The engineering industry of Lithuania includes the manufacturing of fabricated metal products, mechanical, electrical and electronic machinery, equipment and devices, as well as vehicles and other means of transportation. During the last eight years rapid economic growth in the sector proves that most engineering companies have found the right strategic priorities for business development.
This industry plays a special role in ensuring the competitiveness of the Lithuanian economy for a number of reasons. First, this industry is the strongest sector of the manufacturing industry because of its generated added value (in 2007 it got over 4 per cent of the GDP of Lithuania), has the great influence on all economic productivity indicators. Second, the engineering industry is producing and supplying the means of production, technologies and solutions to other sectors of the manufacturing industry and economy in general, thus greatly determining their technological progress and competitiveness. Third, the engineering industry is the main "customer" for the system of education and training of engineering specialists, therefore, as a social partner's, the economic and social activeness as well as image indirectly influences economic growth and the wellbeing of society.
Main products manufactured in the Lithuanian engineering industry are as follows:
• Fabricated metal products: cast iron parts, stainless steel technological equipment for food, chemical, etc. industries, pressure vessels, industrial and household boilers and other heating equipment, tools for metal machining, welded metal structures, railway turnouts and joints as well as various metal articles on subcontracting
• Machinery and equipment: various mechatronical systems and components, metal and wood processing machines, agricultural machines, automated technological equipment for food, chemical, etc. industries, refrigerators, washing machines, premises cleaning machines, air compressors and valves
• Electronics: mobile TV stations and TV sets, telecommunications equipment, semiconductor devices and apparatus, equipment for measuring electricity and telecommunications equipment
• Electrical engineering: transformers and transformer substations, automation and control panels as well as other power distribution equipment, enameled and hookup wires, cable kits for cars
• Means of transport: ship building and repair, yachts, gliders, helicopter repairs, bicycles and trailers, compressors and other automotive components, assembly of trucks
• Apparatus: lasers, medical equipment, glass scale gratings, linear and rotary displacement encoders, measuring devices, precise opto-mechanical components.
Today Lithuanian engineering companies have quickly re-established themselves on the world market. The rapidly growing Lithuanian engineering industry, consisting of over 2,000 companies and employing over 50,000 blue- and white-collar workers, is able to provide 5,000 more jobs, 1,500-2,000 of which are for workers with higher education. Competition forces the companies to improve their business approach continually. Business success is achieved by a combination of technological innovations with effective marketing and modern business management tools, along with modernised production processes and increased staff competence. More information on the sector companies may be found here.
Business internationalization of the sector
Although exports are growing by 15% annually in terms of absolute volumes, the relative share of exported products does not significantly change in respect to certain product groups, because the demand for the products is also rapidly growing in Lithuania at the same time.
More than 20 European countries are vital to the sector's export success. The most important export markets according to product group are the following:
1. Fabricated metal products - Denmark, Latvia, Germany, Norway, Sweden;
2. Machinery and equipment - Russia, Germany, Ukraine, Sweden, Latvia, Spain;
3. Electrical machinery and electronic equipment - France, Norway, Germany, Spain, United Kingdom, Russia;
4. Medical, precision and optical equipment and apparatus - Germany, the United Kingdom, Sweden, France, Norway, the United States.
A substantial number of companies operating in Lithuania were founded or taken over by companies from other countries (German, Scandinavian countries, Finnish, Swiss, etc.) or by international businesses, and nearly all of their products are now intended for export.
All branches of the Lithuanian engineering industry have internationally competitive companies manufacturing products based on making high technologies that can be classified as products of electronics, mechatronics, laser technologies and nanotechnologies. Their innovative products and modern technological services are regularly exhibited at international exhibitions of different areas of business, where they enjoy attention from the visitors.
Although Lithuanian companies might be met in different international fairs and exhibitions all over the world, the most complete picture of the Lithuanian engineering industry sector will be presented at the 17th International Exhibition of Industry Balttechnika-2009, and everyone who is interested in it is invited to visit the Lithuanian Exhibition Centre LITEXPO in Vilnius on the 19-22nd of May, 2009. Companies from Lithuania and other countries will introduce the newest product development technologies, metal processing, industrial process management and electricity generation, which include the most urgent environmental projects and alternative energy systems. During the exhibition, an international B2B matchmaking event "Lithuania - a reliable business partner" will be held for companies of metal processing, machinery, plastics, electronics and electrical engineering sectors. More information on the exhibition and its events may be found here.