Share of Dutch-owned multinationals in the economy declines

© CBS
Growth in the number of Dutch-owned multinationals is lagging behind that of internationally owned multinationals and other companies. Measured as a share of gross domestic product (GDP), Dutch-owned multinationals fell from 15 percent in 2015 to 13 percent in 2021. The number of Dutch-owned multinationals, meanwhile, fell by 2.4 percent between 2015 and 2022. Statistics Netherlands (CBS) reports this today.

Multinationals accounted for 31 percent of Dutch GDP in 2021. Most of them were internationally owned multinationals (145 billion euros; 18 percent), and a smaller share of them were Dutch-owned multinationals (102 billion euros; 13 percent). In 2015, the share of Dutch-owned multinationals was 15 percent of GDP. The parent companies of internationally owned multinationals are based abroad, while Dutch-owned multinationals are Dutch companies with subsidiaries abroad.

Multinational companies as a share of GDP
JaarDutch-owned multinationals (%)Internationally owned multinationals (%)
202112.818.1
202013.417.1
201913.618.4
201813.718.4
201713.718.2
201614.417.7
201514.517.0

Fewer Dutch-owned multinationals with 100 employees or less

In 2022, there were 31.5 thousand multinational companies with a presence in the Netherlands, of which 11.3 thousand were Dutch-owned and 20.2 thousand were internationally owned; together, they made up 1.3 percent of the total number of companies. Multinationals can range in size from companies with only one or a few employees to global conglomerates. Since 2015, the total number of companies in the Netherlands has increased by 41.5 percent. The number of internationally owned multinationals grew by 39.4 percent, but the number of Dutch-owned multinationals actually fell by 2.4 percent compared with 2015. This decrease was mainly due to fewer Dutch-owned multinationals with a smaller workforce. Among multinationals with 100 employees or more (i.e. the 3.6 thousand largest multinationals), both the number of internationally owned multinationals (28.4 percent) and the number of Dutch-owned multinationals (9.8 percent) rose.

In terms of Dutch labour costs and corporate profits, the share of multinationals was around the same as their share of GDP. The share of total Dutch production value (41 percent) was significantly higher, however. Economic output was achieved with relatively low employment (22 percent of the total of 7.8 million FTE employees).

Role of multinationals in the economy, 2021
 Dutch-owned multinationals (%)Internationally owned multinationals (%)Non-multinationals (%)
Production value15.525.559.0
Wage costs13.917.568.6
Profits12.219.668.2
GDP12.818.169.1
Imports19.856.124.0
Exports22.654.323.1

Multinationals account for over three-quarters of export value

A relatively large share of the production of multinational companies is destined for export. In 2021, multinationals' share of the Netherlands’ total export value was 77 percent. In the same year, multinationals also accounted for 76 percent of the Netherlands’ total import value for goods and services.

Dutch firms other than multinationals - particularly independent SMEs - are much more domestically oriented. But even so, they often do have international reach as suppliers to multinationals. Indeed, more than half of their earnings from exports (the value added earned through exports) is attributable to exports through other companies. Those are often multinational companies; for example, a medium-sized metalworking company may supply a machine manufacturer that exports machinery.

Export earnings, direct or by supplying exporting companies, 2021
BedrijfDirect exports (bn euro)Supplies to Dutch-owned multinationals (bn euro)Supplies to internationally owned multinationals (bn euro)Supplies to non-multinationals (bn euro)
Dutch-owned
multinationals
38.65.18.34.8
Internationally owned
multinationals
77.85.110.45.2
Non-multinationals53.219.030.220.6

1.7 million full-time jobs attributable to exports

Employment due to exports was the highest among internationally owned multinationals. In 2021, 895 thousand jobs (FTE) were attributable to exports by internationally owned multinationals. Employment by non-multinationals attributable to exports was 808 thousand jobs (FTE), of which over 68 thousand were attributable to subcontracting to multinationals.

Employment attributable to exports, directly or by supplying exporting companies, 2021
BedrijfDirect exports (1,000 jobs)Supplies to Dutch-owned multinationals (1,000 jobs)Supplies to internationally owned multinationals (1,000 jobs)Supplies to non-multinationals (1,000 jobs)
Dutch-owned
multinationals
250.037.434.7230.2
Internationally owned
multinationals
427.959.061.4346.8
Non-multinationals498.634.833.6241.2