China solidifies trade agreement with Serbia to strengthen presence in Europe

China and Serbia have solidified their economic and political ties with the implementation of a new free trade agreement, part of the comprehensive Serbia-China partnership called “Shared Future”. The agreement, announced by Serbian President Aleksandar Vučić and Chinese President Xi Jinping in a joint press conference in Belgrade, will eliminate tariffs on nearly 95% of Serbia’s exports to China within the next five to ten years.

This move comes at a time of heightened political tension between China and the EU, with the bloc considering raising duties on Chinese electric vehicles to protect its domestic market. Electric vehicles are set to play a key role in China’s expansion strategy, with the potential for Serbia to become a significant manufacturing center for EV cars.

Victor Gao, Vice President of the Center for China and Globalization, emphasized the importance of respecting China and its policies in order to foster a strong economic relationship. He highlighted the significance of recognizing Taiwan as part of China as a fundamental step towards cooperation.

China’s strong ties with European leaders, such as Hungarian PM Viktor Orbán, further demonstrate the country’s commitment to expanding its influence in the region. Xi Jinping’s visit to Hungary following his trip to Serbia underscores China’s strategic focus on strengthening partnerships in the Balkans and beyond.

As China continues to assert its presence in Europe, the implementation of the free trade agreement with Serbia signals a significant step towards deepening economic cooperation and solidifying China’s role in the Balkans.