Italy

Economic Data

Italian situation

Italian situation

2017

2018 (provisional data)

2019 (prediction)

rate of GDP growth at constant prices

1,6%

1,1 %

1,2 %

PIB/capita (in Eur)

26.427

26.554

26.833

Unemployment (%)

11,3% (ISTAT)

10,5% (ISTAT)

10.2% (ISTAT)

Balanced budget

 

+ 1,6%

+ 1,2%

 

GDP of nations

Italy represents the 9th world power with a GDP of €1727 billion (at current prices) / $1.937 billion.
Italy is one of the largest economies in Europe and constitutes a priority strategic market for all German companies.

In billions of dollars

 In billions of dollars2017-18

USA

19.390

China

12.014

Japan

4872

Germany

3684

Great Britain

2624

India

2622

France

2583

Brazil

2054

Italy

1937

Canada

1652

South Korea

1538

Russia

1527

Australia

1379

Spain

1313

 

GDP and GNP per capita in Europe

 Italy recorded a GDP per capita equal to €26.427 in 2017.

Italy has a per capita income of 96 compared to the European average 2017, slight decline since 2016.
The differential is mixed for Italy, from -4% in deficit in relation to the European averageDespite a substantially lower average than the Europe’s, Household consumption still recorded a moderate increase, partly supported by a substantial reduction in the saving trend. 

GNP per capita (in PPA)
European average bases 100

2016

2017

Luxembourg

260

253

Ireland

177

181

Netherlands

128

128

Austria

128

127

Denmark

126

128

Germany

123

124

Suede

122

121

Belgium

118

117

Finland

109

109

Great Britain

107

105

France

104

104

Italy

97

96

Spain

91

92

Source: Elaboration data Eurostat
(https://ec.europa.eu/eurostat/tgm/table.do?tab=table&init=1&language=en&pcode=tec00114&plugin=1)

Industrial production

In 2015, the share of industrial production in GNP was 15,8 %in Italy.
In the first 10 months of 2018, industrial production recorded an increase of 1.7% compared to the previous year in Italy. 

Share of industry in gross value added

2015

Germany

22,8

Japan

18,7

European Union

15,8

Italy

15,8

USA

12,3

France

11,2

Great Britain

9,8

Growth in Italy’s industrial production rose from -3.0% in 2013 to 3.6% in 2017 and is expected to decrease in 2018/2019.

 Global market share

Small nation, Italy represents 2.9% of world market share and recorded a growth of +9.6% against 3% for France with a growth of 6.7%.

 Top 10 2017 Exporters of goods by country:
1- China:                         12,8 % of UCP, + 7,9 % of UCP 2016;
2- USA :                             8,7 % of UCP, + 6,6 %;
3- Germany :                    8,2 % of UCP, + 8,5 %;
4- Japan :                         3,9 % of UCP, + 8,3 %;
5- Netherlands:               3,7 % of UCP, + 14,1 % ;
6- South Korea :              3,2 % of UCP, +15,8 % ;
7- Hong-Kong China      3,1 % of UCP, +6,5 %  (part of the re-exportations 96,7 %) ;
8- France :                       3 % of UCP, + 6,7 % ;
9- Italy :                           2,9 % of UCP, + 9,6 %;
10-Great Britain :           2,5 % of UCP, + 8,6 %.

Source : Le Moci 2018 (https://www.lemoci.com/actualites/actualites/commerce-mondial-la-france-8eme-exportateur-de-biens-4eme-pour-les-services/)

Top 10 2017 exporters of commercial services:
1- USA :                         14,5 % of UCP, + 3,8 % of UCP 2016 ;
2- Great Britain :            6,7 % of UCP, + 4,9 %;
3-Gremany :                   5,6 % of UCP, + 7,0 %;
4- France :                      4,7 % of UCP, + 5,5 %;
5- China :                        4,3 % of UCP, + 8,7 % ;
6- Netherlands :            4,1 % of UCP, +15,6 % ;
7- Ireland :                      3,5 % of UCP, +19,6 %  (part of the re-exportations 96,7 %) ;
8- Japan :                       3,4 % of UCP, + 6,7 % ;
9- India :                         3,4 % of UCP, + 11,0 % ;
10-Singapore :              3,1 % of UCP, + 4,3 %.

In export of commercial services, Italy has seen a strong increase last year, by winning the 14th position (+10,4 %) which shows a renewed dynamism.

Export goods - 2017 World comparison

In 2017, China is by far the world’s largest exporter with $2.263 Billion (a slightly reduction than in 2015 where she recorded $2,275 billion.
It is followed by the USA with $1.547 billion;
Both are large countries at the territorial level and in terms of the number of habitants.
Italy, average nation in surface area and population, remains on the podium as the world’s 9th largest exporter with $506 billion against $535 billion for France placing it in 8th place in the world.

The percentage of exports of goods and services relative to Italy’s GDP is 31,7% in 2017 (with projected growth of 29.2% in 2019).

Global exports in billions of dollars

2017

China

2263

USA

1547

Germany

1448

Japan

698

Netherlands

652

South Korea

574

Hong Kong

550

France

535

Italy

506

Great Britain

445

Belgium

430

Canada

421

 

Goods import - Global comparison

 The world’s largest importers in 2017 are

  • USA 2409 billion dollars
  • China 1842 billion dollars

The Italian market represent an opportunity Immediately bordering that German companies must absolutely try to value.
Italy is a very outward oriented country, 11th exporting country in the world, with a strong tendency towards an open economy. This opening makes us compete with the whole world and that it can only be achieved through strategic reflection particularly adapted to local reality

 

Percentage of imports of goods and services relative to Italy’s GDP is 28.3%in 2017 (with projected growth of 29.2% in 2019).

 

The largest importers
in billions of dollars

2017

USA

2409

China

1842

Germany

1167

Japan

672

Great Britain

644

France

625

Hong Kong

590

Netherlands

574

South Korea

478

Italy

453

India

447

Canada

442

 

Italian trade balance

A positive surplus: €47,5 Billion in 2017 (against 49,6 in 2016). 

The 2017 surplus is the 3rd largest in the European Union, that follows that German with €249 Billion, and Dutch with €70 billion.
In 2017, exports of goods and services from Italy represented 31.3% of GDP against 28.9% in 2014 (and 31.8% GPD’s estimated in 2018).
Its imports reach 28.3% of GDP in 2017 (against 26,6 % in 2013), which shows a consequent opening.

International trade of Italy (in Billion)

Export

Import

Surplus

2018 (January-October)

385.846

353.581

32.265

2017 (January-October)

371.706

333.813

37.893

2017

449.129

401.487

47.642

2016

417.269

367.626

49.643

2015

412.291

370.484

41.807

2014

398.870

356.939

41.932

2013

390.233

361.002

29.230

2012

390.182

380.292

9.890

2011

375.904

401.428

-25.524

2010

337.346

367.390

-30.044

2009

291.733

297.609

-5.876

2008

369.016

382.050

-13.035

Source : Database MISE (https://www.sviluppoeconomico.gov.it/images/stories/commercio_internazionale/osservatorio_commercio_internazionale/schede_paese/europa/Italia_27_12_2018.pdf) et (https://www.sviluppoeconomico.gov.it/images/stories/commercio_internazionale/osservatorio_commercio_internazionale/statistiche_import_export/completo.pdf)

 Balance of service

Usually, we focus on the trade balance
Services also represent a significant volume of trade

Exportations:

  • USA 762 billion dollars
  • Great Britain 354 billion dollars
  • Germany 296 billion dollars
  • France 249 billion dollars

Balance of services in 2017
in billion of dollars

 Export

Import

USA

762

516

Great Britain

354

218

Germany

296

319

France

249

244

China

226

464

Netherlands

216

211

Ireland

182

196

Japan

180

189

 

Distribution of Italian GDP

Italy is a predominantly service economy: almost 74% of GDP is constituted of services including in sectors:

  • - Financial services 
  • Trade
  • Tourism
  • Construct- Transport and TelecoLarge international groups in these sectors are Italian (Unicredit, TIM Telecom Italia)

Compared to other branches of the national economy, industry is also an important part with almost 13% of GDP. The manufacturing industry in Italy is glowing in sectors of:

  • Machines and equipment
  •  Automation
  •  Luxury industry
  • Automotive, Aerospace
  • Textile
  • Clothing and shoes

Some major international groups in these sectors: Prada, Maserati, Luxottica

 Another important part of the country’s economy is constituted by the sector» which worth for nearly 13% of GDP any sectors confused between:

  • Agricultural production of fruit and vegetables
  • Food processing and manufacturing
  •  Production of wines and spirits
  • Dairy products
  • Olive oil

Some major international groups in these sectors: Barilla, Ferrero, Campari, Lavazza…  « Made in Italy » have an importance at the marketing level for these products.

 Italian export range

Sectors (January-September 2018)
(Classification ATECO 2007 2-digit)

Turnover
in million Euros

% On the total export Italy

Machines and Equipment

59.758

17,5

Vehicles and (semi)trailer

28.163

8,2

Chemicals

23.122

6,8

Fabricated metal products

21.794

6,4

Food products

18.872

5,5

Source: directory 2018 – ISTAT and Agenzia ICE