Bulgaria's Electrical Exports Decline for First Time in Years

The Bulgarian Association of Electrical Engineering and Electronics (BASEL) has reported a decline in exports for the first time in years, according to preliminary data, BASEL Chair Dimitar Beleliev told BTA, CE Report quotes BTA

The electrical industry remains a key sector, contributing over 11% (EUR 4 billion) of Bulgaria's total exports, based on Eurostat data as of October 2024. However, exports fell by 3.2% compared to the same period in 2023, raising concerns within the industry.

Beleliev attributed the decline to economic uncertainty in Europe, Bulgaria’s primary export market, particularly Germany. "For the first time in 25 years, excluding the COVID-19 year, we are seeing a drop in exports," he noted, warning that final 2025 data may confirm the trend.

Companies are facing reduced orders, high labor costs, and workforce shortages. Additionally, over 60% of public procurement contracts are awarded to companies from Turkiye and China. Beleliev criticized this practice, urging the government to exclude non-market economies from EU-funded tenders, as done in Germany, Romania, and France.

The industry also struggles with a lack of state support and complex EU funding procedures. To address labor shortages, firms are hiring workers from Uzbekistan, Nepal, and the Philippines, though bureaucratic delays remain an obstacle.

Currently, Bulgaria has around 1,250 electrical and electronics companies employing 57,000 people. BASEL represents 115 domestic and foreign firms, generating an annual turnover of approximately EUR 1 billion.