According to the Bulgarian News Agency BTA, Bulgaria and Germany’s Rheinmetall are preparing to launch two major defense industry projects on Bulgarian soil: Europe’s largest gunpowder factory and a NATO-standard 155mm artillery shell production plant. The initiative follows high-level talks in Düsseldorf between GERB party leader Boyko Borissov and Rheinmetall CEO Armin Papperger.
The 155mm shell plant, to be located at the historic Vazovski Mashinostroiteleni Zavodi (VMZ) site, is expected to produce around 100,000 rounds annually. With Europe facing critical shortages of artillery ammunition due to the ongoing war in Ukraine, the project is seen as a cornerstone for NATO’s long-term supply resilience.
Rheinmetall already operates production lines in Germany and Hungary and is establishing new ones in Ukraine. The Bulgarian facilities will expand this decentralized network, combining German technology with Bulgaria’s established defense infrastructure. The investment, valued at over €1 billion, is set for rapid implementation in the coming weeks.
For NATO, the new plants will strengthen supply chain security and ensure sustained availability of heavy artillery ammunition. For Bulgaria, it represents the largest defense industrial investment in decades, creating skilled jobs, boosting the economy, and positioning the country as a central hub in Europe’s defense production chain. If realized, the initiative will not only reinforce Bulgaria’s role within the alliance but also reshape Europe’s ability to sustain high-intensity operations well into the future.
