Geographical and sectoral diversification: the role of the Friuli Venezia Giulia metalworking industry

A dynamic sector, ready to face the challenges of innovation and diversification. These are the findings of Comet’s report on the Friuli Venezia Giulia Metalworking Industry Observatory presented on 27 November in Valvasone Arzene, at the TreZero Winery. The meeting was divided into two round tables: in the first one, moderated by Cluster Comet director Saverio Maisto, the report was illustrated by Enrico Longato (Area Science Park), Anna Maria Moressa (Intesa Sanpaolo), Maria Chiarvesio (University of Udine), Guido Bortoluzzi (University of Trieste); the second round table, moderated by Michele Valerio (Eupragma), gave voice to businesses, with Stefano Picinich (Airworks Srl), Matteo Querini (Eurolls SpA), Elisa Quattrin (Meccanica Hi-Tech Srl), Alessandro Sist (Siom Srl SB). The event was organised in partnership with Area Science Park, University of Trieste, University of Udine, Intesa Sanpaolo.

The meeting highlighted three main topics:

– An international vocation
The metalworking sector accounts for 46% of regional manufacturing, with an electro-mechanical specialisation (94% of metalworking sector). As of November 2024, the industry ‘held up’ better than predicted in the June flash report, with 5,114 businesses (-0.3% compared to November 2023, instead of -0.7%), while the rest of the manufacturing sector performed in line with expectations. The province of Udine accounts for 45% of the regional companies, the area that has recorded the most significant decrease since 2021 (-2.3%). The province of Pordenone remains stable, with 32% of the companies. The tendency towards internationalisation remains strong (41% of companies); exports are prevalent among medium and large companies, which are often innovative and certified.

– Diversification and economic performance
Intesa Sanpaolo’s internal survey regarding its commercial network shows that businesses in Friuli Venezia Giulia are increasing the geographical diversification of their outlet and supply markets, exceeding the Italian average. In 2023, revenue growth at current prices was 22.5%, with an improvement in profit margins (+2 points compared to 2019), driven by foreign operations (25.9% growth) and participation in the construction industry.

– Business diversification strategies
In a rapidly evolving market, businesses in Friuli Venezia Giulia interviewed by the Universities of Udine and Trieste are experimenting with new strategies: some focus on geographical or sectoral diversification to grow or to avoid crises, while others are strengthening their presence in current markets. However, diversification requires transversal skills and the ability to adapt to the rules of the new markets, which not all companies possess.

‘Over the years, the metalworking industry in Friuli Venezia Giulia has managed to acquire a role of excellence at the international level, thanks to its solid tradition of craftsmanship skills and technological innovation,’ commented COMET Cluster Director, Saverio Maisto. ‘However, today we face an even greater challenge: the world is changing at an exponential speed, global scenarios are complex, and what has made us strong so far may no longer be sufficient to guarantee continuing success. This is how we have always worked; it is no longer a security, quite the contrary. The ability to adapt and anticipate the future is crucial. We have to look beyond the boundaries of the traditional and historical sectors in which we have been, and perhaps still are, leaders, exploring new markets that, while initially presenting themselves as challenges, may turn out to be extraordinary opportunities. This is why it becomes essential to diversify, not only strategically but also in the immediate future. ‘Only by embracing new sectors and markets, continuing to collaborate with the territory, innovating and consolidating our skills, businesses in Friuli Venezia Giulia can continue to play a leading role in our history.

“The future of the Friuli Venezia Giulia metalworking sector will depend on its ability to combine tradition and innovation, diversifying markets and sectors and integrating emerging technologies. The cooperation and support of COMET will be central to ensuring competitiveness and resilience in global markets,’ concluded Comet President, Sergio Barel. He emphasized how the Friuli Venezia Giulia metalworking sector is facing the challenges of a complex economic and geopolitical context through geographical and sectoral diversification. This key strategy reduces dependence on traditional markets, such as the German one, and opens up new opportunities in areas of higher growth (Northern Europe, Asia, the United States) thanks to niche technical skills and high-quality production), and regulated sectors (aerospace, medical, defence). As for artificial intelligence, which is transforming the sector by improving quality, supply chain and innovation, ‘it, requires investment in training and infrastructure’. The president closed his speech by inviting companies, industrial clusters, universities and institutions to build networks.