Roundup: Serbia benefits from 3rd BRI forum — media, experts

Belgrade, Oct. 23 (Xinhua) – Reports from local media and experts suggest that Serbia’s participation in the third Belt and Road Forum for International Cooperation has strengthened its economic ties with China. This has led to increased trade exchanges between the two countries and promoted profitable joint investments in manufacturing.

During the forum held on Oct. 17-18 in Beijing, the Serbian delegation, led by President Aleksandar Vucic, signed more than ten agreements with China. The China-Serbia free trade agreement garnered the most attention from both the media and experts.

The free trade agreement covers over 10,000 Serbian and 8,500 Chinese products. Serbia’s national broadcaster RTS reported that the first shipment of goods with reduced or zero taxes is expected to arrive from Serbia to China in the middle of next year.

Jelena Grubor, a representative of the Chamber of Commerce of Serbia based in Shanghai, China, believes that this agreement will encourage Chinese entrepreneurs to invest in production capacities for exporting goods from Serbia to other markets.

European investors have also shown interest in the agreement, foreseeing the possibility of exporting goods to China at a 30 percent reduced cost by utilizing production facilities in Serbia, according to media reports.

Lubodrag Savic, a professor at the Faculty of Economy of the University of Belgrade, considers the free trade agreement as a significant development opportunity for the Serbian economy and businessmen. He emphasized the opening of a large market with customs relief for some agricultural products, which will make Serbian products more affordable initially compared to products from other European countries.

Savic also stated that cooperation with China contributes to Serbia’s economic and political stability. He predicted that Serbia will continue to attract direct investments from China due to its beneficial trade agreements with the European Union (EU).

Official data shows that over 150 countries and more than 30 international organizations have joined the Belt and Road Initiative (BRI) and signed over 230 cooperation documents. The BRI has attracted nearly 1 trillion U.S. dollars worth of investment globally, alleviated poverty for 40 million people, and generated numerous job opportunities.

Former Ambassador to China, Slobodan Unkovic, cited the HBIS Serbia steelworks and the Zijin mines as examples of the BRI’s benefits for the Serbian industry. The HBIS Serbia steelworks was established in 2016 following the acquisition of Serbia’s Smederevo Steelworks by China’s HeSteel Group (HBIS), while China’s Zijin Mining Group became a significant shareholder of Serbia’s copper mining and smelting complex RTB Bor in 2018.

Unkovic also hailed the progress in road and energy infrastructure, as well as cultural exchanges between Serbia and China.

Jovan Cavoski, a senior research associate at the Institute for Recent History of Serbia, highlighted the BRI as a new China-led model of globalization. He emphasized the importance for each country to protect its own interests while seeking the best possible relations with China to diversify political and economic ties on a global scale.

In addition to the free trade agreement, the Serbian delegation signed various agreements related to economic ties and BRI cooperation, including agreements for the purchase of Chinese high-speed trains.

During the forum, President Vucic expressed his optimism about the future prospects, stating that the pace and path of cooperation will continue with even greater results for the benefit of both nations.