Potential investments in the automotive industry for BGN 2 billion could create 4,000 jobs in Bulgaria

The automotive sector is the fastest growing sector, President Rumen Radev pointed out, but the country's potential in this area is poorly promoted. This is what he said at an international press conference of the auto industry in Sofia on June 2. It was also attended by the Minister of Innovation and Growth, Daniel Lorer, representatives of the Bulgarian automotive sector and foreign investors.

President Rumen Radev congratulated the representatives of the Bulgarian automotive industry for the results achieved. The Head of State drew attention to the fact that the automotive industry plays a decisive role in Europe's prosperity, and in Bulgaria it is the fastest growing economic sector - in 10 years it has 10-12% of the country's GDP, and he predicted that if this rate is maintained in 5 years it will reach 20% of the economy. Radev noted that 70,000 people are employed, and in a year's time he expects a quarter of industrial workers to be employed in the auto industry in the country. Moreover, Radev added, not a single employee in this sector was laid off during the pandemic.

"Out of 10 cars produced in Europe, 9 of them have components made in Bulgaria, and 80% of the sensors on cars sold in Europe are made here in Bulgaria," Radev said.

The Head of State hopes that future investors will benefit from the upcoming legislative changes concerning industrial zones and investments. However, Radev said not enough is being done to promote the country's achievements and potential in the automotive sector. He highlighted the country's strategic geographical position, the most attractive tax system in the European Union, low operating costs, macroeconomic and financial stability. He paid special attention to the role of software in cars and the benefits of the developing IT sector in the country.

"Bulgaria with its achievements and developed IT sector - we are third in the world in the number of IT specialists per capita. Sofia has a sustainable start-up system. A month ago an institute for artificial intelligence and high technologies was opened," the President emphasized.

Minister of Innovation and Growth, Daniel Lorer, pointed out that the future of the automotive industry is entirely "smart" and electrified with green energy and gave an example of the great potential of Bulgarian engineers.

"The automotive industry has another, smart aspect that is harder to see but leads to a lot of added value. A few weeks ago a Japanese company came to us at the Investment Agency. It already has production plants in Serbia. They came to us not because they want to produce, but because they want to do development work in Bulgaria. Doing development somewhere means that you appreciate the intellectual capacity of the country, you appreciate the human capital and you understand that in this place you can create new, smart products that will drive your industry into the future," Minister Lorer pointed out.