Bulgaria’s Litex, China’s Great Wall Launch JV

VIENNA – Bulgarian Prime Minister Boyko Borisov joins Litex and Great Wall Motor management for the inauguration of the first assembly plant for Great Wall cars within the European Union.

Litex Motors, the joint venture between Bulgaria’s Litex and Chinese auto maker Great Wall, erected a greenfield plant in Bakhovitsa, a village near the city of Lovech, about 93 miles (150 km) northeast of the Bulgarian capital, Sofia.

The initial investment is E28 million ($37.3 million), Iliya Terziev, executive director-Litex Motors, tells local media. The amount does not include the costs of land.

In the first stage, the plant will assemble vehicles from semi-knocked-down kits sourced from China. The facility employs about 120 people and plans to assemble up to 4,000 vehicles this year.

The cars are expected to be sold in Bulgaria and some other countries in the region such as Macedonia, Montenegro, Albania or Serbia.

Plans call for the eventual assembly of 50,000 vehicles on two shifts annually or 70,000 on three shifts, employing up to 2,000 workers.

The Voleex C10 hatchback is the first car to be assembled in Bulgaria. The plant will add the Hover H5 SUV and Steed 5 double-cab pickup truck in the near future.

Other models, including the Voleex C30 sedan, C20R small cross/utility vehicle and Hover H6 SUV, are expected to be added later.

“We estimate that in three to five years we will have a wide range of models made here and that these cars will be sold in all European countries,” Great Wall President and CEO Wang Fengying says during the ceremony.

Terziev says Litex Motors plans to install welding and painting shops within the next two to three years.

Plant Manager Alexander Cramb and some other managers joined Litex Motors from South Africa, where they gained experience working for the auto industry there.