Switching and routing equipment market in Croatia

Earlier Report Observations

The market for switching and routing equipment in Croatia experienced significant fluctuations between 2018 and 2024. After initial stability around 29 000-30 000 thousand units in 2018-2019, market volume grew to over 33 800 thousand units by 2021. This was followed by a sharp contraction in 2022 and 2023, where volume fell to under 20 000 thousand units, before a strong recovery in 2024.

The market's rebound in 2024 to 28 371 thousand units was primarily driven by telecommunications operators investing in 5G network infrastructure to enhance data speeds and network capacity, which increased demand for core networking gear. Concurrently, the widespread adoption of cloud-based communication tools by enterprises fueled demand for software-defined and IP-based switching and routing equipment, supported by broader technological trends like IoT and cloud computing.

In value terms, the market followed a parallel but distinct path, declining notably to $157.7 million in 2020 before gradually recovering to $190.7 million by 2024. The divergence between physical volume and value trends over the period points to shifts in product mix, average prices, or the technological sophistication of equipment being traded.

Production switching and routing equipment in Croatia

In value, 2017-2020, K $ US

Croatia's production of switching and routing equipment declined for the second year in a row. In 2020, output was valued at 47 821 thousand US dollars, representing a sharp year-over-year decrease of 40.4%. Over the 2017-2020 period, production fell by 32.7%, with a compound annual growth rate of -12.3%. The highest production value was recorded in 2018 at 83 145 thousand US dollars, which also saw the largest increase of 17.1%.

Annual dynamics of production in Croatia in value, 2017-2020, K $ US

In kind, 2017-2020, unit

The data shows irregular fluctuations, pointing to a volatile market environment. From the low in 2017 to the peak in 2019, production volumes varied by a factor of 34. In 2020, Croatia produced 34 772 units of switching and routing equipment, indicating a 46.7% decrease compared to the previous year. The maximum output was recorded in 2019 with 65 213 units, while the largest increase occurred in 2018 at 2,469.9%.

Annual dynamics of production in Croatia in kind, 2017-2020, unit

Exports switching and routing equipment from Croatia

Exports in kind, unit

The market exhibited volatility throughout the observed period. From the low in 2017 to the high in 2020, export volumes varied by 2.1 times. In 2020, Croatia shipped 10 147 407.26 units of switching and routing equipment abroad, reflecting a notable 12.1% increase over the past year. The largest decline was recorded in 2019 at 1.0%, while the largest increase occurred in 2018 at 91.1%.

Annual dynamics of product's exports from Croatia in kind, 2017-2020, unit

Structure of product's exports in kind by countries, 2017-2020

Exports in value, M $ US

After two years of growth, Croatia's exports of switching and routing equipment declined. In 2020, exports totaled 31.6 million US dollars, remaining nearly unchanged from the previous year. Over the 2017-2020 period, exports increased by 84.8%, with a compound annual growth rate of 22.7%. The maximum value was recorded in 2019 at 31.6 million US dollars, and the largest increase occurred in 2018 at 50.0%.

Annual dynamics of product's exports from Croatia in value, 2017-2020, M $ US

From 2017 to 2020, Croatia's exports of switching and routing equipment in value terms were not concentrated on a few key markets. Serbia accounted for 21.1% of export value, Slovenia for 14.5%, and Bosnia and Herzegovina for 9.9%. Together, these three countries represented only 45.5% of total export flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Croatia in value, 2017-2020

Imports switching and routing equipment to Croatia

Imports in kind, unit

In 2020, Croatia imported 42 295 386.50 units of switching and routing equipment, marking an 11.3% year-over-year increase. Over the 2017-2020 period, imports grew by 52.3%, with a compound annual growth rate of 15.0%. The largest decline was recorded in 2019 at 2.4%, while the largest increase occurred in 2018 at 40.1%.

Annual dynamics of product's imports to Croatia in kind, 2017-2020, unit

Structure of product's imports in kind by countries, 2017-2020

Imports in value, M $ US

Following two years of gains, Croatia's imports of switching and routing equipment declined. In 2020, imports stood at 141.4 million US dollars, representing a 13.3% decrease year-over-year. Over the 2017-2020 period, imports increased by 14.2%, with a compound annual growth rate of 4.5%. The highest import value was recorded in 2019 at 163.1 million US dollars, and the largest increase occurred in 2018 at 26.2%.

Annual dynamics of product's imports to Croatia in value, 2017-2020, M $ US

From 2017 to 2020, the geographical structure of Croatia's imports in value terms was highly diversified. The Netherlands accounted for 19.6% of import value, Germany for 15.3%, and the United Kingdom for 15.1%. Together, these three countries represented 50.0% of total import flows, with the remaining 50.0% distributed among numerous smaller trading partners.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Croatia in value, 2017-2020