The annual business indicator survey of Austrian subsidiaries in Australia was conducted in October 2022. With more than EUR 1.1 billion in exports to Australia this year, Austrian exports (which reached a record high in 2019) have returned to the growth level of previous years before the COVID crisis. The COVID crisis has not stopped Austrian companies from expanding their market presence in Australia in the past two years. There have been no notable market exits, resulting in Austria having around 140 subsidiaries across Australia.
According to 59% of the participating companies, the development of the economic climate and the economic situation in Australia has remained the same (34%) or even improved (25%) over the past twelve months. This development is also expected to continue for the next twelve months.
The expectations for key business indicators give an optimistic outlook. Over half of the companies surveyed (56 %) expect an increase in total turnover and orders. In addition, forecasts for capacity utilisation, workforce size and investment volumes are also positive across the board. There is a small proportion (20%) of companies expecting a negative trend in the above-mentioned key indicators.
According to the survey, 80% of companies consider the availability of qualified labor in Australia to be bad (30%) or even very bad (50%). They also have the opinion that labor and raw material costs in Australia are high. Although these mentioned factors are compensated or even replaced by many positively rated factors. For example, at least 70% of the companies surveyed appreciate the high purchasing power, quality value, business payment practices, availability of qualified credit and capital markets, infrastructure, digitalisation, employment law, legal certainty, and political stability in Australia.
The detailed results of the indicator survey can be found below. If you have questions about the current economic situation in Australia, please do not hesitate to contact the ADVANTAGE AUSTRIA team in Sydney.
