SAXONY-ANHALT – A BUSINESS LOCATION FULL OF OPPORTUNITIES Marostica Business Day July 6th 2017 SAXONY-ANHALT OUTLINE 1 – IMG: Investment and Marketing Group 2 – Saxony-Anhalt: a business location full of opportunities 3 – A center of research 4 – Leading industries 5 – Italian success stories 6 – Investment incentices 7 – Quality of life 8 - Summary / / 01 / IMG – INVESTMENT AND MARKETING CORPORATION SAXONY-ANHALT 01 / SAXONY-ANHALT: IMG IMG is the investment promotion and marketing agency of the German federal State of Saxony- Anhalt IMG is 100 % owned by the state government and chaired by the Ministry of Economy, Science and Digitalisation IMG supports investors throughout the investment Your Partner – IMG Saxony-Anhalt lifecycle – at no charge for the investor IMG has a track record of more than 200 projects IMG is responsible for promoting Saxony-Anhalt as a tourism destination /// IMG Sachsen-Anhalt mbH /// 06.07.2017 6 02 / SAXONY-ANHALT: IMG - SERVICES IMG Investment and Marketing Corporation Saxony-Anhalt Location & Tourism Investment Marketing Consultancy Location Marketing We support you in the site search Creating demand We support you through targeted in financing issues marketing Key brands We support you in dealing with the authorities Sustainable We support you success in project with excellent implementation market research /// IMG Sachsen-Anhalt mbH /// 06.07.2017 7 03 / SAXONY-ANHALT: IMG - WORLD CLASS SERVICE The editors of Site Selection and a distinguished panel of global foreign direct investment experts and site consultants are pleased to announce the Top Global Investment Promotion Agencies for 2016. These agencies accumulated the most points in a set of criteria that include: Most professionally responsive to investor inquiries Most knowledgeable and linguistically diverse staff Most access to user-friendly databases of sites and incentives, both general and sector-specific Best information on timing expectations for permitting and other processes Best access to recent investors in the region for testimonials Best reputation for protecting investor confidentiality Best reputation for after-care services /// IMG Sachsen-Anhalt mbH /// 06.07.2017 8 04 / SAXONY-ANHALT: IMG - TEAM INTERNATIONAL Oliver Köhn Mathias Obieglo Head of International Team Asia Tel: +49 (0) 391 / 568 99 30 Tel: +49 (0) 391 / 568 99 25 [email protected] [email protected] Kristin Gabor Dana Brüggeman North America UK, BeNeLux Tel: +49 (0) 391 / 568 99 22 Tel: +49 (0) 391 / 568 99 23 [email protected] [email protected] Christiane Kühne Tanja Rüdinger Austria and Switzerland Press and PR Tel: +49 (0) 391 / 568 99 39 Tel: +49 (0) 391 / 568 99 76 [email protected] [email protected] /// IMG Sachsen-Anhalt mbH /// 06.07.2017 9 02 / GERMAN FEDERAL STATE SAXONY-ANHALT 01 / SAXONY-ANHALT: OVERVIEW Major cities: Magdeburg (capital), Halle Size: 20,447 sq GDP (2015): 56.2 billion km EUR Inhabitants: 2.3 million Universities: 7 Saxony-Anhalt is located in the center of the EU27, a market with >500 million consumers The region is part of the largest market Germany with 82 million consumers € 6.5 bn. of fixed assets form 33 % of foreign investment into East Germany and make Saxony-Anhalt the number 1 location for FDI in the region /// IMG Sachsen-Anhalt mbH /// 06.07.2017 11 02 / SAXONY-ANHALT: INFRASTRUCTURE Highways Kiel One of the most efficient road networks in Europe with the following highways: Hamburg Schwerin Bremen A2 Netherlands - Ruhr Area - Magdeburg - Berlin - Poland Berlin A9 Berlin - Halle/Leipzig - Munich Hannover Potsdam Magdeburg A14 Magdeburg - Halle/Leipzig - Dresden Düsseldorf Dresden A38 Gottingen - Halle/Leipzig Erfurt Wiesbaden Intermodal Transport Mainz 5 trimodal terminals Saarbrücken Water level-independent connections to Antwerp, Rotterdam, Amsterdam, Hamburg, Berlin and Szczecin (PL) Stuttgart München Airport Leipzig/Halle: European air cargo hub serving 51 destinations Major German Highways in 13 countries; 24-hour operating permit for air freight traffic /// IMG Sachsen-Anhalt mbH /// 06.07.2017 12 03 / SAXONY-ANHALT: AIRPORTS International Airports 1 Airport Berlin 7 Berlin 2 Airport Hanover Im Bau 2 1 3 Airport Leipzig/Halle Hanover 5 Magdeburg 4 Regional Airports 6 Dessau 4 Airport Cochstedt 9 Halle 5 Business Airport Magdeburg 8 3 6 Business Airport Dessau Leipzig 7 Business Airport Stendal-Borstel 8 Business Airport Halle-Oppin 9 Airport Ballenstedt Highway 4-lane national road /// IMG Sachsen-Anhalt mbH /// 06.07.2017 13 03 / SAXONY-ANHALT: EASY ACCESS Be quickly in the metropolis of Europe Non-stop flights to London 1 h 45 min flight time Amsterdam 1 h 15 min flight time Paris 1 h 40 min flight time Bern 1 h 40 min flight time Rome 2 h flight time Madrid 2 h 30 min flight time Barcelona 2 h 15 min flight time and beyond … New York 8 h flight time Cairo 4 h flight time Beijing 9 h flight time Source: Airport Leipzig-Halle 2015 Singapore 12 h flight time (From Berlin Airports Tegel /Schönefeld (and soon from Airport Berlin Brandenburg - currently under construction)) /// IMG Sachsen-Anhalt mbH /// 06/07/2017 14 04 / SAXONY-ANHALT: WATERWAYS Saxony-Anhalt’s inland ports are well connected to all Kiel major sea hubs, including Hamburg and Rotterdam Hamburg Schwerin The Magdeburg and Halle port management BremenWeser companies offer additional logistical services, i. e. Hannover Berlin Mittelland Canal Potsdam multimodal transport. Additionally, Magdeburg has a Magdeburg customs office Düsseldorf Dresden Erfurt Distances to Hamburg via Waterways from: Wiesbaden Magdeburg Aken Dessau-Roßlau Haldensleben Mainz 300 km 345 km 360 km 280 km Saarbrücken 48-72 h 72-96 h 72-96 h 48-72 h Stuttgart München Inland Waterways in Germany /// IMG Sachsen-Anhalt mbH /// 06.07.2017 15 05 / SAXONY-ANHALT: BUSINESS ENVIRONMENT Business Environment Corporate taxes and VAT 2016 (in %) high safety standards 40 a high level of protection for intellectual 35 property 30 political stability and a reliable legal system 25 20 high industry acceptance 15 10 Service 5 0 fast and easy approval procedures (e.g. planning permission generally issued in 4 weeks) free, professional and client-oriented Corporate taxes and VAT in comparison VAT (in %) consultancy services by IMG (in %) /// IMG Sachsen-Anhalt mbH /// 06.07.2017 16 06 / SAXONY-ANHALT: LABOUR MARKET Highly skilled GDP per hour worked, G7 countries 2010 to 2015 90% of all employees possess a vocational or 106 university degree (OECD average: 71%) 105 High availability of skilled employees Canada 104 Germany 55,000 students in Saxony-Anhalt 103 France Italy 102 Japan Flexibility 101 United Kingdom United States High willingness among employees to work 100 flexible hours and relocate or travel 99 2010 2011 2012 2013 2014 2015 High motivation and company loyalty, employee turnover <1% source: data.oecd.org Company-specific working schedules (24/7) /// IMG Sachsen-Anhalt mbH /// 06.07.2017 17 09 / SAXONY-ANHALT: COST OF LAND The average price of industrial fully developed Cost of industrial land in ground in Saxony-Anhalt is far below the German average, and lower than most other EUR/m² German regions 250 200 In Saxony-Anhalt the average price per m² for developed sites is about 12 €/m² 150 100 50 0 /// IMG Sachsen-Anhalt mbH /// 06.07.2017 18 03 / SAXONY-ANHALT: A CENTER OF RESEARCH 01 / SAXONY-ANHALT: A CENTER OF RESEARCH University University Martin Luther Otto von Guericke Magdeburg Halle/Wittenberg Ca. 15,000 students in 9 faculties and 56 500 years of tradition, ca. 17,000 students in study programs (social, economic and 180 study programs technical/chemical) Institute of Physics: productive center of condensed matter Institute for Process Engineering: particle physics, with specific key subjects in technology, production of nanoparticles Stendal Magdeburg hard- and soft-matter science Institute of Fluid Dynamics and Solid-state physics Thermodynamics Institute of Chemistry, Institute of Computer Magdeburg Instrumental and Environmental Sciences Technology Department Bernburg Halberstadt Köthen FH Magdeburg/Stendal Chemical Institute Wernigerode Dessau Ca. 6,000 students in social, economical and Institute of Computer Sciences technical education Fachhochschule Harz Halle FH Anhalt Ca. 4,000 students in 19 study programs economy and technology Ca. 6,500 students in the fields of technology, Merseburg civil engineering Burg Giebichenstein Halle FH Merseburg More than 1.000 students in art and Ca. 3,400 students in interdisciplinary study design programs /// IMG Sachsen-Anhalt mbH /// 06.07.2017 20 03 / SAXONY-ANHALT: A CENTER OF RESEARCH Scientific institutions Max Planck Institute Experimental Factory Fraunhofer Institute for Factory Centre for Neuroscientific Innovation Operation and Automation (IFF) and Technology Leibniz Institute for four innovation and start-up centres Neurobiology (IfN) Port of sciences /// IMG Sachsen-Anhalt mbH /// 06.07.2017 21 04 / SAXONY-ANHALT: INDUSTRIES 01 / SAXONY-ANHALT: INDUSTRIES Mechanical Engineering Chemical Life Science and Plastics Industry Key Industries Automotive Logistics Industry Renewable Food Energy Industry /// IMG Sachsen-Anhalt mbH /// 06/07/2017 23 02 / SAXONY-ANHALT: MECHANICAL ENGINEERING Industry Overview: machine tool building, steel and custom machine engineering power station and conveyor technology, stranding machines motors/ motor elements foundries / foundry technology renewable energies automation and