Phoenigs

The current global disruptions to the economic and political fabric in Europe and the world that have manifested themselves over the past five years, such as
 

• geopolitical crises, e.g., the Ukraine-Russia war, the Israel-Gaza conflict
• environmental and social influences, e.g., climate change, migration movements, relations with the Global South
• specific global events with economic consequences, e.g., the COVID-19 pandemic, major accident in the Suez Canal
• economic policy trends, e.g., China in global politics, EU initiatives in research and development
• an impending civilizational rupture due to diverging value systems in civil society

raise questions regarding the strategic positioning of a small open economy such as Austria. For the Republic of Austria, as a small, networked open economy within the European Union, falling back on protectionism at the state level is clearly not an adequate option. In many current future technologies (e.g., electromobility, battery technologies, microchips, life sciences, quantum technology, biotechnology, artificial intelligence, environmental technology, hydrogen production and technologies), it is also important from an Austrian perspective to strengthen strengths and achieve strategic independence as far as possible. Therefore, a modern Austrian economic protection concept should be developed in the European context in order to optimize the resilience of the Austrian economy, taking into account its structural specifics. The concept of economic national defense is experiencing a renaissance as a result of these recent events. This calls for a reorientation of the concept of economic national defense currently enshrined in the Austrian Federal Constitution and a conceptual further development of the economic security strategy in a European context.

The study will first outline Austria's starting position (WOVON). The currently valid concept and current practice in Austria will be analyzed. In addition, an analysis will be conducted of the efforts and current level of maturity of economic national defense among European partners in light of current and future trends, drivers, and challenges. This will be followed by a discussion of the landscape of actors (WHO) and the distribution of roles in economic national defense from a governmental, economic, and social perspective. Subsequently, divergent scenarios and a semantic risk map (WHAT) can be created with the identification and categorization of attack vectors, vulnerabilities, and dependencies from the perspective of the Austrian economic area. The specific Austrian situation will be considered, i.e., the significant proportion of small and medium-sized enterprises, special critical infrastructure services, energy supply, and sector-specific external economic relations for raw materials, technologies, intermediate products, goods, and know-how. This will lead to a discussion of what a positive vision for the future might look like. Existing risk-minimizing measures and their expected effect on resilience will be recorded. Any gaps between the current situation and the vision will be identified and options for action to address them will be formulated as part of a roadmap. This will also enable an assessment of the Austrian economy's current ability to respond to disruptive economic upheavals, taking into account the need to maintain security of supply for the population and the economy. Finally, a conceptual toolkit (HOW) for improving the resilience of the Austrian economy, such as compensation, substitution, diversification, or information, can be developed. This toolkit is a prerequisite for a rapid response to disruptive events, whether in the supply or value chain, on the customer side, or in the means of production. Finally, guidelines (WHERE TO) can be derived to formulate conceptual specifications for later strategy and concept development. These determine a differentiated Austrian scope for action – ranging from extensive autonomy to limited scope for action to definitive dependence – embedding the Austrian economic area in a European and global context. Deliberately intentional external activities (e.g., cyberattacks) that could potentially harm the Austrian economy should also be discussed.
Based on this study, a political strategy process for realigning Austria's economic security strategy can be underpinned with factual content.