According to a recent report by the Intesa Sanpaolo Study Centre, Israel's trade in 2015 was approximately $126 billion (-10,7% year-over-year), where exports (64,1 billion, -7,1%) were higher than imports (62,1 billion, -14,2%). The data for the first half of this year show a 3,5% recovery in imports, while exports further decreased by 9,2%. The value of trades was affected by the drop in precious metal prices and by the exchange rate trend. In this scenario, it highlights how trade flows are mainly aimed at European markets (over 40%), in particular towards the United Kingdom (5%), Switzerland (4,7%) and Belgium (4,6%). The American continent supplies 15% of imports and purchases 32% of exports, thanks to the USA which represents Israel's main trading partner with a share of over 20% of trade. Asia supplies 25% and purchases around 29% of total exports, with China accounting for more than 7% of total trade. Italy ranks sixth among suppliers with 4% of imports, while it is fifteenth among customers with 1% of exports.
The merchandise detail of imports sees the prevalence of machinery (27%), stones, glass and ceramics (13%), minerals (13%), chemical products (10%) and means of transport (9%). In turn, exports are represented by machinery (29%), stones, glass and ceramics (29%), chemical products (22%), means of transport (5%) and rubber and plastic (4%). The Israeli manufacturing industry, excluding diamond processing, sees the prevalence of the machinery sector (over 30%) and of chemicals and pharmaceuticals (25%), followed by food (12%), metallurgy (10%), non-metallic minerals (8%) and means of transport (5%).
The stock of foreign direct investment in Israel in 2014 amounted to $99 billion (32% of GDP). The largest investor is represented by the USA with a share of 40%, whereas Italy has a share of 5%. The main target sectors are those of computers and electronic machinery (18%), financial services (12%), metallurgy (12%) and scientific research (7%). Here then is that Italian trade with Israel has been growing over time (+3,9% annual average over the last ten years), reaching 2011 billion euros in 3,37. Similarly to what happened for Israel's international trade, trade with Italy also suffered a decline in 2012 (3 billion), but then gradually climbed back up to 3,35 billion in 2015. Last year, Italian imports from Israel amounted to 889 million (-1,8%), while Italian exports reached 2,465 billion (+8,4%). The share of trade on the overall Italian total is substantially stable at around 0,4% and the net balance was positive for Made in Italy of around 1,58 billion in 2015, an increase compared to the recent past (679 million in 2005) . The breakdown by category shows a surplus for Italy in terms of machinery, both mechanical (364 million) and electrical (118 million), means of transport (335 million), metals (152 million), rubber and plastic (151 million) , food products (151 million), miscellaneous goods (142 million). At the same time, there is a deficit in chemicals (about 27 million), agricultural products (35 million), electronic devices and computers (5 million).
Italy mainly imports chemical products for a share of the total of over 31% (especially plastics in primary forms, basic organic chemicals, fertilizers, agro-pharmaceuticals and agricultural chemicals), computers and electronic appliances (over 9%, mainly optical and photographic instruments, measurement, telecommunications equipment), refined petroleum products (9%). Almost 17% of exports consist of mechanical machinery (in particular lifting and handling machines, general purpose machines, non-domestic use equipment for ventilation and refrigeration, special purpose machines, pumps and compressors), means of transport for 15% (planes and aircraft) , chemical products (10%, in particular from basic organic chemical products, plastic materials in primary forms, paints, varnishes and enamels), metals (9%, in detail iron, cast iron and primary steel, various metal products ). In 2015, the export of means of transport grew (+56%), driven by the aeronautical sector. Exports of food products (+13%), metals (+9%) and chemical products (+7%) also increased. Among the imports, however, the most incisive increases were recorded by jewelery and metals (+22%). Among the most significant declines in export items are agricultural products (-33%), while for imports means of transport (-30%) and chemical products (-14%). The data updated to the first half of 2016 show a further slight drop in imports (-0,2%), which amount to 562 million euros, while exports show a decrease of 0,5% to 1,46 billion.
If we evaluate the specific classes that make up the main product categories, we note the importance of organic chemical products and ceramic products: the share destined for Israel represents respectively 1,6% and 1,5% of the total exported. A similar share is given by stones, cement and mica (1,4%). On the import side, Israel supplies 4,2% of fertilizers, 2,4% of felt, spun cloth and twine, 1,7% of miscellaneous chemical products and 1,6% of inorganic chemical products. Without forgetting the 1,4% of seeds and oily fruit. The Italian share of the total Israeli imports is particularly significant in preparations based on cereals, flour and milk, where Italy supplies almost 21% of the total. It is also an important supplier of ceramic products (about 20%), as well as raw materials for construction, such as cement and mica stones (18%). Another important sector is that of furnishings: Italian furniture, lights and signs make up over 15% of the total, while about 12% of varnishes and colors comes from the Bel Paese. Out of the total of Israeli exports, Italy buys over 11% of artificial yarns, about 8% of seeds and oleaginous fruits, plastic and processed products, 6% of organic chemicals and over 4% of inorganic ones.
