Bulgaria Plans €43.5M Defense Technology Center With Eight Labs

Bulgaria will establish a €43.5 million defense technology center in Kazanlak, with eight laboratories focused on AI, autonomous systems, advanced materials, cybersecurity and counter-drone technologies.

Bulgaria Plans €43.5M Defense Technology Center With Eight Labs
Metodi Markov and Dimitar Kirkov during the presentation of Bulgaria's planned €43.47 million CEDAR defense technology center in Kazanlak on October 15, 2026. Photo: Ivan Slavov / Bulgarian National Radio.

Bulgaria plans to establish a €43.47 million defense technology research center in Kazanlak, bringing together eight specialized laboratories focused on military and dual-use technologies, including artificial intelligence, autonomous systems, cybersecurity and counter-drone capabilities.

The Centre of Excellence in Defence Technologies and Dual-Use Solutions (CEDAR) was presented on October 15 by Sofia Tech Park and its project partners. The facility will provide research, prototyping, testing and technology validation infrastructure for Bulgarian companies and potentially other defense manufacturers across the Balkans.

The project is financed through Bulgaria's Regions in Growth Programme 2021–2027, supported by the European Union's Just Transition Fund, with national co-financing accounting for 15% of the investment.

Eight Laboratories for Defense and Dual-Use Technologies

CEDAR will operate eight laboratories covering three principal research areas: advanced materials, additive manufacturing and digital twins; cybersecurity, secure communications, artificial intelligence and autonomous systems; and propulsion, protective technologies and counter-unmanned aerial systems.

The center is designed to support the development process from initial operational requirements and computer simulations through prototyping, laboratory testing and preparation for industrial production.

According to Sofia Tech Park, approximately 60 highly qualified specialists are expected to work across eight research programs. The complex will also provide capabilities for testing and validating products developed by companies in the wider Balkan region.

Construction Scheduled Through 2028

The research complex will occupy a site of approximately 16,500 square meters in the eastern part of Kazanlak.

Project manager Metodi Markov said the indicative construction budget is €10.1 million, with another €23 million allocated to laboratory equipment. A public procurement procedure for construction is still being prepared, and the detailed building design has not yet been finalized.

Construction is scheduled for completion by the end of 2028, followed by equipment installation during 2029. The overall project is expected to be operational by December 2029, although some research activities could begin earlier.

The facility is being developed by CEDAR-Kazanlak, a subsidiary of Sofia Tech Park, in cooperation with the Bulgarian Academy of Sciences, Sofia Technical University and the Vasil Levski National Military University.

Kazanlak's Defense Industry Base

Kazanlak is an established center of Bulgaria's arms manufacturing industry and home to Arsenal, one of the country's largest defense manufacturers.

Mayor Galina Stoyanova cited the city's engineering expertise, industrial infrastructure and skilled workforce among the reasons for selecting the location.

Arsenal has not been identified as a formal project partner.

CEDAR's partners intend to establish research infrastructure that can support new defense technologies beyond traditional ammunition and weapons manufacturing, while also serving civilian industrial applications.

Sofia Tech Park has also described the complex as a potential foundation for a future dual-use technology park, creating a longer-term platform for cooperation between universities, technology developers and defense manufacturers.