Germany                            

VII.

back to top

In 2006, Germany was the Philippines' 9^th trading partner, accounting for 3.17% share of the total Philippine trade with the world of US$99.19 Billion; 9^th as an export market accounting for 3.76% share of the total exports of the Philippines to the world of US$47.41 Billion; and 12^th as an import source, accounting for 2.64% share of the total Philippine imports from the world of US$ 51.78 Billion.

back to top

back to top

back to top

V.   MARKET OPPORTUNITIES

• Germany is a strong market with its more than 82 million population maintaining a healthy disposable income, with buying preference leaning towards high-quality, value-for-money products.  Its ageing population is pushing the sales of self-medication drugs, multivitamin preparations, and natural/herbal products.  While prescription drugs continue to be highly regulated, market entry for bio-technically derived or technologically advanced drugs has been eased.
  
  

• The largest consumer segment, with a 32% market share, is the automotive industry. This is mainly because automobile electronics, especially electronic data transmission systems, and security-based applications (e.g., ESP), have become more important and accessible for everyone. Applications recently reserved for up-market cars only are now found in mid-sized cars, as well.
  
  

• A constant and increasing demand for electronics in automobiles (motor management, security, infotainment {including telematics}, comfort) is expected to guarantee annual market growth of nearly 5% or around $7.5 billion yearly.
  
  

• With an electronic components market share of around 24.5% ($5.21 Billion) yearly, the data systems technology segment represents the second largest customer group. Increased demand is expected for selected components like ceramic/tantalum capacitors, NTC thermistors, AC/DC converters, applied to storage devices, power supplies, and peripherals. 
  
  

• Wireless technologies, bluetooth technology, base stations, and a new generation of mobile phones reflect an expected and significant increase in demand for ceramic/NTC capacitors, LTCC modules, GPS filters, chip capacitors, varistors, etc.  
  
  

• Industrial electronics, the fourth largest segment, represents around 17.5% of the German market. With the advance of mobile communications into industry sectors such as traffic and transportation, energy, production machinery, medical technology, and light engineering, a multitude of excellent sales opportunities for power hips and condensers exists. Additionally, components for frequency converters (inductors, ultra condensers, ceramics, capacitors, ferrites and accessories) will be in high demand. 
  
  

• The import climate for electronic components in Germany is very good.  No import duties are levied on electronic components, with the exception of several types of electron tubes. Imports from EU or EFTA countries enter the German market duty-free. An import-turnover tax is applied but is passed on to the final consumer as a value-added tax (VAT). VAT applies equally to European and German competitors. The VAT in Germany is currently 16%.

Source: German Brief  2007

back to top

1. http://www.cbi.eu - Market Information for the European Union (EU) and selected individual member-countries. Free registration.
   
   

2. http://europa.eu/index_en.htm - Official website of the European Commission. Free access.
   
   

3. http://export-help.cec.eu.int - Online service provided by the European Commission to facilitate market access to the European Union for developing countries. Includes information on EU GSP. FREE access.

back to top