The new global challenges for Piedmontese companies in the SACE 2018 Export Report
At the center of the conference organized by SACE SIMEST and Intesa Sanpaolo, the company's point of view: Sanlorenzo Yacht, Asja Ambiente Italia, Mecaer Aviation Group
While the latest rounds of tariffs strengthen US-China tensions, fears of a trade war take first place among the risks that most concern businesses, especially those that export. How will the rules change for those aiming at foreign markets? But above all how will the complexity of this new scenario confront the Italian small and medium-sized enterprises, seizing the opportunities that export and internationalization can offer?
It is from these questions that today in Turin (at the Intesa Sanpaolo Skyscraper in Corso Inghilterra) the conference "Piedmontese exports between duties, Trump and geopolitical instability" organized by Intesa Sanpaolo and SACE SIMEST, the export and internationalization of the CDP Group, to analyze the perspectives and present the most suitable tools to support the export and the districts of the Region, in an international context that also begins to threaten the foreign performance of the Piedmontese companies.
At the center of the event is the point of view of companies and finance: Licia Mattioli, Vice President for the internationalization of Confindustria, Stefano Favale, Head of Global Transaction Banking of Intesa Sanpaolo, Massimo Perotti, President and CEO of Sanlorenzo Yacht, Agostino Re Rebaudengo, President and Founder of Asja Ambiente Italia and Alberto Ribolla, Chairman of the Mecaer Aviation Group, discussed the opportunities and strategies for dealing with international markets.
"Exports and internationalization represent and will continue to represent the main driver of economic growth in the future, both nationally and regionally - said Alessandro Decio, SACE's CEO - It is very important that Italian and Piedmontese companies , often absolute excellence in their markets, are supported in their international growth at best, continuously and in a sustainable manner, both through financial support and with specialized know-how. As SACE SIMEST Polo only in the last year we have mobilized over 900 millions of euro in support of the foreign growth plans of more 1.200 Piedmontese companies and in the future we hope to contribute more and more, also through a greater complementarity with the banking system. This event is an important confirmation of our historic and successful collaboration with Intesa Sanpaolo, at a time when it is essential to join forces to offer companies the necessary tools to grow in foreign markets ".
"Even from our point of view, despite a slight decline in international trade, exports will remain the lever of Italian growth - declared Stefano Barrese, Head of the Banca dei Territori Division, Intesa Sanpaolo - We have supported the internationalization of 64.000 companies and we think that working in synergy there are further important spaces for growth. With this in mind, the agreement with SACE signed at the beginning of the year is giving important results. It must be said that in recent years the geographical and cultural distance of the outlet markets has increased, increasingly concentrated in Asia. Having invested in a foreign network capable of covering 100 countries around the world was crucial. As will the offer of training programs and digital communication to companies: Piedmont was the first to benefit from the Digital4export program, which we then brought to other regions as well. Finally, it makes it easier for us to be able to work with companies across the supply chain: in Italy we have developed around 600 contracts, of which 70 in Piedmont, which correspond to a turnover of over 40 billion and over 15.000 suppliers connected nationwide ".
The works were opened by the presidents of SACE and SIMEST, Beniamino Quintieri and Salvatore Rebecchini. Stefano Barrese explained how Intesa Sanpaolo supports the growth in international markets of client companies, while Alessandro Terzulli, Chief Economist at SACE, presented trends and prospects for exporting companies developed in the 2018 Export Report. After the round table with the testimonies of the company, Alessandro Decio closed the proceedings.
Export: trends and perspectives for Piedmontese companies and districts
By the SACE SIMEST and Intesa Sanpaolo study office
The international projection of Piedmont is strong, the fourth Italian exporting region with about 48 billion euros of export in 2017, up + 7,7% compared to the previous year.
The performance of the last year was driven by mechanical engineering (+ 9,9%, thanks to demand from the United States and China, both more than 30%) and food & beverages (+ 10,9%, up sharply towards Spain and Belgium): two distinctive sectors of Made in Piedmont which alone account for over 29% of the total sales of regional companies abroad. The trend was good, also confirmed in the first half of the year also for the rubber & plastic and textile & clothing sectors. On the other hand, the trend of means of transport & automotive is under observation: the first Piedmontese export sector, which alone (weighs for 24,3%), recorded growth of 3,7% in 2017, but has affected by the drop in global demand in the first half of the current year (-8,7%).
With regard to the main geographies of destination, 2017 was a positive year for Piedmontese exports to France (+ 9,3%), Switzerland (+ 9,3%) and Spain (+ 8,7%). These are three of the top five destinations and demand 25,1% of the goods exported from the region. Even Germany and the United States, which complete the quintet, have increased their imports of Piedmontese products, albeit at a lower rate (both of 3,4%). Most of the products of the North-West region are directed towards advanced countries (for 75%); there are therefore wide margins of diversification towards emerging markets with high potential, from which interesting medium-long term opportunities will arrive and which have shown good dynamics also in the last year: in addition to Asia, which has a leading role, also the countries of the CIS area and Latin America. On the contrary, the demand for Piedmontese goods from the Middle East and North Africa decreased.
The 2017 was a year of even more intense growth for the exports of the Piedmontese districts (+ 14,4% equal to an increase in value of 1,1 billion), which managed to achieve results well above the average of the Italian districts (5,3 %), also thanks to constant growth in the four quarters of the year. The excellent result was obtained thanks to the increase in exports of well 9 districts on 11; 4 of these were among the first 20 on a national scale in terms of export growth: Valenza Goldsmithing in first place (+ 33,8%, equal to 524 million euros), Dolci di Alba and Cuneo in fourth place (+ 26% , corresponding to an increase in exports of 248 million euros), Vini delle Langhe, Roero and Monferrato to sixteenth place (+ 10,2%, equal to 125 million euros), Rubinetteria and Valvolame di Cusio-Valsesia to the seventeenth (+ 9,9 %, equal to an increase in exports of 124 million euros).
The 2017 was characterized by a positive trend in Piedmontese district exports both on new markets (+ 9,8%) and on mature markets (+ 16,2%). France, Switzerland, Spain, the United Kingdom, the United States, Hong Kong, China and Russia are the markets where the exports of the Piedmont districts have grown more in value. Saudi Arabia, United Arab Emirates, Algeria, Egypt and Germany have had a negative impact.
Even in the first half of 2018, the export of industrial districts performed better than regional exports. Exports have indeed increased by 3,1%, higher than the average for Italian districts of the same period (+ 2,8%). The export performance of the Wines of the Langhe, Roero and Monferrato was particularly brilliant (+ 17,1% equal to about 104 million of exports more than the first half of 2017). Strong growth in exports also for the Alba and Cuneo desserts (+ 8,1%) and the Vercelli rice (+ 8%). In contrast, the Textile Machines of Biella and the Oreficeria di Valenza. However, the goldsmith's exports remained at historically high levels, registering a physiological settlement after last year's leap. Switzerland, the United Kingdom, Germany and the United States are the markets where exports of the Piedmont districts have increased in value in the first half of the year 2018. France, Austria, Hong Kong and Taiwan, the markets that recorded the most intense declines.