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GDP (Million $) – 1.996.934
GDP Per Capita ($) – 33.740
Growth Rate (%) – 3,2
Population – 59.186.000
Total Area (km2) – 302,068
Capital – Rome
Monetary Unit – Euro (€)


Italy, officially the Italian Republic, is located on the Italian Peninsula in Southern Europe, and on the two largest islands in the Mediterranean Sea, Sicily and Sardinia. Italy shares its northern Alpine boundary with France, Switzerland, Austria and Slovenia.

Today, Italy is a democratic republic, and a developed country with the 7th-highest GDP, the 8th-highest Quality-of-life index, and the 20th-highest Human Development Index rating in the world. It is a founding member of what is now the European Union, and also a member of the G8, the Council of Europe, the Western European Union, and the Central European Initiative. Beginning January 1, 2007, Italy became a non-permanent member of the United Nations Security Council. Italy has a population of approximately 60 million. It is the sixth most populous country in Europe, and the twenty-third most populous in the world.


 Italy is the second industrial country in Europe with its strategic and diversified sectors such as machinery and equipment, fashion products, food, automotive and pharmaceuticals. The industrial sector, which represents 16.6% of Italian GDP, is highly export oriented. According to ISTAT data, the number of active companies established in Italy is 4.3 million. 372 thousand of these companies operate in the manufacturing sector.

The machinery-metal sub-sector constitutes 46% of the Italian industry. The machinery-metal sector also accounts for 7% of the entire economy and about half of all exports. Other sectors that constitute the Italian industry can be listed as 11.2% food, 9.6% textile and clothing, 9.2% chemical, 9% rubber and plastic products, 5.8% wood and paper printing products.

While the first 5 countries in exports are European countries, the first 5 countries in imports are respectively; Germany, France, Russia, China and Spain. Iron and steel products and precious metals occupy the first place in export and import products. 

Italy's economy, the seventh largest market economy in the world, is fully diversified. Small and medium-sized firms dominate the Italian economy. Family-owned companies account for 93 percent of all Italian companies and 85 percent of GDP. In the U.S., family-owned companies represent 96 percent of companies, but account for only 40 percent of GDP. Germany, France, and the U.S. remain Italy's most important export markets. Industrial activity is concentrated in the north - one of the most prosperous areas in Europe. By contrast, the center and the south are less developed. Unemployment in some southern areas is three times that of the north and per capita incomes are substantially lower. As emerges in the data of the national statistical institute Italy's economic structure is similar to that of the most advanced European nations.

One of the Italian system's peculiarities lies in an "industrial cluster" model, well-established in a clearly defined area and consisting of a dense fabric of small and medium sized enterprises, each specialised in a specific phase of production. Thanks to this model Italy is a nation in which entrepreneurial initiative is highly developed and where entrepreneurial autonomy has led to the development of creativity and concentration on the beauty and good taste of those finished products that have raised the "Made in Italy" to world fame. The Italian economy is not only small enterprise however. There are many large-scale industrial groups that contributed to the industrial history of the country and to its development.

"Made in Italy" does not only mean elegant apparel, sophisticated design and advanced machinery, but it also, and above all, translates into exports that contribute substantially to a national economy sustained and represented by the labour and initiatives of large-scale enterprises together with the vast network of small and medium-sized ones.

Agri-alimentary, machinery, apparel/textiles, industrial design and furniture and furnishings production are the sectors that not only are the most important in terms of the income, employment and number of firms, but which also underpin Italian exports throughout the world and thereby make a significant contribution to our country's trade balance ). Despite the aggressive presence of China and other countries on the world market, Italy ranks eigth in the world among major exporting counries and sixth amnf the world's major importers.


Exports - In 2020, Italy exported $11.1B in Iron and steel, making it the 9th largest exporter of Iron and steel in the world. At the same year, Iron and steel was the 10th most exported product in Italy. The main destination of Iron and steel exports from Italy are: Germany ($2.23B), France ($1.04B), Poland ($623M), Austria ($610M), and Spain ($590M).

The fastest growing export markets for Iron and steel of Italy between 2019 and 2020 were Canada ($89.5M), Luxembourg ($51.8M), and Turkey ($38.2M).

Imports - In 2020, Italy imported $14.2B in Iron and steel, becoming the 4th largest importer of Iron and steel in the world. At the same year, Iron and steel was the 9th most imported product in Italy. Italy imports Iron and steel primarily from: Germany ($1.92B), France ($1.26B), Ukraine ($940M), Austria ($842M), and Spain ($755M).

The fastest growing import markets in Iron and steel for Italy between 2019 and 2020 were Finland ($73M), Egypt ($44.3M), and Mexico ($6.71M).


 Automotive is an important industrial sector for Italy. The Italian automotive supply chain consists of more than 5,500 companies and employed 274,000 (direct and indirect) employees; its turnover is 118.5 billion dollars, which is 11% of manufacturing turnover and 6.2% of GDP in Italy.

With regard to vehicle production, in 2019 the Italian automobile industry ranked 6th in Europe and 19th in the world. Italy, which was the fourth European market after Germany, the UK and France in 2019, registered 347,000 new passenger cars in the first quarter of 2020, ranking third after Germany and France.

The leading Italian car manufacturers operate on an international scale, yet pay close attention to the idiosyncrasies of each local market. Italy is the 6th leading vehicle producer in Europe and 19th in the world, with about a 1% share of global production. Production within Italy is almost entirely attributable to companies belonging to the FIAT-Chrysler (FCA) group. Foreign multinational groups do business in the country through commercial subsidiaries or through partner importers and distributors. The production structure is characterised by substantial economies of scale, highly automated and relatively inflexible production lines, along with high capital intensity.

Italy is also one of the important European markets for motorcycles and mopeds; The total number of two-wheeled vehicles (excluding mopeds) registered in 2019 was 232,000, 5.7% more than in 2018. In Italy, motor vehicles are manufactured by only a few large companies. Foreign multinational groups are active in the country through commercial subsidiaries or through partner importers and distributors. In the component segment, on the other hand, many different companies operate, including numerous small to medium sized businesses, spread throughout the country.


Italy is one of the most automated countries in the world and is respected internationally for its quality production of machinery, components, and robots.

Machinery is Italy’s top export industry, accounting for a sizeable 18% of international trade and making it the fifth largest machinery exporter in the world.

There are 5,000 Italian companies specialised in cutting-edge technology for the creation of mechanical instruments and machinery components, generating 80 billion euros world-wide.

Italy is also a global powerhouse in the robotics industry, with professionals equipped with a razor-sharp precision fundamental to mechatronics and industrial components. Italian science, creativity, dedication, and ingenuity also guarantee high-quality auto parts and components, produced with materials of the highest standard with an esteemed production chain.

The production of mechanical instruments and machinery components is a relevant field where Italy’s numbers testify to the country’s crucial role. In fact, Italy accounts for 80 billion euros of the world value of this sector. The strong export strategy allows for yearly growth.

With more than 5,000 companies, Italy is a global leader in the supply of machinery. Because Italian production is well known around the world for its high technological standards and sales support. Machinery represents Italy’s top export.

One mission: to manufacture only the best and most reliable technologies. Italian excellence, dedication, and ingenuity keep bringing to life high-quality auto parts and components. With a selection of high-value materials and an esteemed production chain, the country’s companies continuously reinforce Italian legacy of expertise and quality in the global market.


The aerospace industry is taking on an increasingly important role for regional economic development in Italy. The technological skills and know-how if Italian aeronautics and space companies, combined with the increasingly advanced technological knowledge required in production processes and Italian companies’ growing participation in major international research programmes, have become critical growth drivers for Italy in the sector.

In the coming years, the key developments in the aerospace sector will be centred around:

· digitisation and sustainability
· the ‘Space Economy’

The new technologies deriving from the aerospace research and development programmes are applied also to other sectors. The spacecraft sector is in fact influencing other markets such as radars and geoinformation. Meanwhile, technological developments in aeronautics, particularly in the production of helicopters and airplanes are, thanks to an integrated production chain, positively influencing not only key industry players but even microbusinesses and SMEs along the chain.