Trading Partner Portal: Austria
Overview
Trade Overview
Austria is in central Europe and is a member of the European Union. It is geographically similar to the size of South Carolina and Vienna is the capital. Austria has a population of 8.9 million people with a gross domestic product (GDP) of $480.37 billion. Austria is categorized as a high income country with a well-developed market economy. Austria has developed a large service sector, while sustaining their manufacturing and agriculture fields. World Bank, CIA
In 2022, the US imported $17.819 billion of goods from Austria. Some of the key imported goods were chemicals, non-electrical machinery, and transportation equipment. They comprised $4.1 billion, $3.2 billion, and $3.1 billion of imports, respectively. Austria is the 46th largest exporting partner of the US, with a total of approximately $4.7 billion worth of goods exported from the US to Austria in 2022. $2.3 billion of US exports to Austria were chemicals. Other top export categories were computer and electronic products, non-electrical machinery, minerals and ores, and transportation equipment. US Department of Commerce
The strong economic relationship between the US and Austria is not just prominent in trade, but also in foreign direct investment (FDI) flows. In 2021, the US had roughly $4.6 billion invested in Austria and Austria had $26.15 billion invested in the US. In 2021, Austria was the single fastest growing source of FDI into the U.S. US Department of Commerce
In 2020, Austrian FDI supported 31,900 jobs. $47 million was invested into research and development in the US and $1.3 billion was put toward expanding US exports. The top industry sectors for Austrian FDI in the US were: industrial equipment, software and IT services, plastics, electronic components, metals and transportation. SelectUSA
Austria- California Trade
The United States, California, in particular, has a strong trade relationship with Austria. California is one of the top exporting states to Austria. In 2022, California exported $382 million of goods to Austria. The major category of exported goods from California was chemicals, with a total of $116 million. The other major exports included non-electrical machinery with a value of $80 million and computer and electronic products with a value of $62 million. California is also one of the largest importers of goods from Austria compared to the other states in the US. California imported almost $1.34 billion of goods in 2022 from Austria. Transportation equipment made up the largest import with a value of $552 million. The following major imported good categories were beverages and tobacco, computers and electronic equipment, non-electrical machinery, and chemicals. US Department of Commerce
Trade Agreements
Trade Agreements and Issues
Transatlantic Trade and Investment Partnership (TTIP)
Austria is one of the nations that is currently involved in negotiations for the Transatlantic Trade and Investment Partnership (TTIP) with the rest of the European Union and the United States. The United States and the European Union have a strong bilateral trade relationship totaling $698.7 billion in 2015. A free trade agreement, such as TTIP, desires to strengthen that relationship by eliminating tariffs, aligning compatible regulations to open trade, and furthering trade in the service sector.
Transatlantic Trade and Investment Partnership
USTR Transatlantic Trade and Investment Partnership
Three Seas Initiative (3SI)
The Three Seas Initiative (3SI), getting its name from the three seas that border the region, was launched in 2015 by Croatian President Kolinda Grabar-Kitarović and Polish President Andrzej Duda to promote interconnectivity on energy, infrastructure, and digitization projects in Central and Eastern Europe. There are 12 EU member states that are part of the initiative: Austria, Bulgaria, Croatia, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Romania, Slovakia, and Slovenia. The main goal of the venture is to create a “north-south” energy and infrastructure corridor in the region. The region has a total population of 10 million and a combined GDP of about $1.7 trillion, and has emerged as a significant driver of European economic growth. (Atlantic Council)
The U.S. has committed up to $1 billion to the 3SI, adding momentum to the project and its investment fund, helping to attract international private capital to the region. The initiative has been endorsed diplomatically by the United States, Germany, and the European Union, among others.
Pompeo Pledges $1 Billion in US Support for European Energy Initiative
The Hill, February 15, 2020