As the euro celebrates its 20th anniversary, we take a look at how the single European currency compares to the dollar – still the dominant world currency.
**As the euro celebrates its 20th anniversary, we take a look at how the single European currency compares to the dollar ****– **still the dominant world currency.
More than half of all non-EU imports (55.4%) were invoiced in US dollars in 2016. At the same time, just a third of goods (34.4%) brought into the EU were priced in euros. The three sectors the US dollar dominates are: energy, raw materials and transport.
When it comes to energy, more than 80% of Europe’s imports are priced and paid for in US dollars, despite supplies coming mainly from Russia, the Middle East and Africa. That amounts to €240 billion of the total (€300 billion) energy bill over the last five years. The situation is similar when it comes to raw materials and the food commodity markets.
In the transport sector, nearly all invoicing for aircraft manufacturing is done in US dollars. The picture is reversed for exports. Almost half of goods that left the EU28 were invoiced in euros (49.3%), while a third (32.9%) were invoiced in US dollars.
