Serbia Set to Become European Hub for Robotics and AI with New Factory

Serbia is poised to become a key player in Europe’s rapidly evolving robotics and artificial intelligence landscape with the planned opening of a new factory in Loznica in 2026. The facility, a joint venture with Chinese company Minth, will focus on the serial production of humanoid robots and robotic dogs, signaling a strategic push towards advanced manufacturing and technological development within the country.

A Dual-Use Manufacturing Platform

This development aligns with a broader trend of Europe seeking to rebuild its industrial backbone, particularly in areas related to defense, dual-use manufacturing and security. As highlighted in a recent report, Serbia’s established industrial tradition in metalworking, machining, and electronics assembly makes it an attractive location for companies looking to scale production without facing the constraints present in other European nations [1].

Production Targets and Applications

The factory aims for substantial production volumes, targeting approximately 1,000 humanoid robots and up to 10,000 robotic dogs annually. These robots are designed for a wide range of applications across various sectors, including industry, service industries, and security, contributing to the growth of artificial intelligence and automation technologies.

Strategic Importance and Investment

Serbian President Aleksandar Vučić has emphasized the project’s significance for the country’s future technological advancement, anticipating the factory’s opening between June and September 2026. The initiative is expected to attract international investment and foster a modern industrial base within Serbia [4].

Serbia’s Growing Economy and Regional Role

With a GDP of $89 billion in 2024 and a projected growth of 2.75% in 2025, Serbia is the largest and most prosperous economy in the Western Balkans, serving as a regional hub [2]. The country is actively aligning its legal, labor, and tax codes with European Union standards, further enhancing its appeal as an investment destination.

UK-Serbia Trade Relations

Trade between the UK and Serbia is also on the rise, with total trade in goods and services reaching £1 billion in the four quarters to the complete of Q2 2024, a 13% increase from the previous year [3]. Bilateral agreements, including the UK-Serbia Bilateral Investment Treaty and the Partnership, Trade and Cooperation Agreement, further strengthen economic ties.

Key Takeaways

• Serbia is becoming a significant manufacturing base for robotics and AI in Europe.
• The new factory in Loznica will produce 1,000 humanoid robots and 10,000 robotic dogs annually.
• The project is a joint venture with Chinese company Minth.
• Serbia’s strong industrial base and strategic location make it an attractive investment destination.
• The initiative aligns with broader European efforts to rebuild industrial capacity and enhance security.