GDP (Million $) – 534,301
GDP per Capita ($) – 58,192
Growth Rate (%) – -0.26
Population – 9,182,000
Area (km²) – 83,871
Capital – Vienna
Source: IMF, 2025
After the Second World War, Austria was considered one of the poorest countries in Europe; however, over the past 20 years it has succeeded in becoming one of the world’s wealthiest nations. With a land area of approximately 84,000 km² and a population of 9 million, the country is defined as prosperous and democratic. Austria joined the “EU Economic and Monetary Union” in 1999.
The country is also a significant source of commercial power, and considering historical ties, Austria stands as the closest Western trade partner especially for Eastern European countries.
GENERAL ECONOMIC SITUATION
Austria’s GDP at current prices is estimated to reach 534 billion dollars in 2025 and is expected to increase to 552 billion dollars in 2026.
At current prices, Austria ranks as the 31st largest economy in the world among 196 countries as of 2025. [USA 1st (31 trillion dollars), Türkiye 16th (1 trillion dollars)]
In constant prices, GDP is expected to decrease by 0.3% in 2025, followed by an estimated increase of 0.8% in 2026.
At current prices, Austria ranks 14th globally in 2025 with a per capita income of 58,192 dollars. [Luxembourg 1st (140,941 $), Türkiye 67th (16,709 $)]
FOREIGN TRADE
In 2024, Austria’s exports amounted to 213.8 billion dollars, while imports reached 211.9 billion dollars.
Machinery, mechanical appliances and instruments, electrical machinery and equipment, and pharmaceutical products constitute the main export categories.
In imports, the product groups with the highest shares are machinery, mechanical appliances and instruments, electrical machinery and equipment, motor vehicles, and mineral fuels and oils.
MACHINERY INDUSTRY
Austria’s machinery industry is one of the strongest and most established sectors of the country’s economy. In terms of production, engineering and export capability, Austria ranks among the leading countries in Europe and enjoys a global reputation for quality, innovation, and specialization in machinery and equipment manufacturing.
Austria’s machinery production ranks 11th in Europe in 2025 with sector revenues of 17.1 billion euros. There are 630 enterprises active in this sector, which has recorded a compound annual growth rate (CAGR) of 1.2% between 2020 and 2025.
In 2023, Austria’s manufacturing industry accounted for approximately 17.5% of total value added, with a significant share coming from machinery and equipment production. The total turnover of the sector reached around 34.5 billion euros in 2023. The combined turnover of the metalworking and mechanical engineering industries reached 45.8 billion euros. More than 135,000 people are employed in this sector, and approximately 84% of production is exported. The largest export markets are Germany, the United States, and China.
A key characteristic of Austria’s machinery sector is its strong export orientation. Rather than mass production, the country specializes in bespoke, high-value niche products. As a result, many Austrian companies hold global leadership positions in their fields. Examples include Andritz AG in pulp and energy plant equipment, Doppelmayr in ropeway systems, Palfinger in lifting and loading technologies, and Engel Group in plastic injection molding machines.
Global demand slowdown, rising energy prices, and supply chain disruptions have placed pressure on production. In the first half of 2025, Austria’s industrial sector experienced an overall turnover decline of around 2%, while machinery and equipment manufacturing saw a sharper decline of approximately 7%. For this reason, the sector is aiming to maintain competitiveness through measures such as reducing energy costs, lowering bureaucracy, and encouraging investment.
Overall, Austria’s machinery industry continues to preserve its position as one of Europe’s key production hubs thanks to its high quality standards, export success, innovative capacity, and skilled labor force.
AUTOMOTIVE INDUSTRY
Austria’s automotive industry is a vital component of the country’s export-oriented, high value-added production structure. The sector consists of engine and chassis manufacturing, a wide supplier network (component and system suppliers), commercial vehicle production, and electric vehicle development, covering both traditional powertrain technologies and new-generation e-mobility solutions.
Austria’s automotive ecosystem provides direct and indirect employment to approximately 200,000 people. The industry’s exports are generally high, and automotive products make strong contributions to the country’s machinery and industrial export profile.
In terms of scale, the production value of Austria’s automotive manufacturing and supplier industry was approximately 28.5 billion euros in 2022, with about 85% of production exported abroad.
Regarding vehicle manufacturing volumes, Austria’s vehicle production fell to 114,191 units in 2023. Regionally, automotive manufacturing accounted for 17.5% of Upper Austria’s industrial production in 2024.
Looking at market dynamics, new vehicle sales in the domestic market began to recover in 2024; new registrations increased, and the total vehicle fleet expanded. However, production and industry turnover remain sensitive to global investment cycles, energy costs, and supply chain disruptions. In the second half of 2024 and into 2025, Europe-wide economic slowdown led to declines in orders and production in some subsectors. This has created pressure on the financial performance of several supplier firms and steel/metal producers—such as Voestalpine.
Annual motor vehicle production fluctuates, with 2023 figures showing that Austria’s yearly vehicle output generally ranges between 100,000 and 140,000 units. These numbers confirm that Austria’s automotive industry, while limited in volume compared with large automotive hubs, focuses on high-value and highly specialized production.
Regarding major corporate actors and their financial scale, 2024 data indicate that the largest companies in Austria’s automotive industry include:
• BMW Motoren GmbH, with a net turnover of approximately 4,405.90 million euros.
• Magna Steyr Fahrzeugtechnik GmbH & Co KG, with a turnover of around 4,400 million euros.
• AVL List GmbH, with a turnover of approximately 2,031 million euros.
These figures demonstrate the high economic weight of the automotive sector in Austria.
METAL INDUSTRY
Austria’s metal industry is one of the fundamental pillars of the national economy, characterized by high-value-added manufacturing. The sector's total turnover in 2024 was approximately 45.2 billion euros, with direct employment around 135,000 people. Metalworking exports reached approximately 39.5 billion euros in 2024, making the Austrian metal industry strategically significant in both employment and foreign trade.
The sector’s structure consists of sub-branches such as iron and steel, basic metal production, and metal forming activities. In basic metals, Austria held an important position in Europe in 2024; the estimated size of basic metal production for that year was approximately 17.8 billion euros, placing Austria among the leading countries in Europe in this field.
One of the sector’s largest players, voestalpine AG, reported consolidated revenues of 15,743.7 million euros in the 2024/25 fiscal year. During the same period, EBITDA and efficiency metrics showed fluctuations. voestalpine’s reports highlight significant variations in sales volumes and profitability due to raw material price volatility and global demand cycles. For example, EBITDA levels decreased compared with the previous year. As a dominant industry player, voestalpine’s financial performance heavily influences the overall trajectory of Austria’s iron and steel segment.
Additionally, technological transformation and the energy transition are central themes in the iron-steel and high-value metal products market. Austria has undertaken notable pilot projects and investments in green and low-carbon steel production. A prominent example is the hydrogen-based zero-carbon prototype steel production plant being developed in Linz by Rio Tinto, voestalpine, and Primetals Technologies. This project aims to replace coal-based methods with hydrogen and targets pilot-scale production of several tons of metal per hour, with commissioning planned around 2027. Such initiatives are decisive for the sector’s long-term emission reduction and energy transition goals.
AVIATION INDUSTRY
In aerospace manufacturing and supply, Austria is a relatively small but high value-added player. Approximately 260 companies operate in the aerospace sector nationwide, with an annual turnover of about 3.14 billion euros and direct employment of around 15,100 people. The sector is highly R&D-intensive; the R&D share within total sector turnover is reported to be close to 25%, and a large portion of exports is directed to European markets. This structure enables Austria to compete in high-value niche segments such as composite structures, cabin interiors, and engine components.
The economic impact of Austrian supplier firms becomes clearer when looking at major players. One of the largest aerospace suppliers, FACC AG, reached 884.5 million euros in turnover in the 2024 fiscal year and reported approximately 3,850 full-time equivalent (FTE) employees globally, achieving a 20% annual revenue increase in 2024. Such large suppliers strengthen Austria’s export capacity and high-tech manufacturing base through both serial production and specialized projects. Additionally, many small and medium-sized suppliers (composite materials, metalworking, electronics, cabin equipment) are integrated into global supply chains.
Austria’s aerospace exports were measured at approximately 1.9–2.0 billion USD in 2023, with gradual increases expected in the coming years (projections for 2028 suggest around 2.25 billion USD).
