Introduction or preface

The aim of the paper is to illustrate a comparative analysis of the performance and traits of the manufacturing sector in Germany and Italy and against the background of the Euro countries as a whole. We explore factor endowment and compare the production and foreign trade specialisation patterns of three aggregated industries: resource-intensive, labour-intensive and knowledge-intensive products. The outcome of the analysis suggests that the strong positioning of German industry is thanks mainly to its technological strength supported by its increasing price competitiveness over other eurozone countries