Right in the middle and yet not far away - new production facilities in Bulgaria

For many Europeans, Bulgaria is still a kind of terra incognita, an unknown country, even though Sunny Beach is very popular with party tourists. Away from the Black Sea coast, Bulgaria has great landscapes and a lot of history in store. In the heart of this wonderful country lies Gabrovo, the headquarters of Plansee MW GmbH and CERATIZIT Bulgaria.

Bulgaria is a bridge country, situated at the transition from Europe to Asia – or vice versa – and marked by an unparalleled history. Bulgaria is not only home to the first evidence of human life in Europe but also to the Karanovo culture, the oldest remains of human settlements on the continent. In addition, we owe the oldest known gold treasure in human history to the Varna culture. The country’s geographical position in influence between Greece, the Roman Empire, and the Ottoman Empire led to an eventful history with numerous wars and occupations by foreign powers. History left its mark on Bulgaria and ensured that it is not only a scenically beautiful but also a culturally highly interesting country.

In the heart of this country lies the industrial city of Gabrovo, home to Plansee MW, CERATIZIT Bulgaria, and CB-CERATIZIT Europe. The city with its almost 45,000 inhabitants is located next to the Yantra River and has been an economic centre of Bulgaria for centuries. Part of the reason for this is the period of Ottoman occupation of Bulgaria, which lasted from the late 14th to the late 19th century. At that time Gabrovo was located on the outer border of the Ottoman Empire and was an important trading hub. In the late 19th century, the city began to develop into a textile centre, earning it the nickname “Bulgarian Manchester.” After the Second World War, Bulgaria became a communist People’s Republic, and industry in Gabrovo shifted from textiles to metal processing to further Bulgaria’s modernisation.

In 1949, the state-owned tool factory Bolshevik was founded in Gabrovo. It was later renamed Instrument. With the collapse of the Eastern Bloc, a large part of the Bulgarian economy also collapsed. Many factories closed, people lost their jobs, and the “Bulgarian Manchester” went through difficult times. At the end of the 1990s, interest in the former industry in Gabrovo increased again and the Plansee Group came to Gabrovo. In 1996, the former Plansee Tizit acquired Instrument and integrated it into the Tizit (now part of CERATIZIT). In 1998, Plansee MW GmbH was founded as a subsidiary of CERATIZIT Bulgaria. Today, 155 employees at Plansee MW produce components for the lighting industry, power electronics, the transport sector and medical technology. In addition, rotating anodes used in computer tomographs are processed here. At the same time, CERATIZIT Bulgaria is developing into a competence centre for standard products and custom-made products and employs over 600 people.

In 1949, the state tool factory Bolshevik was founded in Gabrovo. Later it was renamed Instrument. But with the collapse of the Eastern Bloc, a large part of the Bulgarian economy also collapsed.

A Tyrolean in Bulgaria 

Plansee MW has been managed by Robert Schranzhofer since 2018. Born in Tyrol, he had already been involved with the Gabrovo site for many years. He recognised the potential and opportunities there early on and was therefore happy to move his workplace from Reutte to Gabrovo. He had no problems settling in. “Bulgarians are very similar to Austrians,” he says. “They are sociable, uncomplicated, and attach great importance to good food.” The Germans sometimes have a harder time, he adds with a wink. His counterpart at CERATIZIT Bulgaria is Georgi Petrov. He is a native of Plovdiv, a good two and a half hours south of Gabrovo. Like him, many Bulgarians from all parts of the country have moved to Gabrovo in recent years. The reason for this is the revitalisation of the city. Many large companies from all over Europe have ensured that the “Bulgarian Manchester” has once again become a vibrant economic metropolis. “One reason for this is quickly explained,” Robert Schranzhofer tells us. “If you look at the map, Gabrovo is in the middle of Bulgaria. It is only about three hours by car to the Black Sea. You can reach the Turkish or Romanian border just as quickly.

The Greek border is just four hours away.” Georgi Petrov adds, “At the same time, Gabrovo has a long history of high-quality metal production, going back 70 years.” The Plansee Group firmly believes in the potential of the Gabrovo site. That is why it has initiated expansion and conversion measures at the site this year. This includes the construction of an all-round sustainable production facility for CERATIZIT Bulgaria – a novelty in Gabrovo. The new production, storage, and service areas are being built on the site of a former production facility. In the process, the long-neglected riverbank will be transformed into an appealing recreational area with greened spaces, walkways, and benches overlooking the Jantra River as well as the surrounding forests. The declared goal: is not only to create the best possible conditions for production but also to provide people with sufficient compensation and relaxation in the fresh air.

The well-being of the employees is also taken care of in the buildings. For heating, cooling, ventilation, and lighting, the architects rely on sunlight, river water, and the reuse of waste heat generated by the manufacturing processes. This not only helps to reduce the CO2 footprint but also pays off economically. Operating costs are significantly reduced, heating and cooling costs by 75 and 65 percent respectively, energy demand for ventilation by 75 kilowatts per hour, and electricity consumption for lighting by 50 percent. 

CERATIZIT Bulgaria supplies customised and standard solutions in the field of cutting tools and hard material solutions for many industries such as aerospace, electronics industry, power engineering, automotive industry, mechanical engineering, and medical industry. The main technologies at Plansee MW Gabrovo are mechanical processing, surface treatment and coating of components made of molybdenum and tungsten. The products manufactured there are used in the semiconductor, lighting, and medical industry.

Plansee MW is also modernising its production areas. Behind the “Hexenküche” (Witches’ Kitchen) project lies the refurbishment of a factory hall in which base plates for semiconductor production are finished. Production is scheduled to start on three levels by the end of the year. The plant includes a new coating line, a surface treatment line and clean and final inspection rooms.  The Gabrovo site is an integral part of the Plansee Group, as is the city itself. To become the employer of choice in Gabrovo and raise awareness of CERATIZIT and Plansee, the company has decided to sponsor the FC Yantra football club. The traditional club from Gabrovo currently plays in the second Bulgarian football league and has ambitious goals. From now on, the logos of Plansee MW and CERATIZIT Bulgaria will not only be emblazoned on the scoreboards and tickets but also directly on the players’ jerseys. “This way, all the fans in the stadium can see that we feel to be part of the city and the region,” says Robert Schranzhofer. “We have seen that this campaign has already increased interest, which is also visible in social media and has a very positive effect on the image of the two companies,” adds Georgi Petrov.

This article first appeared in the October 2023 Living Metals, "How we strengthen our strengths together" and has been slightly adapted.