SCIENCE & ENGINEERING INDICATORS

Company or firm: A business entity that is either in a single location with no subsidiaries or branches or the topmost parent of a group of subsidiaries or branches.

European Union (EU): The EU comprises 28 member nations: Austria, Belgium, Bulgaria, Croatia, Cyprus, Czechia, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, and the United Kingdom. Unless otherwise noted, data on the EU include all 28 member countries.

Foreign direct investment: Financial investment by which a person or an entity acquires a lasting interest in and a degree of influence over the management of a business enterprise in a foreign country.

Gross domestic product (GDP): The market value of all final goods and services produced within a country within a given period of time.

High R&D intensive industries: Industries classified by the OECD that spend a high proportion of their revenue on R&D, consisting of aircraft; computer, electronic, and optical products; pharmaceuticals; scientific R&D services; and software.

Intra-EU exports: Exports from one EU country to another.

IT and information services (IT services): This industry is the composite of ISIC sectors 62 (computer programming, consultancy and related activities) and 63 (information service activities). ISIC 62 includes the following activities of providing expertise in the field of information technologies: writing, modifying, testing and supporting software; planning and designing computer systems that integrate computer hardware, software and communication technologies; on-site management and operation of clients' computer systems and/or data processing facilities; and other professional and technical computer-related activities. ISIC 63 includes the activities of Web search portals, data processing and hosting activities, and other activities that primarily supply information.

Knowledge- and technology-intensive (KTI) industries: Industries classified by the OECD as high R&D intensive and medium-high R&D intensive industries. The OECD defines R&D intensity as the ratio of an industry’s business R&D expenditures to its value added (output).

Manufacture of air- and spacecraft and related machinery (aircraft): This industry includes the manufacture of airplanes for the transport of goods or passengers, for use by defense forces, for sport, or for other purposes; helicopters; gliders and hang gliders; dirigibles and hot air balloons; parts and accessories of the aircraft of this class; ground-flying trainers; spacecraft and launch vehicles, satellites, planetary probes, orbital stations, shuttles; intercontinental ballistic missiles (ICBM); overhaul and conversion of aircraft or aircraft engines; and aircraft seats.

Manufacture of basic pharmaceutical products and pharmaceutical preparations (pharmaceuticals): This industry includes the manufacture of basic pharmaceutical products and pharmaceutical preparations. Also included is the manufacture of medicinal chemical and botanical products.

Manufacture of chemicals and chemical products (chemicals excluding pharmaceuticals): This industry includes the transformation of organic and inorganic raw materials by a chemical process and the formation of products.

Manufacture of computer, electronic and optical products (computer, electronic and optical products): This industry includes the manufacture of computers, computer peripherals, communications equipment, and similar electronic products, as well as the manufacture of components for such products. Also included is the manufacture of consumer electronics, measuring, testing, navigating, and control equipment, irradiation, electromedical and electrotherapeutic equipment, optical instruments and equipment, and the manufacture of magnetic and optical media.

Manufacture of electrical equipment (electrical equipment): This industry includes the manufacture of products that generate, distribute, and use electrical power. Also included is the manufacture of electrical lighting, signaling equipment, and electric household appliances.

Manufacture of machinery and equipment not elsewhere classified (nec) (machinery and equipment): This industry includes the manufacture of machinery and equipment that act independently on materials either mechanically or thermally or perform operations on materials (such as handling, spraying, weighing, or packing), including their mechanical components that produce and apply force, and any specially manufactured primary parts. This includes the manufacture of fixed and mobile or hand-held devices, regardless of whether they are designed for industrial, building and civil engineering, agricultural, or home use. Also included is the manufacture of special equipment for passenger or freight transport within demarcated premises.

Manufacture of medical and dental instruments and supplies (medical instruments): This industry includes the manufacture of laboratory apparatus, surgical and medical instruments, surgical appliances and supplies, dental equipment and supplies, orthodontic goods, and dentures and orthodontic appliances. Also included is the manufacture of medical, dental, and similar furniture, where the additional specific functions determine the purpose of the product, such as dentist’ chairs with built-in hydraulic functions.

Manufacture of motor vehicles, trailers, and semi-trailers (motor vehicles): This industry includes the manufacture of motor vehicles for transporting passengers or freight. Also included is the manufacture of various parts and accessories, as well as the manufacture of trailers and semi-trailers.

Manufacture of railway locomotives and rolling stock, military fighting vehicles, and transport equipment nec (railroad and other transportation): This industry is the composite of ISIC 302 (manufacture of railway locomotives and rolling stock), ISIC 304 (manufacture of military fighting vehicles), and ISIC 309 (transport equipment nec). ISIC 302 includes the manufacture of electric, diesel, steam, and other rail locomotives; self-propelled railway or tramway coaches, vans and trucks, and maintenance and service vehicles; railway and tramway rolling stock, not self-propelled; specialized parts of railway and tramway locomotives and of rolling stock; mechanical and electromechanical signaling, safety and traffic control equipment for railways, tramways, inland waterways, roads, parking facilities, airfields etc.; mining locomotives and mining rail cars; and railway car seats. ISIC 304 includes the manufacture of tanks, armored amphibious military vehicles, and other military fighting vehicles. ISIC 309 includes the manufacture of transport equipment other than motor vehicles and rail, water, air and space transport equipment and military vehicles. It includes manufacture of motorcycles, bicycles and invalid carriages, hand-propelled vehicles, and vehicles drawn by animals.

Manufacture of weapons and ammunition (weapons): This industry includes the manufacture of heavy weapons (artillery, mobile guns, rocket launchers, torpedo tubes, heavy machine guns); small arms (revolvers, shotguns, light machine guns); air and gas guns and pistols; war ammunition; hunting, sporting, and protective firearms and ammunition; and explosive devices such as bombs, mines and torpedoes.

Medium-high technology manufacturing industries: Industries classified by the OECD that spend a relatively high proportion of their revenue on R&D, consisting of chemicals excluding pharmaceuticals; electrical equipment; information technology (IT) services; machinery and equipment; medical instruments; motor vehicles; railroad and other transportation; and weapons.

Publishing activities (publishing): This industry includes the publishing of books, brochures, leaflets, dictionaries, encyclopedias, atlases, maps and charts; publishing of newspapers, journals, and periodicals; directory and mailing list and other publishing, as well as software publishing. Publishing includes the acquisition of copyrights to content (information products) and making this content available to the public by engaging in (or arranging for) the reproduction and distribution of this content in various forms. All the feasible forms of publishing (in print, electronic or audio form, on the Internet, as multimedia products such as CD-ROM reference books, etc.), except publishing of motion pictures, are included in this industry.

Scientific research and development (scientific R&D services): This industry includes the activities of three types of research and development: (1) basic research: experimental or theoretical work undertaken primarily to acquire new knowledge of the underlying foundations of phenomena and observable facts, without particular application or use in view, (2) applied research: original investigation undertaken in order to acquire new knowledge, directed primarily towards a specific practical aim or objective, and (3) experimental development: systematic work, drawing on existing knowledge gained from research and/or practical experience, directed to producing new materials, products and devices, to installing new processes, systems and services, and to improving substantially those already produced or installed.

Value added: A measure of industry production that is the amount contributed by a country, firm, or other entity to the value of the good or service. It excludes the country, industry, firm, or other entity’s purchases of domestic and imported supplies and inputs from other countries, industries, firms, and other entities.

Value chain: A chain of activities to produce goods and services that may extend across firms or countries. These activities include design, production, marketing and sales, logistics, and maintenance.

Venture capital: Venture capitalists manage the pooled investments of others (typically wealthy investors, investment banks, and other financial institutions) in a professionally managed fund. In return, venture capitalists receive ownership equity and almost always participate in managerial decisions.

AI: artificial intelligence

EU: European Union

GDP: gross domestic product

ICT: information and communication technologies

IT: information technology

KTI: knowledge- and technology-intensive

OECD: Organisation for Economic Co-operation and Development

R&D: research and development

S&E: science and engineering

WTO: World Trade Organization