Risks & Opportunities

Will Serbia and other Western Balkan countries benefit from the global trends of nearshoring?

Many countries see their window of opportunity to bring more FDI home, as a result of the war in Ukraine and sanctions imposed against Russia, which have only further fuelled the existing trend of economic deglobalisation. The chances of Serbia becoming a hot destination for nearshoring depend on both high politics and the country’s ability to be a truly attractive spot for both foreign companies and workers fleeing conflict zones.

Following the Covid-19 pandemic, and in response to the outbreak of war in Ukraine, major companies have begun accelerating plans to shorten their global product chains and relocate production facilities closer to their home countries. Under the new circumstances of the increased regionalisation of FDI flows, will Serbia and other Western Balkan countries succeed in imposing themselves as locations that are geographically closer and that have a competitive advantage compared to traditional offshoring superpowers like China and India? Could Serbia simultaneously also benefit from the relocating of the production operations of both Russian and Ukrainian companies to the country? Our interlocutors highlight many nuances that determine the decisions of large companies that are seeking production spots that will guarantee uninterrupted production and productivity.

Branimir Jovanović, Economist, The Vienna Institute For International Economic Studies

Balancing Between East And West Comes At A Cost

Whether Serbia will emerge as a winner of the nearshoring trend over the coming years will depend primarily on political developments. If Serbia stays...

Bojan Stanić, Sector For Strategic Analysis and Internationalisation At The Chamber Of Commerce & Industry Of Serbia (CCIS)

War Is Always A Bad Friend

The continuation of the conflict in Ukraine could, over the long run, imperil the recovery of the western Balkans. That’s why political de-escalation in...

Gert Rabbow, Executive Director Of The German-Serbian Chamber Of Commerce - AHK Serbien

Serbia Likely To Become First Choice For German Nearshoring

Even before the outbreak of the covid-19 pandemic and the start of the war in Ukraine, Serbia had already proved itself to be a...

Radoš Gazdić, Acting Director Of The Development Agency Of Serbia, RAS

Investors Value Stability In Turbulent Times

Serbia and the other countries of the Western Balkans are attracting the attention of foreign investors thanks to their favourable geographical location and good...