Austrian trade drops sharply on Germany, E.Europe
VIENNA, April 3 (Reuters) - Austrian exports dropped by 25 percent and imports by 18 percent year-on-year in January, driven by a sharp decline in trade with main partner Germany, data released by the statistics office showed on Friday.
Exports to Germany, which are about 30 percent of the total and a major driver of Austrian growth, dropped 24 percent, while imports from the northern neighbour were down 15 percent, according to the data. [ID:nL3376248]
A decline in exports this year that will be more severe than originally expected was the main reason for Austria's two economic researchers to slash their outlook last week, predicting the economy will contract by 2.2 to 2.7 percent.
Trade with emerging Europe including Russia, which as a whole account for 21 percent of exports and 13 percent of imports and used to be the fastest growing part, also declined sharply with exports down 26 percent and imports 24 percent.
By product categories, the main factor weighing down trade was cars and car parts, which used to be the biggest product category for both exports and imports in the past.
Big car parts makers in Austria include Magna International (MGa.TO) and steelmaker voestalpine (VOES.VI). General Motors' GM.N Opel makes engines in its plant near Vienna.
The value of exported cars and car parts halved compared to last January, while imports dropped by more than a third.
Exports of machinery for industrial applications, made by companies including Andritz (ANDR.VI) and A-TEC Industries (ATEC.VI), and steel exports from companies including voestalpine also dropped significantly. (Reporting by Boris Groendahl; Editing by Victoria Main)
