Archive for the ‘SelectUSA’ Category

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More Than Four Trillion Dollars: FDI in the USA in 2017

August 2, 2018

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

By Elizabeth Schaefer, Director of Investment Research, SelectUSAInfographic listing Top Sources of FDI in the USA according to BEA

Following the flurry of activity from the SelectUSA Investment Summit, it is always a welcome change of pace to take some time in the heat of Summer to reflect on the state of foreign direct investment (FDI) in the United States. As SelectUSA’s resident economist, taking stock of how things have changed isn’t just figurative; it is quite literal.

So, I was excited to see that the United States had reached a record total of $4 trillion in FDI stock, according to 2017 FDI Inward Stock data released by the Bureau of Economic Analysis (BEA).

Foreign direct investment, as defined by BEA, generally captures a long-term relationship with the management of a foreign enterprise which is usually linked with the real output of the country in which it operates.

This updated data, measured by ultimate beneficial owner (meaning that there is a majority foreign-owned entity atop its U.S. affiliate’s ownership chain), provides a picture of which economies are the largest and fastest growing investors in the United States. The $4 trillion mark is an exciting and new record. But in 2017 alone, the flow of FDI into the United States was $277.3 billion.

It is important to note that these annual flows can be volatile, rising one year and falling the next depending on a wide array of global factors. Indeed, in 2017, the annual FDI flow dropped 41 percent from 2016. According to the United Nations Conference on Trade and Development, 2017 was a year of decreased FDI flows around the world, so a decrease in the United States fits the global business pattern. Despite the decrease, the United States still maintains the title of the world’s top FDI destination.

Map showing global sources of FDI in the United StatesThe latest available data also shows continued, strong investment relationships with markets like the United Kingdom ($614.9 billion total stock), Canada ($523.8 billion), Japan ($476.9 billion) and Germany ($405.6 billion). In fact, these top four sources combined account for more than half of all FDI in the United States. However, the top four fastest-growing sources—collectively accounting for less than three percent of the total stock—are Greece ($1 billion), Argentina ($4.6 billion), Thailand ($2.2 billion) and Singapore ($88.6 billion).

What’s Next?

BEA will release more FDI data November 8, including the number of jobs directly supported, state and industry specifics, research and development spending, and more. Stay tuned for details on a SelectUSA webinar on the data later this year! Sign up for email updates and visit SelectUSA.gov for FDI fact sheets, interactive data tools, and more.

You can also follow our #FDIintheUSA campaign on Twitter!

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Invest, Grow, and Succeed in the United States

June 22, 2018

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

Brian Lenihan is the Acting Executive Director of SelectUSA

Photo of stage and audience at 2018 SelectUSA Investment Summit.

More than 3,000 international business investors, U.S. economic developers, and more joined high-level government officials and Cabinet secretaries, global CEOs, and FDI thought leaders for the 2018 SelectUSA Investment Summit.

Today, thousands of global business investors, U.S. economic developers, senior government officials and service providers concluded the 2018 SelectUSA Investment Summit, the premier foreign direct investment (FDI) event in the United States.

The last three days culminated a year’s worth of hard work and collaboration, resulting in another successful Investment Summit that included several new investment announcements and the beginning of countless future partnerships. But most importantly, I have seen firsthand, the excitement and energy that the world has for investing and doing business in the United States.

While this was my first Investment Summit as Acting Director, I am incredibly proud of our team’s work and dedication. This was one of SelectUSA’s largest Investment Summits. More than 3,000 attendees from all over the world joined SelectUSA at the Gaylord National Resort and Convention Center for one reason: FDI.

And this Investment Summit has a history of delivering: Past attendees have announced nearly $93 billion in new investment projects, and Thursday alone, four companies announced more than $600 million in projects that will create about 650 U.S. jobs.

Secretary Wilbur Ross hosted the Investment Summit, and concluded it by reiterating the Trump Administration’s commitment to promoting global investment in the United States and the fostering innovation. “Having the world’s most innovative, open system of capitalism is the reason why the United States continues to create entirely new industries that generate strong economic growth,” Secretary Wilbur Ross told Investment Summit participants. “There really is no better place in the world to invest.”

This year’s theme, “Invest Here. Grow Here. Succeed Here,” focused on the connections between global commerce and U.S. communities. U.S. Cabinet secretaries, Governors, CEOs from Fortune 500 companies, FDI experts, and others provided attendees with insights into how FDI impacts a variety of sectors and fields, from the burgeoning commercial space industry to site selection.

Secretary of the Treasury Steven Mnuchin spoke about the positive impact of recent tax and regulatory reforms on the U.S. market: “We invite you to join us in this economic renewal, to seize the opportunity to invest in America and grow your business here.”

Secretary of Energy Rick Perry championed America’s diverse and expansive energy market to attending investors: “No matter what measure you use, the American energy climate is just outstanding… We’ve seen a cascade of game-changing breakthroughs and technology driving energy production and efficiency up, and energy prices and emissions down.”

Secretary of State Mike Pompeo’s remarks focused on U.S. leadership in promoting a safer, more prosperous world, one where international trade shared among equals: “U.S. economic leadership is built on principles of fairness and a level playing field. The State Department will fight to protect the interests of U.S. intellectual property holders around the world; we’ll work to protect your innovation from theft, copyright violations, or other misuse.”

The Exhibition Hall—the networking hub of the Investment Summit—was full of U.S. economic development organizations (EDOs) from across the United States. Each EDO showcased investment opportunities their communities had to offer the international investors in attendance.  This year’s event included more than 2,700 individual matchmaking meetings among the companies and EDOs in attendance.

On Thursday: four global companies broke news:

  • UK-based health services and clinical research company Re:Cognition Health is investing $15 million in Fairfax, Virginia to open a state-of-the-art facility. Re:Cognition will open an additional 15 facilities across the country in coming years;
  • Dutch cold storage company NewCold will invest between $90 million in Burley, Idaho;
  • Japanese automotive electronic components manufacturer Weastec is investing $3 million in Dublin, Ohio; and
  • Indian steel company JSW announced a $500 million investment in Mingo Junction, Ohio, a town of just 3,300 people.

Friday saw some exciting announcements, too:

  • Governor of Puerto Rico Ricardo Rossello announced the issuance of an RFQ for a public-private, utility-scale energy storage project to upgrade and strengthen the island’s energy grid with renewables and efficiency improvements; and
  • Secretary Ross released SelectUSA’s new report on how FDI has benefitted rural America.

The 2018 Investment Summit may have ended, but the work of maintaining U.S. leadership in FDI continues. It was a privilege to hear from and witness those on the front lines of FDI attraction and promotion: state and local-level EDOs. The United States would not be the top destination of FDI were it not for their work. SelectUSA is here to work with them, with you, and we’re here year-round to help in a variety of ways.

Whether you’re a first-time business investor or an experienced economic development professional, SelectUSA can help connect you to the resources and information needed to make your investment a success. Next year’s SelectUSA Investment Summit returns June 10-12, 2019, at the Washington Hilton in Washington, D.C.

For more information on SelectUSA and its services, please visit www.selectusa.gov. I also invite you to follow SelectUSA on Twitter and sign up for email updates to stay in the know with us.

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Modernizing America’s Infrastructure with Foreign Direct Investment

June 15, 2018

This post contains external links. Please review our external linking policyThis post originally appeared on the Department of Commerce blog.

Guest blog post by Brian Lenihan,  Acting Executive Director of SelectUSA

From expansive freeways and bridges to thriving seaports and airports, infrastructure is the backbone of the U.S. economy, fueling U.S. competitiveness by creating efficient supply chains, reliable energy information, as well as modern and secure transportation systems.

However, years of underinvestment in infrastructure have partially handicapped U.S. growth potential. As the United States now turns toward reinvesting in its infrastructure, there are countless business opportunities for domestic as well as international firms.

Photo of roadways in the United States.

The SelectUSA Investment Summit’s focus on infrastructure this year is demonstrative of the Trump Administration’s commitment to restoring the infrastructure of this country to its full potential, creating economic growth and American jobs in the process.

On Friday, June 22, April Palmerlee, CEO of the American Chamber of Commerce in Australia, will lead a panel on rebuilding and modernizing America’s infrastructure at the 2018 SelectUSA Investment Summit. The panel will highlight President Trump’s “Building a Stronger America” initiative with a focus on regulatory reduction in the permitting process and creative financing, both key to addressing these needs through public-private partnerships as a source of funding at the state and federal levels.

The U.S. Department of Transportation’s Build America Bureau will also lead a session during the Investment Summit Academy on Wednesday, June 20. Roger Bohnert, Director of the Office of Outreach and Development, will explain how local and state-level economic development organizations can find support for infrastructure projects through the Department of Transportation.

The SelectUSA Investment Summit’s focus on infrastructure this year is demonstrative of the Trump Administration’s commitment to restoring the infrastructure of this country to its full potential, creating economic growth and American jobs in the process.

The 2018 SelectUSA Investment Summit (June 20-22) is the highest-level foreign direct investment event in the United States. U.S. economic development organizations and international business investors will converge in Washington, D.C., to hear from industry experts and high-ranking government officials providing insight into several key areas of U.S. strength: workforce development, the burgeoning commercial space industry, and advanced manufacturing.

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SelectUSA’s $30 Billion Impact on the U.S. Economy

June 7, 2018

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

This post originally appeared on the Department of Commerce blog.

Guest blog post by Steven Meyers, Director of Outreach and Communications, SelectUSA 

SelectUSA graphic announcing more than $30 billion of greenfield investment into the United States since its inception.

This month, the SelectUSA team hit a major milestone, having now facilitated more than $30 billion in client-verified business investment projects.

Foreign direct investment (FDI) in the United States is a key contributor to U.S. economic growth, directly and indirectly supporting nearly 13 million American jobs. It contributes to U.S. exports, drives innovation, and – most importantly – sends hardworking Americans home with a paycheck.

Since 2007, the SelectUSA program has worked with thousands of clients – business investors, economic development organizations (EDOs), and other leaders – to support job-creating FDI in the United States. Just this month, the SelectUSA team hit a major milestone, having now facilitated more than $30 billion in client-verified business investment projects.

This is the culmination of years of working with clients, hosting global business events, and working closely with American EDOs.

This past year was especially strong, as the SelectUSA team:

  • Held the largest-ever SelectUSA Investment Summit, with more than 1,200 potential business investors and economic development representatives from 52 states and territories.
  • Brought 10 European medical technology startups to Pittsburgh, Cleveland, and Austin as part of its first inbound investment mission.
  • Hosted investment road shows in India and China that facilitated more than 300 meetings between EDOs and potential business investors.
  • Released its first-ever research reports, analyzing the positive effects of FDI on manufacturing and high-tech industries.
  • Led 20+ EDO delegations to some of the largest trade shows in the world, including Hannover Messe in Germany and BIO Korea.

We were also happy to share many FDI success stories on the International Trade Administration blog. Swiss additive manufacturing company Oerlikon decided to invest $62 million in Huntersville, North Carolina, after attending the 2016 SelectUSA Investment Summit. A.T. Kearney ranked the United States as the world’s top destination for business investment for the 5th year in a row. And Mahindra recently shared its reasons for investing in the United States, creating jobs in Michigan.

Our team at SelectUSA and our partners in the economic development community make this all possible. I thank them for their dedication and hard work.

You may not have heard of SelectUSA, and you may not regularly think about the impact of FDI, but millions of U.S. workers rely on FDI for their livelihood. We are proud to support that, and we look forward to working with more clients and helping to create U.S. jobs.

Learn more about the upcoming 2018 SelectUSA Investment Summit, June 20-22, in Washington, D.C. at selectusasummit.us. Visit selectusa.gov for more information about our services, events, and more. You can also follow us on Twitter @SelectUSA.

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The SelectUSA Investment Summit: Advancing and Expanding American Prosperity

June 4, 2018

This post originally appeared on the Department of Commerce blog.

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

Guest blog post by Brian Lenihan,  Acting Executive Director of SelectUSA

Photo of manufacturing plant to promote SUSA Investment Summit June 20-22 2018.

Advanced manufacturing, workforce development, the burgeoning commercial space industry and many other topics will be covered at the 2018 SelectUSA Investment Summit (June 20–22).

The upcoming 2018 SelectUSA Investment Summit (June 20-22) will feature several plenaries, panels, and breakout sessions of experts, each focused on a vital U.S. industry or subject affecting foreign direct investment (FDI) in the United States. Advanced manufacturing, workforce development, the burgeoning commercial space industry and many other topics will be covered. The one thread uniting them all: advancing and expanding American prosperity.

One industry which plays an outsized role in this effort is advanced manufacturing. In fact, most FDI coming into the United States flows to this rapidly changing industry. On Thursday, June 21, Dr. Walter Copan, Under Secretary of Commerce for Standards and Technology and the Director of the National Institute of Standards and Technology, will lead a panel on advanced manufacturing. Joined by academic and industry leaders, Under Secretary Copan will explore how innovative technologies like robotics, cloud computing, and 3-D printing are reshaping one of America’s bedrock industries.

Advanced manufacturing has the potential to transform the country and keep the United States competitive on the global stage. The industry is already one of the most competitive and advanced in the world, according to a report released by Deloitte in 2016. In fact, America is projected to have the most competitive manufacturing industry by 2020. But we will not reach that point unless we continue the modernization process.

The promises of advanced manufacturing will allow businesses to offer more options through order customization. It will be easier and more efficient to change production quantities, which can many times hamper initial production order agreements. Perhaps one of the greatest improvements will be the speed with which a product can make it to the market. From 3-D printed cars to factory-floor machines that are constantly connected to the internet, advanced manufacturing is already revitalizing the economy, bringing jobs back home, and attracting the world’s top talent.

The SelectUSA Investment Summit, the highest-level FDI event in the United States, helps connect U.S. economic developers and service providers with international business investors. Join SelectUSA, June 20-22, at the Gaylord National Resort and Convention Center in the Washington, D.C., metro area to learn how investing in the United States will lead to success.

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Thanks to Innovation and Investment, the U.S. Aerospace Industry is Boldly Going to New Frontiers

June 1, 2018

This post originally appeared on the Department of Commerce blog.

Guest blog post by Brian Lenihan , Acting Executive Director of SelectUSA

Photo of satellite from space.

Photo of satellite from space.

On February 20, Vice President Mike Pence led the second meeting of the National Space Council at the Kennedy Space Center in Florida. Vice President Pence reiterated the Trump Administration’s dedication to making the United States the global leader in the burgeoning commercial space industry.

“It’s here today, in the 21st century, that the modern marvels that launch from these grounds will prove that the public and private sectors are achieving far more today than we ever have before,” Vice President Pence told the Council.

The Trump Administration is focused on maintaining U.S. leadership in space exploration and technology through public-private partnerships between the Federal government and international companies. By reviving the National Space Council in July, signing Space Policy Directive 1 in December, signing Space Policy Directive 2 in May, and authorizing an increase in NASA’s budget, President Trump is positioning the United States for a return to the Moon and a venture to Mars and beyond.

“As the President said, space is the ‘next great American frontier’ – and it is our duty – and our destiny – to settle that frontier with American leadership, courage, and values,” Vice President Pence said at the inaugural meeting of the National Space Council in October.

Settling that frontier will take human ingenuity and innovative technologies, both of which the United States has in abundance. The world’s top companies are drawn to the innovation culture of the United States. By encouraging entrepreneurship and risk taking, this culture offers an added competitive edge to the business community and leads to technological breakthroughs.

Simply put, the U.S. aerospace industry is a global powerhouse. International firms are drawn to its skilled and educated workforce and extensive distribution systems. World-changing technology is made in the USA, including technologies that rove the surface of Mars and make it possible to study galaxies millions of lightyears away. In 2016 alone, the industry contributed $147 billion in export sales to the U.S. economy, which led to a positive trade balance of $90.5 billion — the largest of any manufacturing industry.

Through the President’s Space Policy Directive 2, the Department of Commerce recently announced its intent to create a new Space Policy Advancing Commercial Enterprise (SPACE) Administration, which  will create a new “one stop shop” within the Department for promoting, administering, and regulating commercial space activities.   The SPACE Administration, to be housed within the Office of the Secretary, will  advance pro-growth policies affecting commercial space activities. This flourishing industry will also be a focus of the 2018 SelectUSA Investment Summit (June 20-22), the top foreign direct investment event in the United States. Secretary of Commerce Wilbur Ross will lead a panel of industry experts to discuss the latest updates in a rapidly changing field and how domestic and foreign companies can utilize U.S. resources to join a new commercial space race.

This June, global companies—from aerospace to agriculture—will join high-level government officials, business executives, thought leaders, and economic developers from across the United States for the Investment Summit in Washington, D.C. To learn more about how you can attend the top foreign direct investment event in the country, please visit selectusasummit.us. Additionally, please visit selectusa.gov for more information on how—and why—to invest in the United States.

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Workforce Development to be Showcased at the 2018 SelectUSA Investment Summit

May 24, 2018

This post originally appeared on the U.S. Department of Commerce blog. This post contains external links. Please review our external linking policy.

Steven Meyers is Director of Outreach and Communications, SelectUSA

The U.S. economy is the best shape since the turn of the 21stcentury. Unemployment has reached a rare low of 3.9 percent, wages are rising, and the international consensus is that the U.S. market is one of reliability and confidence. Indeed, there has never been a better time to invest in the United States and its workers.

Secretary of Labor Alexander Acosta

Secretary of Labor Alexander Acosta Addresses the 2017 SelectUSA Investment Summit.

And yet, millions of American workers are at risk of being left behind in the global 21st century economy. Adapting and flourishing in the new economy will require innovative approaches to job training, education, and economic development.

Workforce development is not only a necessity. It also falls at the intersection of multiple government focuses, from collaborating with countries like Switzerland—where apprenticeships are well-established and common—to programs designed to reduce recidivism, such as the Department of Justice’s UNICOR program. Using an all-encompassing strategy, the Trump Administration is focused on creating good-paying jobs for millions of Americans.

This is why President Trump issued an executive order calling for a multi-department effort to expand apprenticeships in the United States. Specifically, the order created the Task Force on Apprenticeship Expansion, a Department of Labor-led body of industry leaders and government officials. On May 10, 2018, the Task Force presented its findings to the President, recommending an increase in “work-and-learn models,” reforms to the funding process, an awareness campaign, and an expansion of apprenticeships in new industries.

Next month, workforce development will be a central focus of the 2018 SelectUSA Investment Summit, the top foreign direct investment event in the United States. Secretary of Labor Alexander Acosta will lead a panel on the subject with an emphasis on utilizing America’s most valuable economic resource: one of the most skilled and educated workforces in the world.

The Investment Summit joins U.S. economic developers and service providers with international business investors who are ready to establish or expand operations in the United States. Join SelectUSA, June 20-22, at the Gaylord National Resort and Convention Center in the Washington, D.C. metro area. This summer, we invite you to invest, grow, and succeed in the United States.