Eurostat’s recent and experimental concentration data provides valuable insights into the extent of dominance by a few large firms in various industries or the entire economy. This data reveals that the energy sector in the EU is highly concentrated, with 20% of jobs in this sector being part of the four biggest energy multinationals in the EU.
The statistics, which span from 2018 to 2021 and were released by Eurostat on Monday, indicate that large companies have a significant influence in several other sectors as well. In the mining and quarrying sector, 13.7% of the workforce is employed by the top four firms in the EU as of 2021. Similarly, in water supply; sewerage, waste management, and remediation activities, 10.3% of employees work for the largest companies.
Previously, Eurostat’s data demonstrated that Germany leads in value generation within these five sectors. The agency highlighted the importance of this concentration data, despite its experimental nature, for a more accurate understanding of the influence large firms have in an industry or the entire economy. The data is crucial in dispelling misconceptions about the independence of some companies, which in reality, are controlled by larger entities with common profit objectives.
However, certain sectors, like real estate and scientific activities, exhibit a much lower concentration level. Among the least concentrated sectors in Europe, Germany continues to be the leading contributor in terms of value across the European Union.