Romania and Bulgaria can benefit from the reorientation of German companies towards geographically closer suppliers amid geopolitical changes and risks affecting global supply chains, due to industrial capacities, investments in modern technologies and specialised workforce, according to the Romanian-German Chamber of Commerce and Industry (AHK Romania).

'The perspective of companies has changed from 'where do I find this part at the lowest price' to 'where do I find the right technical capacity, quality and good delivery, flexibility from the supplier, reliable partners with whom I can collaborate five or ten years down the road?' From this point of view, Romania and Bulgaria have a lot to offer, they are no longer low-cost locations, but they have production facilities, know-how, they have invested in automation, modern technologies and in the professionalisation of the workforce', said Ruxandra Dumitrescu, deputy director of AHK Romania, at a conference on cooperation in South-Eastern Europe, organised by the bilateral German Chambers of Commerce and Industry in Romania and Bulgaria.

According to the organisation, Eastern European firms have a number of advantages in international competition to attract supply contracts, including proximity to Western European markets, flexibility, rapid reaction capacity, trained workforce and the possibility of building shorter and more predictable supply chains.

Also, the elimination of controls at the internal Schengen land borders for Romania and Bulgaria has contributed to shorter transport times, while the uncertainties associated with long-distance shipping have increased interest in suppliers closer to European production facilities.

During the debate 'Romania and Bulgaria as partners of German industry: nearshoring and strategic acquisitions', representatives of German, Romanian and Bulgarian companies analysed the advantages of the two marketplaces as sources of supply and production for the German industry.

Discussions also focused on the challenges posed by competition from Asian suppliers, with participants stressing the importance of consistent quality, protection of know-how, flexibility and trust-based business relationships.

At the same time, investments in workforce development, through vocational training programmes and dual education, is an advantage for companies in Romania and Bulgaria, according to AHK Romania.

For the coming years, the participating companies indicate the automation of production processes and the adoption of sustainable solutions as important directions for strengthening competitiveness.

The conference was organised as part of the Sourcing Tour, a trade delegation tour between November 9 and 13, that brings together companies from Germany interested in identifying new suppliers and partners in Romania and Bulgaria.

After the conference, Romanian and Bulgarian companies participated in bilateral business meetings with officials of German companies to present their production facilities and analyse the possibilities of long-term collaboration.

The event is part of the Foreign Market Access Programmeof the German Federal Ministry of Economic Affairs and Energy, which supports German small and medium-sized enterprises in identifying and developing business opportunities on international markets.

The German delegation included companies specialising in areas such as mechanical engineering, machine and equipment construction, electrical engineering, medical technology, plastics, metal processing, wiring and specialised industrial solutions.

AHK Romania is the official representative of the German economy in Romania. Founded in 2002, the organisation has over 700 members and supports the development of business relations between Romanian and German companies. AGERPRES (RO - editing by: Nicoleta Banciulea; EN - writing by: Corneliu-Aurelian Colceriu)