Austria - Market Overview
Table of content
Source: Statistics Canada
2017 Trade and Investment between Austria and Canada (C$, Millions)
|Trade and Investment||(C$, Millions)|
|Canadian Merchandise Exports to Austria||$346.60|
|Canadian Merchandise Imports from Austria||$1,895.00|
|Canadian Service Exports to Austria, 2017||$231.00|
|Canadian Service Imports from Austria, 2017||$340.00|
|Austrian Direct Investment in Canada||$859.00|
|Canadian Direct Investment in Austria||$2,958.00|
Why Austria Matters
- Austria is Canada’s 16th largest destination in the EU for merchandise exports.Footnote 1
- Austria is the 8th largest economy in the EU, with a Real GDP per capita higher than Germany.Footnote 2
- Austria is a wealthy, stable and secure democracy located in the centre of Europe. It is renowned for its high quality of life, with Vienna currently topping Mercer’s Quality of Living Survey. Austria’s Gross Domestic Product (GDP) per capita is among the highest in the European Union (EU).
- Austria’s economy is export-oriented, with an export rate of 55.7 percent in 2019 (export of goods and services over GDP) compared to an average of 43.4 percent in the EU.Footnote 3
- Austrian industry has a large number of small and medium-sized enterprises characterised by high productivity, sustained innovation, and engineering excellence.
- Austria’s leading industrial sectors are the chemical and automotive industries, mechanical engineering, electronics, life sciences and environmental technology.
How to export to Austria
Read the guide Exporting to the EU.
Sectoral Opportunities in Austria
Austria’s automotive industry (€ 25.5 billion production volume, 90% exports) is very closely intertwined with the German OEMs and hence a natural extension for Canadian suppliers. Opportunities exist predominantly in CASE mobility (connected, autonomous, shared, electric) as well as hydrogen/fuel cells (the latter are addressed in the Cleantech action plan). STI partnerships figure prominently in the potential cooperation between Austria and Canada, with delegations in both directions and outcomes in the form of OPs and most recently a $1 million agreement between University of Waterloo and AVL. Challenges: lack of awareness of Canadian leadership in AutoTech due to the lack of a Canadian OEM, uncertainty caused by NAFTA/CUSMA negotiations.
Austria is a world leader in renewable energy sources (RES). The share of creditable RES amounted to 32.6 % in 2017 (EU Renewables Directive 2019), where Austria rounds out the top 5, and has a 2020 target of 34 %. Key opportunities for Canadian companies are in hydrogen/fuel cells (for automotive & transportation), energy storage and smart grid technologies. Challenges: lack of local awareness of Canadian excellence in Cleantech, requirement of project development for complex solutions, lack of domestic market can be a credibility challenge.
Information and communications technology (ICT)
Austria has a strong ICT market with a strong demand for international products and services across all segments. Canadian companies find major opportunities selling products and services related to Big Data and Analytics and Artificial Intelligence, IoT and Telecommunications Equipment, Software and Services, Digitalisation and cyber security. Innovation, S&T partnerships and investment attraction are also critical in this sector and require relationship building over several years to yield results. Regarding innovation, the most important Austrian stakeholder is Infineon. Challenges for Canadian ICT companies include compliance with the numerous European directives and regulations, and committing to long-term in-country customer service, as often required by Austrian clients.
Within Europe, Austria is leading the way in the design and construction of sustainable and highly energy-efficient buildings. Austrian companies have been investing in the Canadian infrastructure sector and there are opportunities for technology transfer. Building standards in Austria are set very high, so Canadian companies wishing to do business in this sector must adapt their products and services.
For more information on trade and investment opportunities in Austria, contact your Trade Commissioner in Vienna, Austria.
- Footnote 1
- Footnote 2
- Footnote 3
Austrian Federal Economic Chamber, Export- und Importquoten Stand 2019: http://wko.at/statistik/eu/europa-exportquoten.pdf
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