AGP Executive Report

Border & Logistics: Hungary is set to fully reconstruct the Hercegszántó–Bački Breg crossing to create a new 24/7 heavy-freight route to Serbia, with separate lanes for lorries and buses, more capacity, and truck parking—aimed at cutting chronic queues at Röszke. Energy Infrastructure: Serbia and North Macedonia have joined the Vertical Gas Corridor, expanding regional gas diversification via links to Greece and access to LNG supply options. Power & Industry: Serbia’s gas and power cooperation keeps moving: Uzbekistan’s president is due in Belgrade for talks and a business forum covering transport, engineering, light and food industries, agriculture and IT; meanwhile, Serbia is also reported to be seeking a long-term extension of its gas deal with Russia. Cyber & Manufacturing Risk: A new Panzer ransomware operation lists victims across multiple sectors including manufacturing, agriculture, energy and government, with Serbia among the affected countries. Local Industry & Trade: The first batch of Serbia exhibits has arrived in Xiamen for China’s CIFIT, highlighting hand-woven belts and Pirot-style carpets as Serbia pushes exports through trade fairs. Energy Security Watch: Hungary’s Paks nuclear project update says riverbed works are progressing and the plant is operating steadily, despite environmental and permitting concerns.

Climate & Supply Chains: Europe’s record heat, drought, fires and then flash flooding are pushing extremes from “unlucky” to “new normal,” with crop and water stress already feeding into costs. Energy Infrastructure: Serbia’s Transportgas Serbia and North Macedonia’s NOMAGAS joined the Vertical Gas Corridor, extending cross-border gas options and aiming for more flexible, bidirectional capacity. Gas Deal Watch: Serbia is also seeking a long-term extension of its gas deal with Russia, while regional corridor expansion keeps the diversification pressure on. Trade & Industry Links: Uzbekistan’s president is set to visit Serbia on Sept 7-8, with talks covering transport, engineering, light and food industries, agriculture, pharma and IT—plus a package of agreements expected. Cybersecurity for Business: A Belgrade-led study reports recurrent neural networks tuned with metaheuristics to detect click fraud, targeting losses that hit ad-funded platforms. Tech Manufacturing Push: Serbia launched Europe’s first mass-production humanoid robot factory, signaling a new push into automation and industrial robotics. Energy Prices: Rising oil and gas prices are feeding inflation pressure across Europe, raising uncertainty for households and businesses.

Energy & Infrastructure: Greece, North Macedonia and Serbia signed on the Vertical Gas Corridor expansion, adding NOMAGAS and Transportgas Serbia to widen routes and bidirectional capacity toward LNG access via Greece. Energy Prices: A new report flags rising oil and gas prices feeding into European inflation and household/business costs, with EU gas storage at about 65.6% and supply-risk concerns tied to the Strait of Hormuz. Trade & Diplomacy: Uzbekistan’s president will visit Serbia on Sept. 7–8 for high-level talks and a business forum covering transport, engineering, light and food industries, agriculture, pharma and IT, with a package of agreements expected. Industry & Expo: Serbia’s government is pushing EXPO 2027’s E Zone and a “Serbian House” pavilion to showcase local gastronomy, tourism and the economy. Security & Tech: Forensic groups say Serbia used Pegasus spyware via a zero-click iPhone exploit against pro-democracy student activists; Apple patched iOS 18.4.1. Cyber Risk: Panzer ransomware lists 16 victims across 11 countries, including Serbia, spanning manufacturing, energy, agriculture and government. Agriculture & Skills: A regenerative agriculture summit in Belgrade brings “Lunatic Farmer” Joel Salatin to discuss pastured poultry, grass-fed beef and direct marketing. Space Tech: China launched a cislunar CubeSat constellation program with Serbia among participating countries for persistent monitoring between Earth and the Moon.

Uzbek-Serbia Business Push: Uzbekistan’s President Mirziyoyev will visit Belgrade on Sept 7-8 for talks and a business forum aimed at boosting trade and investment, with cooperation flagged across transport, engineering, light and food industries, agriculture, pharma and IT. Energy Infrastructure: Greece, North Macedonia and Serbia signed on to expand the Vertical Gas Corridor, adding NOMAGAS and Transportgas Serbia to strengthen cross-border supply options and bidirectional capacity. Regional Gas Deal Momentum: A separate report says North Macedonia and Serbia have joined the Vertical Corridor via a new MoU signed by transmission operators in Thessaloniki, with the corridor now spanning Bulgaria, Greece, Romania, Hungary, Slovakia, Ukraine, Moldova, North Macedonia and Serbia. Cybersecurity in Serbia: Forensic groups say Serbia used NSO Group’s Pegasus via an iPhone zero-click exploit against pro-democracy student activists; Apple patched the issue in iOS 18.4.1. Expo 2027 Industry Angle: Serbia’s PM Djuro Macut visited the EXPO 2027 site and the E Zone, highlighting a “Serbian House” pavilion meant to showcase the country’s economy, tourism and gastronomy to visitors. Manufacturing & Tech: Serbia is also in the spotlight for launching Europe’s first mass-production humanoid robot facility with Chinese partners, signaling a new push in industrial automation.

Energy Infrastructure: Greece and Balkan partners signed an MoU to extend the Vertical Gas Corridor toward North Macedonia and Serbia, aiming to boost cross-border gas flows, security of supply and bidirectional capacity. Regional Energy Markets: North Macedonia’s NOMAGAS and Serbia’s Transportgas Serbia joined the Vertical Corridor framework, with operators tasked to coordinate infrastructure needs and market-ready operations. Energy Prices & Inflation: Rising oil and gas prices tied to Middle East supply risks are feeding into European inflation pressure, while gas storage levels are reported at the lowest for the season in years. Power Generation Investment: SOCAR’s €600m gas-fired power plant in Niš (350 MW electricity plus 150 MW heat) moves Serbia toward more flexible, diversified energy supply. Trade & Industry Links: Serbia and Uzbekistan are exploring deeper trade, economic and investment cooperation, with Serbia’s manufacturing and location positioned as a bridge to Central and Southeastern Europe. Robotics & Manufacturing: Serbia launched Europe’s first mass-production facility for humanoid robots with Chinese partners, signaling a new push in industrial automation. Cybersecurity: Forensic groups say Serbia used Pegasus spyware against pro-democracy student activists via an iPhone zero-click exploit, with Apple patching the flaw in iOS 18.4.1. Expo 2027 Build-out: Serbian PM Djuro Macut visited the EXPO 2027 Belgrade site and the E Zone, highlighting the Serbian House as a platform for tourism, economy and local self-government promotion.

Energy Security: Serbia is pushing to extend its long-term gas supply deal with Russia, with Srbijagas’ supervisory board chair Aleksandar Vulin saying talks are underway and that supply reliability is key. Power & Industry: SOCAR’s planned €600m gas-fired plant in Niš (up to 350 MW power plus 150 MW heat) is moving forward as a deeper “downstream” energy partnership with EPS and Srbijagas. Regional Infrastructure: North Macedonia and Serbia are set to join the Vertical Corridor gas pipeline network, with grid operators signing a memorandum in Thessaloniki after visits to the Alexandroupolis LNG terminal. Defense Procurement: Croatia plans to buy 18 Hanwha Chunmoo K239 launcher systems in a €435m deal, a sign of continued modernization across the Western Balkans. Tech & Manufacturing: China’s cislunar exploration initiative is bringing Serbia into a new satellite constellation effort, while China’s Shenyang expo highlights higher-end industrial production trends that Serbian firms are watching. Digital Security: Serbian student and opposition groups report zero-click Pegasus and NoviSpy spyware targeting around the March election period, raising fresh pressure on election-era surveillance controls. Robotics: Serbia’s humanoid robot mass-production push continues to draw attention as a new manufacturing milestone.

Energy Deal: Serbia’s Ministry of Mining and Energy, EPS and Srbijagas have wrapped talks with Azerbaijan’s SOCAR on a joint venture to build a new gas-fired power plant in Niš (up to 500 MW), with signing expected in Belgrade within a month and construction targeted for completion in four years. Aviation & MRO Tech: Veryon acquired Polaris Aero, adding safety management tools used by aircraft operators and MROs, and expanding its customer base with combined safety datasets. Cybersecurity & Elections: Serbian student and opposition figures were targeted with zero-click Pegasus and NoviSpy spyware, with Citizen Lab and SHARE Foundation reporting infections linked to iMessage exploits and Android spyware variants. Wildfires Response: The EU extended firefighting support to Serbia until 5 September, keeping rescEU helicopters and ground teams in place while Copernicus data tracks damage across affected areas. Environment & Planning: Serbian NGOs warn amendments to planning rules could let burned forest land be converted for construction, raising concerns after major wildfire damage. Logistics & Infrastructure: Romania’s JT Grup Oil completed a €30m oil terminal at Constanța with capacity up to 1m tons/year, designed to serve the Danube-Black Sea corridor including Serbia. Security in the Region: Germany is investigating suspected arson at defence firm Rohde & Schwarz in Munich amid broader European sabotage concerns, with authorities also looking at possible links to similar drone incidents. Industry & Growth: Telekom Srbija Group opened MTEL Germany’s 10th Frankfurt store, pushing services for the Serbian diaspora across the DACH region. Heritage & Engineering: Archaeologists in eastern Serbia uncovered a highly preserved Roman private bath complex inside a fortified palace tower, including hypocaust heating and multiple bathing pools.

Energy Deal: Serbia’s EPS, Srbijagas and Azerbaijan’s SOCAR have agreed talks in Istanbul on a shareholders’ pact for a new gas-fired power plant (up to 500 MW), with signing expected in Belgrade next month and construction targeted for completion within four years. Telecom Expansion: Telekom Srbija Group opened MTEL Germany’s 10th retail store in Frankfurt, boosting its DACH footprint and support for Serbian and Western Balkan diaspora customers. Wildfire Response: The EU extended firefighting assistance to Serbia until 5 September, keeping rescEU helicopters and a Romanian ground team in place as fires hit areas like the Deliblato Sands reserve. Security & Tech: Citizen Lab reports a Serbian student movement member’s iPhone was infected via an iMessage “zero-click” exploit used to deploy Pegasus spyware, with indicators spanning Dec 2025–Jan 2026. Agriculture Support: Croatia allocated €2m for agricultural development of Croats in Serbia, funding 257 holdings across 33 settlements under a programme backed by the Croatian government. Infrastructure & Ports: Romania’s JT Grup Oil completed a €30m oil terminal at Constanța, adding storage and handling capacity with direct Black Sea access and links serving Serbia and Moldova. Energy Diplomacy: Serbia and Saudi Arabia discussed cooperation in energy, ICT, agriculture and food, with both sides pointing to EXPO 2027 Belgrade and EXPO 2030 Riyadh as deal-makers. Environment & Planning: Serbian NGOs warn amendments to planning law could allow construction on fire-damaged forest land, raising concerns after this summer’s wildfires. Defense Industry: Serbia’s army trade unions signed a join-action agreement for the defense industry. Regional Security: Germany is looking into whether Leipzig drone incidents could connect to a June arrest near Serbia’s Hungary border involving drone components and explosives. Public Order: Serbia confirmed Ratko Mladić’s body arrival for funeral arrangements, with authorities preparing for large attendance and logistics.

Serbia’s Defense Industry Union Push: Seven Serbian defense-industry trade unions signed a Joint Action Agreement and set up a coordinating committee, aiming to stop layoffs and improve implementation of promised support as weapons production remains weak amid export limits and state “artificial” backing. Belgrade Urban Infrastructure: Belgrade plans a new 4-acre downtown public parking lot on leased BNSF Railway property, targeting the daily pain of limited street parking and short time zones that disrupt workers and nearby businesses. Serbia-Tanzania Economic Links: Serbian PM Djuro Macut met Tanzania’s President Hussein Ali Mwinyi, highlighting room to expand cooperation in agriculture, the food industry, digitalisation, tourism, education and culture, with EXPO 2027 participation flagged. Serbia’s Green Planning Debate: NGOs Transparency Serbia and RERI criticized amendments that could allow construction on wildfire-damaged forest land if a “public interest” project is approved, warning this weakens protections for areas like Deliblato Sands. Industrial & Skills Ecosystem: Swiss-supported SME HUB backs Serbian manufacturers to improve organisation and competitiveness for international value chains, while ABB Serbia and ICEF (University of Belgrade) spotlight energy-transition tech and AI/engineering R&D tied to industry needs. Robotics Manufacturing Momentum: Serbia continues scaling humanoid robot production with Chinese-backed projects, including mass-production moves and new factory activity.

Serbia–Tanzania Business Push: Serbian PM Djuro Macut met Tanzania’s President Hussein Ali Mwinyi, flagging new cooperation in agriculture, the food industry, digitalisation, tourism, and education, with Serbia’s new embassy and Tanzania’s planned participation in Expo 2027 Belgrade as key accelerators. Wildfire Land-Use Fight: NGOs Transparency Serbia and RERI criticised amendments that could allow construction on forest land damaged by wildfires, arguing the “public interest” exception risks undermining protected areas like Deliblato Sands. Logistics Reliability Focus: Nelt says its Dobanovci hub is expanding intermodal transport capacity (container storage up 30% in 2026) to deliver door-to-door reliability, faster disruption response, and better predictability for shippers. Belgrade Housing Pressure: A new analysis highlights how construction booms are not fixing affordability: renting a 45 sqm furnished flat can take 61.5% of average salary, while the value of construction work jumped 51% y/y in Q2. Serbia’s Humanoid Robot Factory: Belgrade opened Europe’s first mass-production facility for humanoid robots, built via a Chinese-backed project, with plans to scale assembly and expand into industrial and other applications. Aviation MRO Growth: SR Technics’ Belgrade centre (330+ staff) is positioning Serbia as a maintenance and innovation hub within its global network. Skills for Industry: The Swiss-supported SME HUB project says Serbian manufacturers are improving organisation and competitiveness to better join international value chains. Energy Transition Tech: ABB Serbia highlights demand for electrification, automation, and digital solutions as power, industry, and data centres expand.

Energy & Industry: Serbia’s oil supply looks steadier after August disruptions, with Mining and Energy Minister Dubravka Đedović Handanović saying September should be fine despite low Danube levels; NIS plans higher refinery output (notably Eurodiesel) while imports remain a smaller backstop. Manufacturing & Investment: Serbia signs a framework deal with China’s Reliance Energy for a battery plant, as the country also pushes ahead with Chinese-backed mass production of humanoid robots—an industrial bet that’s already drawing debate over real know-how transfer. Economy Watch: Serbia’s GDP growth accelerated to 3.8% year-on-year in Q2, with construction and transport/storage among the fastest-growing sectors. Logistics & Trade: Western Balkan professional truckers protest Schengen’s 90/180 rule, warning of new border blockades from mid-September. Business Services: Solifi expands its unified secured-finance platform by acquiring Inovatec Systems, extending automotive and specialty finance capabilities. Industry Safety & Labor: A report highlights how illegal immigrant drivers have been used in trucking, with deadly crashes tied to licensing and status violations. Regional Diplomacy with Economic Angle: Uganda and Serbia move to deepen cooperation in defence, agriculture, trade and science/tech during NAM-related talks in Belgrade.

Robotics & Manufacturing: Serbia opened Europe’s first mass-production facility for humanoid robots in Šabac, operated by Minth Group with AGIBOT, as part of a wider €200mn push to build a local robotics base, with initial assembly targets of 5,000+ robots a year and early industrial use. Battery Supply Chain: Serbia signed a 100.5m-euro framework deal with China’s Reliance Energy Tech to build a battery plant in Inđija for drones, humanoid robots, unmanned vehicles and more, aiming to cut reliance on imported components. Energy & Grid Policy: A new look at CBAM’s impact says Western Balkan electricity trade has shifted sharply, with EU-to-region flows down and regional-to-EU flows also falling, pushing governments to seek renegotiated terms. Economy Watch: Serbia’s real GDP growth accelerated to 3.8% y/y in Q2 2026, with construction and services among the strongest contributors. Trade & Logistics Pressure: Truck drivers across the Western Balkans protested Schengen stay limits tied to the Entry/Exit System and warned of new border blockades from Sept. 14 unless rules are adjusted for professional work. Diplomacy for Industry Links: Serbia hosted NAM’s 65th anniversary in Belgrade, with officials highlighting cooperation areas like agriculture, the food industry, tourism and education—plus renewed ties with Tanzania.

Robotics & Batteries: Serbia signed a €100.5m framework deal with China’s Jiangsu Reliance Energy Tech for a battery plant in Indjija, aimed at batteries for drones, humanoid robots and other tech—part of a push to build a local supply chain. Humanoid Manufacturing: Serbia also opened Europe’s first mass-production facility for Chinese-designed humanoid robots in Šabac (Minth Group + AGIBOT), with President Vučić touting 5,000+ robots a year and a wider €200m robotics park planned in Inđija. Energy Transition Watch: A new report questions whether Serbia’s green shift—where Chinese firms are increasingly active—could swap one dependency (Russia) for another, even as renewables expand. Transport & Trade Friction: Western Balkan truck drivers protested Schengen stay limits for professional drivers, threatening new border blockades from September 14 unless rules are adjusted. Infrastructure: Chinese-built Danube Corridor expressway sections (28 km) opened to traffic, bringing the project close to completion and boosting connectivity for eastern Serbia. Diplomacy for Industry Links: Serbia’s FM Marko Đurić met Mali, Tanzania and Burundi ahead of the NAM 65th anniversary, highlighting cooperation areas like agriculture, the food industry, tourism and education. Energy Sector Leadership: Geoplin named Uroš Bider as CEO from 1 November 2026, with Petrol Group experience in Serbia’s energy operations.

Humanoid Robotics Boom: Serbia opened Europe’s first mass-production facility for Chinese-designed humanoid robots in Šabac, with AgiBot and Minth Group starting output of 5,000+ units a year and plans to scale to 20,000 units via a €200m robotics park in Inđija. US–Serbia Sanctions Pressure: A new US bill (SRBIJA Act) would target Serbian officials over ties with Russia, China and Iran, raising the risk of visa and financial sanctions. Energy & Industry Watch: The US extended NIS’s operating licence until Sept. 30 as MOL and Gazprom Neft near a deal on NIS ownership, keeping Serbia’s refining operations running while negotiations continue. Regional Energy Links: North Macedonia signed for the Serbia interconnector design and construction, a 70km gas link meant to strengthen regional supply and transit. Renewables Shift: Chinese firms are expanding Serbia’s wind and solar pipeline, including major projects near Belgrade and Bor, as Belgrade tries to reduce Russian energy dependence. Infrastructure & Growth: The Danube Corridor expressway opened in eastern Serbia, a 68km, four-lane route aimed at boosting tourism and regional economic development. Drought Hits Food & Water: Extreme heat and low Danube levels are stressing fish and fish farms across the region, with Serbia’s shrinking side channels leaving juvenile fish at risk of mass die-offs. Parliament Moves Budget Forward: MPs voted on 59 agenda items including a budget review and infrastructure borrowing measures tied to major roads and pipelines.

Humanoid Robotics Push: Serbia opened Europe’s first mass-production facility for humanoid robots in Šabac, with Minth Group and AGIBOT starting serial output and targeting up to 20,000 units a year (plus “robo-dogs”), as the government frames it as a new high-end manufacturing and jobs boost. Energy Sanctions Relief: OFAC extended NIS’s operating license until Sept. 30, while talks on the Russian stake sale continue, and JANAF also secured a sanctions waiver to keep crude transport to NIS running. Danube Drought Fallout: Extreme heat and low Danube levels are shrinking habitats and hitting the fish sector hard in Serbia and across the region, with fears of mass die-offs and millions in damage. Maritime Security: Turkish commandos and Somali forces retook the hijacked MV LUTUF after a 10-day operation; the crew included Serbian security guards, and the ship resumed its journey following a reported $2.5m settlement. Regional Infrastructure/Trade: Serbia and Greece discussed boosting railway and energy cooperation, while the wider region continues to manage transport and supply pressures amid the summer crisis.

Robotics Manufacturing Push: Serbia has begun serial production of humanoid robots at a new Sabac factory jointly built with China’s Minth Group, with President Vučić calling it Europe’s first mass-production base and targeting 5,000+ robots annually, plus plans for a wider robotics industrial park. Defense Tech Angle: Vučić also unveiled Chinese “robo-dogs” from Minth, saying Serbian experts integrated remote weapon control software and that the units will undergo movement testing before entering army exercises. Energy Security Under Sanctions: The US extended NIS’s operating licence to September 30, keeping Serbia’s Pančevo refinery running while negotiations continue over the sale of the Russian majority stake to MOL. Drought Hits Industry: Extreme low Danube water levels are damaging Serbia’s and the region’s fish sector, with boats idle and juvenile fish at risk as heat and drought strain ecosystems and river logistics. War Remnants Exposed: A magnet fisher in Slovakia pulled up a 1,500-pound WWII-era unexploded mine from the Danube, highlighting how drought can expose dangerous wartime stockpiles.