ENTERING THE GERMAN MARKET- BUSINESS OPPORTUNITIES FOR … · “Dagmar at NRW.INVEST’s advice was invaluable in helping us find suitable suppliers to establish our company, recruit

ENTERING THE GERMAN MARKET-BUSINESS OPPORTUNITIES FOR UK COMPANIES IN NORTH RHINE-WESTPHALIA (NRW) London, 11th July 2019

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2 | Germany’s economy and its powerful states | 5/1/2019

THE UK AND NRW: HISTORY 1.

OPERATION MARRIAGE 6TH JUNE 1946

Constitutional Assembly 2nd Oct. 1946 at the Düsseldorf Opera House British Military Governor, William Ashbury, NRW‘s

first Minister President, Rudolph Amelunxen)

http://www.ford.de/

H.R.H. PRINCE WILLIAM IN DÜSSELDORF ON 23 AUGUST 2016

H.R.H., Prince William and Hannelore Kraft, State Minister President of North Rhine-Westphalia

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5 | Germany’s economy and its powerful states | 5/1/2019

GERMANY‘S ECONOMY AND ITS POWERFUL STATES 2.

GERMANY: EUROPE‘S LEADING ECONOMY

Source: GTAI, The World Bank 2018

6 | Germany – Europe‘s leading economy | Stand: 7/8/2019

GDP (in € bn) Share of Total GDP (EU 28)

Population in m Share of Total Population (EU 28)

Germany 3,386 21.3 % 82.2 16 %

UK 2,392 15.1 % 66.5 13.0 %

France 2,352 14.9 % 64.7 12.6 %

Italy 1,756 11.1 % 60.5 11.8 %

Spain 1,208 7.6 % 46.4 9.1 %

Netherlands 773 4.9 % 17.3 3.4 %

Poland 496 3.1 % 38.0 7.4 %

Sweden 467 2.9 % 10.2 2.0 %

USA 17,353 327.4

Japan 4,209 126.5

EU 28 15,875 100 % 512.4 100 %

Euro Area 11,570 73 % 341.5 67.0 %

GDP (in € bn)

Share of Total GDP (EU 28)

Population in m

Share of Total Population (EU 28)

Germany

3,386

21.3 %

82.2

16 %

UK

2,392

15.1 %

66.5

13.0 %

France

2,352

14.9 %

64.7

12.6 %

Italy

1,756

11.1 %

60.5

11.8 %

Spain

1,208

7.6 %

46.4

9.1 %

Netherlands

773

4.9 %

17.3

3.4 %

Poland

496

3.1 %

38.0

7.4 %

Sweden

467

2.9 %

10.2

2.0 %

USA

17,353

327.4

Japan

4,209

126.5

EU 28

15,875

100 %

512.4

100 %

Euro Area

11,570

73 %

341.5

67.0 %

NRW – STRONG, DYNAMIC AND CENTRAL IN EUROPA

BASIC DATA 2018 GERMANY NRW

*end of 2017

Area in sq.km 357,386 34,112 Population in million 82.2 17.9 Population density in sq.km 230 524 GDP 3,386 bn € 705 bn € GDP per capita 39,358 € 39,358 € Gainfully employed 44.8 m 9.5 m Private consumption 1,732.2 bn € 372.0 bn € Exports 1,317.7 bn € 196.1 bn € Imports 1,095.9 bn € 241.7 bn € Foreign direct investments* 740.7 bn € 172.5 bn €

7 © NRW.INVEST GmbH, Knowledgebase NRW, 7/1/2019

THE LEADING GERMAN STATE IN GDP

Germany's total GDP in 2018: EUR 3,386 bn

705.1 625.2

511.4 296.2 292.0

149.1 147.1

126.4 120.3

97.1

NRWBavaria

Baden-WürttembergLower Saxony

HesseRhineland-Palatinate

BerlinSaxony

HamburgSchleswig-Holstein

Source: IT.NRW, March 2019

© NRW.INVEST GmbH, Knowledgebase NRW, 6/1/2019 8

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| Germany's no. 1 investment location | 5/1/2019

KEY INDUSTRIAL SECTORS 3.

TOP LOCATION FOR MANUFACTURERS AND SUPPLIERS


Source: IT.NRW; the figures refer to companies with 20 and more employees

49.6 44.1

43.3 40.0

34.3 33.6

31.5 16.3

8.2 8.1

Mechanical engineeringChemicals

Metal production and processingFood, beverages

AutomotiveMetal products

Electrical engineering, electronicsRubber, plastic

Glass, ceramics, non-metallic mineralsCoke and refined petroleum products

Sales 2018 (in EUR bn)

UK IS ONE OF NRW’S MOST IMPORTANT TRADING PARTNERS

NetherlandsChina

FranceBelgium

USAItaly

PolandUK

AustriaSpain

SwitzerlandCzech Rep.

Japan

The most important trading partners of NRW in 2018 (in EUR billion)

Source: IT.NRW.March 2019

Total imports: EUR 241.7 billion Total exports: EUR 196.1 billion


63.4 40.3

30.7 24.4

22.9 21.4

20.4

15.8

20.3 16.2

13.2

9.1 12.7

NRW: HOME OF THE WORLD MARKET LEADERS 4.

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| Home of the world market leaders | 5/1/2019

A GLOBAL PLAYER‘S PLACE

20 of the 50 top-selling companies in Germany are based in NRW


http://www.bertelsmann.de/

SMEs – THE BACKBONE OF THE ECONOMY

© NRW.INVEST GmbH, Knowledgebase NRW, 6/1/2019

712,100 small and medium-sized companies

• They account for 99.5 % of all the companies in the state.

• They employ 78.8 % of all company employees subject to social insurance contributions.

• They provide 82.4 % of all training positions in NRW.

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NRW: GERMANY‘S NO. 1 INVESTMENT LOCATION 5.

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| Germany's no. 1 investment location | 5/1/2019

GERMANY'S NO. 1 INVESTMENT LOCATION

Volume of foreign direct investments in Germany 2017 (in EUR billion)

172.5

163.5

137.5

99.7

60.2

29.7

28.3

NRW

Hesse

Bavaria

Baden-Württemberg

Hamburg

Lower Saxony

Berlin

Source: Deutsche Bundesbank 6/2019, data: as of end of 2017

| Germany’s No. 1 investment location | data as of: 7/1/2019 16

AROUND 20,000 FOREIGN COMPANIES IN NRW

Well-known foreign companies in NRW

• 21,6 % of the foreign companies are based in NRW

• Foreign investors provide work for about 1 million persons

• Major investor countries are: the Netherlands, USA, Switzerland, Great Britain, France, VR China, Austria, Japan, Italy, Russia and Turkey.

• Approx. 1,500 UK companies in NRW • Examples: Vodafone, Rentokil, Dyson,

Johnson Matthey, Lush, GKN, BP, JSP Safety Products, Webtec etc.


THE UK ARE NRW’S 3RD MOST IMPORTANT INVESTOR COUNTRY

The biggest foreign investor countries in NRW (in EUR billion)

65.6

32.2

11.8 10.8 9.7 9.6 7.6 5.9 5.2 4.7 4.5 2.3 1.6

Source: Deutsche Bundesbank 5/2018, data: as of end of 2016; special case Luxemburg: mainly financial investments


EUROPE’S GATEWAY WITH AN EXCELLENT TRANSPORT INFRASTRUCTURE 6.

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| Europe's gateway with an excellent transport infrastructure | 5/1/2019

OVER 200 NONSTOP FLIGHTS FROM 14 UK DESTINATIONS TO DÜSSELDORF

216 nonstop flights per week from the UK to Düsseldorf

Route Airline Summer

2018 week 25 (frequency)

Birmingham Flybe Germanwings 23 18

Bristol bmi regional 6

Cardiff Flybe 1 Edinburg Eurowings 3

Guernsey Flybe Eurowings 1 1

Glasgow Eurowings 6

Jersey Eurowings 2

Leeds/Bradford Flybe 6

London City Flybe BA Cityflyer 16 20

London Heathrow British Airways Eurowings 36 28

Manchester Flybe Eurowings 18 18

Newcastle Eurowings 6

Newquay Eurowings 1

Southampton Flybe 6

Total max 216 Sources: Düsseldorf International Airport, April 2018 (sample week June 2018)

MAN

NCL

NQY

LBA

BHX

JER

GCI

GLA

CWL

BRS

LCY LHR LGW

SOU

EDI

HOW TO FIND PROPERTY? 7.

ON THE MARKET FOR OVER 55 YEARS

| Basispräsentation NRW.INVEST | Stand: 01.05.2018 22

NRW.INVEST GmbH

• Wholly owned subsidiary of the State of NRW

• Head office in Düsseldorf, founded 1960 • 74 employees

- 37 in Düsseldorf - 37 in the international offices

• Chairman of the Supervisory Board State Secretary Christoph Dammermann, Ministry of Economic Affairs, Innovation, Digitization and Energy of the State of NRW

• CEO Petra Wassner

16 INTERNATIONAL OFFICES IN IMPORTANT LOCAL MARKETS #NRWORLDWIDE

| Basispräsentation NRW.INVEST | Stand: 01.05.2018 23

FAST TRACK PACKAGE FOR UK COMPANIES IN NRW

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Free services include

• Getting you started An experienced key relationship manager will help you get your business established in NRW

• Professional Advice Access to a network of legal, accounting professionals

• Premises Access to office, production and warehouse space

• Free information service All you need to make your decision: - labour costs, availability and skills, demographics, links to academic and business networks

| Service for Investors | 5/1/2018

FAST TRACK PACKAGE FOR UK COMPANIES IN NRW

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Free services include

• Access to qualified labour Help in finding and recruiting people

• Free advice on funding sources, including grants and incentive programmes

• Marketing support Providing a platform for your company to advertise your products and services through events, publications, etc.

| Service for Investors | 5/1/2018

HELPING CUSTOMERS TO IMPROVE PRODUCTIVITY OF THEIR HEAVY MACHINERY…

• Based in St. Ives, Cambridgeshire, Webtec Products Ltd is a world leader in the design and manufacture of customised hydraulic solutions in low-to-medium volume on short lead times.

• For over 50 years Webtec has been helping companies worldwide in the Industrial, Mobile, and Agricultural sectors improve the productivity of their machinery.

• Webtec employs 60 people worldwide and generates a revenue of 10m EUR

No. xxx

www.webtec.com

WEBTEC (EUROPE) GMBH, OPENS IN LEVERKUSEN IN MAY 2019

No. 386

Martin Cuthbert, Managing Director, Webtec (Europe) GmbH “Webtec has been serving German, Swiss and Austrian customers for over 25 years via our virtual office in Dortmund”. In late 2018 we felt it was the right time to establish our European Sales & Support office in Germany. Having a company registered in Germany will ensure that our future trading continues to be seamless and we will be ideally placed to offer customers a high level of local support. In May 2019 we opened our office in Leverkusen where we now have a small team, including our new Business Development Manager and we are currently recruiting for an inside Sales person to join our team.

Martin Cuthbert, Managing Director

THE SUPPORT OF NRW.INVEST WAS KEY TO A SMOOTH SETUP

Why NRW? 1) Proximity to our customers 2) World-class engineering talent 3) Fantastic logistics & access to EU

“Dagmar at NRW.INVEST’s advice was invaluable in helping us find suitable suppliers to establish our company, recruit our business development manager as well as arranging multiple visits around NRW to help identify the best place to set up our office”.

THE WEBTEC CASE STORY

March 2018: • First contact with Webtec. • Information on business opportunities in NRW • Martin Cuthbert, MD, Webtec, asks NRW.INVEST to start a property search • Sales Office and small warehouse in a technology centre for 1-2 people with

expansion potential

April 2018 • Visit to Düsseldorf with site viewings in Düsseldorf and Neuss

May 2018 • Webtec needs more time because of other priorities

June 2018 • New property search and site viewings in the Greater Cologne and Aachen

region

THE WEBTEC CASE STORY

September 2018 Webtec asks for help in recruiting people. List of recruitment agencies provided.

December 2018 Webtec meets candidates at NRW.INVEST office in Düsseldorf

January 2019 Webtec employs Sales Manager (for May).

March 2019: New property search and site viewings in Leverkusen

April 2019 Webtec decides to establish their German HQ in Leverkusen

May 2019 Webtec starts operation in NRW.

Welcome to North Rhine-Westphalia and Leverkusen!

OUR REPRESENTATIVE IN THE UK

Andrew Harfoot Representative +44 1732 375412 [email protected]

Economic Development Agency of the German State of North Rhine-Westphalia (NRW) 9 Tonbridge Chambers, Pembury Road Tonbridge, Kent TN9 2HZ, United Kingdom

| Contact | 5/1/2019 34

FEEL FREE TO CONTACT US

NRW.INVEST GmbH Economic Development Agency of the German State of North Rhine-Westphalia (NRW) Völklinger Straße 4, 40219 Düsseldorf, Germany

Dagmar Wülknitz Head of Business Unit UK, France, Italy, Nordic Countries

+49 211 13000-147 [email protected] www.nrwinvest.com

Entering the german market-Business opportunities for UK companies in north Rhine-Westphalia (NRW)�London, 11th July 2019The UK and NRW: HistoryOperation Marriage 6th June 1946H.R.H. Prince William in Düsseldorf�on 23 August 2016germany‘s economy and its powerful statesGermany: Europe‘s leading economyNRW – sTrong, DYNAMiC aND cENTRAL IN EUROPAThe leading German state in GDP Key industrial sectorsTop location for manufacturers and suppliersUK is one of NRW’s most important trading partnersNRW: HOME OF THE WORLD MARKET LEADERSA global player‘s placeSMEs – the backbone of the economyNRW: Germany‘s No. 1 investment locationGermany's no. 1 investment locationAround 20,000 foreign companies in nrwThe UK are NRW’s 3rd most important investor countryEUROPE’S GATEWAY WITH AN EXCELLENT TRANSPORT INFRASTRUCTURE Over 200 nonstop flights from 14 UK destinations to DüsseldorfSlide Number 21On the market for over 55 years16 international offices in important local markets �#NRWorldWideFast track package for UK companies in nrwFast track package for Uk companies in nrwHelping customers to improve productivity of their heavy machinery…Webtec (Europe) GmbH, opens in Leverkusen in May 2019The support of NRW.INVEST was key to a smooth setupThe Webtec Case StoryThe Webtec Case StoryOur representative in the UKSlide Number 34

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ENTERING THE GERMAN MARKET- BUSINESS OPPORTUNITIES FOR … · “Dagmar at NRW.INVEST’s advice was invaluable in helping us find suitable suppliers to establish our company, recruit