site.btaBulgarian Industrial Association: Trade Relations with China Are Far from Balanced

Bulgarian Industrial Association Chairman Dobri Mitrev met with newly appointed Bulgarian Ambassador to China Andrey Tehov. Attending the meeting was Hristina Kasparyan, head of the International Economic Relations department with BIA, the Association said on its webpage on Monday. 

Mitrev said that a poll among BIA members shows that trade relations with China are far from balanced due to objective political reasons. Bulgaria’s performance on the Chinese market is far from optimal too. Bulgaria’s participation in big commercial show in China should be reconsidered entirely. For Bulgarian companies it is important to position themselves in sectors such as green energy, electric cars and specific foods, which can’t be doubled by China. 

According to companies who tried to gain a foothold on the Chinese market, the Chinese partners have requirements which cannot be met. For instance the company to send data about its production which is a trade secret. There are instances where Chinese partners have requested detailed information about the whole chain of supply. 

In 2022, two-way trade totalled EUR 3.243 billion, which is an increase of nearly 20% from 2021. Trade balance in 2022 reached EUR 2.421 billion, or a 2.4-fold increase from 2021, when it was EUR 996.4 million. In 2022 Chinese imports totalled EUR 3.2 billion, or an increase if 1.5-fold, and Bulgarian exports stood at EUR 788.4 million, down by 1.4-fold (some 30%, compared with 2021 (EUR 1.123 billion. 

"Bulgaria is the second country which recognized the People’s Republic of China and I think that the Chinese business has not forgotten that and has very warm feelings towards Bulgaria. Bulgaria is a sought-after partner but there are huge obstacles to Bulgarian exports for China. They are due to the lack of Bulgarian capabilities for supplying large volumes, expensive transport, logistical difficulties, regulations and even differences in the way of making business,” said Mitrev during the meeting. 

"My visit today was to familiarize myself with the views of Bulgarian employer organizations before I leave for Beijing and to assure myself that for you as well as for me it’s key for Bulgaria to make its decisions to the benefit of the Bulgarian economy and always looking for balance. We’ll be working for one and the same thing and I rely on your actove cooperation,” said Ambassador Tehov.