There is considerable potential for economic cooperation between California and Croatia, particularly in the area of digital transformation and renewable energy, Prime Minister Andrej Plenkovic said on Wednesday during his visit to Croatian expats in Los Angeles.

“It would be great to connect with many of their companies, especially in the areas of digital transformation and renewable energy, where California excels,” Plenkovic said.

He also emphasised the importance of connectivity, noting that “this is the most important US port as an entry point for traffic from the Pacific and Asian countries, but it’s also crucial for overall trade with the US.”

The agreement between the US and Croatia to avoid double taxation has not yet entered into force

Plenkovic added that there seems to be a strong political will to continue this cooperation.

“It is also an advantage that the current US ambassador to Croatia, Nathalie Rayes, is from California and is well known here. We will therefore work to ensure that a business delegation from California comes to Croatia in cooperation with the American side,” said Plenkovic.

The Prime Minister mentioned that the agreement signed between the USA and Croatia at the end of 2022 to avoid double taxation has not yet entered into force due to problems between the American executive and legislative branches.

“As far as Croatia is concerned, the agreement has been negotiated and signed, and we expect the US to resolve its internal differences soon so that it can enter into force. Some of the Croatians present here have told me that the issue of double taxation is a serious obstacle for them. So we will discuss this with the US government in order to resolve the matter as soon as possible,” said Plenkovic.

Croatia interested in the return of emigrants

Plenkovic previously met with business people from the Los Angeles Chamber of Commerce and gave a lecture at the University of Southern California.

He also emphasised that Croatia is very interested in welcoming back expats who have spent part of their lives in other countries.

“We believe that the recent income tax relief measures are very encouraging. We want those who have lived abroad for many years and are now retired to return to Croatia. We are currently investing in 18 large senior centres in all counties that have expressed interest,” he said.