Serbia is positioned to supply critical raw materials to Germany and the European Union, supported by natural resources and a strategic location. Recent agreements and partnerships with the EU are cited as a basis for strengthening the European supply chain for materials used in batteries, electric vehicles (EVs) and other high-tech industries. The same framework also connects raw material sourcing with research and industrial development activities.
Lithium, copper and zinc reserves for battery and industrial supply
Serbia has substantial lithium reserves described as relevant to manufacturing batteries for EVs and renewable energy storage systems. The Jadar lithium project is referenced as a key initiative for supplying this material to Germany and other EU countries. In addition to lithium, Serbia’s reserves include copper and zinc, linked to industrial applications such as electronics and automotive sectors.
Alongside resource availability, the source material highlights plans for lithium extraction and processing facilities. These facilities are presented as a strategic step intended to reduce Europe’s reliance on non-European imports. The emphasis on extraction and processing aligns with the broader focus on building supply capacity rather than only raw material availability.
EU Memorandum of Understanding on sustainable raw materials and batteries
Serbia signed a Memorandum of Understanding (MoU) with the EU focused on sustainable raw materials, battery production chains, and the electric vehicle industry. The MoU is described as aiming to integrate Serbia into the EU’s supply chain for critical materials while promoting sourcing that meets environmental and social standards. It also frames cooperation around research, innovation, human resource development, and financial support.
The agreement’s stated priorities include research and innovation collaboration, workforce development, and mobilizing funding to expand Serbia’s raw material sector in line with EU standards. This connects the raw materials agenda with upstream industrial capability building. The same MoU is also referenced in relation to battery production chains and EV-related activities.
E-mobility ecosystem aligned with EU Green Deal frameworks
Serbia’s partnership with the EU and Germany includes developing an integrated e-mobility ecosystem covering battery and EV production. The source material links this work to clean energy initiatives and adherence to the EU Green Deal and the Green Agenda for the Western Balkans. It also states that the Serbian government promotes investments in mining and processing.
The investment push is described as intended to position Serbia as a partner for Germany’s transition toward a sustainable, low-carbon economy. In parallel, Serbia’s proximity to the EU is cited alongside developing infrastructure. This combination is presented in connection with logistics for exporting raw materials to Germany and other European markets.
German firms expand R&D and component production in Pančevo
The source material points to German companies establishing R&D centers and production facilities in Serbia for electric mobility components. ZF Friedrichshafen is cited as investing €160 million in a facility in Pančevo dedicated to developing e-mobility technologies. It is described as the largest site of its kind outside Germany.
Brose is also referenced with an investment of €180 million in Pančevo. The stated purpose is producing electric motors and drives, positioned as support for supplying advanced automotive components to the European market. These investments are presented as part of broader industrial capacity development connected to e-mobility supply chains.
Engineering center work, nearsourcing logistics and university-linked skills
The ZF Engineering Center in Pančevo is described as focusing on developing technologies including electric traction drives. This work is framed around enabling German companies to innovate and test products closer to their European manufacturing bases. The source material also ties these R&D activities to nearsourcing benefits through proximity to the EU market.
Nearsourcing is linked with lower operational costs compared with other Western European locations, alongside Serbia’s strategic location and infrastructure supporting logistics efficiency. The source also describes workforce engagement by German companies using Serbia’s skilled labor force. It cites collaboration with local universities aimed at fostering innovation and training engineers and specialists in e-mobility and advanced manufacturing.