How much is the EU earning from high-tech products?
Economic Impact of Tech Sovereignty
Poinews.com – The European Union’s push for tech independence has placed the high-tech manufacturing industry at the forefront of its economic strategy. With a focus on reducing dependency on global tech giants, the bloc’s exports in this sector have shown steady growth, reaching €414 billion in 2024. This marks a notable rise from €273 billion in 2014, reflecting an average annual increase of 4.3%.
Breakdown of Key Sectors
Pharmaceuticals accounted for 29% of the total high-tech exports in 2024, followed by electronics and telecommunications at 23%. Scientific instruments contributed approximately 21% to the overall figure. The smallest share came from armaments, which represented just 1.1% of the EU’s high-tech product sales.
Global Trade Partnerships
In 2024, China and the US combined accounted for over half of the EU’s high-tech product imports from outside the bloc. Meanwhile, exports to the US made up 31% of the EU’s total high-tech sales, while China and the UK each saw 10% of the exports. The EU’s trade deficit with China totaled €92 billion, exceeding that of other countries like Taiwan (€19 billion) and Vietnam (€20 billion).
On the flip side, the EU recorded a trade surplus with Turkey (€11 billion), the UK (€27 billion), and the US (€46 billion), indicating strong economic ties with these regions.
Policy Initiatives for Tech Growth
Last month, the European Commission unveiled a comprehensive tech sovereignty plan aimed at strengthening domestic innovation. The strategy emphasizes cloud infrastructure, AI services, open-source technologies, and semiconductor production. It outlines four initiatives spanning the entire value chain, from hardware manufacturing to software development and artificial intelligence applications.
The most advanced stage of this plan targets sectors such as defense and healthcare, potentially restricting non-European firms from securing public contracts in these areas.
Industry Presence Across Member States
The high-tech manufacturing sector in the EU comprises over 42,000 companies, representing 0.1% of the total business population. Countries like Czechia, Slovakia, and Germany saw the highest concentration of such firms. When considering employment figures, Slovenia, Denmark, Ireland, and Hungary demonstrated the strongest representation of high-tech workers within their respective labor markets.
