BIH Automotive industry assessment: Trends, challenges and opportunities

BIH Automotive industry assessment: Trends, challenges and opportunities
May 26, 2020
Metal processing sector in Bosnia and Herzegovina (BiH), along with base metal production, has
traditionally been country’s strongest and the most significant industry and export-oriented sector,
accounting for more than 30% of total exports. As a sub-sector, BiH automotive industry with
over 60 companies and more than 11,000 employees, has experienced development in recent
years, with estimated volume of export amounting to 90% of the overall production. According
to the relevant global studies, the automotive industry world-wide is going through significant
changes caused by new technology-driven trends and business models that will have far-reaching
consequences for the entire industry. The four megatrends will shape up the future automotive
industry: electrified vehicles, autonomous vehicles, shared economy and connected vehicles with
regular updates.
The study has been implemented under the auspices of the Economic Governance for Growth
(EGG) project, which is primarily funded by the Government of Norway and implemented by the
United Nations Development Programme (UNDP) in BiH. It has been designed in close collaboration
with the key national partners, namely the Foreign Trade Chamber of Bosnia and Herzegovina,
Chamber of Economy of the Federation of Bosnia and Herzegovina, Chamber of Commerce and
Industry of Republic of Srpska and private sector.