Germany’s Rheinmetall will build a gunpowder and ammunition plant in Bulgaria

Bulgaria has signed an agreement with Germany’s Rheinmetall to build a gunpowder and ammunition factory

SOFIA, Bulgaria — Bulgaria signed an agreement Tuesday with Germany’s defense company Rheinmetall to build a gunpowder and ammunitions factory as part of Europe’s efforts to improve its defenses following Russia’s invasion of Ukraine.

The factory, which will produce gunpowder, 155 millimeter artillery shells and modular charge systems, will be developed as a joint venture between Rheinmetall and Bulgaria’s largest state-owned arms factory VMZ–Sopot.

The plant will create nearly 1,000 high-skilled jobs, making it one of the largest industrial projects in Bulgaria in recent years, officials said.

The German company will hold a 51% share in the joint venture, and Bulgaria will finance its participation through lo