Exporting to Germany
Sectoral opportunities in Germany
Opportunities exist for UK companies across a wide range of sectors, including technology, automotive, health and life sciences, food and drink and renewable energy.
There are a number of sectors that could potentially offer some opportunities to Northern Ireland companies.
Technology
The convergence of manufacturing and tech along with the Internet of things (IOT) evolution, are presenting significant new opportunities for ICT companies. COVID-19 has accelerated the demand for digital solutions. New growth areas are expected to be in Artificial Intelligence (AI), supply chain automation, IoT, cyber security, fintech and health tech.
Automotive
The automotive sector remains the strongest and most export-driven industry in Germany with a total turnover of €379.3 billion and an export volume of €243 billion in 2020. It’s transition towards connected and autonomous vehicles, and clean mobility creates excellent opportunities for UK companies providing solutions in vehicle connectivity, mobility management, sustainable mobility, and battery technology development.
Health and life sciences
Germany is at the forefront of healthcare innovation. In this sophisticated and demanding market, the opportunity for companies providing innovative products and services is substantial.
Germany offers one of Europe’s largest markets for healthcare and life sciences products. Health expenditure accounted for 11.9% of GDP in 2019 (German Federal Statistics Office, 2020). High market demand and Germany’s strategic location make it a preferred choice for many international healthcare and life sciences companies preparing to expand.
Food and drink
There are significant growth opportunities in spirits, including low and non-alcoholic spirits, confectionery, sweet and savoury snacks, vegan, organic, free from and international products produced in the UK.
The German food and drink industry is highly competitive, but until now has also been relatively conservative in its operating models. The introduction of new technology and digitalisation has helped to change this and resulted in the number of imports from the UK increasing.
Consumer goods
Germany is the largest consumer market in Europe, with a low unemployment rate and an affluent population. With an excellent logistics infrastructure both domestically and extending into neighbouring countries, Germany is well-located for distribution to Western, Central and Eastern Europe.
E-commerce is growing fast in Germany, especially among consumers aged 50 plus; a major group with strong purchasing power. Demand is also increasing in mobile commerce, social media shopping and innovative omnichannel sales solutions.
Renewable energy
Germany is the EU’s largest market contributing 21% to GDP. The new government will increase the target for renewables from 65% to 80% by 2030 with impressive growth trajectories for offshore wind, hydrogen and solar. This is fertile ground for UK exporters.
Offshore wind will increase from 20GW to 30GW by 2030, 40GW in 2035, and 70GW in 2045. Upcoming opportunities include marine geophysical, geotechnical and environmental survey services, design planning and engineering services, CTVs, SOVs, logistic and transport services. There will also be opportunities in remote and autonomous technological solutions enabling condition monitoring and maintenance and blade recycling.