IAG starts production of armored vehicles in Bulgaria to strengthen European defense industry capabilities.

As reported by BNR.BG on March 25, 2025, the International Armored Group (IAG) officially commenced production of armored vehicles at its newly opened plant in Burgas, a coastal city on the Black Sea. This milestone marks the operational start of IAG’s first production facility in Bulgaria, inaugurated during an official ceremony in October 2024. The site spans 150,000 square meters and is the result of an investment exceeding BGN 20 million. The facility was constructed by Glavbolgarstroy Plovdiv and will serve global markets with military vehicles built to NATO standards. Initial production activities are being carried out by 50 newly hired Bulgarian specialists, with the workforce expected to grow to at least 300.
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In parallel with vehicle production, the Burgas plant is engaged in the development of a new generation of military systems in cooperation with Bulgarian entities. (Picture source: IAG)

At the core of the Burgas plant’s mission is the close integration between IAG and Bulgarian partners. The company has partnered with domestic defense industry firms and research organizations, including the Tsvetan Lazarov Defense Institute, the G. S. Rakovski Military Academy, and the Vasil Levski National University. These collaborations span technical development, research, and training efforts. Bulgarian participation in the production process is significant, with local units accounting for approximately 65% of the components used in high-tech rescue and reconnaissance drones. Local specialists are working alongside engineers and technicians from IAG’s other global facilities, which include sites in the United States, Canada, the United Arab Emirates, Türkiye, and the United Kingdom.

The first vehicle now rolling off the Burgas production line is the Guardian Xtreme MRAP, a Mine-Resistant Ambush Protected vehicle developed for tactical, combat, and observation missions. IAG has confirmed that this model meets STANAG Level 2A, 2B, and 3A standards for blast and ballistic protection. It accommodates up to ten personnel and offers customizable interior layouts, optional turret mounting systems, and built-in run-flat tires. The Guardian Xtreme is available in both left-hand and right-hand drive variants and is powered by a selection of high-performance engines ranging from V8 petrol and diesel to V10 petrol configurations.

In parallel with vehicle production, the Burgas plant is engaged in the development of a new generation of military systems in cooperation with Bulgarian entities. These include 120mm, 82mm, and 81mm self-propelled mortars, a 107mm multiple launch rocket system, armored vehicles equipped with anti-tank guided weapons, and a broad array of reconnaissance vehicles. The facility will also manufacture military evacuation cranes, light patrol vehicles, and eventually wheeled and tracked robotic systems, including those incorporating artificial intelligence. IAG has expressed commitment to advancing its work on robotic systems and AI through extensive collaboration with Bulgarian partners.

Despite the progress, IAG has identified bureaucratic challenges that may affect operations. The company flagged the slow pace of issuing import and export permits as a hindrance to timely delivery and international collaboration. IAG’s CEO, Anton Stefov, emphasized the strategic importance of Bulgaria in the European defense landscape, arguing that the development of a modern defense industry should be viewed not as an expense, but as an investment in national and economic security. Stefov also confirmed IAG’s active involvement in the European Defence Industrial Programme (EDIP), aimed at bolstering the EU’s defense industry capabilities.

Since its founding in 1993, IAG has evolved into a global armored vehicle manufacturer with extensive experience in design, engineering, and prototyping. Over the years, it has introduced technologies such as CNC laser cutting, robotic welding, and ballistic glass production. Its product portfolio includes a wide range of armored solutions, from personnel carriers and tactical rescue vehicles to VIP protection SUVs and specialized medical evacuation platforms. IAG is known for its vertical integration model, enabling in-house production of armored components and offering custom modifications like 4x4 to 6x6 conversions, left-to-right hand drive conversions, and specialized fabrication for vehicle-specific equipment.

The Guardian Xtreme MRAP, now under serial production in Burgas, is only one example of IAG’s broader armored vehicle lineup. The company also manufactures the Rila 8x8 Infantry Fighting Vehicle, Jaws APC, Sentinel Tactical Response Vehicles, and a variety of armored SUVs certified under VPAM ballistic standards. These platforms are currently in service with NATO forces, government agencies, and international clients operating in high-risk environments.

With the Burgas plant now operational, Bulgaria strengthens its role in the global supply chain for armored vehicles and defense systems. The collaboration between IAG and Bulgarian partners reflects a broader strategic shift toward local production, technological development, and defense innovation aligned with NATO and EU requirements. The Burgas facility, already producing for international markets, positions Bulgaria as a potential future center for advanced armored vehicle manufacturing in Europe.