Exports Defy Weak Industrial Economy

The Austrian export industry performed well in 2023 and gained market share. It benefitted from lively demand from Germany and the USA for specific products from the Austrian machinery and vehicle industry. It was also able to maintain its price competitiveness by only moderately passing on the high price and cost increases in Austria to export prices. Due to the weak domestic economy, imports of goods fell, which eased the trade balance. The industrial economy slumped over the course of 2023. Until the summer, the energy-intensive primary product sectors were particularly affected, but from the second half of the year onwards, the economic downturn also affected other segments of the manufacturing industry. The lack of demand was the most frequently cited obstacle to production at the end of the year. Gross equipment investment increased slightly in 2023. As in the previous year, the individual sub-segments developed differently. While investments in equipment fell, investments in intangible assets increased.