High-technology exports refer to products and services that require sophisticated knowledge and skill in science, engineering, and technology. Products with a high R&D intensity, such as those in aerospace, computers, pharmaceuticals, scientific instruments, and electrical equipment, comprise high-technology exports.
In today’s rapidly evolving global economy, exports of high-tech goods are gaining importance as a driver of economic growth and development. Moreover, as the world becomes more technologically advanced and interconnected, countries recognise the need to invest in research, development, and advanced technologies to remain competitive in the global market.
High-technology exports play a significant role in propelling economic growth and development in nations around the globe, as they are frequently associated with high levels of innovation and research and development and command high-profit margins.
Facts about High-Tech Exports by Country:
- In 2021, world high-tech exports totalled 2.82 trillion US dollars.
- China is the largest exporter of high-tech goods, with over $942 billion worth of exports in 2021, representing 33.46 per cent of global high-tech exports.
- After Germany, the United States, and Japan, Hong Kong is the second largest exporter of high-tech products.
- Israel is a major exporter of computer software and telecommunications technology.
- South Korea is a significant exporter of consumer electronics such as smartphones, televisions, and semiconductors.
- Nokia is one of Finland’s most well-known high-tech enterprises. Finland has a high concentration of high-tech businesses.
- Sweden’s IT industry is highly developed, with corporations such as Ericsson and Spotify.
- Singapore’s technology sector is highly developed, emphasising semiconductors, data storage, and biotechnology.
- Many global technology corporations, including Google, Facebook, and Apple, have headquarters or offices in Ireland.
The following are the top 15 hi-tech exporting countries:
China is the world’s largest exporter of high-tech products, and its tech industry is expanding rapidly. China’s high-tech exports reached 942,314 million US dollars in 2021. China’s high-tech exports increased from 342 573 million US dollars in 2007 to 942 314 million US dollars in 2021, a compound annual growth rate of 8.06 per cent.
China’s high-tech exports are also supported by policies that foster innovation and establish a robust domestic technology industry. The “Made in China 2025” initiative, for instance, seeks to improve China’s manufacturing capabilities and promote the development of advanced technologies such as semiconductors and electric vehicles.
China is making substantial investments in emerging technologies such as artificial intelligence, 5G networks, and robotics, which are anticipated to fuel the country’s high-tech export growth. China has allocated 2.4% of its gross domestic product to research and development. As a result, China’s high-tech exports account for 30 per cent of its total manufactured exports.
2. Hong Kong SAR
Hong Kong is a centre for international trade, finance, and logistics. It also has a thriving technology industry. As a result, it has become known worldwide as a centre for innovation and technology (I&T). It has world-class infrastructure, top-tier universities, and a thriving start-up environment. In 2022, it was ranked ninth in the world in terms of its digital competitiveness.
Hong Kong’s high-tech exports in 2021 were worth USD 431,628,000,000. Hong Kong’s high-tech exports went from worth $2,650 million in 2007 to $431,628 million in 2021, an average annual growth rate of 4,449.78%.
In 2021, 65.1% of all exports went to Mainland China, 6.8% to the EU, 6.1% to ASEAN, and 4.6% to the US. One per cent of Hong Kong’s GDP has been researched and developed. About 70.5% of Hong Kong’s produced exports are high-tech.
Germany is known for its technological abilities, especially in making cars, information technology, and the military industry. Germany’s high-tech exports were worth 209,744 million US dollars in 2021. This was up from 182,351 million US dollars the year before, which is a change of 13%.
Germany has put 3,1% of its gross domestic product into research and development. Hi-tech exports account for 15.2 % of Germany’s overall manufactured exports.
Germany’s exports of high-tech goods are growing in key areas like automotive engineering, pharmaceuticals, chemicals, machinery, and electronic goods. These businesses have been good at research and development for a long time, which has kept them at the forefront of technology.
4. United States
The USA is home to many leading technology companies, such as Apple, Microsoft, Google, and Amazon. These companies have a big effect on the high-tech export market because they make some of the industry’s most innovative and advanced products.
The United States sends many high-tech goods and technologies, such as semiconductors, software, and other computer-related technologies. The United States’ high-tech exports were worth 169,217 million US dollars in 2021, up from 141,538 million US dollars the year before. This is a change of 16.3%.
Research and development cost the United States 3.5% of its GDP. The United States sends out 19.9% of all its produced exports as high-tech goods.
Japan is one of the biggest exporters of high-tech goods in the world. It has a strong name for making advanced and innovative products in many fields. Most of these high-tech products are in the field of electronics. This includes computer equipment, equipment for telecommunications, and semiconductor devices. High-tech consumer goods made by Japanese companies like Sony, Toshiba, Panasonic, and Hitachi are known worldwide.
Japan’s high-tech exports were worth 116,513 million US dollars in 2021, which was 13.4% more than the year before.
Japan invests 3.3% of its Gross Domestic Product (GDP) into research and development. In addition, 18% of all the things Japan makes and sells abroad are hi-tech goods.
Malaysia has a lot of high-tech companies that sell their goods worldwide, especially in the electrical and electronics (E&E) industry. Malaysia’s top high-tech products are semiconductors, audio and video, telecommunications, and computer and office equipment.
Malaysia’s high-tech products were worth 108,683 million US dollars in 2021, 18% more than the previous year.
Research and development cost Malaysia 1% of its GDP. In addition, 51.7% of all of Malaysia’s manufactured exports are made up of high-tech products.
The Netherlands is known for its advanced and modern economy, which focuses on exporting high-tech goods. The country is also a top producer of agricultural goods and technology for food preparation.
In 2021, high-tech exports from the Netherlands were worth 101,168 million US dollars, up from 87,120 million US dollars the year before. This is a change of 16.09%.
The Netherlands has spent 2.3% of its gross domestic product on research and development. About 22% of the Netherlands’ manufactured exports are high-tech products.
France’s high-tech exports reached 97,528 million US dollars in 2021, an increase of 10.7% from the previous year’s 87,143 million US dollars.
France has invested 2.4% of its GDP in R&D spending. Exports in the hi-tech sector comprise 21.9% of France’s total exports of manufactured goods. Many countries worldwide benefit from the cutting-edge aeroplanes, satellites, and space technology produced by France’s thriving aerospace industry, home to industry heavyweights like Airbus, Thales, and Safran.
Mexico’s high-tech exports were worth 74,932 million US dollars in 2021, up from 71,003 million US dollars the year before, which is a 5.2% change.
Research and development have cost Mexico 0.3% of its GDP. Hi-tech exports make up 19.8% of Mexico’s overall manufactured exports.
Mexico has succeeded in electronics, where companies like Foxconn and Samsung have big factories. These companies make various electronic goods, including smartphones, TVs, home appliances, and computer parts.
10. United Kingdom
The UK exports a wide range of goods, including advanced technologies in areas like aircraft, pharmaceuticals, IT, and clean energy. Some of the most important businesses in the UK’s high-tech industry are BAE Systems, Rolls-Royce, GlaxoSmithKline, and AstraZeneca.
In 2021, the United Kingdom’s high-tech exports were worth 66,699 million US dollars. This was up from 58,143 million US dollars the year before, which is a change of 12.8%. The United Kingdom has spent 1.7% of its GDP on research and development. High-tech exports comprise 23.9% of all industrial exports from the United Kingdom.
Belgium is one of the biggest exporters of high-tech goods, especially medicines, chemicals, and electronics. There are a lot of well-known technology companies in the country because of its skilled workers and key location in the middle of Europe.
Belgium’s high-tech products were worth 52,227 million US dollars in 2021. This was up from 34,420 million US dollars the year before, which is a change of 34%.
3.5% of Belgium’s GDP has been put into research and development. In addition, 18.3% of all of Belgium’s manufactured goods are high-tech exports.
The Czech Republic has a strong high-tech industry, so its export market for high-tech goods is booming. In addition, many global companies have set up their research and development centres in the country because it is a good place to get foreign investment in the high-tech sector. This has helped to encourage creativity and the transfer of technology, which has led to the growth of the high-tech industry and a rise in the export of high-tech goods.
In 2021, the Czech Republic sent 41,296 million US dollars worth of high-tech goods. The Czech Republic’s high-tech exports increased from 16,618 million US dollars in 2007 to 41,296 million US dollars in 2021 at an average annual growth rate of 7.51 per cent.
Two per cent of the Czech Republic’s GDP has been put into research and development. In addition, the Czech Republic sends out 20.3% of all its produced goods as high-tech exports.
Italy has a long history of technological innovation, notably in the aerospace, automotive, robotics, and telecommunications industries. Leonardo, Piaggio Aerospace, Ducati, Ferrari, and Lamborghini are prominent high-tech companies in Italy. In addition, the country’s emphasis on quality and design has allowed it to remain competitive internationally.
In 2021, Italy’s high-tech exports totalled 38,884 million US dollars, a 15.4% increase from the previous year’s 32,892 million US dollars. It has allocated 1.5% of its gross domestic product to research and development. Italy’s high-tech exports make up 8.2% of its total manufactured exports.
The Philippines has grown its hi-tech exports recently, particularly in the electronics and semiconductor industries.
The Philippines’ high-tech exports have increased recently, particularly in the electronics and semiconductor industries. Multiple multinational corporations based in the nation manufacture electronic components and semiconductors for export to other countries.
The philippine’s high-tech exports increased by 8.6% to 38,194 million US dollars in 2021 from 34,896 million US dollars the previous year.
The Philippines has allocated 0.3% of its gross domestic product to research and development. The Philippines’ high-tech exports account for 64.2% of its manufactured exports.
Switzerland is renowned for its robust high-tech industry, which has resulted in a substantial quantity of high-tech exports. Switzerland’s most important high-tech exports include pharmaceuticals, medical devices, and precision instruments such as timepieces and measuring equipment. Additionally, Swiss companies are renowned for their high-quality products and efficient production methods, which have helped them establish a strong global presence.
In 2021, Switzerland’s high-tech exports amounted to 38,194 million US dollars, a 14.5% increase from the previous year’s 29,244 million US dollars.
Switzerland has allocated 3.1% of its gross domestic product to research and development. Switzerland’s high-tech exports account for 14.2% of its total manufactured exports.
Here is a list of the largest High-Tech exporters in the world, According to the United Nations:
|2||Hong Kong SAR||$431.63 B|
|4||United States||$169.22 B|
|10||United Kingdom||$66.70 B|
|26||Slovak Republic||$8.42 B|
|36||United Arab Emirates||$2.90 B|
|44||New Zealand||$1.12 B|
|51||Dominican Republic||$565 M|
|54||El Salvador||$358 M|
|56||Bosnia and Herzegovina||$323 M|
|63||Sri Lanka||$94 M|
|65||Kyrgyz Republic||$84 M|
|84||Trinidad and Tobago||$5 M|
|85||Burkina Faso||$4 M|
|93||Sao Tome and Principe||$78 K|
*Note : Data are not available for South Korea, Singapore, Vietnam, Thailand and Ireland.
Lastly, exports of high-tech goods have become a big part of the growth and progress of the economies of many countries worldwide. Globalisation makes it easier for companies to sell their goods and services in other countries. This is because technology changes quickly. Some countries have been better at exporting high-tech products than others. Still, investing in research and development, education, and new ideas are important to success in this area. As we move into a more digital and linked world, high-tech exports will likely continue to be a big part of the world economy’s work.
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