Hubert Sawicki

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Hubert Sawicki Independent Consultant AMT The
Expanded EU What It Presents for AMT Members
How AMT Can Help
Market Update BreakfastCentral/Eastern Europe
September 9, 2006
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What is Central Europe and where it ends

• Multinational Multicultural Multilingual.
  Just check Norman Davies his books on history
  of Europe
• Economically connected with the West stronger
  than ever the EU factor
• - Poland, Czech Republic, Slovakia, Hungary,
  Slovenia members of the EU from May 1, 2004.
  Impeccably Central European
• - Baltic countries, ie. Estonia, Latvia,
  Lithuania - members of the EU from May 1, 2004.
  Since then counted as Central European
• - Romania, Bulgaria members of the EU from
  January 1, 2007. Rather Eastern Central Europe
• - Balkan countries (Croatia, Serbia, Montenegro,
  Bosnia Herzegovina, Macedonia) future less
  certain, as the European Union displays little
  enthusiasm about their membership. Rather
  Southern Central Europe

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Some call itMiddle European Region

• 1st Circle 200 km radius
• 2nd Circle 500 km radius

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Area 5 CE Countries vs. Germany
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Population 5 CE Countries vs Germany(Millions)
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GDP 5 CE Countries vs. Germany(Billions US
Dollars)
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What is the scope for AMT members in CE

• Poland, Czech Republic, Slovakia, Hungary,
  Romania
• are our region its total population 86.5, total
  GDP 1,146.9
• bn. To compare it with the German industrial
  powerhouse
• population 82.4 m, GDP 2,504 bn.
• One particular feature in common significant
  automotive sector, to the capacity of over 2 m
  cars per annum - Peugeot-Citroen, Renault,
  Audi-Volkswagen, GM, Toyota, Hyundai, Kia are all
  there, to name a few
• Well above 2000 factories are working for
  automotive sector producing parts and components.
  And Tier1/Tier 2 suppliers are AMT points of
  interest
• Southern Poland, Czech Republic and Slovakia form
  a cluster of automotive sector plants within 200
  km radius

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Production of 3 m cars forecasted

• 2007 Automotive Output
• Middle European Region

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What else is there for AMT members in CE

• Other industries of 5 countries requiring machine
  tools and manufacturing technologies
• diverse general engineering - strong in all
  countries, especially in Czech Republic, Poland
  and Hungary
• aviation mainly in Poland and some in Czech
  Republic
• oil industry in Romania
• Educated and skillful local workforce - no longer
  low-paid, but still paid very competitively
• Overall competitive cost of manufacturing
• Americans are well received in all these
  countries
• Good outpost for future business in Eastern
  Europe proper, ie. in Ukraine and Russia

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Industries in 5 CE countries

• Czech Rep
• metallurgy, machinery and equipment, motor
  vehicles, aviation, glass, armaments
• Hungary
• mining, metallurgy, construction materials,
  processed foods, textiles, chemicals (especially
  pharmaceuticals), motor vehicles
• Poland
• machine building, motor vehicles, aerospace, iron
  and steel, metal products, coal mining,
  chemicals, shipbuilding, food processing, glass,
  beverages, textiles
• Romania
• textiles and footwear, light machinery and auto
  assembly, mining, timber, construction materials,
  metallurgy, chemicals, food processing, petroleum
  refining
• Slovakia
• metal and metal products food and beverages
  electricity, gas, coke, oil, nuclear fuel
  chemicals and manmade fibers machinery paper
  and printing earthenware and ceramics transport
  vehicles textiles electrical and optical
  apparatus rubber products

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GDP Composition 5 CE Countries vs Germany()

• Agriculture Industries
  Services
• Germany 0.9 34.3 64.8
• Czech Rep 3.4 39.3 57.3
• Poland 2.8 31.7 65.5
• Slovakia 3.5 29.4 67.1
• Hungary 3.9 30.8 65.3
• Romania 31.6 30.7 37.7

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AMT in Central/Eastern Europe

• 2006 - renewed efforts in the region to make this
  substantial market work for AMT members -
  reassessment of prospects has been made
• - a very successful 3-country Trade Mission in
  April,
• - a 4-country visit breaking new grounds in July
• - my appointment as AMTs man in the region
• 5 main Central European countries to remain under
  AMTs particular scrutiny efforts to develop
  markets there for the benefit of AMT members
• Eastern Europe (Ukraine and Russia) watched
  closely
• AMT presence intended to intensify

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What I can do for you (1)

• Research, to identify and gather information for
  you
• Identify market potential and specific customers
  for machine tool products
• Identify and pre-assess agents and distributors
  in your areas of interest
• Assist you in identification and meeting
  companies with prospects for potential
  development of strategic alliances, especially in
  manufacturing
• Participate in updating the appropriate
  information on the region and on AMT for the
  region
• Advise AMT on rationale of more structured AMT
  presence in the region

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What I can do for you (2)

• Organizing events, participating and visiting,
  and travelling
• with you
• Help to organize and participate in trade
  missions and market investigation trips
• Promote AMT-sponsored shows and promote your
  products, services and interests
• Participate in conferences/seminars in the region
  to promote AMT and your activities
• Help to organize seminars, machine tools and
  tools exhibitions with your interests in mind
• If required travel with you while you are in the
  region

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What I can do for you (3)

• Contacting people and organizations of importance
  
• Remain in contact with local machine tools and
  tools associations (at present established in
  Czech Republic the strongest, also in Poland
  and Romania)
• Remain in contact with other associations of
  companies representing potential customers for
  the AMT members products, especially in
  automotive
• Co-operate with the US Commercial Services, and
  American Chambers of Commerce in a given locality
• Assist in conferences/seminars concerning trade
  within the region

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GDP per capita 5 CE countries vs. Germany (US
Dollars) GDP per capita USA
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My contact details

• Hubert Sawicki
• hsawicki_at_AMTonline.eu
• 48 22 8616177 (office phone)
• 48 22 8616178 (fax)
• 48 502 751105 (mobile phone)
• Location Warsaw - Poland
• YOU ARE MORE THEN WELCOME TO USE THEM AS REQUIRED
• Please take into account 6 hours difference
  between Washington DC and my office in Warsaw
  Poland as well as most of the countries in the
  region
• Thank you for your attention!
• ?

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