After the European Union, the United States of America is the second most important export market for Slovenia, and in 15th place out of all of Slovenia’s external trade partners.
Special steel products produced by the steel group SIJ - Slovenska industrija jekla are, for example, used by the energy giant General Electric (GE), while the aluminum products made by the company Impol are used by American consumers when preparing coffee from a capsule, as advertised by American movie star, George Clooney.
Software and measuring tools produced by the Slovenian technological company, Dewesoft, are used by the automotive giant General Motors and the producer of agricultural mechanization, John Deere. It’s worth mentioning that a few years ago, Dewesoft developed software for the American space agency NASA, which allowed communication between the Space Shuttle and Earth.
For many years, the glass factory Steklarna Rogaška has offered products on the US market which consumers embrace, while the glass factory Steklarna Hrastnik is strengthening its presence on the US market. The US is a significant export market for internationally renowned Slovenian winemakers. More about the latter on pages 24-25.
Slovenian exports to the US last year grew by 7.1 percent
The data from the Slovenian statistical office shows that last year Slovenian companies exported a little over 580 million dollars’ worth of goods to the USA, whereas they imported a little over 355 million dollars of goods. Compared to 2015, Slovenian companies increased their exports by 7.1 percent, while importing 1.2 percent fewer goods than in 2015.
As in 2015, the trade in goods between Slovenia and the USA last year once again exceeded 900 million dollars. In total it amounted to just over 935 million dollars, which is 3.7 percent more than two years ago. “Because a lot of Slovenian products ‘travel’ through third countries we cannot determine the exact amount of trade in goods between Slovenia and the USA,” commented the Chamber of Commerce and Industry of Slovenia on the data.
The most important external trade partners of Slovenia are Germany, Italy and Austria, which account for close to 40 percent of the combined trade in goods. The value of exports of goods last year exceeded 27.4 billion dollars, while imports accounted for just over 25.7 billion dollars.
A little over 65 thousand Slovenian companies last year achieved almost 93 billion dollars of revenue from sales, which is four percent more than the year before. A good 35 billion dollars of revenue from sales was created by the companies on foreign markets, which is six percent more than the previous year. From a product standpoint, the most significant products for Slovenian export are road vehicles, medical and pharmaceutical products and electrical machines and devices, which together account for one third of goods exported.
USA among priority markets for Slovenia
The United States of America is considered one of the priority markets by Slovenia, where it wants to strengthen economic cooperation.
Of the economic sectors that present opportunities for Slovenian exporters, the Slovenian Ministry of Foreign Affairs points to information technology in particular. This includes various products of information technology, new technological solutions and new industry.
Among the sectors with the most potential for strengthening economic cooperation, the public agency SPIRIT Slovenija, which helps companies with internationalization of business, places great emphasis on those involved in the supply chain. For example, the automotive industry (including production of metal products and production of electrical and optical equipment), chemical industry, engineering, transport and logistics, food processing industry, wood processing industry, professional services, low-carbon technology and design were listed by the SPIRIT agency.
One of the areas of cooperation could also be start-ups, added the Slovenian Ministry of Foreign Affairs. “Since last September the ABC Global Home Silicon Valley has been operating successfully and this also includes Slovenian companies.” According to the Slovenian Foreign Ministry, tourism is also an important sector that could contribute to a better recognition of Slovenia and therefore open possibilities for cooperation in other areas as well.
Slovenia strives to attract more foreign direct investment
“In recent years, we have seen an increase in American investment in Slovenia compared to previous years. American investors were also active during the process of the privatization of Slovenian state-owned companies. We’d like to see this trend carry on,” pointed out the Slovenian Ministry of Foreign Affairs. According to data from the online service GVIN, there are 103 companies in Slovenia run with American capital and 45 companies run with mixed capital from the USA.
Investments are of great importance for Slovenia, since they bring new expertise and technology, which can then be upgraded with Slovenian skill and experience. “American investment was mostly in the form of takeovers and merging, although we hope that in the future we will be able to attract more green-field investments,” added the Foreign Ministry.
Among the foreign companies that made investments in Slovenia during the last two years were Merrill Lynch International, Wiltan Enterprises, Apollo Global Management and the American family-run business, Weiler Corporation. Merrill Lynch International and Wiltan Enterprises last year took over the sports goods manufacturer Elan, while the Apollo Global Management investment fund, which together with the EBRD bank owns 80 percent of NKBM, the second biggest Slovenian bank, this year through the Biser Bidco company took over another of the largest leasing companies in Slovenia, Summit Leasing, owned by the Japanese group Sumitomo Corporation. Two years ago, the American family-run business Weiler Corporation bought the Slovenian manufacturer of artificial abrasives Swatycomet, a company that sells its products in 75 different countries.
To gain investors for projects in Slovenia, the agency for stimulating internationalization and direct foreign investments, SPIRIT Slovenija, in recent years prepared several investment conferences. Slovenia also gathered the relevant investment opportunities for foreign investors in a special catalog of the Top 100 investment opportunities in Slovenia. “Slovenia would like to attract more foreign investments, mostly in the field of advanced technology and other fields with added value.” explained the SPIRIT Slovenija agency. They add that investment opportunities exist in numerous sectors within the Slovenian economy. “Investors are looking for opportunities in Slovenian tourism, processing industry, automotive industry, and banking.”