Malta - Market ChallengesMalta - Market Challenges
• Malta’s location and size have deterred entry for some suppliers.
• Bilateral trade between Malta and the U.S. has been limited, in part, due to a lack of direct flights or major shipping connections. Though there is a direct shipping connection to Malta for containerized shipments, partial shipments must come through neighboring European ports. Local importers mitigate these difficulties by importing high-value, low-volume items and by acquiring goods from U.S. subsidiaries or associates in Europe and other nearby states.
• While Malta’s growing economy outpaces most of its fellow EU member states, the country faces challenges associated with an overheating economy, such as labor shortages and infrastructural demands. The high cost of borrowing and small labor market remain potential constraints on future economic growth.
• Corruption has been at the forefront of Malta’s politics and society for the last two years. Transparency International’s Corruption Perception Index for 2016 (most recent survey) scored Malta at 55 on a scale of zero (corrupt) to 100 (transparent). A slow judiciary can draw out legal proceedings for years; Malta’s struggle to close successful prosecutions makes Rule of Law a significant concern. Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.
• Bilateral trade between Malta and the U.S. has been limited, in part, due to a lack of direct flights or major shipping connections. Though there is a direct shipping connection to Malta for containerized shipments, partial shipments must come through neighboring European ports. Local importers mitigate these difficulties by importing high-value, low-volume items and by acquiring goods from U.S. subsidiaries or associates in Europe and other nearby states.
• While Malta’s growing economy outpaces most of its fellow EU member states, the country faces challenges associated with an overheating economy, such as labor shortages and infrastructural demands. The high cost of borrowing and small labor market remain potential constraints on future economic growth.
• Corruption has been at the forefront of Malta’s politics and society for the last two years. Transparency International’s Corruption Perception Index for 2016 (most recent survey) scored Malta at 55 on a scale of zero (corrupt) to 100 (transparent). A slow judiciary can draw out legal proceedings for years; Malta’s struggle to close successful prosecutions makes Rule of Law a significant concern. Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.