Austria – Romania Bilateral Economic Relations

Arnulf Gressel, Commercial AttachéMay 9, 2014, Brasov

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Austrian exports to / imports from RomaniaExports 1,8 bn. € (-8.3 %), Imports 1,1 bn. € (-0.6 %) in 2013

Source: Statistik Austria

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Austria is top investor in CEE.

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Source: Austrian National Bank as per 31.12. 2011

Also in Romania - Austria is top!Austrian investment amounts to 10.9 bln Euro – 18.5 % of total FDI.

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Source: National Bank of Romania as per Dec 31, 2012

Austrian companies contribute to the development of the economy in Romania and the creation of valuable jobs.

modern technology - job creation – social valuesenvironmentally friendly – sustainable business concepts

over 1,000 active Austrian investors

6,687 companies with Austrian equity

around 100,000 direct employees

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Important sectors

IndustryAgriculture ServicesResources

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What makes Romania so attractive

Largest market in Eastern Europe, a region where Austrian companies are particularly active

Very favourable prerequisites in a variety of sectors Cultural likeness to Austria Very good foreign language capacities Ambitious modernization plans, abundance of projects

and opportunities Financing through EU-structural funds Cheap labour costs and low tax regime Large Romanian community in Austria, consistent

economic and historic ties

Despite difficult economic conditions 2009-12 Austrian companies continued investing.

Apart from the biggest well known Austrian investments -

OMV/Petrom und Erste Bank/BCR – many other Austrian

companies with remarkable success in Romania, also SMEs.

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New Austrian Projects – fresh investments 2011-13

AUSTRIAN INVESTMENTS IN ROMANIA

In 2011 Romania‘s biggest gas power station was built. OMV-Petrom has invested 500 mil. Euro in the 860 KW power station. This power station alone covers 8% of average energy consumption of Romania.

OMV-Petrom

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STRABAG

AUSTRIAN INVESTMENTS IN ROMANIA

STRABAG in a consortium with Vinci (France) and Aktor (Greece) has won end of 2013 the tender for 58 km of highway incl. tunnels and bridges for the first time crossing the Carpatian mountains on a highway from Comarnic to Brasov. This project will be the first mayor PPP project in traffic infrastructure in Romania.

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Schweighofer

AUSTRIAN INVESTMENTS IN ROMANIA

In 2013/14 Schweighofer invests 150 mil. Euro in a wood processing plant in Covasna. In addition to this project Schweighofer already operates plants in Sebes, Radauti, Siret and Comanesti as the largest investor in this sector.

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Raiffeisen Evolution

Floreasca Sky Tower – the highest building in Bucharest with 137 m.

Promenada Mall with a gross floor area of 55.000 sqm on 6 levels with 1.300 underground parking lots.

build by STRABAG in 2013

AUSTRIAN INVESTMENTS IN ROMANIA

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AUSTRIAN INVESTMENTS IN ROMANIA

BILLA Romania

Billa has increased it‘s network of shops in Romania to 80 outlets and belongs to the largest supermarket chains in Romnia.

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Kronospan

AUSTRIAN INVESTMENTS IN ROMANIA

Largest Austrian investment in Brasov county, producing chipboards and OSB boards. Two factories in Romania (Brasov and Sebes), overall investment of EUR 500 Mio.

After entering the market in 2011 with an acqusition of a 26% share, Austrian Post Group has acquired the remaining 74% of Post Master at the end of 2012 and has become the largest private alternative postal service company in Romania.

AUSTRIAN INVESTMENTS IN ROMANIA

Österreichische Post AG – Post Master Romania

In 2012 Verbund has finalized the first phase of 99 MW in a wind park in Casmicea in Dogrugea region. The second phase has been finalized in 2013 reaching 226 MW in total.

In 2012 Verbund has also built a 400-kV / 750 MVA transfomer station.

AUSTRIAN INVESTMENTS IN ROMANIA

Verbund

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Issues for Austrian Investors in Romania

Political stability – predictability of policies Better quality and more transparency for public tenders Large prevalence of black labour – efficient tax

administration EU structural funds – better absorption Skilled labor force – dual education Research and development – results in higher value added

for the local economy

Thank you very much for your interest!

Va mulțumesc pentru interesul dvs.!

Rudolf LukavskyCommercial Counsellor

Austrian Embassy – Commercial Section

T +40 372 068 900bucharest@advantageaustria.org

www.advantageaustria.org/ro

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