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Blog Category: International Trade Administration

U.S. Commerce Secretary Prizker Co-Chairs Economic and Commercial Dialogue with Poland’s Deputy Prime Minister Piechocinski

U.S. Commerce Secretary Prizker Co-Chairs Economic and Commercial Dialogue with Poland’s Deputy Prime Minister Piechocinski

Yesterday, U.S. Secretary of Commerce Penny Pritzker joined Polish Deputy Prime Minister and Minister of Economy Janusz Piechociński in co-chairing an Executive Session of the Economic and Commercial Dialogue (ECD). The ECD is a forum created by the U.S. Department of Commerce and the Polish Ministry of Economy to work specifically on strengthening the ability of our companies and investors to do business in each other's markets. Secretary Pritzker is traveling with a delegation of some of America's top CEOs who are members of the President's Export Council.            

At yesterday's meeting, Secretary Pritzker and the PEC CEOs addressed collaborative and tangible ways to increase trade and investment between the U.S. and Poland, particularly as Poland's economy continues to grow. Poland currently has the sixth-largest and one of the fastest growing economies in the EU, and growth is projected to continue in 2014. While bilateral trade between the U.S. and Poland has quadrupled over the past 10 years, reaching nearly $8.8 billion in 2013, there is tremendous opportunity for continued growth.

One mechanism to increase trade and investment between the U.S. and Poland is the Transatlantic Trade and Investment Partnership (TTIP), which is currently being negotiated between the United States and the EU. Once concluded, TTIP will combine the U.S. and EU markets into a stronger transatlantic marketplace, with more than 800 million customers. The U.S. considers Poland an important voice in TTIP negotiations.

Supporting Manufacturers on Manufacturing Day and Every Day

Manufacturing is a crucial contributor to the economy of North Carolina and the entire United States.

Guest blog post by Greg Sizemore is the Director of the International Trade Administration’s U.S. Commercial Service team in North Carolina.

Cross-posted from Trade.gov.

Manufacturing is more than just a cornerstone of the U.S. economy; it’s a cornerstone of modern life.

The screen you’re reading this on is a manufactured commodity. The radio you’re listening to, the car you drove to work, the smartphone your kids keep staring at – your refrigerator, your TV, your medicine – all manufactured goods.

Many headlines about U.S. manufacturing are negative, focusing on increased global competition in the sector, but the fact is that the U.S. manufacturing industry is growing, it’s supporting jobs, and it is supporting higher quality of life here in the U.S. and around the world.

Manufacturing is also a major source of U.S. exports, and the International Trade Administration estimates that one in four U.S. manufacturing jobs is supported by exports. That’s huge for our economy and I’m glad that we’ll celebrate the industry on Manufacturing Day on October 3.

Here in North Carolina, our manufacturers are creating and exporting billions of dollars’ worth of transportation equipment, chemicals, electronics products plastics, and more. I’m glad that my office in Charlotte and our other Export Assistance Centers in the state get to work with local manufacturers to find opportunities to sell their quality products in foreign markets.

If you’re a manufacturer looking to do business overseas, here are some of the services an Export Assistance Center can provide for you:

  • Market Research: Find out you product’s potential in a given market. Learn about specific regulations that could affect your business model. This kind of information is crucial for your export strategy.
  • Gold Key Matchmaking: Who are the best distributors in a market? What potential joint venture partners exist? What are the best government contacts for you to have? We can find those contacts, make introductions, and make sure you spend your time doing what’s most important: managing your company.
  • Trade Missions: Imagine you could go on a trip to a target market, surrounded by market and industry experts, and meet the foreign government and industry leaders most relevant to your business. That is a trade mission. We connect you to the most relevant opportunities and contacts to make sure you have every advantage to being successful in a market.
  • Trade Leads: We have commercial diplomats on the ground in more than 70 global markets and they have their fingers on the pulse of the business environment. Let us tell you the most current and relevant opportunities for your business around the globe.

You should also consider attending an event in our DISCOVER GLOBAL MARKETS Business Forum Series. We have export-promotion events coming up in New York, Georgia, Minnesota, and – of course – North Carolina, to support your business in competing abroad. There’s no better event to give your company a leg up in the global marketplace.

There are many other ways the Commercial Service can support your manufacturing business, so contact your nearest Export Assistance Center for assistance.

As Manufacturing Day approaches, I want to thank the 50-plus North Carolina-based manufacturers who are opening their doors to the public on October 3. I hope many of you in the Tar Heel State, and around the country, will participate in Manufacturing Day this year!

President’s Export Council to Participate in Administration’s First-Ever Fact-Finding Mission

President’s Export Council to Participate in Administration’s First-Ever Fact-Finding Mission

Guest blog post by Stefan M. Selig, Under Secretary of Commerce for International Trade

Yesterday, Secretary Pritzker and I announced that we will lead a high-level delegation on an economic fact-finding trip to Poland and Turkey later this month. I am excited to participate in the first PEC fact-finding mission for the Obama administration. 

That delegation — members of the President’s Export Council (PEC) — is the principal advisory committee on international trade to the president. It includes both public officials and private sector leaders. 

The private sector leadership that will participate during the trip represent many of the most successful and important companies doing business globally today. That includes the PEC vice chair, Ursula Burns, Chairman and CEO of Xerox Corporation. 

CEOs and senior executives from Lockheed Martin, Marriott International, Archer Daniels Midland, Boeing, Dow Chemical, eBay, IBM, and Pfizer, among others, will also participate in the fact-finding mission. 

With Poland as the sixth largest economy in the EU, and Turkey tripling its GDP per capita since 2002, the trade and investment opportunities are plenty and promising, particularly as they relate to economic growth for American businesses. 

After exploring potential opportunities in these countries, the PEC will report its findings to President Obama later this year. This trip is also an occasion for both the administration and American businesses to expand its presence in the field of commercial diplomacy. Working together as partners, we are deepening U.S. economic ties and continue to strengthen our presence on the global stage. 

In fact, one of the reasons I am excited to lead ITA at this moment in time, is because I believe we have a significant role in shaping international economic priorities.  

We can drive commercial diplomacy to new heights. 

From our Doing Business in Africa campaign, which helps facilitate business deals that result in trade-based development for the continent and jobs for the United States, to our Look South Initiative, which is designed to increase trade and investment with our neighbors to the south, or trade missions that promote clean, renewable energy throughout the world, the linkages between our trade and our diplomatic priorities is clearer than ever. 

For more information about the PEC, its members, or history, visit http://trade.gov/pec. Stay tuned for our report to the president. 

Deputy Secretary Andrews Highlights Efforts to Boost Rural Exports in Upstate New York

Deputy Secretary of Commerce Bruce Andrews says that his native Syracuse is 'poised to succeed' at the White House Rural Council "Made in Rural America" Forum

Today, U.S. Deputy Secretary of Commerce Bruce Andrews highlighted efforts to boost rural exports in upstate New York at a “Made in Rural America” forum at SUNY Cortland. Deputy Secretary Andrews was joined by U.S. Senator Kirsten Gillibrand (D-NY) at the event, where both delivered remarks on how to position rural America for success in the 21st century.

Co-hosted by the White House, U.S. Commerce Department, U.S. Department of Agriculture, and Appalachian Regional Commission, the forum convened local business leaders, industry representatives, economic development organizations and local, state and federal leaders to discuss ways to help rural businesses grow. The forum supports the Administration’s “Made in Rural America” Export and Investment Initiative that President Obama announced earlier this year to help rural businesses and leaders take advantage of new investment opportunities and access new markets abroad.

In his remarks, Deputy Secretary Andrews discussed Commerce Department work to ensure small and medium-size businesses have the tools needed to begin or expand exports and create good jobs. Specifically, he outlined goals to expand the national and global footprint of our local and rural businesses; create good-paying jobs for our workers; and cultivate prosperity in communities across Central New York.

Daring to Be Great in Supporting U.S. Exporters

Many of ITA’s senior commercial diplomats from around the globe are meeting in Washington, D.C. to discuss ways to better support business investors and U.S. exporters.

Cross blog post by by Judy Reinke, Deputy Director General of the U.S. and Foreign Commercial Service

Many of ITA’s senior commercial diplomats from around the globe are meeting in Washington, D.C. to discuss ways to better support business investors and U.S. exporters.

In order to support U.S. businesses going global, the International Trade Administration itself needs to be global.

That’s why we maintain staff throughout the United States and in more than 70 markets around the world, connecting companies of all sizes to opportunities in the international marketplace.

Technology has helped us execute our mission across borders, between time zones, and through language barriers. But just like we tell our clients seeking overseas partners, sometimes there’s no substitute for an old-fashioned face-to-face meeting.

That’s why I am excited about our Global Markets Global Meeting this week, bringing together ITA’s senior Commercial Service staff from the United States and around the world to share best practices, learn about new opportunities, and connect with the people who are making commerce happen – people we sometimes only know by email.

It’s been more than 10 years since our last meeting of this magnitude, and this week’s event will enable us to better execute our mission and understand new methods to better support our clients.

Commerce Department Reports Demonstrate that Exports Continue to Help Spur U.S. Economy and Support Jobs

Exports of Goods Supported 7.1 million jobs in 2013

Guest Blog Post by Secretary of Commerce Penny Pritzker

The Obama Administration and the U.S. Department of Commerce today released two new reports that further prove exports are strengthening our economy and creating good jobs. I am very pleased that for the very first time, our department has released data detailing the number of jobs supported by goods exports in 2013 in each of the 50 states. A second report released today highlights the level of goods exports achieved by each of the nation’s 387 Metropolitan Statistical Areas in 2013.

Back in 2010, President Obama launched the first-ever national strategy to increase exports, the National Export Initiative (NEI), with the idea that American businesses could lead our economic recovery by selling more of their goods and services to markets all over the world. The NEI has been a remarkable success. The United States has broken export records for four straight years, hitting an all-time high of $2.3 trillion dollars last year, up $700 billion from 2009. And just four years after NEI was launched, we know that 1.6 million more Americans have export-supported jobs, bringing the total to 11.3 million Americans who wake up every day and go to work in jobs supported by exports.

Today’s new data show more evidence of the NEI’s success. The first report released today, Jobs Supported by Goods Exports from States in 2013, breaks down the national total of jobs supported by good exports in 2013, 7.1 million, into estimates of the number of jobs in each state that are supported by goods exports. Texas exports supported more jobs – an estimated 1.1. million – than were supported by the exports from any other single state. Data show that goods exports from Texas, California, Washington, Illinois and New York supported an estimated 3 million jobs, or 43 percent of all U.S. jobs supported by exports in 2013.

Welcoming Investment from South America

Profile photo of Aaron Brickman, Deputy Executive Director, SelectUSA

Guest blog post by Deputy Executive Director, SelectUSA Aaron Brickman

Not only is South America the birthplace of soccer greats and the location of natural wonders, it is also an important and rapidly growing source of foreign direct investment (FDI) to the United States. According to the U.S. Commerce Department’s Bureau of Economic Analysis (BEA), more than 85,000 men and women go to work each day at South American companies operating in the United States.

The SelectUSA South America Road Show this week connected U.S. economic development organizations (EDOs) directly with inversores and investidores in Santiago, Chile; Sao Paulo, Brazil; and Bogota, Colombia to build opportunities for even more South American companies to succeed in U.S. cities and regions.

Why did SelectUSA’s first South American Road Show focus on Chile, Brazil, and Colombia?

  • These three countries accounted for nearly a quarter of inward investment from Latin American sources in 2013.
  • Brazil is the largest source of investment from South America, with a total stock of nearly $15 billion in 2013. Brazilian companies such as JBS, Embraer, Braskem, and Chilli Beans have made significant investments in the United States over the past several years. The annual growth rate of Brazilian investment averaged 19.6 percent between 2009 and 2013, making Brazil the ninth-fastest global source of investment to our country. There is robust interest from a diversity of sectors: 325 Brazilian firms took part in our seminar and one-on-one meetings with EDOs.
  • As of 2013, the stock of FDI from Chile into the United States stood at $983 million. Investment from Chile, with which we have a Free Trade Agreement (FTA), has been growing at a compound annual growth rate of 11.9 percent since 2009. More than 130 Chilean firms registered for the Road Show, and we were joined by Arauco and Elecmetal – two well-known Chilean companies who shared their experience investing in the United States.
  • Colombia, another FTA partner, was the source of over $2 billion of FDI stock in the United States as of 2013. A recent example includes Fehr Foods, a subsidiary of Grupo Nutresa, which announced earlier this year that it will invest an additional $32 million and create 105 jobs in its U.S plant. Many more Colombian firms are looking to find success in the United States, as evidenced by the 190 participants in the Road Show in Bogota. FDI from Colombia to the United States from 2009 to 2014 grew at a compound annual growth rate of 14.6 percent.

Historic Forum Yields Significant Gains for Africa-U.S. Business Ties

Under Secretary of Commerce for International Trade Stefan M. Selig speaking with Elizabeth Littlefield, President & CEO of the Overseas Private Investment Corporation (OPIC) at the U.S.-Africa Business Forum

Guest blog post by the Under Secretary of Commerce for International Trade Stefan M. Selig

Earlier this month, the U.S. Department of Commerce and Bloomberg Philanthropies co-hosted an event showing that Africa is one of the world’s next great sources of economic growth.

The first-ever U.S.-Africa Business Forum brought together American and African business leaders with the heads of nearly 50 African nations to exchange ideas and create partnerships that will promote trade, accelerate job growth, and encourage investment.

And this was not just an academic discussion. We built the kind of relationships that will help usher in a new level of success for the growing economies and businesses of Africa, as well as spur real gains for U.S. companies.

Several American companies, among others, announced new partnerships in Africa, resulting in multi-million and multi-billion dollar deals:

Also, as part of the White House’s Power Africa initiative—which pledges to invest $7 billion and create an additional 10,000 megawatts of cleaner electricity over the next five years— American company Contour Global secured a $120 million contract to rehabilitate an existing Senegalese power site and construct a new one. That deal will provide another 53 megawatts of electricity to Senegal’s citizens.

As excited as my colleagues and I are about these deals, contract signings weren’t the only highlights of the forum.

5 Takeaways about Doing Business in Africa

In case you missed it during the U.S.-Africa Business Forum last week, the International Trade Administration (ITA) published a report that shows that the U.S. trade relationship with Africa is growing at an increasing rate.

ITA’s Report on U.S.-Africa Trade and Investment examines the economic statistics related to U.S. commercial involvement in sub-Saharan Africa (SSA) – one of the world’s fastest-growing economic regions. The report is part of the Doing Business in Africa (DBIA) campaign, through which federal trade agencies are joining forces with U.S. businesses to take advantage of the growing export and investment opportunities available in the region.

Here are the five key takeaways of the report:

1. Sub-Saharan Africa is one of the fastest growing regions in the world. Average GDP growth has surpassed 5.2 percent three straight years. The International Monetary Fund estimates that this will increase in both 2014 and 2015.

2. U.S. exports to SSA are at record levels. Merchandise exports reached $24 billion in 2013, an increase of $8.8 billion from 2009. The past decade saw the largest increase in value of U.S. exports to sub-Saharan Africa in history; U.S. goods exports have increased by 130 percent since 2000, or an average of 6.7 percent annually.

3. Small and medium-sized businesses are finding success in SSA. More than 92 percent of businesses exporting to Africa are considered small and medium-sized enterprises—those with fewer than 500 employees. They accounted for a 53 percent increase in the value of exports to the region from 2009-2012.

4. Most export growth originates from Texas, Louisiana, New York, Illinois, New Jersey and Georgia. In total, these states accounted for 60 percent of total exports and more than 70 percent of growth in exports to SSA in 2013. Mineral fuel and oil drilling, automotive parts and supplies, precious metals, and boilers and machinery parts are the top export sectors to SSA common among these states.

5. Total U.S. Foreign Direct Investment (FDI) in Africa has grown by 37.5 percent since 2009. While world foreign direct investment position in 2012 was 27 percent greater than in 2009, U.S. FDI position grew by 40 percent during that period.

As evidence of the report’s positive outlook for U.S. trade with Sub-Saharan Africa watch this short video of many of the deal signings that happened last week at the U.S.-Africa Business Forum. 

If your business is ready to do business in Africa, visit Trade.gov/dbia or contact your nearest Export Assistance Center.

U.S. Secretary of Commerce Penny Pritzker Makes First Official Trip to India for U.S.-India Strategic Dialogue

U.S. Secretary of Commerce Penny Pritzker Makes First Official Trip to India for U.S.-India Strategic Dialogue

The commercial relationship between United States and India has long stood as a core pillar of the alliance between our two countries. The United States is committed to reinvigorating ties with India and expanding our economic partnership.  That is why U.S. Secretary of Commerce Penny Pritzker traveled to India this week, where she joined U.S. Secretary of State John Kerry for the U.S.-India Strategic Dialogue in New Delhi. Their trip marks the first U.S. Cabinet-level visit to New Delhi since the new Indian government was elected. Earlier this week, Secretary Pritzker visited Mumbai for meetings with Indian business leaders to discuss new avenues to reinvigorate economic ties between our two nations.

While in Mumbai, Secretary Pritzker delivered remarks at an event hosted by the Confederation of Indian Industry (CII), focused on the U.S. commitment to partner with the newly-elected Indian government, especially in areas of infrastructure, manufacturing, and business investment. Founded over 115 years ago, CII is one of the most important business groups in India and plays an active role in India’s development process. 

As part of efforts to advance the U.S.-India economic partnership, Vinai Thummalapally and Chairman & Managing Director of Export-Import Bank of India Yaduvendra Mathur signed a Memorandum of Intent (MOI) between SelectUSA and the India’s Export-Import Bank. This MOI will encourage collaboration to attract Indian investment to the United States. SelectUSA is the first U.S. government-wide program to promote and facilitate business investment in the United States. Export-Import Bank of India directly supports Indian foreign direct investments abroad.