Serbia has signed a prefinancing agreement and a 1.3 billion euro ($1.5 billion) commercial contract with China's Shandong High-Speed Group for the design and construction of an 83-km stretch of the planned Vozd Karadjordje high-speed road, which will connect the central and eastern parts of the country, president Aleksandar Vucic said.

The 83-km stretch represents sections 2 and 3 of the planned road. Section 2 starts in west-central city of Lazarevac, where it will intersect with the existing Milos Veliki motorway linking central town of Cacak and capital Belgrade, and head to the east toward the city of Arandjelovac. Section 3 starts in Mali Pozarevac, on the 35th kilometre of the motorway connecting Belgrade and the southern city of Nis, and continues to Arandjelovac, according to a spatial plan for the road, which the government adopted in 2024.

Section 3, which will be the first one to be built, is expected to be completed in three years, Vucic said on Thursday, following the signing of the contract, as seen in a video posted by public broadcaster RTS.

The remaining 42.5 km of the 125.5 km Vozd Karadjordje road, or Section 1, will connect Arandjelovac to Markovac near the Belgrade-Nis motorway. The entire road is planned to be ready by 2035, Vucic said.

The Vozd-Karadjordje road, which will link the European transport Corridor X and the proposed Corridor XI on Serbian territory, will allow for speeds of up to 100 km per hour.