The volume of international business expansions to and in Europe’s largest economy increased by over 37 percent last year.
BERLIN, May 14, 2024 /PRNewswire/ — Germany attracted 34.8 billion euros worth of international business projects in 2023 – that’s the result of Germany Trade & Invest’s (GTAI) annual FDI study. The figure includes both greenfields and expansions. It does not include any mergers or acquisitions. The comparable figure for 2022 was 25.3 billion euros – meaning that 2023 brought an annual increase in volume of 37.5 percent. The raw number of foreign direct investment projects, 1759, was down slightly (24 projects fewer) from 2022.
For comparison, according to data from fDi Markets, foreign direct investment was up 2.6 percent worldwide. In Europe FDI decreased by 7.4 percent, and in Western Europe by 8.8 percent.
Eleven projects in Germany involve planned investments of more than 500 million euros. Eight are greenfields, while three are expansions within Germany. Eight projects involve planned investments exceeding one billion euros.
“Despite the difficult global business climate and negative headlines, Germany continued last year to attract premium projects from some of the world’s leading companies, including Apple, Roche, Eli Lilly, British Petroleum and the Taiwan Semiconductor Manufacturing Company,” says Germany Trade & Invest CEO Robert Hermann. “That’s no wonder because Germany is Europe’s largest market, a secure and reliable business enviroment, and a world leader in research and development with a highly skilled workforce.”
Major FDI projects were announced in the areas of digitalization, healthcare and life sciences, energy and resources, electronics and automation, and mobility and logistics. The leading country of origin was the United States, followed by Switzerland, China, the United Kingdom, the Netherlands and France. 36 percent of FDI projects came from European Union countries, and 28 percent from non-EU European countries.
“The breadth of international companies’ projects in Germany in 2023, both in terms of sector and country of origin, illustrates the fundamental solidity and strength of Germany as a business location,” says Hermann. “For companies expanding to and within Europe, Germany is simply an excellent place to do business. Germany’s ongoing digitalization and transition to sustainable energy create great opportunities for companies with innovative, future-oriented solutions.”
The report can be accessed here Germany Trade & Invest’s FDI Reports (gtai.de). The Germany Trade & Invest 2023 FDI Report is based, among other things, on information collected from the 16 regional states that make up the Federal Republic of Germany with the intent to provide a comprehensive overview of FDI in Germany. The figures given include greenfields and expansions, but do not include mergers, acquisitions or takeovers. Germany Trade & Invest is the national German government’s agency for international business promotion.
Contact: Jefferson Chase
+49 1796873724
jefferson.chase@gtai.de
Germany Trade & Invest
Friedrichstrasse 60
10117 Berlin
Germany
