“Latin America is geographically far away from us. Nevertheless, it is worth taking a closer look at the markets between Patagonia in the south and the Rio Grande in the north. We are talking about countries that are culturally and economically close to us and in which 600 million people live, around eight percent of the world’s population. Quality and know-how from Austria enjoy an excellent reputation here – from green tech to tourism to infrastructure. At the same time, countries like Chile, Argentina and Brazil are very exciting partners for Europe when it comes to the supply of raw materials,” emphasized WKÖ Vice President Philipp Gady on Latin America Day 2024 in the WKÖ.
Latin America is proving to be an increasingly interesting market for Austria’s export industry: last year, exports of goods reached 3.96 billion euros for the first time, reaching the 4 billion euro mark. In the first half of 2024, the high level of the previous year was maintained despite a slight decline (-1.4%). Exports to Brazil even increased sharply by 6 percent – contrary to the global trend.
According to the analysis by AUSSENWIRTSCHAFT AUSTRIA, the potential for Austria’s export companies extends across all sectors: “Austria’s areas of strength – such as environmental technologies, sustainable energy production, industrial modernization and automation, technologies for agriculture and forestry as well as food production – largely cover the needs in the region,” said Gady.
The red-white-red Latin American exports currently make up around two percent of total domestic exports. Analyzes by the International Trade Center (ITC) show that domestic companies in Latin American countries have additional usable export potential of around 2.8 billion US dollars.
Currently, around 370 Austrian companies have a total of more than 660 branches in Latin America, the WKÖ’s AUSSENWIRTSCHAFT AUSTRIA locations in Mexico City, Bogota, Sao Paolo, Rio de Janeiro, Buenos Aires and Santiago de Chile advise and support around 1,200 Austrian companies locally.
The strategic importance of Latin America has increased for Europe in recent years: closer cooperation between Europe and Latin America would open up the possibility of reducing dependencies on China – for example for raw materials or intermediate products. Especially with a view to the green transition, EU countries need access to important raw materials such as lithium, niobium or silicon metal. Here Latin America plays a crucial role on the world markets: almost two thirds of the world’s lithium reserves are in South America, but the region is also an important supplier of other essential minerals and precious metals.
There is also another area for partnerships with skilled workers: Brazil, with its potential workforce in areas such as gastronomy and tourism, nursing or IT, is one of the focus countries of the WKÖ initiative “International Skilled Workers Offensive”: www.wko.at/fachkraefte/internationale-fachkraefte-offensive
More than 400 participants from Austria and over 20 Latin American countries are expected at the WKÖ’s Latin America Day. The event will take place hybrid from October 21, 2024. WKÖ member companies have, among other things, the opportunity for personal consultation with WKÖ business delegates from Mexico, Brazil, Chile, Argentina and Colombia.
Further information at: https://www.latinamericaday.at/
The event takes place as part of the internationalization offensive go-internationala joint initiative of the Federal Ministry of Labor and Economic Affairs and the Austrian Chamber of Commerce.
The current podcasts and vodcasts from “LOOKAUT AUSSENWIRTSCHAFT” with the communications and marketing manager of the WKÖ, Eva Weissenberger, address developments, opportunities and potential in Latin America: https://lookaut.tv/ (PWK379/ST)