Information Technology
Italy is Europe’s fourth largest market for the Information Technology (IT) industry and the Italian Government is committed to modernizing the country through the use of new information and communication technologies. Many smaller Italian companies (under 250 employees), which number approximately 4.3 million and represent 40 percent of the IT market, are expected to continue to invest in IT innovation with the aim of increasing their productivity and competitiveness.

Tourism
The strong euro continues to drive Italian outbound tourism, especially to those areas where the U.S. dollar is used as the primary foreign currency. U.S.-bound tourism from Italy, with over 634,000 visitors, represents a 19% increase over the previous year, and the highest number of arrivals ever.

Medical Equipment
The Italian market for medical equipment & supplies ranks sixth in the world and is highly dependent on imports. and its high per capita income and sophisticated healthcare system translate into demand for a broad range of cutting-edge medical equipment. The best sales potential for U.S. manufactured medical equipment is: high frequency medical lasers, endoscopes and diagnostic imaging equipment, non-invasive and micro-surgery devices, anesthesiology equipment, EKG, stimulators and defibrillators, monitoring equipment, telemedicine equipment and services. A large percentage of medical equipment in Italian healthcare facilities is obsolete, and it is estimated that 30-35 percent are in need of replacement.

Airport and Ground Support Equipment
Italy is one of the most important European markets for airport and ground support equipment, with its 30 major and 70 minor airfields, handling 128 million passengers yearly, and air freight cargo activity of nearly 950,000 tons. Italian airport authorities are focusing their primary attention on: anti-intrusion systems, automated baggage handling systems, closed circuit video cameras, approach surveillance radar, sea rescue equipment, precision approach path indicators and radar, digital x-ray systems, fire detection and extinguishing equipment.

Telecommunications Equipment and Services
The Italian market for telecommunications equipment and services is the third largest in Europe. Italy is also the second largest mobile communications market in Western Europe and one of the most advanced. U.S. technology and standards are highly regarded, and the best opportunities for success will be for those companies offering innovative and sophisticated products. However, it is important that U.S. companies team up with well-established Italian firms for distribution or joint venture agreements in order to handle the bureaucratic procedure of public procurement.

Pleasure Boats and Accessories
The Italian pleasure boat industry is the largest in the EU and the second largest worldwide after the United States. In 2007, boat production saw an 11.4% increase, with estimated sales of$4.5 billion. The Italian market for pleasure boats is stimulated by the existence of 104 ports, marinas and small harbors offering almost 140,000 moorings along Italy’s 8,000 miles of waterways. In 2005, there were a total of75,314 watercraft registered over 24 feet in length. Typically, outboard motorboats are the most common type of American boat imported into Italy because many Italians believe American quality and technology cannot be matched. The largest imported American item is the outboard motorboat, with the U.S. holding about 28.4% of the import market in Italy

Automotive Parts and Service Equipment
Italy has one of the highest auto densities in the world (and Europe’s highest) and one of the oldest circulating auto fleets in Europe, about one third is older than ten years. Consequently, the budget and subsequent expenses related to maintenance repair equipment have continued to increase during the last few years. The market may be of real interest for U.S. manufacturers and interesting opportunities exist in the auto accessories and tuning sector, which may possibly grow in 2009.

Safety and Security Equipment
In Italy and across Europe, emphasis has been placed on homeland security, transportation and critical infrastructure protection. Key areas of interest include nuclear power plants, energy facilities, defense installations and other high risk facilities. New opportunities should continue to arise in the aviation, maritime, supply chain and rail security areas as a result of security measures mandated by regulatory bodies. U.S. security technology is considered advanced and sophisticated. Equipment with the greatest sales potential includes airport/passengerlbaggage screening equipment, cargo/container scanning equipment, access control systems, perimeter protection systems, fire-fighting equipment and systems, personal protection equipment, anti-intrusion systems, burglar alarms and automated home protection solutions.

Building Products and Architectural Construction and Engineering Services
The construction sector is fundamental for the Italian economy. During the nine years from 1998 to 2007 investments in construction in Italy grew by 29.4%, twice as much as the country’s overall GDP. However, the growth trend stopped during the second half of 2008, mainly due to the uncertainly surrounding both the Italian and global economies.

Pet Products
In Italy there are now 60 million pets in a country with 58 million people. According to the most recent estimates there are 7.5 million cats and 7 million dogs in Italy. Although home-cooked food for pets represents 44% of pet food consumption in Italy, the market for industrial or commercial pet food has also increased greatly in recent years. In 2007, cat food in Italy represented 38% of the pet food market and was valued at $915 million. Dog food represents 25% of the market and was valued at $616 million. According to the U.S. Census Bureau of the U.S. Department of Commerce, U.S. exports of animal feed to Italy recorded a 75% increase in 2007.

Biotechnology
Italy’s biotechnology industry has made remarkable progress in the past five years with the number of biotech companies growing from 83 in 2003 to 228 in 2007. Italy ranks among the leading countries in life sciences – in pharmaceuticals, it ranks third in Europe and fifth in the world. An area with particular growth potential is technology transfer. Companies devoted to healthcare dominate the biotech sector with primary areas of interest being oncology, immunology, infectious diseases and cardiovascular applications. Exports of products to serve research centers and healthcare facilities are promising prospects with particular demand for human diagnostics and instrumentation.

Agricultural Sectors
Italian industries, including the food processing sector, rely heavily on imports of raw materials. In 2007, total Italian food and agriculture imports exceeded $38.5 billion, of which $1 billion was from the United States. The U.S. is the primary supplier of wheat (2700,000 tons) for pasta and confectionary, forest products for furniture, tree nuts for bakery products, seeds for planting, hides and Skins, seafood for the restaurant sector and tobacco. Imports of U.S. wheat are forecast to continue for the foreseeable future and last year Italy imported $83.5 million of U.S. seafood products – the highest export level since at least 1970. Opportunities exist to supply fish (especially tuna, salmon, crab, surimi, roe, octopus and lobster. Opportunities also exist for fruit berries and condiments, fruit juices, and tree nuts – all sectors that have seen growth in recent years.