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Writer's pictureProf.Serban Gabriel

Serbia's Strategic Balancing Act: Will It Lean Towards the US or Embrace China?

Serbia finds itself caught in the middle of a geopolitical tug-of-war between the United States and China.

As the two superpowers vie for influence in the Balkans, Serbia is being pulled in two directions - towards the West and the East.

The outcome of this proxy war will not only determine Serbia's future trajectory but also have significant implications for the balance of power in the region and globally.

The Rise of China's Influence in Serbia

In recent years, China has made significant inroads into Serbia, emerging as a key economic and political partner.

The Asian giant has invested billions of dollars in infrastructure projects, such as the Belgrade-Budapest railway and the modernization of Serbia's coal-fired power plants.China has also provided Serbia with loans and financial assistance, making it an attractive alternative to the European Union and the United States.

The growing economic ties between Serbia and China have been accompanied by a strengthening of political relations.

In 2009, the two countries signed an Agreement on Strategic Partnership, elevating their relationship to a higher level.Since then, Serbia has consistently supported China on issues such as Taiwan and Hong Kong, while China has reciprocated by backing Serbia on the Kosovo issue

.The visit of Chinese President Xi Jinping to Serbia in May 2024 was a clear demonstration of the importance Beijing attaches to its relationship with Belgrade.

During the visit, the two countries signed a Joint Statement on Deepening and Raising the Comprehensive Strategic Partnership and Building the Community of Serbia and China.

This was the first time China had defined this form of relations with another country, underscoring Serbia's special status in Beijing's eyes.

The United States' Response

The United States has viewed China's growing influence in Serbia with increasing concern. Washington sees Belgrade's close ties with Beijing as a threat to its own interests in the region and a challenge to its global leadership

.The US has sought to counter China's influence by strengthening its own ties with Serbia. In recent years, the two countries have signed several agreements on economic and security cooperation.

The US has also provided Serbia with military assistance and training, helping to modernize its armed forces.However, the US has faced challenges in convincing Serbia to distance itself from China.

Belgrade has been reluctant to choose sides between the two superpowers, preferring to maintain a delicate balance between East and West

.Serbia's desire to join the European Union has also limited its ability to align itself too closely with China, as Brussels has expressed concerns about Beijing's growing presence in the region.

The Implications for Serbia

Serbia's balancing act between the US and China has come at a cost. The country has faced pressure from both sides to take sides in the geopolitical rivalry

.The US has threatened to withhold support and investment if Serbia continues to deepen its ties with China, while China has warned Serbia against aligning itself too closely with the West

.The tug-of-war between the US and China has also had domestic political implications for Serbia.

The government of President Aleksandar Vučić has been accused of prioritizing relations with China over the EU accession process.

The opposition has criticized Vučić for cozying up to Beijing and compromising Serbia's democratic values.Moreover, Serbia's reliance on Chinese investment and loans has raised concerns about debt sustainability and the potential for China to use its economic leverage for political gain.

There are also worries that Serbia's close ties with China could jeopardize its relations with the EU and the US, which remain its largest trading partners and sources of investment.

The Future of Serbia's Foreign Policy

As the proxy war between the US and China intensifies, Serbia will face increasingly difficult choices about its foreign policy orientation.

The country's desire to join the EU and maintain good relations with the West will have to be balanced against the economic and political benefits of its partnership with China

.One possible scenario is that Serbia will continue to hedge its bets, maintaining a delicate balance between East and West.

This approach may allow Serbia to extract concessions from both sides while avoiding the risks of aligning too closely with either

.However, this strategy also carries the danger of alienating both the US and China and limiting Serbia's ability to achieve its long-term goals.

Another possibility is that Serbia will make a more decisive choice, aligning itself more closely with either the US or China.

If Serbia chooses the US, it may have to make concessions on issues such as Kosovo and human rights, while sacrificing some of the economic benefits of its partnership with China

.If Serbia chooses China, it may face isolation from the West and jeopardize its EU accession prospects.

Ultimately, the outcome of the proxy war between the US and China in Serbia will depend on a complex interplay of economic, political, and security factors.

The decisions made by Serbia's leaders will be crucial in determining the country's future trajectory and its place in the emerging global order.

Data and History

The growing influence of China in Serbia is evident in the data on trade and investment. In 2023, the total trade volume between China and Serbia reached $4.35 billion, an increase of 23.7% compared to the previous year

.China has also become Serbia's largest investor, with billions of dollars invested in infrastructure projects such as the Belgrade-Budapest railway and the modernization of Serbia's coal-fired power plants.

The strengthening of political ties between Serbia and China is reflected in the series of high-level visits and agreements signed between the two countries.

In 2009, Serbia and China signed an Agreement on Strategic Partnership, elevating their relationship to a higher level.Since then, the two countries have signed numerous agreements on economic, political, and cultural cooperation.

The visit of Chinese President Xi Jinping to Serbia in May 2024 was a significant milestone in the relationship between the two countries.

During the visit, the two countries signed a Joint Statement on Deepening and Raising the Comprehensive Strategic Partnership and Building the Community of Serbia and China.

This was the first time China had defined this form of relations with another country, underscoring Serbia's special status in Beijing's eyes.

The United States' response to China's growing influence in Serbia has been a mix of engagement and pressure.

In recent years, the US has sought to strengthen its own ties with Serbia, signing several agreements on economic and security cooperation.

The US has also provided Serbia with military assistance and training, helping to modernize its armed forces.

However, the US has faced challenges in convincing Serbia to distance itself from China. Belgrade has been reluctant to choose sides between the two superpowers, preferring to maintain a delicate balance between East and West

.Serbia's desire to join the European Union has also limited its ability to align itself too closely with China, as Brussels has expressed concerns about Beijing's growing presence in the region.

Future Scenarios

As the proxy war between the US and China intensifies, Serbia will face increasingly difficult choices about its foreign policy orientation.

One possible scenario is that Serbia will continue to hedge its bets, maintaining a delicate balance between East and West.

This approach may allow Serbia to extract concessions from both sides while avoiding the risks of aligning too closely with either

.However, this strategy also carries the danger of alienating both the US and China and limiting Serbia's ability to achieve its long-term goals.

Another possibility is that Serbia will make a more decisive choice, aligning itself more closely with either the US or China.

If Serbia chooses the US, it may have to make concessions on issues such as Kosovo and human rights, while sacrificing some of the economic benefits of its partnership with China

.If Serbia chooses China, it may face isolation from the West and jeopardize its EU accession prospects.A third scenario is that Serbia will seek to diversify its partnerships, cultivating relationships with other regional powers such as Russia, Turkey, and the Gulf states

.This approach may allow Serbia to reduce its dependence on the US and China while pursuing its own interests in the region.

However, this strategy also carries risks, as Serbia may find itself caught in the middle of competing regional rivalries.Ultimately, the outcome of the proxy war between the US and China in Serbia will depend on a complex interplay of economic, political, and security factors.




The decisions made by Serbia's leaders will be crucial in determining the country's future trajectory and its place in the emerging global order.

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