Italy is a mature and sophisticated manufacturing market. U.S. entrants face strong competition from local and other EU companies in all market segments. The regulatory environment is complex and at times lacks the transparency found in other developed economies. Products that involve health, safety, or environmental concerns are likely to be highly regulated. While EU-wide regulations often apply, Italian laws may go beyond the basic EU requirements.

Italian consumers are increasingly embracing digital services and the market is becoming more sophisticated. The digital evolution and growing internet penetration rates are fueled by investment in infrastructure from the Italian government and key operators. Nevertheless, Italy still lags in fixed broadband and many SMEs lack funds to upgrade infrastructure. Although the Italian digital economy lags behind other major European countries, e-commerce is poised to continue its upward trend.