Neighbourhood cooperation for a sustainable trade and investment policy

Client/Funding Institution

Federal Ministry of Science, Research and Economy


This study focuses on the potential for cooperative activities of trade and foreign direct investment (FDI) policies with Austria and its neighbouring countries to further promote competitiveness of all countries and firms involved on the world markets, with a particular focus on oversea destinations. First, a detailed analysis of actual trends and patterns of trade and FDI at the global level and with a focus on the neighbouring countries is provided. Particularly, the study presents evidence on commonalities and differences of these countries in geographical patterns of trade and foreign direct investment both in Europe and more distant markets like Asia, Africa and America. Second, based on these findings a rationale for potential cooperative activities at the institutional level and the trade-off between benefits of cooperation on the one hand and the issue of competition amongst involved parties on the other hand are discussed. The study finally outlines some suggestions for concrete cooperative activities that were developed on the basis of discussions with practitioners. An appendix lists institutions involved in export promotion in the neighbouring countries and outlines existing activities in Austria that might serve as a starting point for developing cooperative activities, which in the future might be integrated into a policy framework promoting a competitive position in world markets for all partners.


October 2015 - January 2016

wiiw team Leader

Robert Stehrer

wiiw Staff

Gabor Hunya, Sandor Richter, Roman Stöllinger

Keywords: global trade and FDI, export structures, regional FDI patterns, export promotion

Countries covered: Austria, Czechia, Germany, Hungary, Italy, Slovakia, Slovenia, Switzerland

Research Areas: International Trade, Competitiveness and FDI