Marjan Vučak, President of the German-Croatian Chamber of Commerce – AHK Croatia, on the German investments shaping Croatia’s future, why relationships matter in business, and how Croatia is becoming a gateway to the wider Adria region.
With bilateral trade exceeding €8.46 billion in 2023, Germany has firmly established itself as Croatia’s most important economic partner. From automotive and renewable energy to IT and manufacturing, German companies are investing heavily, transforming industries and creating new opportunities.
President of the German-Croatian Chamber of Commerce (AHK Croatia) and CEO of MEGGLE for Southeastern Europe, Marjan Vučak, shares key insights on major success stories, Croatia’s growing role as a regional hub, and why trust and long-term partnerships are crucial for business success.
German-Croatian business ties have evolved significantly over the years. What key figures or milestones best illustrate this progress, and if you had to capture this evolution in a single word or phrase, what would it be—and why?
The economic relationship between Germany and Croatia has flourished over the years, with AHK Croatia playing a vital role in fostering bilateral cooperation. Today, Germany is Croatia’s most important trade partner, with bilateral trade exceeding 8,46 billion euros in 2023. German companies have made significant investments in automotive, IT, renewable energy, and manufacturing, strengthening Croatia’s industrial landscape.
In 2023, bilateral trade between Germany and Croatia exceeded €8.46 billion The German Chapter
AHK Croatia actively supports companies in navigating these new opportunities, ensuring a smooth transition for businesses adapting to the evolving market. Summing up this evolution in a single phrase, “Partners in Progress” captures the essence of German-Croatian economic cooperation – where German investment and expertise meet Croatian innovation and adaptability, creating growth opportunities.
Which German companies have had the most impact on Croatia’s economy, and in which industries do they operate? What do you see as the most remarkable success stories?
Industrial German giants like Siemens and Bosch have played a significant role in shaping Croatia’s economic landscape. A standout success story is the strategic partnership between Rimac Automobili and Porsche. What began as a Croatian startup has evolved into a global leader in electric hypercars and battery technology, with Porsche as a key investor.
Major German Investment Projects in Croatia (2024)
• Siemens Energy & KONČAR (2024) – Building a transformer factory.
• Rheinmetall & DOK-ING (2024) – Developing unmanned defence systems.
• Bugatti Rimac (since 2021) – High-end hypercar & EV technology partnership.
The Impact of Schengen & Eurozone Integration
Business Benefits: Since joining the Schengen Zone and adopting the euro in 2023, Croatia has seen:
• Faster, more efficient logistics for businesses
• Reduced administrative and currency exchange costs
• Increased investor confidence in longterm stability
Survey Insight: 80% of German businesses in Croatia report that Schengen and euro adoption have positively impacted operations.
Germany and Croatia share more than just strong trade relations. Decades of cooperation have fostered innovation, business growth, and long-term investment stability
Key milestones such as Croatia’s EU accession in 2013 and its Eurozone and Schengen integration in 2023 have further enhanced trade and investment flows. The elimination of border controls and the adoption of the euro have simplified transactions and logistics, making Croatia an even more attractive destination for German businesses.
Notable projects in 2024 include Siemens Energy’s joint venture with Končar to build a transformer tank factory and Rheinmetall’s collaboration with DOK-ING to develop unmanned defence systems. AHK Croatia actively supports these ventures, driving innovation, strengthening partnerships, and creating investment opportunities between German and Croatian companies.
Beyond the numbers, what do German businesses value most about operating in Croatia? Is there a key factor that often surprises investors?
Beyond the numbers, German businesses appreciate Croatia’s skilled workforce, strategic location, and strong connections within the EU market.
Rimac’s German Investment Connection
Rimac Automobili is a key example of German investment in Croatia, with Porsche owning 24% of Rimac Group and 45% of Bugatti Rimac, a joint venture formed in 2021. Backed by Volkswagen Group and Porsche, Rimac develops cutting-edge EV and battery technology used by BMW, Mercedes, and Porsche. The €200 million Rimac Campus, partly supported by German investors, cements Croatia’s role in Germany’s high-tech automotive supply chain.
Another important factor is the absence of major cultural differences between Germany and Croatia. Additionally, the country’s quality of life, beautiful environment, and welcoming business culture make it an attractive destination for long-term investments.
Many see Croatia’s EU and Schengen integration as a game-changer for trade. Have German companies already felt the impact, or is the best yet to come?
Croatia’s integration into the EU and Schengen area has been important for trade and investment. German companies have already experienced tangible benefits, particularly in terms of faster and more efficient logistics, reduced administrative burdens, and improved market access. In our annual economic survey conducted among Croatian and German companies, respondents positively assessed Croatia’s entry into the Schengen area and the adoption of the euro. In particular, the euro has simplified transactions and eliminated currency exchange risks— a significant advantage for German investors. The foundations are set, and the best is likely still to come.
Numbers often tell the most compelling story of economic ties. Looking at German investment, trade volume, or other key indicators, which statistics best showcase the strength and trajectory of German-Croatian business relations?
Trade between Croatia and Germany continues to play a crucial role in Croatia’s economic landscape. According to the latest data for the period January to October 2024, Croatia’s exports to Germany amounted to 2.39 billion euros, marking a slight increase of 1.2% compared to the same period in 2023. At the same time, imports from Germany reached 5.01 billion euros, reflecting a 6.2% increase. In terms of investments, German companies have been active in various sectors, including manufacturing and infrastructure.
Germany-Croatia Trade in Numbers
Total Trade Volume: In 2023, Germany-Croatia trade surpassed €8.46 billion, making Germany Croatia’s largest trade partner.
Growth Trend: Trade between the two countries has grown steadily over the past decade, with further expansion expected as supply chains evolve.
Key Sectors: Major areas of export and investment include automotive, industrial manufacturing, renewable energy, and IT.
Why It Matters: These investments signal long-term confidence in Croatia’s industrial, energy, and tech sectors.
Croatia as a Gateway to the Adria Region
Strategic Position: With its EU and Schengen membership, strong infrastructure, and skilled workforce, Croatia is an ideal base for German companies looking to expand into Bosnia & Herzegovina, Serbia, Montenegro, and beyond.
Industries Benefiting: Automotive, energy, logistics, and digital industries are leveraging Croatia’s position as a regional hub.
Future Outlook: Further infrastructure investment and cross-border partnerships could strengthen Croatia’s role as a key trade and innovation corridor.
While most German investments flow into Croatia, Croatian investments in Germany remain limited but are gradually increasing, especially in the IT and service industries. We have also noticed a rising number of Croatian member companies opening branches in Germany, particularly in IT and construction. Strengthening bilateral investments will further deepen economic ties and create new business opportunities. Croatia also holds strong potential in renewable energy, thanks to its favourable climate and geological conditions. Expanding this sector is key to meeting sustainability targets, and investors will find promising opportunities in this growing market.
Croatia is often seen as an entry point for German businesses into the wider Adria region. Do you see this evolving, and what would help strengthen this position?
Its EU and Schengen membership, adoption of the euro, and well-developed infrastructure make it an attractive hub for regional operations. German companies benefit from Croatia’s geographical position, strong local expertise, and deep economic ties with neighbouring markets.
Representatives from KONČAR Inc. and Siemens Energy signed a Joint Venture Agreement in July 2024 in Zagreb, marking a new chapter in their long-standing collaboration. The partnership will expand manufacturing capacities for transformer tanks, strengthening Europe’s energy infrastructure and reinforcing Croatia’s role in the global energy supply chain.
Looking ahead, further strengthening this position will require continued investment in infrastructure, digitalisation, and workforce development. Additionally, fostering stronger economic cooperation with neighbouring countries and streamlining administrative processes for foreign investors would reinforce Croatia’s role as a key link between Germany and the broader Adria region.
What’s one piece of advice you would give to a German business leader considering Croatia—something they won’t find in a market report?
“Think beyond the numbers—relationships matter.” Business culture in Croatia is based on trust, collaboration, and long-term partnerships. German companies that invest time in building strong local connections—whether with suppliers, clients, or institutions—gain a significant advantage. With AHK Croatia’s expertise and support, German businesses can confidently navigate the Croatian market and beyond.
