Mechanical & precision engineering
With all the benefits of EU quality, security and regulatory standards, as well as its relative proximity, outsourcing component supply needs to CEE means access to lower cost products without reducing quality, service standards or expertise. Although the cost of materials may be similar, overall operational costs, including labour, are significantly lower than in more developed markets.
The CEE represents around 11.5 per cent of ICT goods trade across Europe, with the precision equipment sub-sector growing most rapidly, particularly in Hungary and the Czech Republic. Brno is the world leader in developing and commercialising electron microscopes, while Poland is well placed as a component supplier internationally, as well as product development for global customers in aviation.
Metalworking and machinery is a key sector for Latvia and Estonia, offering a large and highly skilled workforce. Tool-making and transportation equipment are sub-sectors of particular strength In Estonia, where it offers excellent logistics and facilities in its shipyards.
Slovenia boasts a productive and competitive metals industry with products and machine parts sharing in 60.5 per cent of revenue earned from foreign markets. In Croatia, it is one of the most important industries that continues to grow, while Lithuania’s has grown by 14 per cent between 2010 and 2013 to reach a value of €18.2 billion. It’s location offers a gateway into CIS markets with laser equipment being a particular specialisation and accounting for €20 million of the country’s turnover and exporting 80 per cent of production, while growing at a rate of 15 and 20 per cent annually.