Bulgaria, a rising economic force in Southeastern Europe, continues to deepen its strategic relationship with the United States. Since the signing of the US and Bulgaria Bilateral Investment Treaty in 1991, trade and investment have expanded steadily, laying the foundation for one of the region’s most promising transatlantic partnerships. In 2023, bilateral trade reached $1.2 billion, marking a 15% increase over the past five years. This upward trend reflects a shared commitment to advancing cooperation in sectors such as technology, energy, agriculture, and manufacturing. Bulgaria’s strategic location, skilled workforce, and European Union membership make it an ideal platform for American businesses. At the same time, American capital and innovation continue to fuel Bulgaria’s dynamic economic progress and are paving the way for deeper collaboration.
Strengthening Bilateral Agreements
A cornerstone of US-Bulgaria trade is the framework of bilateral agreements. The 1991 US-Bulgaria Bilateral Investment Treaty fostered a stable environment for investors by ensuring protections against expropriation and guaranteeing fair treatment. This treaty has encouraged US companies like Microsoft and Coca-Cola to establish operations in Bulgaria, creating thousands of jobs. The US and Bulgaria Strategic Dialogue, launched in 2019, further elevates the US-Bulgaria partnership by aligning policy efforts and expanding market access. Ongoing meetings between both nations are steadily increasing regulatory coordination, opening the door to even greater cross-border trade.
Accelerating Integration through the European Union
Bulgaria’s role within the European Union amplifies its appeal and multiplies the value of American engagement. As part of the European single market, Bulgaria serves as a bridge for US businesses seeking access to European consumers. Initiatives such as the EU and US Trade and Technology Council promote collaboration in emerging industries and help eliminate non-tariff barriers. These platforms are already benefiting Bulgarian exporters and creating smoother pathways for American firms entering Southeast Europe.
Investment and Business Incentives
Bulgaria is actively fostering investment through a combination of pro-business policies and strategic development zones. With a flat 10% corporate tax rate, one of the lowest in Europe, along with simplified permitting processes and access to European Union funding, the country offers an attractive environment for American companies. Sofia Tech Park has become a magnet for innovation, housing firms such as IBM (which employs over 1,000 Bulgarians) and nurturing new talent across software, cybersecurity, and artificial intelligence. In 2024, American investment in Bulgaria reached $600 million, up 8% from 2022, with strong growth in information technology, renewable energy, and logistics.
The American Chamber of Commerce in Bulgaria (AmCham) plays a pivotal role, with over 300 US-affiliated companies under its umbrella. AmCham organizes trade missions and networking events, connecting Bulgarian firms with US partners.
Key Sectors for Trade Growth
Several key sectors are fueling the continued expansion of trade between the United States and Bulgaria. Among the most impactful are information technology, agriculture, and energy.
Information technology continues to lead the way, growing at 12% annually and employing more than 80,000 professionals. U.S. firms such as VMware and Progress Software have established a long-term presence in Bulgaria, taking advantage of its English-speaking, highly skilled developer base. At the same time, Bulgarian startups are increasingly exporting software and financial technology solutions to the United States, creating a two-way exchange of innovation and talent. In 2023, the sector’s export value reached €3 billion, with ongoing growth in artificial intelligence, cybersecurity, and cloud computing.
Agriculture is another vital area of growth. Bulgaria’s fertile land and favorable climate have made it one of Europe’s top exporters of wine, sunflower oil, and organic produce. Exports to the United States increased by 10% in 2023, while American agricultural inputs such as machinery, soybeans, and precision farming tools have helped modernize Bulgaria’s production systems. Nearly 20% of Bulgaria’s workforce remains engaged in agriculture, and continued investment is ensuring the sector remains globally competitive.
Energy stands out as one of the most strategically important pillars of U.S. and Bulgaria economic cooperation. Bulgaria is aggressively diversifying its energy supply, moving away from reliance on Russian sources and embracing secure, market-driven alternatives. The Interconnector Greece and Bulgaria pipeline, operational since 2022, links the country to the Southern Gas Corridor and will soon expand its capacity from 3 to 5 billion cubic meters. This is further supported by the Alexandroupolis floating liquefied natural gas terminal, which is expected to become operational in 2024 and will supply American gas to Bulgaria and its neighbors. At the same time, investment in solar and wind continues to grow. The 2023 United States and Bulgaria Energy Partnership Agreement aims to double renewable energy trade by 2027, reflecting a shared commitment to sustainable and secure energy development.
In parallel, Bulgaria is making historic investments in nuclear power. In 2024, Westinghouse and Hyundai Engineering signed contracts to construct two new AP1000 reactors at the Kozloduy Nuclear Power Plant. These reactors will contribute more than 2,300 megawatts of carbon-free energy to Bulgaria’s national grid. This effort not only strengthens energy independence but also creates thousands of high-paying jobs in construction, engineering, and long-term operations.
Together, these sectors including technology, agriculture, and energy demonstrate the shared economic future being built between Bulgaria and the United States. As trade deepens, both nations are benefiting from stronger supply chains, sustainable innovation, and growing strategic alignment in one of Europe’s most dynamic regions.
Unlocking Global Potential
Bulgaria’s continued investment in ports, rail systems, and logistics infrastructure, supported by partnerships with American firms, enhances its position as a gateway to Europe, the Middle East, and Central Asia. American logistics leaders such as FedEx are expanding their presence in Bulgaria to meet rising demand. The country’s participation in regional initiatives including the Three Seas Initiative complements these improvements and reinforces its place in the future of transatlantic trade. The government is also addressing critical enablers of competitiveness through digital governance reforms, with 70% of public services now accessible online.
Another challenge being tackled is the persistent trade imbalance, as Bulgaria currently imports more from the United States than it exports. To close this gap, Bulgaria is promoting high-value exports such as pharmaceuticals and automotive parts, leveraging its skilled workforce and competitive labor costs to increase its presence in U.S. markets.
At the same time, both countries are actively expanding their economic relationship beyond traditional trade. New opportunities are emerging in sectors including biotechnology, telecommunications, and advanced manufacturing. Innovation forums such as the 2024 US and Bulgaria Business Council Innovation Forum are accelerating cooperation in next-generation technologies including fifth generation connectivity, cyber defense, and medical research. These initiatives demonstrate a long-term commitment to building a high-trust partnership that advances strategic objectives for both nations.
Future Opportunities
The future of US-Bulgaria trade is bright. The United States and Bulgaria are building an economic relationship rooted in shared values and long-term benefits. Bulgaria’s alignment with the digital and environmental priorities of the European Union matches American interests and creates new space for innovation and investment. With 80% of Bulgaria’s IT professionals fluent in English and a business culture that supports reliability and openness, the country offers an ideal environment for nearshoring and strategic collaboration.
Joint educational programs, business councils, and research partnerships are strengthening connections across every level of the relationship. As the United States and Bulgaria look ahead, deeper trade cooperation will support prosperity, reinforce regional stability, and further cement a durable alliance in one of Europe’s most vibrant and strategic regions.
By addressing challenges and capitalizing on shared strengths, the US and Bulgaria can and are building a robust trade partnership, set to flourish benefiting businesses and communities on both sides of the Atlantic.