Outlook for Tyrol

Weak economy: “Tourism is stabilizing”

The "Tiroler Krone" asked an expert about economic growth for 2025. Following Donald Trump's victory and the government crisis in Germany, the situation is still uncertain. However, it is unlikely to be more than one percent.

Former and designated US President Donald Trump announced massive tariff increases during the election campaign. "You have to take him at his word on this," says Stefan Garbislander, Head of Economic Policy, Innovation and Sustainability at the Tyrolean Chamber of Commerce in an interview with the Krone.

It is still uncertain what impact Trump's second presidency and the current government crisis in Germany will have on economic growth in Austria and Tyrol.

Industry is the sector that is clearly suffering the most at the moment.

Stefan Garbislander

Bild: Manuel Schwaiger

Growth of a maximum of one percent
"In Tyrol, tourism is certainly a stabilizing pillar," says Garbislander. However, industry is the sector "that is clearly suffering the most at the moment". All in all, the director currently expects growth "of a maximum of one percent for both Austria as a whole and Tyrol". However, this would not make up for what has been lost over the past two years as a result of the recession.

"Free trade agreement should have been made"
As the "Krone" recently reported, State Economic Councillor Mario Gerber (ÖVP) believes that Trump's presidency will not have a negative impact on Tyrol, as exports overseas are "negligible". Garbislander disagrees with this. "Exports from Tyrol to the USA amount to around five percent. But there is also the fact that Germany is Tyrol's most important trading partner. And for Germany, in turn, the USA is a very important partner."

In conclusion, Garbislander believes that "we should have signed the free trade agreement with the USA ten years ago".