(Finance) – According to Eurostat data, the Germany is the first country by number of foreign companies in Italy, with 15.7% of the total subsidiaries, and the third for turnover generated (16.1% of the total turnover produced by foreign subsidiaries in our country). There are 1,712 German companies present in Italy, with a turnover of approx 96 billion And 193,000 employed. From 2010 to 2019, the number of German-controlled companies decreased, albeit with a less marked decline than the average of foreign subsidiaries in Italy (respectively -0.8% and -1.7% on an annual average). During the same period, however, the check German recorded an increase both in turnover (+3.3% annual average) and in the number of employees (+39,000 units).
The Studies and Research Department of Intesa Sanpaolo has made, for the Italian-German Chamber of Commerce (AHK Italien), a study of German direct investment in Italy. In the period 2019-2021, among the foreign-controlled companies, the German ones recorded a growth in turnover (+7.6%) second only to that of the US subsidiaries (+8%), compared to an average of +6.3 % of foreign multinationals active in our country.
Germany is also the first country for investments Greenfield in Italy: this type of operation represents 69% of German FDI and 21% of total foreign investment. The German subsidiaries also stand out for their high and growing profitability, with a ROE of 11.3 in 2021, and a concentration of patents in the automotive and pharmaceutical sectors.
German-controlled companies are mainly active in the trade (54.7% of the total by turnover and 45.2% by number of companies) and in the sector manufacturing (28.7% by turnover and 26.5% by number of enterprises). The sectoral breakdown of employees of the German subsidiaries in Italy is concentrated in mechanics (24.1%) and automotive (21.5%); followed by metallurgy (7.4%) and the pharmaceutical industry (6.7%).
The distribution a level territorialhowever, sees the Lombardy as the main destination of German FDI: almost half (47.4%) of German-controlled companies are based in the region, a percentage that stands at 43.8% in the case of manufacturing. The presence of German companies is also significant in Trentino-Alto Adige (13.8%), Veneto (10.2%), Emilia-Romagna (7.4%) and Piedmont (6.6%).
“Germany is not only our first commercial partner. German investments in Italy take the form of a productive ecosystem that generates value and growth for the whole country system”, he declared Jörg Buck, Managing Director AHK Italien. “German companies active in Italy are strongly integrated in the key sectors which continue to fuel bilateral economic relations. The German subsidiaries find in our country a productive fabric rich in excellence and reality with an export vocation traditionally linked to the German market”.