Archive for the ‘Small Business’ Category

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Turning an International City into an International Exporter

February 2, 2012

This post contains external links. Please review our external linking policy.

Francisco J. Sánchez is the Under Secretary of Commerce for International Trade.

Exports, exports, exports.

(L-R) D.C. Mayor Vincent Gray, DSLBD Director Harold Pettigrew, SBA Deputy Associate Administrator Luz Hopwell, and Under Secretary Francisco Sánchez at the ExportDC announcement.

(L-R) DSLBD Director Harold Pettigrew, D.C. Mayor Vincent Gray, SBA Deputy Associate Administrator Luz Hopwell, and Under Secretary Francisco Sánchez at the ExportDC announcement.

You hear a lot about the benefits of exports these days. Whether it’s exporting services like travel and tourism, or manufactured goods like cars or yarn, businesses around the country are supporting their communities’ economic recovery through market expansion.

Exports have also become part of the national dialogue.  President Obama touched on the National Export Initiative (NEI) in his recent State of the Union address. Commerce Secretary John Bryson highlighted the potential of international markets when laying out his vision for the Department in December.

Personally, I have traveled across the country talking about the importance of selling U.S. products overseas, and showcasing export success stories to inspire new ones.  I’ve seen a lot of great things happening at the local level.  It’s where progress often begins.    

That’s why, yesterday, I was proud to participate in DC Mayor Vincent Gray‘s announcement of the formation of ExportDC.  According to the mission statement, the effort was created “to increase the number of DC small businesses that export, grow the dollar value of exports from District businesses, and coordinate trade missions for qualified District-based businesses.”

Why is this important? Consider the following:

  • As Mayor Gray mentioned: data show firms that export grow faster, create more jobs and pay wages 13-18 percent higher than firms that don’t;
  • According to the International Monetary Fund, 85 percent of the world’s economic growth over the next five years will take place abroad; and
  • 9.2 million American jobs were supported by U.S. exports in 2010.   

With the obvious benefits of servicing foreign markets, it’s unfortunate that only one percent of American businesses export, and 58 percent of those only export to one market.  That is why President Obama launched the NEI two years ago, with the goal of doubling U.S. exports by the end of 2014.  And the International Trade Administration (ITA) has been working at home and abroad to make sure every U.S. business has access to the resources they need to enter and thrive in international markets.

ITA’s U.S. Export Assistance Centers with 108 offices nationwide, have partnered with local communities to provide more complete and comprehensive support to businesses looking to start or expand their export markets.

Mayor Gray’s ExportDC is just one of the latest cooperative efforts between federal and local governments. The Northern Virginia USEAC will collaborate with Export DC on trade missions, networking sessions and other programming that will help DC businesses find new overseas buyers.

Together, ExportDC, ITA and other outstanding federal and local partners will help DC businesses sell their products and services abroad. This is important because when local businesses prosper, communities prosper. When communities prosper, cities prosper. And when cities prosper, our entire nation prospers.

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Exporting at the Speed of Light

January 23, 2012
This post contains external links. Please review our external linking policy.

Doug Barry is an International Trade Specialist in the Trade Information Center, part of the U.S. and Foreign Commercial Service

Two years ago he was laid off from his job at the height of the global financial crisis.  Eighteen months ago he started his own company with one employee:  himself.  Today he has 9 employees and is shipping wireless routers he makes to customers in almost 80 countries.

How’d he do it?

William Haynes owns Sabai Technology based in Simpsonville, South Carolina.

William Haynes owns Sabai Technology based in Simpsonville, South Carolina.

William Haynes owns Sabai Technology based in Simpsonville, South Carolina.  His success is due to a good product, timing, execution and some luck.  He also had crucial help from his friends at FedEx and the U.S. Department of Commerce.

He started selling routers to customers in the U.S.  Then he discovered a company that provided VPN service and who had customers overseas that wanted access to the Internet from devices throughout their household.  The company, Strong VPN, asked Haynes to make routers for them.  The first sale was to China, and orders soon took off to where international sales now account for 80 percent of revenues.

Haynes is not the only one making wireless routers, but he says he manages to compete with much larger technology-makers because of niche marketing ability and excellent customer service. “What you’ve got to do is make sure that front to back, from the time they place an order to the time customers get it in their hands and even after for technical support, that it’s seamless. That it’s well-communicated; that they have a certainty that when they’ve given you their money, they’re going to get their product; that they’re able to track it through the process.  To me, that’s the most important thing for successful exporting.”

Shipping to the middle of nowhere

To generate satisfied customers Haynes turned to FedEx.  “One of my favorite shipping stories  is when we shipped to the Faroe Islands.  FedEx handled that and it was crazy.  It was there, I think, in three or four days.  And if you’re not familiar with where the Faroe Islands are, it’s halfway between Iceland and Scotland out in the middle of nowhere.”

In another example, Haynes recalls: “We had a customer who ordered at 2:34 in the afternoon on a Monday afternoon to Sao Paulo, Brazil.  Well, 10 a.m. on Wednesday morning – less than 48 hours later, they’re contacting us letting us know they’ve gotten the router, it’s installed, it’s up – ‘thank you so much, how wonderful this is.’  We couldn’t do that with anyone but FedEx.”

Business really took off early in 2011 due to an unusual chain of events.  Haynes got a few orders from people in Egypt who understood the wireless routers could be used to send and receive information that was otherwise blocked by government filters. Said Haynes: “During the Arab Spring the technology allowed people to go to CNN and get news and information.  It allowed them to send emails knowing that from the time it leaves their home to the time it hits the U.S. or the country they’re connected to, it’s totally encrypted.” 

To build Haynes’s sales more rapidly, a FedEx sales representative brought in the U.S. Commercial Service, a branch of the Commerce Department that helps U.S. companies find overseas buyers and plays a major role in the Obama administration’s National Export Initiative, which seeks to double U.S. exports by the end of 2014.  The typical U.S. manufacturing exporter sells to buyers in fewer than five overseas markets, so already Sabai Technology was atypical.  But Haynes knew that in addition to selling and sending one box at a time, he needed to develop distributors in key countries so that his sales volume increased at a more rapid rate.

The Commercial Service has Export Assistance Centers in more than 100 U.S. cities and market specialists in U.S. embassies in over 70 countries.  FedEx asked the Export Assistance Center in South Carolina to visit Haynes.  “It would have been years before I discovered these folks.  They came to visit me, to discuss the needs of Sabai Technology,” he said.

The visit prompted Haynes to use U.S. government export insurance and to advertise in a Commercial Service publication Commercial News USA, which goes to foreign buyers worldwide.  “Thanks to the magazine we have companies in countries like Zambia wanting to buy and distribute our product.”

Looks like Zambia will soon be Sabai Technology’s 81st export market, leaving only 45 more countries remaining to sell to by this self-effacing, self-described “babe in the woods” of exporting.  There’s little doubt that he has the determination and now the help to get there.

“I’m just a babe in this stuff, and to have someone hold my hand a bit and walk me through it – it’s going to really accelerate the growth of our international business.”

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The Department of Commerce and FedEx Partner on the Global Buyers Initiative

November 22, 2011

Matt Kennedy is the Director of Strategic Partnerships in the U.S. Commercial Service, International Trade Administration, Department of Commerce

This past week at the annual Asia-Pacific Economic Cooperation (APEC) meeting, I had the honor of being  present as Secretary Bryson and COO and President, International of FedEx Express, Mr. Michael Ducker partnered in marking the commencement of the Global Buyers Initiative – a new program that aims to help expand U.S. exports abroad and create jobs here at home.

An expansion of our ever-valuable partnership with FedEx, the program will work to identify foreign importers who, while already adept in importation, may not be sourcing from U.S. companies and could benefit from doing so.  With the help of our domestic and international teams, we will reach out to these companies, work to connect them with U.S. suppliers, and extend to them the broad resources of the Commercial Service.

To advance the goals of the President’s National Export Initiative, we in the Commercial Service have been working to develop innovative, effective, and efficient ways to help U.S. companies expand their exports abroad.  With a current program, the New Market Exporter Initiative, we are focusing on supply.  With partners FedEx, the National Association of Manufacturers, the United States Postal Service, and UPS, we are working to identify U.S. companies that export their goods and services abroad, but to only one or two countries.  With much of the know-how already there, these companies—with the guidance and resources of the Commercial Service—are entering new markets and expanding their business.  The Global Buyers Initiative represents a ramping up of these efforts and an expansion of the strategy to the demand side: the international companies that are potential importers.

And while the strategy may be new, the goal is the same: expand exports, create jobs.  We are especially excited about the power of our new program to impact small businesses here at home.  By connecting with importers abroad, the Global Buyers Initiative will expand small firms’ reach into these key foreign markets and, in doing so, help grow this vital sector of our economy.   

We are excited to roll out the program this year in Canada, France, and Korea, focusing on NEI-priority markets, and have plans to expand it to Australia, Colombia, Japan, Mexico, Panama, and Singapore in the near future.  We are confident that with the help of this new initiative and the continuing hard work of our domestic and international teams and partners, American exports will be increased and American jobs will be created.

If you’re in the market for American-made products and want to participate in the Global Buyers Initiative you can reach us a spp@trade.gov.

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Spreading the Word about How to Succeed in Exporting

October 4, 2011

By John Ward, a writer in the International Trade Administration’s Office of Public Affairs.

A conference last month in San Diego, California, brought together more than 1,300 business counselors from around the country. With help from several Department of Commerce bureaus, including the International Trade Administration, participants sharpened their export counseling skills.

RELATED: ITA Joins with Small Business Development Centers to Help U.S. Exporters

Thanks to detailed training sessions that featured export specialists from the International Trade Administration (ITA), other federal agencies, and public and private partners in the trade community, more than 1,300 business counselors from Small Business Development Centers (SBDCs) recently updated their knowledge and skills in how to best help U.S. companies export.

The sessions were part of the annual convention for the Association of Small Business Development Centers, which was held in San Diego, California, on September 6–9, 2011. The SBDCs are a nationwide network of business counseling centers that are hosted by universities, colleges, and state economic development agencies. They are funded in part through a partnership with the U.S. Small Business Administration (SBA), and many work closely with ITA’s U.S. Export Assistance Centers (USEACs). There are approximately 1,000 SBDCs located throughout the country.

For More Information

To find the location of the nearest U.S. Export Assistance Center, visit the U.S. government export portal at www.export.gov or contact the Trade Information Center, tel.: 1-800-USA-TRAD(E) (1-800-872-8723). More information about Small Business Development Centers, including links to local offices, is available at www.sba.gov. Click on “Small Business Development Centers” under “Counseling and Training.”

Certification Process

These small business counselors were among those who had the opportunity to learn more about exporting through a series of workshops cohosted by the Trade Promotion Coordinating Committee at the convention of the Association of Small Business Development Centers held in San Diego, California, September 6–9. (photo © Association of Small Business Development Centers)

These small business counselors were among those who had the opportunity to learn more about exporting through a series of workshops cohosted by the Trade Promotion Coordinating Committee at the convention of the Association of Small Business Development Centers held in San Diego, California, September 6–9. (photo © Association of Small Business Development Centers)

By taking the training at the convention, SBDC staff members can qualify for certification as export counselors. The impetus for this training comes from the National Export Initiative (NEI) and the Small Business Jobs Act of 2010.

President Barack Obama announced the NEI in the State of the Union Address in January 2010. It calls for doubling U.S. exports by the end of 2014. The Small Business Jobs Act requires that no less than five individuals or 10 percent of the staff from each of the 63 “lead” SBDCs be qualified as international trade counselors. (A “lead” SBDC is the institution that holds a contract with the SBA. It is responsible for administering and operating the SBDC program within a given jurisdiction, usually a state or territory.)

Introductory and Intermediate Topics

ITA was directly involved in more than 10 exporting sessions at the conference through the work of the Trade Promotion Coordinating Committee (TPCC), which is a federal interagency body that coordinates federal export promotion efforts.

The sessions included introductory and intermediate tracks and covered topics such as export marketing and sales, global logistics and supply chain, export regulations, and international trade payments. Presenters included representatives from the Census Bureau and the TPCC.

The sessions focused on the basics of exporting because SBDC business counselors will be focusing their efforts on the needs of first-time exporters. Companies that are already exporting will be referred to the U.S. and Foreign Commercial Service staff at the local USEAC.

Fulfilling a Mandate for Export Growth

The training sessions come at a propitious moment as the goal date set by the NEI comes closer. This cooperative approach also underscores how small and medium-sized enterprises can benefit when government agencies, along with public–private partnerships, join their complementary skills to more effectively promote U.S. exports.

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ITA Joins with Small Business Development Centers to Help U.S. Exporters

October 4, 2011

By Philippa Olsen, a marketing and communications specialist with the U.S. and Foreign Commercial Service.

Lyn Doverspike (center), director of the Pittsburgh, Pennsylvania, Export Assistance Center, speaking at an Export Achievement Award ceremony for Cardinal Resources LLC. Exports account for close to 80 percent of the environmental services company’s sales. Also attending the ceremony were Rep. Mike Doyle (right) and Kevin Jones, president of Cardinal Resources (left). (U.S. Department of Commerce photo)

Lyn Doverspike (center), director of the Pittsburgh, Pennsylvania, Export Assistance Center, speaking at an Export Achievement Award ceremony for Cardinal Resources LLC. Exports account for close to 80 percent of the environmental services company’s sales. Also attending the ceremony were Rep. Mike Doyle (right) and Kevin Jones, president of Cardinal Resources (left). (U.S. Department of Commerce photo)

In their business counseling efforts, the Small Business Development Centers (SBDCs) often work closely with the International Trade Administration’s U.S. and Foreign Commercial Service (USFCS) through the network of U.S. Export Assistance Centers (USEACs). There are more than 100 USEACs located across the country that are staffed by trade specialists who can provide market intelligence, trade counseling, business matchmaking, and advocacy support. The USEACs can also call on the knowledge and expertise of the USFCS’s overseas staff members, who are located in more than 75 U.S. embassies and consulates.

Lyn Doverspike, director of the Pittsburgh, Pennsylvania, USEAC noted, “SBDCs are a perfect partner for us because they provide trade counseling for new exporters, as our complementary focus is on companies already exporting.” She added that “companies exporting for the first time have a longer timeline before they begin, and SBDCs offer foundational counseling for them before the U.S. Commercial Service steps in and offers them specific exporting assistance.”

This collaboration is especially beneficial in rural areas, commented Vickie Gyenes, a global trade manager who assists small businesses in the Appalachian region of western Pennsylvania through the St. Vincent College SBDC in Latrobe and the St. Francis University SBDC in Ebensburg. “Our clients are all small to medium-sized enterprises and may have experimented with exports in the past, but now see exporting as a vital part of their business,” she said. “SBDCs provide secondary market research; organize educational seminars—from basic training to more complicated topics, such as export controls; and work with the USEACs who have overseas presence and expertise. It’s a joint effort and a great relationship.”

In 2010, the St. Vincent College SBDC’s Center for Global Competitiveness received the President’s E Award for Export Service. This annual award recognizes U.S. companies and organizations that facilitate export trade and contribute to U.S. job growth and competitiveness. From late 2009 through 2010, the center’s efforts directly generated more than $8.9 million in increased export sales for Pennsylvania companies, accounting for more than 150 new or retained jobs

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Making it Easier to Sell Products “Made in America”

October 3, 2011

Francisco J. Sánchez is the Under Secretary of Commerce for International Trade.

It was a good day for American businesses and workers.

Earlier this afternoon, President Obama submitted three free-trade deals — with Korea, Colombia and Panama — to Congress for consideration.  If passed, these agreements would be a big boost to our economy, providing new opportunities for U.S. companies abroad, while strengthening our economy here at home.

As the President said: “These agreements will support tens of thousands of jobs across the country for workers making products stamped with three proud words: Made in America.”

President Obama has long said that exports are a key to the nation’s economic recovery.  Nearly two years ago, he launched the National Export Initiative with the goal of doubling U.S. exports by the end of 2014.  And, last month, in a speech before Congress where he unveiled the American Jobs Act — a bipartisan proposal to put Americans back to work — he stressed the economic benefits of these free-trade agreements.

The President has correctly recognized that exporting provides U.S. businesses with new opportunities to sell their goods and services in markets overseas.  The pending FTAs before Congress would ensure that this trade — with three important markets — is both free and fair.

This is important.  Consider that, in 2010, the United States enjoyed a $9.9 billion non-oil trade surplus with our FTA partners, as compared to a $371 billion non-oil trade deficit with the rest of the world.  In addition, last year, 41 percent of U.S. goods exports went to our FTA partners, even though those countries only account for 9 percent of global Gross Domestic Product.

Clearly, fair trade is good for our economic health and future.  If passed, the pending FTAs are sure to enhance these benefits.  Now, there have been a lot of misconceptions about these FTAs.  To set the record straight, here are some basic facts:

Korea

The U.S. –Korea trade agreement will:

  • Support at least 70,000 American jobs, and boost annual exports of American goods by up to $11 billion through tariff reductions alone.
  • Create new opportunities for U.S. exporters in Korea’s $1.5 trillion economy, the 12th largest in the world in 2010, based on purchasing power parity exchange rates.

Colombia

The U.S. – Colombia trade agreement will:

  • Generate new possibilities in the 3rd largest economy in Central and South America.
  • Reduce barriers to U.S. exports, spurring new opportunities for our businesses, workers, farmers and ranchers, thereby supporting more and better jobs for Americans.

Panama

The U.S. – Panama trade agreement will:

  • Provide new possibilities with one of the fastest growing economies in Latin America, expanding 6.2 percent in 2010, with similar annual growth forecast through 2015.
  • Enhance U.S. competitiveness by eliminating tariffs and other barriers to U.S. exports and expanding trade between our two countries.

Bottom line: By ensuring that the American people have a level-playing field to compete on in these three important markets, the FTAs would spur billions in economic activity, support tens of thousands of American jobs, and sharpen the United States’ competitive edge moving into the future.

The President has worked hard to strengthen these agreements to, in his words, “get the best possible deal for American workers.”

Now, I join his call in urging Congress to pass the FTAs without delay.

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U.S. Commercial Service – A Smooth Operator

August 2, 2011

Carrie Bevis is an intern at the International Trade Administration’s Office of Public Affairs.

Last week, a group of ITA interns, myself included, shuttled over to the Commercial Service Export Assistance Center for Virginia and DC in Ballston for our first fieldtrip! There are 108 U.S. Export Assistance Centers or USEACs spread out across the United States that serve as the domestic arm of the U.S. and Foreign Commercial Service (US&FCS). “Our trade specialists are the boots on the ground in local communities across the country that connect U.S. businesses to and the various programs that ITA and US&FCS has to offer,” said Director General of the US&FCS Suresh Kumar.

As we excitedly assembled ourselves around a sunny conference table with William Fanjoy, Director of the VA/DC Export Assistance Center and Sandra J. Collazo, Senior International Trade Specialist, we eagerly leaned in to hear more about how the Commercial Service works out in the field office around the country. Of all the trade organizations in the government, Commercial Service is the networker, the “one-stop shop” for any company who believes they’re ready to export. Fanjoy is many things; a networker, a salesman, a shameless Peace Corp promoter, but he would never claim to be an expert in international trade. Instead, he and his team are experts in international trade resources.

ITA Interns on a field trip to the Northern Virginia Export Assistance Center

ITA Interns on a field trip to the Northern Virginia Export Assistance Center. Photo Credit: U.S. Dept. of Commerce, ITA

If the trade promotion sectors under the government are a well oiled machine, then Commercial Service is the oil that helps all the parts run smoothly together. There are many government agencies committed to advancing international trade with specific functions. Apart from ITA, there is the International Trade Commission (ITC), the Small Business Administration (SBA), the Export-Import Bank (EXIM Banks), and the U.S. Trade and Development Agency (USTDA) which are all bound by a similar mission: help U.S. companies to export. Short of a pending identity crisis, I asked Fanjoy why there were so many seemingly similar organizations and how the teams at Commercial Service tie in. “All those departments specialize in something specific and important to advancing international trade. Working for the US&FCS, my job is to understand all the needs of the exporter and link them to specific services that span several different Federal and State agencies, as well as services provided by the private sector,” said Fanjoy. “Most successful exporters utilize four or five services from two or three organizations in every export transaction. I can’t tell you what the exact tariff is for batteries entering India, but I sure as hell can tell you who can, and that person is a good friend of mine. My job involves building relationships with the people in all of those agencies so that when I get a call from a business seeking export help, I can connect them to the appropriate person and trust that they will be coached through the process.”

What’s especially impressive about US&FCS connectivity is that they have 126 foreign offices in U.S. embassies and administrations in 75 countries across the globe. The insight and benefit of having officers physically working in the end destination of the future exports is invaluable to U.S. businesses that may be hesitant about international trade. Not only does this ensure an accurate, first hand perspective on overseas markets and the securing of U.S. interests, but it also allows your local export center to wield the power of a foreign embassy in ensuring fair trade. Trade can be scary and uncertain for small companies, but Commercial Service is there to illuminate the process and shed light on any shady transactions a firm may encounter.

Working in an export center is taxing, but rewarding. At the end of the day, it all comes down to how many people (and how well) you actually helped to export a good or service. And at the end of the year, every trade specialist has about 40 export successes, meaning that their personal help can be traced back from an actual exchange of goods or service by a U.S. business. In total, US&FCS helped 18,000 businesses export their goods and services last year.

In order to achieve that level of success, the employees must continuously reach out to local businesses. Fanjoy describes himself as a salesman because he must actively market the USEAC’s services. With the goal of doubling exports by 2014 set by the National Export Initiative, Commercial Service teams cannot afford to wait for the calls to trickle in so the they must be proactive in seeking out new clients with export potential. They travel the state to reach out to small businesses through seminars and travel the world to help businesses reach out to potential clients through trade missions.

On average, it takes about 18 months from the time a call comes in to the time exports are exchanged. Often when a business calls their export center, they are far from being export-ready, and are only export-interested. These firms are led through the process of market research and trade financing that is necessary to ensure that they’re ready to engage with foreign markets. Once they’re ready, US&FCS can play matchmaker by offering the Gold-Key Match-making Service to firms, a program that handles the often complicated logistics of visiting foreign companies on trade missions.

We all left with a better understanding of how our work is making a difference to real businesses in our area, and a little relieved to know that it is someone else’s job to understand all the interworkings of every agency. I’m assured that any business would find themselves in capable hands at their local USEAC, as they’re all staffed by some smooth operators.

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Accudyne Systems, Inc. – Export Expert with a Little Help from Their Friends

July 29, 2011

This post contains external links. Please review our external linking policy.

Carrie Bevis is an intern in the Office of Public Affairs at the International Trade Administration. She is entering her second-year as a student a the University of Virginia at the School of Commerce.

About six years ago, Accudyne Systems, Inc. was a diamond in the rough, a jewel of American innovation and manufacturing prowess that was hidden in the far back corners of a composite trade show in Paris where it could be easily overlooked by potential clients. Of course, that all changed when John Melilli, the vice president of sales and marketing for Accudyne Systems Inc. discovered the resources available to him and the company from the U.S. Department of Commerce.  Now an International Trade Administration (ITA) success story, Accudyne Systems, Inc. uses their success in international sales to help promote the department’s National Export Initiative (NEI) announced by the Obama administration with the goal of doubling exports by the end of 2014.

Accudyne Systems, Inc. developed automation manufacturing of parts used by airplanes like Boeing 787 for improved productivity and consistency.

Accudyne Systems, Inc. developed automation manufacturing of parts used by airplanes like Boeing 787 for improved productivity and consistency.

At an NEI event held in Wilmington, Delaware in May 2011, Melilli recalls how far the company has come since its first appearance at the JEC Composite trade Show in Paris. The Commercial Service branch of ITA hosts a U.S. pavilion at JEC and other international trade shows. Hosting about a dozen companies in the pavilion, Commercial Service can negotiate a prime location and a variety of services to bolster the company’s edge in competing for international clients.  The pavilion provides internet access, conference rooms, coffee and refreshments, translation services, even a wine and cheese open house for attracting prospective clients. Melilli recalls that before, “You would almost have needed a magnifying glass to find us,” but since discovering the help and resources provided by Commercial Service within ITA, now “we look like a Fortune 100 company.”

Accuydne Systems, Inc., an engineering, design, and manufacturing firm, is a small American business based in Newark, Delaware. The firm’s story begins in 1996, as the product of a merger between EPOCH and WTC, two strong engineering consulting firms. The company consists of about 40 staff members, which include engineers, designers, technicians, and support personnel. They’re all bound to the company’s mission to solve manufacturing challenges through the creation of custom automation equipment. The firm adheres to a seven step process which includes  concept development, preliminary design, following up with a detail design, then fabrication, on to assembly, implementing with start up, and finally installing and providing training and continued support. The firm works in composite and industrial automation and specializes in  process and product development that is translated to automated manufacturing systems that embody disruptive technologies for their clients.  Their array of solutions is leading the way in industrial automation.

This mechanical infant was designed by the firm at the request of Johns Hopkins to simulate a fetus with adjustable shoulders, imbedded sensors to monitor head rotation, head tilt, and spine stretch so doctors can practice difficult deliveries.

This mechanical infant was designed by the firm at the request of Johns Hopkins to simulate a fetus with adjustable shoulders, imbedded sensors to monitor head rotation, head tilt, and spine stretch so doctors can practice difficult deliveries.

While numerous small businesses and large corporations alike flocked to Accudyne Systems, Inc. to get customized help, Accudyne Systems, Inc. turned to the  Commercial Service for personal support as well. In 2008, the firm benefitted from a mass promotional campaign assembled by the London-based trade specialist Lisa Cogan by working with other professional businesses in the composite field.  Senior Trade Specialist, Sam Cerrato, the account executive of Accudyne Systems, Inc. for Philadelphia Export Assistance Center noted, “They’ve had great success at the trade shows that they’ve participated in and have been committed to exporting.”

The business has now exported its unique machines to the United Kingdom, Italy, Turkey, Spain, and Sri Lanka. Thanks to export sales, the innovative firm’s sales have increased by over 30 percent. As a result of their increasing demand and ability to export, The Delaware-based firm has relocated to a larger facility in Newark where it has added six new employees due to its export expansion. Finding ITA to be an invaluable resource, John Melilli advised, “If part of your value proposition does not include these people [in the International Trade Administration] you’re not using your tax money wisely.”

Accudyne Systems, Inc. is just one of the thousands of successful companies who have found buyers abroad through the network of the International Trade Administration’s Commercial Service. You can find out more about the services offered to small, medium and large companies by visiting http://export.gov.

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The President’s Export Council Visits Capitol Hill

July 20, 2011

Dominique Griffith is an intern for the International Trade Administrations’ Office of Advisory Committees. He is a rising senior at American University, studying International Relations.

Last week, staff representatives of the President’s Export Council (PEC) along with administrative officials held staff briefings on Captiol Hill on the role of the PEC and its recent work. The PEC is the principal advisory committee on international trade to the executive branch. These briefings, which were done separately for the House of Representatives and the Senate, addressed the PEC’s background (the administration, the private sector, and the congressional role), trade policy, export assistance, small business and workforce assistance, and success measuring for U.S. businesses.

Our staff representative for Xerox pointed out that when, the CEO of Xerox, Ursula Burns, was asked to be the Vice Chair of the PEC she wanted make sure this particular PEC focuses on “measurement and accountability.” In other words, she did not want the PEC to only discuss ideas on how to help U.S. exporters, she wanted to see action. She also wanted to have this action recorded and measured. The PEC has requested this measuring trend so that the Administration can truly see action and progress on policies for which businesses have been advocating.

As an intern for ITA’s Office of Advisory Committees, I assist staff members with tasks such as writing briefing papers and industry research. That being said, one of the most rewarding projects I’ve had a chance to work on has been the “balanced score card” for the PEC’s recommendations. The score card included the PEC’s recommendations, polices that have been implemented thus far, and what actions the Administration will be taking to be responsive to the recommendations. Some of the recommendations included advocating for the passage of the pending Free Trade Agreements, visa reform, enhancement of our transportation infrastructure, and better coordinated export assistances for small and medium enterprises (SMEs). The PEC’s recommendation on transportation infrastructure was particularly interesting to me because it outlined how reliable transportation and infrastructure can help the flow of exports which are essential to our economy. For example, the Department of Transportation’s second round of TIGER (Transportation Investment Generating Economic Recovery) grants focused on financing infrastructure projects that would enhance exports. Another recommendation that is being implemented is on Export Control Reform. Just yesterday, White House Chief of Staff Daley discussed how critical these reforms are so I’m looking forward to see how the PECSEA (the PEC subcommittee that focuses on export controls) moves forward on it’s ideas to strengthen national security through reforming the U.S export control system.

After reading through the recommendations and seeing how the Administration has responded, I soon began to realize how implementing the PEC recommendations will lead to an increase in exports and get our economy back to where it needs to be. Last week’s Hill briefings were a success and although I am only an intern, I know that the work we do with the PEC is vital to the Administration and especially to businesses across the country.

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U.S. Aerospace Industry Goes Big at the 2011 Paris Air Show

June 16, 2011

Jonathan Chesebro is an International Trade Specialist for Manufacturing and Services within the International Trade Administration. He is a member of the Aerospace Team and focuses on analysis and promotion of the aerospace industry.

On June 20, the Department of Commerce and the global aerospace industry will descend upon Le Bourget Exhibition Center in Paris France for the 49th annual Paris Air Show (PAS), the world’s largest aerospace trade exhibition in 2011.  Francisco Sánchez, Under Secretary of Commerce for International Trade, will lead the Department of Commerce delegation to support the President’s National Export Initiative (NEI) and the U.S. aerospace industry.  The show attracts the participation of CEOs from the major U.S. and foreign aerospace companies as well as high-level government officials from around the world. 

SALON DU BOURGET 2009 THE PARIS AIRSHOW 2009

Salon du Bourget 2009 The Paris Airshow 2009

With over 2,000 exhibitors, 340,000 visitors, and 200 international delegations in attendance, the show provides the ideal opportunity for ITA to partner with U.S. industry to support NEI goals, advocate for U.S aerospace companies bidding on contracts and hold policy discussions with foreign governments.  In addition, ITA will exchange views with Congressional and state delegations attending the trade show.

The U.S. aerospace industry is internationally competitive and is the largest in the world.  The industry includes the manufacturing of civil and military aircraft, missiles, space vehicles, and parts of all of the foregoing.  Despite the lingering effects of the global economic downturn, the industry continued to show reasonable strength in 2010, contributing $78 billion in export sales to the U.S. economy.  The industry’s positive trade balance of $44 billion is the largest trade surplus of any manufacturing industry and came from exporting 42 percent of all aerospace production and 72 percent of civil aircraft and component production.

According to a 2008 study by the U.S. Department of Commerce, aerospace supports more jobs through exports than any other industry.  The U.S. aerospace industry directly supports about 430,000 jobs and indirectly supports more than 700,000 additional jobs.  In addition, U.S. aerospace workers are well-paid, earning 47 percent more than manufacturing workers generally

Foreign firms are attracted to the U.S. aerospace market because it is the largest in the world and has a skilled workforce, extensive distribution systems, diverse products, and strong support at the local and national level for policy and promotion.  Industry estimates indicate that the annual increase in the number of large commercial airplanes added to the worldwide fleet over the next 20 years will be 3.2 percent per year for a total of 30,900 valued at $3.6 trillion at list prices.

The Commerce Department has been actively supporting U.S. aerospace industry competitiveness through a series of recent events.  In June 2010, Assistant Secretary for Manufacturing and Services Nicole Lamb-Hale delivered keynote remarks during the “ExportNow: New Markets, New Jobs for Kansas” event where more than 150 companies, learned about the economic opportunities of international trade.  U.S. aerospace companies Hawker Beechcraft Corporation and Spirit Aero Systems were among those in attendance, as well as the National Center for Aviation Training, which opened in 2010 and provides training in the areas of general aviation manufacturing and aircraft and power plant mechanics.  Wichita is a major U.S. aerospace manufacturing cluster and is home to hundreds of aerospace companies that employ over 40,000 people.

Another area where the Commerce Department is supporting U.S. aerospace industry competitiveness is in the area of foreign direct investment.  In February 2010, Under Secretary Francisco Sánchez participated in the opening ceremony for a new Embraer assembly facility in Melbourne, Florida.  Embraer is a Brazilian manufacturer of commercial, general aviation, and defense aircraft, and this new plant will employ up to 200 people from the area and represents a $50 million investment.  This significant investment supports the President’s NEI goals since some of the facilities products will be exported.  It also demonstrates the competitiveness of the U.S. aerospace industry in the global marketplace since Embraer chose to invest in the U.S. rather than in another market.

ITA has also worked with Boeing’s Supplier Management Office to organize a webinar for U.S. aerospace companies that discussed how to participate in Boeing’s global supply chain, which includes over 22,000 small, medium, and large companies.  In addition, ITA organized a webinar with Airbus procurement officials and over 200 companies where Airbus officials discussed the company’s procurement strategy and how U.S. companies can become part of its supply chain.

The U.S. aerospace industry is a significant contributor to U.S. exports, jobs and economic growth, which is why the industry is a priority sector under the NEI.  The more that U.S. aerospace companies export, the more they produce, and the more workers they need. 

Stay tuned for a second article on the Paris Air Show!

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