Foreign Supply Dependency Index (FSDI)

• Research Brief

• Working Paper

The FSDI is a composite measure of extra-EU supply chain exposure for each of the 27 EU member states across 19 manufacturing sectors. It applies supplier concentration and import reliance indicators from the European Commission DG GROW methodology at sector level, weighted by each input's share of the focal sector's production structure derived from the OECD Inter-Country Input-Output tables.For each country and sector, the FSDI asks two questions: how concentrated is the supply of each upstream input among a small number of non-EU countries, and how dependent is the sector on those non-EU sources? The answers are weighted by how much each input actually matters to production — so a critical raw material used heavily across the sector counts more than a marginal one. The result is a single score that tells policymakers where foreign supply chain exposure is structurally high, not just where imports are large.

Reports

SCE Insight produces supply chain risk reports for any EU country and manufacturing sector. Each report covers the sector's upstream input structure, which specific imported products represent critical dependencies, whether those dependencies can be rerouted to alternative trade partners, and the estimated economic output at risk under supply disruption. Each report includes an expert consultation to discuss the findings.Built from the European Commission DG GROW supply chain risk methodology, each report provides structured evidence at country, sector, and product level — directly supporting member states' supply chain monitoring obligations under IMERA.To discuss a report for your country or sector, contact [email protected]

About

SCE Insight is a Finnish analytical firm providing supply chain, economic security, and resilience intelligence for European organisations. Our work spans the full range of supply chain and economic security questions — from quantifying foreign dependencies and supply exposures to assessing resilience and mapping diversification options, at country, sector, and product level.SCE Insight was founded by Henri Heikkonen, formerly an economic analyst at the European Commission's DG GROW chief economist unit.

Research

• Working Paper — Foreign Supply Dependency in EU Manufacturing

This working paper may be downloaded and shared for non-commercial professional use. Commercial reproduction, adaptation, or redistribution requires written permission from SCE Insight.

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