site.btaGovernment Says It Will Continue "Actively Structuring" Proposed Investment Project with Rheinmetall

Bulgaria will continue actively structuring the proposed investment project with Rheinmetall, building on Germany’s leading role as a key foreign-trade partner and source of foreign direct investment for the country, Deputy Prime Minister and Minister of Economy, Investments and Industry Alexander Poulev said during Quick Question Time in Parliament on Friday.

“Rheinmetall is one of the major technology and industrial leaders and giants in the defence industry. Germany is a key foreign-trade partner for Bulgaria regardless of which metric we use - whether trade or foreign direct investment. So we are continuing full steam ahead with the active structuring of the proposed investment project with Rheinmetall,” the Minister said.

He recalled his meeting on Wednesday with a Rheinmetall delegation and said that they had discussed current issues related to structuring the process and the project. “The focus was on safeguarding the national interest and addressing the shortcomings at the outset of the negotiation process that we inherited. We will insist on full technology transfer and the creation of high-quality jobs in Bulgaria at the VMZ facilities,” Poulev said.

The location of the proposed investment was also discussed at the meeting. “We discussed and proposed a new site near Burgas. It is owned by the Defence Ministry and has all the necessary supporting infrastructure, allowing us to establish this high-quality production facility there as quickly as possible,” the Minister said. He added that full administrative support would be provided and that the site would be designated as a facility of national security and national importance, allowing it to go through a streamlined administrative procedure.

The talks focused on investment priorities. “In addition to the gunpowder plant, we examined Rheinmetall’s portfolio in detail. It is very broad and offers many different opportunities for the production and commercialization of products in Bulgaria. We are talking about three main alternative and complementary investment options, and we will select one of them in consultation with Rheinmetall,” the Minister said. He specified that one option involves satellite technologies that could be used by the government at the newly established observation centre in the Dobroslavtsi area. Another involves a product line related to drones and anti-drone systems. Projects involving logistics and transport vehicles were also discussed, with the aim of creating additional opportunities for some of Bulgaria’s automotive-sector specialists to apply their expertise.

The Deputy Prime Minister added that he would make a reciprocal visit to Germany later this month.