Local Time in Germany: Print

Chapter 4: Leading Sectors for U.S. Export and Investment

Exchange Rates

Exchanges rates used throughout this chapter unless otherwise stated:

Year

EUR 1 = USD

2012

1.28

2013

1.33

2014

1.33

2015

1.33

Advanced Materials

Overview

Unit: USD thousand

USD Million

2013

2014

2015 (estimated)

Industrial Chemicals (Germany)

244,400

252,415

254,336

Plastic Materials Processing (Germany)

74,750

78,382

79,896

Composites
(Europe, Germany is major supplier)

35,100

37,198

39,948

Advanced materials are the basis for new products and are vital for innovation in fields such as: Aerospace; automotive; construction; life sciences; electronics; and energy. In 2014, German firms received EUR 58 million (USD 77.5 million) EU funding to foster materials research (incl. appropriate processing machinery). U.S. manufacturers of innovative materials, mostly SMEs, have best prospects in the German market. As a country with a strong scientific and research portfolio, Germany offers a variety of business opportunities ranging from research partnerships to OEM partnerships to the traditional distributor. CS Germany can help find such partners, assist in identifying clusters, inform about funding; or can assist in locating the right partner to jointly develop niche markets.

Sub-Sector Best Prospects

Industrial Chemicals (ICH): In 2014, the German chemicals industry achieved annual sales of EUR 191 billion (USD 252 billion). The industry expects a growth rate of 1.5% for 2015. In 2014, Germany imported U.S. chemical/pharmaceutical substances valued at EUR 11 billion (USD 14.6 billion).

Plastics Materials (PMR): The German plastics processing industry achieved annual sales of EUR 59 billion (USD 78.3 billion) in 2014, increasing by 5.8% over the previous year. Two thirds of Europe’s plastics demand is concentrated in five countries led by Germany. U.S. plastics exports (plastics products included) to Germany amounted to over EUR 1 billion (USD 1.15 billion), an increase of 6.3% growth over 2009-2013. Shale gas is expected to further increase U.S. plastics exports.

Composites (CPS): In 2013, U.S. companies ranked first globally by achieving annual sales of EUR 29 billion (USD 35 billion), followed by European companies with EUR 27 billon or USD 35 billion (likely EUR 30 billion/USD 39 billion by 2015) and a growth rate of 6%. Germany is the largest composites market in Europe.

High performance ceramics (CRM): Key material for several industries including energy storage; chip production (miniaturization); automotive; solar; wind (and other) turbines; aerospace (e.g. Space Shuttle; optics; superconductors). Germany is Europe’s leading market.

Web Resources

Trade Fairs

Chemicals:
European Coatings Show: www.european-coatings-show.de
CphI: www.cphi.com

Plastics:
K’ Show: www.k-online.de
Fakuma: www.fakuma-messe.de/en/fakuma

Composites:
Composites Europe: www.composites-europe.com/startseite_1.html?sprache=englisch

Ceramics:
Ceramitec: www.ceramitec.de/en/home

Associations:
Chemical Industry Association: www.vci.de
PlasticsEurope: www.plasticseurope.org (Association of European Plastics Manufacturers)
AVK: www.avk-tv.de (Association of Reinforced Plastics/Composites)
German Ceramic Society: www.dkg.de/en

Commercial Service Contact:
kirsten.hentschel@trade.gov

Aerospace

Overview

Unit: USD billion

 

2013

2014

2015 (estimated)

Total Market Size

45.2

47.7

49.1

Total Local Production

40.6

42.6

44.7

Total Exports

24.4

25.6

26.9

Total Imports

29.0

30.7

31.3

Imports from the U.S.

3.9

3.3

4.0

U.S. aerospace manufacturers produce the highest trade surplus, year after year, of all manufacturing sectors. In 2014, U.S. aerospace exports to Germany amounted to USD 6.5 billion. According to Census: civilian aircraft, engines, and parts USD 6.39 billion; parts of balloons, aircraft, spacecraft USD 135 million; aircraft launch gear USD 5.9 million. The trade surplus was USD 3 billion, the tenth-highest. There is a notable difference, however, between the Census data (USD 6.5 billion or €4.9 billion in 2014) and the European customs data in the table above (EUR 2.5 billion in 2014). This might be due to a different basis of calculation, also including those U.S.-made aerospace parts that arrived in Germany as part of larger foreign-made assemblies (e.g., from the UK).

  • Germany hosts the world’s third-largest trade show for aerospace & defense (ILA Berlin Air Show), the world’s largest trade show for aircraft cabin interiors (Aircraft Interiors Expo / AIX) and Europe’s largest trade show for general aviation (AERO), making it an ideal platform for U.S. companies to meet with their global partners and buyers.
  • Germany has the second-largest aerospace market in Europe, with 2014 revenues of €32.11 billion, following France at €50.7 billion. The sub-sector market sizes in € billion according to the German Aerospace Industries Association (BDLI): aerospace & space systems 19.99; propulsion systems 5.99; equipment 7.11; material technologies 1.09.
  • Aerospace is a German Government priority. The Federal Ministry of Economic Affairs and Energy (BMWi) lists aerospace as a key industry with high growth rates and a strong industrial core in Germany. According to BMWi’s “Aerospace Strategy” from March 2014, the aerospace sector is of particular importance for Germany as an industrial country both technologically and economically. Hence, in December 2012, Germany increased its voting rights in the Airbus Group to 11%, while France reduced its own to the same level.

Web Resources

Trade Fairs

AIRTEC, November 3-5, 2015, Munich www.airtec.aero
Aircraft Interiors Expo, April 5-7, 2016, Hamburg www.aircraftinteriorsexpo.com
AERO, April 20-23, 2016, Friedrichshafen www.aero-expo.com
ILA Berlin Air Show, May 31 to June 5, 2016, Berlin-Schonefeld www.ila-berlin.de

Associations
German Aerospace Industries Association BDLI – www.bdli.de
Hanse-Aerospace www.hanse-aerospace.net
ALROUND – Association connecting aerospace-oriented SMEs www.alround.de
German Airport Technology & Equipment GATE – www.gate-alliance.de

Government Entities

Federal Office of Equipment, Information Technology & In-Service Support BAAINBw – www.baainbw.de

Publications
Flugrevue / Flight Review, Motor Presse Stuttgart www.flugrevue.de
airliners.de www.airliners.de

Commercial Service Contact:
moritz.holst@trade.gov

Agricultural Machinery

Overview

Unit: USD billion

 

2013

2014

2015 (estimated)

Total Sales ( machinery & tractors)

11.3

10.21

9.45

Total local production

(machinery & tractors)

3.00

2.88

n/a

Total Exports

8.13

7.33

n/a

Total Imports

4.37

4.41

n/a

Imports from the U.S.

0.274

0.293

n/a

Exports of U.S. made agricultural equipment globally reached USD 8.51 billion in 2014, a 29.2 % drop compared to 2013. All world regions recorded declines in the double-digits except Central America. Agribusiness has been designated by ITA has an NEI priority sector, engaging all facets of ITA.

U.S. agricultural equipment exports to Germany amounted to USD 292.8 million. Germany ranks sixth as a destination for U.S. farm equipment exports, after Canada, Mexico, Australia, and Brazil, and China (and before South Africa, France, Russia, and the U.K.).

Germany and the United States are the world’s #1 and #2 exporters as well as the # 1 (USA) and # 3 (Germany) importers of agricultural machinery and tractors. Germany accounts for 18.2 % and the U.S. for 16.8% of the total worldwide exports of the agricultural machinery and tractors in 2014.

The German agricultural machinery and equipment industry ranks among the country‘s top ten M&E sectors and generated a turnover of USD 10.21 billion, which is 8% below the record year 2013, but still better than the development in the region. The industry‘s 31,800 employees produced more than 28 % of agricultural machinery and equipment components manufactured in Europe.

VDMA foresees a further decrease in 2015 because of the weakness in the traditionally major export markets United States and Russia.

Taking place in odd years and with almost 3,000 exhibitors and nearly half a million visitors, Agritechnica is the world’s largest trade show for agricultural machinery and equipment. EuroTier, in even years, is the world’s largest trade show for animal husbandry. The two shows combine to form an ideal platform for U.S. companies to meet with their global partners and buyers. Agritechnica in particular has proven to be a show where U.S. exhibitors have successfully found buyers from Europe, the Middle East and Asia.

Web Resources

VDMA Press release http://lt.vdma.org/article/-/articleview/6809403
VDMA Mechanical engineering - figures and charts 2014 www.vdma.org/documents/105628/0/Maschinenbau%20in%20Zahl%20und%20Bild%202014.pdf/267e33e3-985f-4c7b-833d-9b97bcd8e288
AEM Association of Equipment Manufacturers www.aem.org/News/Newsroom/Releases/

Trade Fair:
Agritechnica, November 8–14, 2015 www.agritechnica.com

Associations:
VDMA German Engineering Association: Agricultural Machinery http://lt.vdma.org/
DLG German Agricultural Society www.dlg.org/home-en.html

Government Entities:
Federal Ministry of Food and Agriculture www.bmel.de/EN/Homepage/homepage_node.html

Publications:
VDMA agricultural machinery - annual economic report 2014 – PDF available on demand
Yearbook of Agricultural engineering www.jahrbuch-agrartechnik.de/index.php/home-en.html

Commercial Service Contact:
bettina.capurro@trade.gov

Automotive

Overview

Unit: USD thousand

German Automotive Industry

2013

2014

Change in %

Total Revenues by German Industry (in USD million)

480,177

488,817

+1.8

Domestic Sales (excl. VAT)

168,582

174,286

+3.4

Foreign Sales

311,595

314,531

+0.9

Employees (Ø/year)

755,983

774,891

+2.5

* %-change based on original EURO values – inaccuracy due to exchange-rate fluctuations

The automotive industry in Germany is the nation’s largest industry sector and Europe’s number one automotive market (Sales 2014: EUR 384 billion, 5.6 million vehicles). Germany is home to 43 automobile assembly and engine production plants and German manufacturers are continuously expanding upon their foreign production capacities. Today, 21 of the world’s top 100 automotive suppliers are German companies. Strategic alliances between OEMs and suppliers will grow in importance and offer significant growth potential. Opportunities exist for innovative U.S. OE-suppliers, especially due to the importance of the U.S. market for German OEMs, which generated more than EUR 200 billion in revenues abroad in 2013. Aftermarket opportunities are limited to innovative products, e.g. telematics, infotainment, connectivity, and safety products as long as they comply with relevant technical (safety) and environmental standards and regulations.

Web Resources

U.S. Commercial Service Automotive & Ground Transportation team on Export.gov
Germany Trade and Invest (GTAI)

Upcoming German Automotive Trade Fairs (selection):
Engine Expo
/Automotive Testing Expo Europe/Automotive Interiors Expo/ Global Automotive Components and Suppliers Expo in Stuttgart (June 16-18, 2015)
International Motor Show Cars (IAA)
in Frankfurt (September 17-27, 2015)
Automechanika Frankfurt
(September 13-16, 2016)
IAA Commercial Vehicle Show
in Hannover (September 22-29, 2016)
International Suppliers Fair (IZB)
Wolfsburg (Fall, 2016)

Associations:
German Garage Equipment Association
(ASA)
German Association of Independent Automotive Aftermarket Distributors
(GVA)
German Association of the Automotive Industry
(VDA)
German Federation for Motor Trades and Repair
(ZDK)
German Federation of Body and Automotive Engineering
(ZKF)

Government Entities:
Federal Ministry of Transport and Digital Infrastructure
(BMVI)
Federal Motor Transport Authority
(KBA)

Publications:
VDA: Annual Report 2014
GTAI Industry Report: The Automotive Industry in Germany
ZDAK – Facts & Figures 2013/14

Commercial Service Contact:
felix.happe@trade.gov

Biotechnology

Overview

Main areas of activity of biotech companies in Germany

 

Share

Health/medicine (incl. animal health)

48.2%

Companies active outside/beyond any specific biotech field

33.0%

Industrial biotechnology

10.2%

Bioinformatics

4.9%

Agriculture

3.7%

Biotechnology (“Biotech”) consists of 5 main segments: bioinformatics, blue biotech for marine and aquatic applications, green for agricultural processes, red for medical processes and white for industrial applications. The United States is the world leader in all.

In 2013, the U.S. biotech industry (2,349 public and private orgs) accounted for USD 71.9 billion; Europe (2,083 orgs), USD 21 billion. Germany is largest European market (700 biotech companies, USD 2.86 billion). U.S. firms recorded a 10% increase from 2012 and in the U.S. market, capitalization grew 65% to USD 791.8 billion (similar trend in Europe). R&D spending rebounded in 2013: biotech companies in North America and Europe raised USD 31.6 billion, a sharp annual increase from USD 28.7 billion and the second highest total since 2003.

Germany’s biotech clusters (aka BioRegions) are Europe’s leading research and development hubs, and important partners for industry/academic R&D and technology transfer. Biotech is a strategic sector in Bavaria, North Rhine-Westphalia and Baden-Wuerttemberg. Some of the largest and most reputed clusters are in the Rhine-Neckar Triangle (Heidelberg), Cologne/Düsseldorf, Berlin/Brandenburg and Munich.

Biotech is a priority for EU and German Governments and is central to Germany’s economic and innovation policy. Biotech action plans focus on diagnostics, therapy and preventive medicine in (bio) medical research and care; and research-based medical technologies in specialized clusters. The U.S. Biotechnology Industry Organization (BIO), affiliated with BIO Deutschland, met with the Federal Ministry for Economic Affairs and Energy and pharmaceutical, biotech trade associations at the ministry in Nov 2014 to discuss the BIO International Convention (June 2015, Philadelphia). Germany’s participation (exhibition and partnering), which the Economics Ministry has supported for many years, is of great importance to both sides.

Web Resources

Trade Fairs
Biotechnica: www.biotechnica.de

Associations
Bio Deutschland: www.biodeutschland.org
VBU, Association of German Biotechnology Companies): www.v-b-u.org

Government Entities

Federal Ministry of Education and Research: www.bmbf.de
Federal Ministry of Health: www.bmg.bund.de
Federal Ministry for Economic Affairs and Energy: www.bmwi.de

Publications
European Biotechnology: www.european-biotechnology-news.com
Transkrip: www.transkript.de
Laborwelt: www.laborwelt.de
BIOspektrum: www.biospektrum.de
BIOforum: www.gitverlag.com
Laborjournal: www.laborjournal.de

Commercial Service Contact:
sabine.winkels@trade.gov

Computer Software & Services

Overview

Unit: USD billion

 

2013

2014

2015 (estimated)

Total Market Size

24.0

25.3

26.8

Information and Communications Technology (ICT) is one of the strongest U.S. export sectors in Germany. “Computer & Electronic Products” was the second largest U.S. export sector with USD 6.8 billion of exports to Germany in 2013 (second only to Transportation Equip, followed by Chemicals and Machinery); according to Census: computers USD 591 million, computer accessories USD 796 million, telecom equipment USD 1.06 billion. Unfortunately, there are no statistics with a focus on U.S. software sales in Germany alone, but analysts estimate that approx. 75% of software products sold in Germany are supplied by U.S. companies. Many U.S. companies have subsidiaries in Germany/Europe.

Germany hosts some of the world’s largest ICT trade shows, making Germany a premier marketplace for U.S. companies to reach their global partners and buyers. We have testimonials from U.S. exhibitors, who found buyers from Europe, Middle East, Africa, Asia and Latin America at CeBIT. Germany also hosts the most important IT security trade fair for central Europe in Nuremberg, it-sa, with a growing number of U.S. companies each year.

ICT in general is a German Government priority. In August 2014, the Federal Cabinet approved the “Digital Agenda 2014-2017,” which is central to Germany’s economic and innovation policy. It will concentrate its actions on digital infrastructure, digital economy, digital workplaces, innovative public administration, digital environments in society, education, research, science, culture and media, cyber security, protection and confidence for society and business, and European and international dimension of the Digital Agenda. Hence, our promotion of innovative American solutions combined with the digital agenda push will spur demand for state-of-the-art software, which will create additional opportunities for U.S. companies in this field.

Web Resources

Trade Fairs
CeBIT – world’s largest and most international computer expo - www.CeBIT.de
it-sa: IT Security Trade Show: www.it-sa.de
conhIT, Healthcare IT: www.conhit.de
IT&Business – IT, CRM and DMS - www.messe-stuttgart.de/en/it-business/

Associations
BITKOM - Federal Association for Information Technology, Telecommunications and New Media www.bitkom.org
BITMI – Federal Association of Small to medium-sized IT companies - www.bitmi.de
Teletrust – IT Security Association Germany - www.teletrust.de
ECO – Association of the German Internet Industry - www.eco.de
NIFIS – National Initiative for Information and Internet Security - www.nifis.de
Cyber Sicherheitsrat Deutschland eV – Cyber Security Council Germany -http://cybersicherheitsrat.de/en/

Government Entities
BSI – Federal Office for Information Security - www.bsi.de
BMWI – Federal Ministry for Economic Affairs and Energy - www.bmwi.de/EN/Topics/technology.html

Publications
Computer Woche – Computer Week - www.computerwoche.de
Computer Reseller News - www.crn.de
Channel Partner - www.channelpartner.de
Heise Online – IT news – www.heise.de

Commercial Service Contact:

doris.groot@trade.gov

Dental Equipment

Overview

Unit: USD billion

 

2013

2014

2015 (estimated)

Total Market

5.85

5.92

5.97

Total Exports

3.6

3.7

3.8

The Dental Equipment (DNT) industry is resilient to crisis and performed well during the recession. It is expected to continue benefitting from favorable demographic trends; improvements in technology and mounting awareness of the importance of oral hygiene. The United States is a technology leader and is competing with Germany in large markets such as China and India. Both the U.S. and Germany have branded for top quality products and innovative technologies and have strong trade ties. Strategically, this is a sector where both the U.S. and Germany claim to be market leaders and the biennial IDS show in Cologne is the stage for the two countries to play muscle, as well as forge further ties in R&D and trade, in view of increasing Chinese competition.

  • U.S. exports to Germany amounted to USD 105 million for dental equipment & supplies, and USD 45.5 million for dental laboratory products in 2013. Over 200 companies are actively exporting, with heavyweights Henry Schein, Danaher Corp. and Dentsply having major market share.
  • Germany is Europe’s largest market for dental equipment. The 200 members of the German Dental Manufacturers Association reported annual sales of USD 5.3 billion in 2012, up 6.3% over previous-year levels. 61% was generated by exports, up 10% over previous-year levels. The major U.S. dental technology supplier Henry Schein has a subsidiary in Germany and is one of the largest distributors in in the German dental market, with annual sales of more than USD 120 million and an estimated 10% market share. Many U.S. dental technology exporters consider the German market the “test lab” for Europe and make it the first stop for European rollout.
  • Germany hosts the world’s largest dental trade show, biennial IDS (3/2015, Cologne), with 200 U.S. exhibitors in two USA Pavilions and independent exhibits. The number has remained solid over the past ten years with roughly 15-20% newcomers at every show.

Web Resources

Trade Fairs
IDS: www.ids.de

Associations
VDDI (Association of German Dental Manufacturers): www.vddi.de
DGZMK (German Society of Dental, Oral & Craniomandibular Sciences): www.dgzmk.de
FVDZ (Free Association of German Dentists): www.fvdz.de
PZVD (Union of Privately Working Dentists): www.pzvd.de
BNZ (German Society of Naturopathic Working Dentists): www.bnz.de
DGKFO (German Association of Orthodontists): www.dgkfo.de
KZBV (National Organization of Statutory Health Insurance Physicians): www.kzbv.de

Government Entities
BMBF (Federal Ministry of Education and Research): www.bmbf.de
BMG (Federal Ministry of Health): www.bmg.bund.de
BMWI (Federal Ministry for Economic Affairs and Energy):- www.bmwi.de

Publications
Dentalzeitung: www.zwp-online.info
dental dialogue: www.dentaldialogue.de
Dentalbarometer: www.barometer-verlag.de
DZW Die Zahnarzt Woche: www.dzw.de

Commercial Service Contact:
uta.kirst@trade.gov

Information and Communications Technology

Unit: USD billion

 

2013

2014

2015 (estimated)

Software

18,1

19,1

20,2

Consumer Electronics

10,7

10,2

9,9

IT Hardware

21,2

22,5

22,8

Telecommunications Devices

9,3

9,4

9,5

Telecommunications Infrastructure

6,1

6,3

6,5

Overview

Information and Communications Technology (ICT) is one of the strongest U.S. export sectors in Germany. “Computer & Electronic Products” was the second largest U.S. export sector with USD 6.9 billion of exports to Germany in 2014 (second only to Transportation Equip, followed by Chemicals and Machinery); according to Census.

Germany hosts some of the world’s largest ICT trade shows, making Germany a premier marketplace for U.S. companies to reach their global partners and buyers. We have testimonials from U.S. exhibitors, who found buyers from Europe, Middle East, Africa, Asia and Latin America at CeBIT.

Germany has one of the largest ICT markets in the world and U.S. suppliers are key market players in all segments. Here are the subsector market sizes in billion EUR in 2014 according to BITKOM: IT-Hardware 22.5, Software 19.1, IT-Services 36.2, Consumer Electronics 10.2, Telecommunication devices 9.4 and telecommunication infrastructure 6.3

ICT is a German Government priority. In August 2014, the Federal Cabinet approved the “Digital Agenda 2014-2017”, which is central to Germany’s economic and innovation policy. It will concentrates its actions on digital infrastructure, digital economy, digital workplaces, innovative public administration, digital environments in society, education, research, science, culture and media, security, protection and confidence for society and business, and European and international dimension of the Digital Agenda.

Web Resources

Trade Fairs:
CeBIT (ICT trade show): www.CeBIT.de
IFA (Consumer Electronics trade show: www.ifa-berlin.com
gamescom (Europe’s leading games trade show): www.gamescom-cologne.com
IT-SA (IT Security Trade Show): www.it-sa.de
conhIT (Europe’s largest event for Healthcare IT): www.conhit.de

Trade Associations:

www.bitkom.org

www.bitmi.de

www.teletrust.de

www.eco.de

www.nifis.de

www.biu-online.de

www.vatm.de


Government Entities:

Federal Office for Information Security: www.bsi.de
German Regulatory Authority: www.bundesnetzagentur.de

Trade Publications:

www.computerwoche.de

www.crn.de

www.channelpartner.de

www.eito.com


Commercial Service Contact for Computer Hardware, Consumer Electronics and Telecommunication
: mathias.koeckeritz@trade.gov

Machine Tools & Metalworking Equipment

Overview

The German market for machine tools is expected to reach USD 7.5 billion in 2014; the market for precision tools USD 9.3 billion.

“Industry 4.0” or the “Internet of Things” the integration of digital manufacturing processes will be the most important topic in this industry segment for the next decade in Germany, the United States, Japan and other leading industrial nations. 84 % of German machine tool manufacturers would like to implement digital production processes but only 16% stated that they have already started to use cyber-physical systems (CPS) for new disruptive machine production models. Since a legal framework and applicable standards for the Internet of Things are not available, companies have begun using CPS systems in order to reduce production times up to 30%, improve energy efficiency and logistics and, above all, manufacture more efficiently to customer specifications. Investment potential for Internet of Things-related technologies is estimated at around EUR 140 billion in Europe annually over the next 5 years. The German government has allocated funding of EUR 200 million to support R&D for the Internet of Things and has set up a National Academy of Science and Engineering. As a result, German firms receive counseling on how to implement new production models.

Major industry segments are machining & precision tools; automation and drive solutions for machinery, electronics, IT automation, automotive, robotics and research & technology. U.S. machining & precision tools find a good market potential in Germany; the U.S. was the 7th largest supplier with exports of USD 150 million in 2013 (Switzerland USD 1.1 billion; Japan USD 475 million; Italy USD 380 million).

Web Resources

VDMA - German Engineering Association www.vdma.org/en/der-vdma
Fraunhofer-Institute for Production Technology and Automation www.fraunhofer.de/en.html

Trade Fairs
GIFA, Düsseldorf www.gifa.com (casting)
Metec, Düsseldorf www.metec-tradefair.com (materials for casting/foundry industries)
Newcast, Düsseldorf www.newcast.com (new materials for casting)
Thermprocess, Düsseldorf www.thermprocess-online.com (thermo-processing for casting/foundry)
METAV, Düsseldorf www.metav.com (machine & precision tools)
Tube, Düsseldorf www.tube-tradefair.com
Wire, Düsseldorf www.wire-tradefair.com
AMB, Stuttgart www.messe-stuttgart.de/en/amb (machine & precision tools)
EURO-BLECH www.euroblech.com/english (sheet metal processing)
ALUMNINIUM www.euroblech.com/english
Valve World Expo www.valveworldexpo.com
EMO Hannover www.emo-hannover.de/home (machine & precision tools)
Schweissen & Schneiden www.schweissen-schneiden.com/en/schweissen___schneiden/index.html (welding)
Hannover Messe www.hannovermesse.de/home (factory of the future, IT automation, industrial automation, research & technology, energy, mobiltec (battery and hybrid technologies), industrial supply, global markets)

Associations
Machine Tools and Manufacturing Systems http://wzm.vdma.org/
Precision Tools http://pwz.vdma.org
Laser and Laser Systems for Material Processing http://laser.vdma.org
Metallurgical Plants and Rolling Mills http://huw.vdma.org
Thermo-Process Technology http://tpt.vdma.org
Robotics and Automation http://rua.vdma.org

Government Entities:

Ministry of Economic Affairs and Energy www.bmwi.de/EN/root.html
Ministry of Education and Research www.bmbf.de/en/

Publications
Industrie Anzeiger www.industrieanzeiger.de
VDI-Z www.technikwissen.de
Werkstatt und Betrieb www.werkstatt-betrieb.de
Werkzeug Technik www.werkzeug-technik.com
MAV www.mav-online.de
KEM www.kem.de
Form + Werkzeug www.form-werkzeug.de
Maschine + Werkzeuge www.maschinewerkzeug.de

Commercial Service Contact: klaus.jonas@trade.gov

Medical Technologies

Overview

Unit: USD billion

 

2013

2014

2015 (estimated)

Total Market Size

29.5

31.0

31.5

Total Local Production

29.8

30.6

31.3

Total Exports

20.5

21.2

21.8

Total Imports

21.1

21.6

22.0

Imports from the U.S.

5.9

6.2

6.4

Medical Technologies (MED) along with DRG, DNT, BIO, LAB, COS and NUS, is a key sector of the Healthcare/Life Sciences (HCT) industry.

Germany is Europe’s largest market for medical devices and the world’s third largest market behind the United States and Japan, accounting for roughly 30 billion Euros annually, with 170,000 employees of which 15% are in R&D. Key industry drivers include the innovative strength of the sector; the solid financial basis of the German medical technology industry, 80% of which are SMEs; and a vibrant startup scene. All major U.S. medical technology suppliers, such as GE Healthcare, Medtronic and 3M, have subsidiaries in Germany and consider the German market the “test lab” for Europe. U.S. medical device exporters to Germany continue to hold a 27-30% import market share.

Germany hosts the world’s largest annual MED trade show, MEDICA, making Germany a premier marketplace for U.S. companies to reach their global partners and buyers. The whole U.S. medical industry, represented by 450+ U.S. exhibitors, converge every year for the 4 days of MEDICA to sell to Europe and the rest of the world.

The Healthcare/Life Sciences industry is a priority both for the EU and Germany: part of the EU Fund for Regional Development (EFRE)) program 2014-2020 and for German Länder implementation and tendering, central to Germany’s economic and innovation policy. Implementation will focus on smart health and aging: diagnostic, therapy and preventive medicine in (bio) medical research and care; research-based medical technologies; integration of medical technologies in systems and supply solutions; and preservation and improvement of life quality and social engagement. This focus should result in increased opportunities for U.S. suppliers and for them to participate in healthcare infrastructure development projects and partner with German and EU firms. The German Government has established a Federal Healthcare Industry Council and. Subsequently, a Federal Digital Health Council to pave the way for an integrated and cost-efficient healthcare system. These offer windows of opportunity for U.S. health solutions providers and investors.

Web Resources

Web Resources:
www.medizintechnologie.de

www.medtech-zwo.de

www.imshealth.de

www.management-krankenhaus.de

Trade Fairs
Medica: www.medica-tradefair.com (most comprehensive, covers all segments)
Compamed: www.compamed.de (medical manufacturing; parallel to Medica)
conhIT: www.conhit.de (e-health)
Medtech Europe: www.medteceurope.com (medical manufacturing)
OT-World: www.ot-world.de (orthopedics and rehabilitation)
Permedicon: www.permedicon.de (personalized medicine)
In3EuroMedtech: www.iirusa.com/in3emt/index.xml (startups/technologies/licensing/partnering/R&D)

Associations
www.bvmed.de

http://www.zvei.org/Themen/Gesundheitswirtschaft/Seiten/default.aspx

www.spectaris.de

www.vditz.de

www.dkgev.de

www.zmt.de

www.bvitg.de

Government Entities
Federal Ministry of Education and Research: www.bmbf.de
Federal Ministry of Health: www.bmg.bund.de
Federal Ministry for Economic Affairs and Energy:- www.bmwi.de
Federal Agency for Pharmaceuticals and Medical Products: http://www.bfarm.de/EN/Home/home_node.html
Federal Bureau for Physical-Technical Equipment: http://www.ptb.de/cms/en/
Federal Institute for Risk Assessment: http://www.bfr.bund.de/en/home.html
Federal Institute for Consumer Protection and Food Safety: www.bvl.bund.de
German Medical Devices Law: www.dimdi.de

Publications

Outpatient Market: www.aerztezeitung.de
Outpatient Market: www.aerzteblatt.de
Home Care and Practitioners: www.mtd.de
Hospital Market: www.management-krankenhaus.de
Othopaedietechnik: www.verlag-ot.de
labor&more: www.succidia.de
Transkrip: www.transkript.de
Laborwelt: www.laborwelt.de
BIOspektrum: www.biospektrum.de
BIOforum: www.gitverlag.com
Laborjournal: www.laborjournal.de

Commercial Service Contact:
anette.salama@trade.gov

Pollution Control Equipment

Overview

The U.S. is the world’s largest producer of pollution control equipment. In the United States approximately 119,000 enterprises are engaged in the POL business. The U.S. POL industry generates approximately USD 300 billion in revenues, USD 43.8 billion in exports and supports close to 1.7 million jobs.

The market volume of POL in Germany equaled EUR 118 billion in 2013 and is expected to grow at an annual rate of 6.6%. Some of the major drivers of demand include stricter environmental regulations, a reduction in the availability of raw materials and the necessary adaption to climate change.

Subsector market sizes in 2013 according to a study published by the Federal Ministry for the Environment: Sustainable Water Technologies EUR 53 billion, Raw Material and Material Efficiency EUR 48 billion, Recycling EUR 17 billion.

Germany is host to well-known trade shows in the field of POL, making it a premier marketplace for U.S. companies to reach their global partners and buyers. POL shows in Germany are: Wasser Berlin (March 2015, Certified Trade Event, 5-10 U.S. Exhibitors), IFAT Munich (June 2016, 50+ U.S. Exhibitors) and ACHEMA (June 2015, 132 U.S. Exhibitors, 20-30 U.S. Exhibitors in the field of POL.)

The sustainable water sector has the highest growth level of all POL markets in Germany. More than EUR 110 billion has been invested in the domestic sector since 1990. Roland Berger predicts an annual market growth rate of 5.9% until at least 2025.

Web Resources

Trade Fairs
IFAT www.ifat.de/en
Wasser Berlin International www.wasser-berlin.de/en
ACHEMA www.achema.de/en.html

Associations
DWA (German Association for Water, Wastewater and Waste) http://en.dwa.de/
DVGW (German Technical and Scientific Association for Gas and Water) www.dvgw.de/english-pages/dvgw/
BDEW (German Association of Energy and Water Industries) www.bdew.de/internet.nsf/id/EN_Home
VKU (German Association of Local Public Utilities) www.vku.de/other-languages/english.html
EWA (European Water Association) www.ewa-online.eu/

Government Entities
UBA - German Environmental Protection Agency www.umweltbundesamt.de/en
Federal Ministry for the Environment, Nature Conservation, Building and Nuclear Safety www.bmub.bund.de/en/

Publications

Sustainable Water Technology Solutions – The German Market
www.gtai.de/GTAI/Content/EN/Invest/_SharedDocs/Downloads/GTAI/Fact-sheets/Energy-environmental/fact-sheet-sustainable-water-technologies-en.pdf


Closed Loop Recycling – The German Market
www.gtai.de/GTAI/Content/EN/Invest/_SharedDocs/Downloads/GTAI/Fact-sheets/Energy-environmental/fact-sheet-closed-loop-recycling-en.pdf


Soil Conservation and Contaminated Sites
www.bmub.bund.de/en/topics/water-waste-soil/soil-conservation/general-information/

Commercial Service Contact:
tobias.wester@trade.gov

Renewable Energies

Overview

Germany’s 2002 Renewable Energy Source Law established fixed feed-in-tariffs for renewable energy sources and gave renewable energy sources grid priority over traditional energy sources. To be able to achieve this energy turnaround, Germany has a strong need for grid modernization and extension as well as storage technologies, e.g. fuel cells. Experts estimate that this change will need investments of between EUR500 and USD 628 billion, representing tremendous business opportunities for U.S. clients. (E.ON, one the major German energy players, is separating itself from its traditional core business segments, i.e. gas, coal and nuclear energy).

Sub-Sector Best Prospects

Smart Grid: German distribution grids require an expansion of 83,885 miles up to 119,925 miles. Investment needs for grid extension and modernization until 2020: EUR 18.4 billion – EUR 26.7 billion; until 2030: EUR 27.5-42.5 billion.

Energy Storage & Fuel Cell Industry: In 2025, 28 gigawatts of storage capacity will be required (at present, 7 gigawatts); in 2013, sales exceeded USD 137 million. By 2020 sales of fuel cell technology are expected to reach USD 2.7 billion. Investments of USD 34-41 billion are expected by 2030.

Wind Industry: Germany’s 9.1% share of global new installations made it the world’s second largest market for new installations in 2013. (GWEC 2014); total installed capacity increased by 9.5% to 34,250 MW in 2014.

Solar Industry: EUR 11.2 billion of investments in new installations in 2012; EUR 13.0 billion sales of PV manufacturers; 34% increase in newly installed nominal capacity between 2012 and 2013. 49.8 TWh production in 2013.

Bio Industry: sales 2011: EUR 12.1 billion; investment in bioenergy plants 2011: EUR 2.9 billion. Combined Heat and Power (CHP): Germany is Nº 1 in Europe with a market share of 36%; segment is expected to double until 2020.

Web Resources

Trade Fairs
Husum Wind Energy www.husumwind.com/husumwind/en/index.php
Hannover Messe Energy, Hannover Energy Trade Fair www.hannovermesse.de/en/exhibition/trade-fair-line-up/energy/
Intersolar www.intersolar.de/en/home.html
GeoTherm expo + congress www.geotherm-germany.com/
Eurotier www.eurotier.com/home-en.html  
Bio Energy Decentral www.energy-decentral.com/home-ed-en.html
enertec www.enertec-leipzig.com/?language=en
RenExpo www.renexpo.de/en.html

Associations
Renewable Energies in general:
Bundesverband Erneuerbare Energie (BEE), German Renewable Energy Federation www.bee-ev.de/english/Agentur
Agentur fuer Erneuerbare Energien, Renewable Energies Agency www.unendlich-viel-energie.de/english

Grid:
Bundesnetzagentur, Federal Network Agency for Electricity, Gas, Telecommunications, Post and Railways www.bundesnetzagentur.de

Energy Storage & Fuel Cell Industry:
Bundesverband Energiespeicher (BVES), German Energy Storage Association www.bves.de/
Deutscher Wasserstoff- und Brennstoffzellen-Verband, German Hydrogen and Fuel Cell Association www.dwv-info.de/e/index.html

Wind Energy:
Bundesverband Windenergie (BWE), German Wind Energy Association www.wind-energie.de/en

Solar Energy:
Bundesverband Solarwirtschaft (BSW), German Solar Association www.solarwirtschaft.de/en/start/english-news.html

Geothermal Energy:
Bundesverband Geothermie (GtV-BV), German Geothermal Association (BVG) www.geothermie.de/bundesverband/der-verband-im-portraet/en-about-us.html

Bio Industry:
Fachverband Biogas, German Biogas Association www.biogas.org
Deutsche Energie-Pellet Verband
(DEPV), German Pellet Association www.depv.de/

Hydro Energy:
Bundesverband Deutscher Wasserkraftwerke e.V. (BDW), German Hydropower Association www.wasserkraft-deutschland.de/

Government Entities

Bundesministerium für Umwelt, Naturschutz, Bau und Reaktorsicherheit (BMUB), Nature Conservation and Nuclear Safety/ Federal Ministry of Environment www.bmub.bund.de/en/
Bundesministerium für Wirtschaft und Energie (BMWi) – Erneuerbare Energie, Federal Ministry for Economic Affairs and Energy (BMWi) www.erneuerbare-energien.de
Deutsche Energie-Agentur, German Energy Agency (DENA) www.dena.de/en.html
Internationale Agentur fuer Erneuerbare Energien, International Renewable Energy Agency (IRENA) www.irena.org
German Trade and Invest (GTAI) www.gtai.com

Publications
Renewable Energies in general:
www.erneuerbare-energien.de/EE/Redaktion/DE/Downloads/development-of-renewable-energy-sources-in-germany-2014.pdf?__blob=publicationFile&v=6

http://energytransition.de/wp-content/themes/boell/pdf/en/German-Energy-Transition_en.pdf


Grid:
http://www.vde.com/en/dke/std/KoEn/Pages/ExpertiseCentreforE-Energy.aspx

Energy Storage & Fuel Cell Industry:
www.isi.fraunhofer.de/isi-wAssets/docs/t/en/TRM-ESEM-2030_en_web.pdf

www.gtai.de/GTAI/Content/EN/Invest/_SharedDocs/Downloads/GTAI/Brochures/Industries/germany-lead-market-for-energy-storage-fuel-cell-systems-en.pdf

Wind Energy:
www.gtai.de/GTAI/Content/EN/Invest/_SharedDocs/Downloads/GTAI/Industry-overviews/industry-overview-the-wind-energy-industry-en.pdf

Solar Energy:
www.ise.fraunhofer.de/en/publications/veroeffentlichungen-pdf-dateien-en/studien-und-konzeptpapiere/recent-facts-about-photovoltaics-in-germany.pdf

Geothermal Energy:
www.bine.info/en/topics/renewable-energy-sources/geothermal-energy/

Bio Industry:
http://mediathek.fnr.de/media/downloadable/files/samples/b/a/basisdaten_9x16_2013_engl_web.pdf

Commercial Service Contact:
sabrina.leipold@trade.gov

Safety & Security

Overview

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The Safety & Security sector includes the homeland security, electronic and physical security, fire & life safety, cybersecurity, and port and infrastructure security subsectors. Cybersecurity also is a sub-sector within the ICT Team’s portfolio. SEC is an industry where the USA spearheads innovation and where price is not the decisive factor in purchasing decisions. Significant growth will be found in smart city surveillance, smart traffic monitoring, smart utilities, smart education and smart retail - all of which contain key security elements and act to open new markets for U.S. security product and technology suppliers.

The SEC sector is a key part of German infrastructure and represents excellent sales potential for U.S. exporters. The German security technologies market is the largest in Europe: expected increase by 2015 to EUR 21 billion. German security technology and services market was EUR 11.04 billion in 2011 (4.9 billion: security/protection services; 2.1 billion: mechanical equipment; 3.5 billion: electrical equip; and 6 billion for other security equip). Forecasts for 2015 predict continuing growth in all relevant sectors.

The German security technologies market comprises 8 segments and industry associations expect significant market increases by end of 2015: IT security +12%, identification & authentication +15%, hazardous substances +50%, break-in prevention +33%, emergency communications +18%, fire, gas and smoke +5%, investigations +15% and security equip +22%.

Web Resources

Trade Fairs
Interschutz - Fire prevention and protection, disaster relief, rescue and safety - International Trade Fair www.interschutz.de/home
A + ASafety, Security and Health at Work - International Trade Fair with Congress www.aplusa-online.com
GPEC - General Police Equipment Exhibition & Conference www.gpec.de
SMM & MS&D – Shipbuilding, Machinery & Marine Technology - International Trade
Fair Hamburg www.smm-hamburg.com/en/programme/security-and-defence
Security - World Forum for Security and Fire Prevention www.security-essen.de

Associations
Verband für Sicherheitstechnik e.V. (German Association for Securitytechnology ) http://vfs-hh.de
Arbeitsgemeinschaft für Sicherheit der Wirtschaft e.V. (German Association for Security in Industry and Commerce) www.asw-online.de
BITKOM e.V./German Association for Information Technology, Telecommunications and New Media
www.bitkom.org/en

Bundesamt für Sicherheit in der Informationstechnik (Federal Office for Information Security)
www.bsi.bund.de

Bundesverband Deutscher Wach- und Sicherheitsunternehmen e. V. (Federal Association of German (Security) Guard and Security Companies) www.bdws.de
Bundesverband Digitale Wirtschaft (BVDW) e.V. (Federal Association of the Digital Economy)
www.bvdw.org

Bundesverband der Hersteller- und Errichterfirmen von Sicherheitssystemen e.V. (BHE) (Federal Association of Producers and Installers of Security Systems) www.bhe.de
Bundesverband Technischer Brandschutz e.V. (Federal Association for the technical protection against fire) www.bvfa.de
VDE Verband der Elektrotechnik Elektronik Informationstechnik e.V. (Association for Electrical, Electronic & Information Technologies) www.vde.com/

Publications
Euro Security www.eurosecglobal.de
GIT SICHERHEIT + MANAGEMENT www.gitverlag.com/en/about/index.html
Protector www.sicherheit.info
WIK – Zeitschrift für Sicherheit in der Wirtschaft (Magazine for Security in the Economy) www.wik.info

Commercial Service Contact:
nils.roeher@trade.gov

Travel & Tourism

Overview

International travel a priority National Export Initiative sector is the second-largest export industry in the United States and is the single largest services sector export accounting for 31 percent of all services exports in 2013. Every 37 visitors to the U.S. will create one new job in America. In 2014, there were a total of 74.7 million international visitors to the United States. Germany ranks 7th worldwide, with 1.97 million visitors.

Spending by international travelers visiting the United States in 2013 supported 1.1 million of the 7.6 million American jobs supported directly or indirectly by all travelers spending. Spending by international travelers to the United States in 2013 was USD 214.8 billion. Of this total, USD 173 billion was spent in the United States and USD 42 billion on passenger fares on U.S. carriers. In 2013, the U.S. ranked first among worldwide destinations in travel spending. German visitors to the United States spent a total of USD 7.2 billion (ranked 8th worldwide and 2nd after UK in Europe).

Germany hosts the world’s largest travel show, ITB, making Germany a premier marketplace for U.S. tourism companies to reach their global partners and buyers. VUSA Germany (Visit USA Committee Germany e.V.), together with Brand USA, will promote the Discover America brand at 4 major consumer travel shows, 3 trade events, 2 media events, several networking events and online and in print. In addition, Brand USA will conduct familiarization trips to the U.S. for travel agents, launch a giant screen film on the U.S. National Park Service (as part of its great outdoors theme), support culinary tourism events and continue its cooperative advertising campaign with major tour operators. The goal is to get over 2,000,000 German visitors to the United States in 2015.

Web Resources

Trade Fairs:
TC Leipzig: www.touristikundcaravaning.de
CMT Stuttgart: www.messe-stuttgart.de/cmt
Reisen Hamburg: www.hamburg-messe.de/reisen
f.re.e Munich: www.free-muenchen.de
ITB Berlin: www.itb-berlin.com
IMEX Frankfurt: www.imex-frankfurt.de
Travel Expo & FVW Congress Cologne (B2B fair): www.fvw.de

Government:
Entry and visa regulations information: http://germany.usembassy.gov/visa
https://esta.cbp.dhs.gov


Other:

Official site of the Visit USA Committee Germany e.V.: www.vusa.Travel
Brand USA’s consumer website in German: www.discoveramerica.com/de
Consumer travel website on United States in German: www.usa.de
German landing page for Recreation.Gov: www.natuerlichusa.de

Commercial Service Contact:
elizabeth.walsh@trade.gov

Agricultural Sectors

Product Category
(in USD million)

Total German Imports 2014

German Imports from the U.S.

U.S. Import Growth (2010-14)

Market attractiveness for USA

Tree Nuts

2,406

703

+136%

The United States is the biggest supplier of tree nuts to Germany. Most tree nuts are used as ingredients by the food processing sector. Almonds are the most important commodity within this category. Further products with good sales potential include walnuts, pistachios and pecans.

Fish and Seafood Products

5,472

207

Minus 4%

The German market offers lucrative opportunities for fish and seafood products.  Fish consumption is growing as consumers associate fishery products with a healthy diet. Best prospects for U.S. and seafood exports are salmon, shrimps, crabs, caviar substitutes, cuttlefish and squid, sea urchins, catfish and scallops.

Wine and Beer

4,010

102

17%

Germany has a high share of domestic wine production. However, good prospects exist for “new world wines” including those from the U.S. The U.S. has also steadily increased its exports of beer made from malt to Germany.

Processed Fruits and Vegetables

5,882

98

23%

Those products are mostly used as ingredients by the food processing sector for the production of pastries and cereals. Dried fruits and prepared nuts are also popular as a snack. Commodities with notably increasing sales are dried grapes (including raisins), dried prunes and preserved cherries.

Red Meats Fresh/Chilled/
Frozen

5,181

52

68%

Good opportunities for U.S. high quality beef produced without growth hormones.  The EU quota size and administration system have recently seen changes.

Snack Foods (excl. Nuts)

3,758

8

29%

German demand for healthy, organic, innovative and exotic snacks continues to grow. U.S. import growth has expanded in this category predominately due to increasing imports of cocoa preparations and chocolate.

Pet Foods (Dog and Cat)

1,051

2

Minus 14%

Sale of cat food has the biggest market share. U.S. exports are declining but potential exists for premium pet food.

U.S. Embassy Contact:
Office of Agricultural Affairs: agberlin@usda.gov

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