This book offers a detailed analysis of the key sectors in the Italian economy, with the focus especially on areas in which the economy excels, such as the automatic packaging machinery sector, pharmaceutical production, the food and wine industry, and tourism. The book explains how, contrary to widespread opinion, Italy is one of the world’s most competitive countries in foreign trade, as confirmed by a new index compiled by Fondazione Edison that highlights its strengths and top traded products. The main characteristics of the Italian productive system, which is primarily composed of SMEs, are documented, and a map illustrating the importance of the various industrial districts is proposed, identifying their sectors of specialization, historical roots, and development. The principal steps in Italy’s industrialization over the past 150 years are then outlined, in particular for the manufacturing system – the main driver of Italian exports. In-depth analyses of the mechanical industry and the machinery sector follow. In combining meticulous analysis of statistical data with a historical perspective, this book will appeal to all with an interest in the Italian economy.