renewable energy, smart industry and agriculture, communications technology, and pharmaceuticals. The two nations have already achieved substantive progress in several areas. Enterprises from both countries are jointly developing a green hydrogen production facility in Bor, while Chinese electric vehicle manufacturers are planning to establish manufacturing operations in Serbia, expected to drive growth in the local automotive industry chain.

Chinese Ambassador to Serbia Li Ming said that under strategic guidance from the two heads of state, pragmatic economic and trade cooperation between China and Serbia has flourished in recent years. The two countries have jointly implemented major infrastructure and investment projects that have contributed positively to Serbia's development and delivered tangible benefits to the peoples of both nations. The Chinese government encourages more capable Chinese enterprises to invest in Serbia and advance high-quality cooperation under the BRI.