With Donald Trump re-elected as U.S. President, Kosovo and Serbia look ahead to renewed mediation efforts aimed at strengthening economic ties and regional stability. Under Trump’s prior administration, a landmark 2020 agreement between the two nations established economic projects, though delays have surfaced amid political frictions.
In September 2020, Serbian President Aleksandar Vucic and then-Kosovo Prime Minister Avdullah Hoti signed an economic normalization deal at the White House. Key elements of the agreement included plans for the “Peace Highway” connecting Pristina and Merdare, alongside a rail link for enhanced trade. While sections of the highway are operational on the Serbian side, construction on the Kosovo side is ongoing.
The agreement also outlined cooperative management of the Gazivode Lake, a critical shared resource. A 2021 U.S.-led feasibility study promoted a joint framework to ensure fair water distribution; however, lingering political issues have delayed implementation.
Unlike previous administrations, Trump’s mediation prioritized economic over political concessions, with his envoy Richard Grenell encouraging Kosovo to lift tariffs on Serbian imports. This approach, however, has seen resistance from Kosovo’s Albin Kurti, who argues that economic incentives alone cannot address fundamental sovereignty questions.
Trump’s re-election signals a continuation of his administration’s pragmatic focus. Some analysts, including Toby Vogel from the Berlin-based Council for Democratisation Policy, caution that a return to Trump’s approach could bring renewed discussion around previously controversial territorial exchanges, a notion with limited support across the Balkans.
Kosovo officials have expressed optimism about continued U.S. support, with President Vjosa Osmani congratulating Trump on his victory, describing the U.S. as an “irreplaceable ally.” Kurti, despite past disagreements, acknowledged the importance of U.S. backing for Kosovo’s international goals.
For Kosovo and Serbia, Trump’s return may accelerate economic projects, but political complexities mean Washington’s involvement will remain crucial as the two nations navigate a challenging path toward normalization.
