Lithuania has several industries which have a high contribution to the Gross Domestic Product (GDP), however, the most important one is the manufacturing sector. Recent surveys have revealed Lithuania as one of the most attractive countries in the world when it comes to the establishment of a business in the manufacturing industry.
The manufacturing of machinery and equipment is one of the top economic sectors in Lithuania and those who want to open companies in this field here will discover plenty of opportunities and one of the most qualified workforces in Europe in this domain.
Our company formation consultants in Lithuania can help foreign investors who want to register companies in the field of manufacturing machinery and equipment.
How to register a manufacturing business in Lithuania
Those who want to operate in the manufacturing of machinery and equipment sector in Lithuania must comply with the requirements of the Company Law, first of all. Under the law, a local or foreign entrepreneur must first register a business with the Trade Register prior to starting activities of manufacturing machinery and equipment in Lithuania.
The following conditions must be respected when opening a Lithuanian company for manufacturing machinery and equipment:
- – a trading name for the Lithuanian company must be selected (the name must be unique);
- – the documents related to company incorporation must be drafted and notarized by a public notary;
- – information about the shareholders and company directors must be provided to the Trade Register;
- – the company must obtain a tax identification number and must also register for VAT;
- – the company must register with the social security system as any other Lithuanian employer.
Once registered, the company must comply with the environmental regulations imposed by the Lithuanian authorities. Also, companies are required to comply with the regulations imposed by the Engineering Industries Association.
As a recommendation, a business for manufacturing machinery and equipment can operate under optimum conditions as a limited liability company in Lithuania. The minimum share capital for a private company is 2,500 euros.
You can rely on our company registration specialists in Lithuania for assistance in registering a company for manufacturing machinery and equipment.
The main branches of the manufacturing industry in Lithuania
Manufacturing is one of the most important industries in Lithuania, however, the activities which can be completed are quite diverse. Those who want to open companies in the industrial branch of the manufacturing sector can consider the following:
- metal processing is one of the most important parts of the manufacturing sector in Lithuania;
- plastic processing is another field which has expanded a lot during the last few years in this country;
- machinery and equipment is part of the manufacturing sector and they are created with the help of advanced technological processes;
- engineering plays a key role in the manufacturing sector in Lithuania and is the core of this industry;
- electrotechnical and electronics are the two other important branches of the manufacturing sector.
Among the procedures Lithuanian companies in the manufacturing of machinery and equipment use, casting, forging, welding, surface coating and treatment, plastic deformation and machining are the most important. These procedures are completed with the help of high-tech machinery.
Most companies manufacturing machinery and equipment in Lithuania use high-quality environmental management systems in order to reduce pollution.
Our company formation specialists in Lithuania can offer more information on the regulations to be respected by businesses in this country.
Lithuania in international surveys for manufacturing machinery and equipment
As mentioned in the beginning, Lithuania ranks very high in various surveys and reports related to the manufacturing of machinery and equipment. Among the most notable results, we mention the following:
- – Lithuania ranks second in the world when it comes to attracting talented workforce in the manufacturing sector;
- – Lithuania also ranks second among all the manufacturers in the world, according to the Manufacturing Risk Index 2018;
- – Lithuania is also the 14th most business-friendly country in the world, according to the World Bank.
The manufacturing of machinery and equipment sector in Lithuania represents 7.1% of the country’s GDP.
If you are interested in setting up a business for manufacturing machinery and equipment in Lithuania, please contact our company registration representatives for assistance.