Archive for the ‘Uncategorized’ Category

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Our Partnership with Canada – Beyond the Border

September 29, 2016

Kyle Wells is the Canada Desk Officer at the International Trade Administration

Today, the Obama administration and the government of Canadian Prime Minister Justin Trudeau released the annual “Beyond the Border” (BTB) Implementation Report. The joint document highlights key accomplishments under the BTB Action Plan launched in 2011 by President Obama and former Canadian Prime Minister Stephen Harper. The vision of BTB is to enhance perimeter security and economic competitiveness while facilitating legitimate trade and travel across our shared border.

The BTB Action Plan describes four key areas of cooperation between the United States and Canada:

• Addressing threats early
• Trade facilitation, economic growth, and jobs
• Integrated cross-border law enforcement
• Critical infrastructure and cybersecurity

The United States and Canada have made tremendous progress since launching the BTB. Major accomplishments include:

• Signed an historic Preclearance Agreement that will, once in force, enable new preclearance operations on both sides of the border in all modes of transportation (land, rail, marine, and air), facilitating trade and travel for Americans and Canadians.
• Reached 1.3 million Nexus members, as of December 2015 – representing an increase of nearly 17 percent over 2014 and over 110 percent since 2011. Data from fall 2015 show that the majority of NEXUS members using the dedicated commuter lanes were processed within 25 seconds.
• Worked with Mexico to expand eligibility across North America in our respective trusted traveler programs that speed the entry of pre-screened travelers.
• Issued the second annual Border Infrastructure Investment Plan, conducted consultations with stakeholders, and held a series of regional webinar roundtables to help harmonize efforts to move forward with deploying wait time solutions at crossings.
Next week, government officials from the United States and Canada will convene the annual Executive Steering Committee via video conference to discuss ongoing and future work under the BTB Action Plan. For more information on BTB, please visit the Department of Homeland Security’s website: https://www.dhs.gov/beyond-border#

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New Commerce Department Report Shows 63 U.S. Metropolitan Areas Set Goods Export Records in 2015

September 8, 2016

MalThe U.S. Department of Commerce today released a new report that shows U.S. metropolitan areas exported more than $1.3 trillion in merchandise exports in 2015, accounting for 89 percent of all goods exported from the United States. The 2015 Metropolitan Area Export Overview states that 156 metro areas exported more than $1 billion of goods to consumers around the globe.

“In metropolitan areas from Abilene, Texas, to York, Pa., exports continue to be a source of growth for the local economy,” said U.S. Secretary of Commerce Penny Pritzker. “Exports from 119 metropolitan areas increased last year, leading to new records for places like Cincinnati, Las Vegas, and Sacramento. The Department of Commerce continues to focus its services on helping firms sell ‘Made in America’ products to global consumers, which will support additional growth and good-paying jobs.”

The report includes the following highlights:

· The Houston-Woodland Hills-Sugarland metropolitan area was ranked No. 1 for the fourth consecutive year with total goods exports exceeding $97 billion.

· New York-Newark-Jersey City; Seattle-Tacoma-Bellevue; Los Angeles-Long Beach-Anaheim; and Chicago-Naperville-Elgin round out the top five metropolitan areas for goods exports.

· The Houston, New York, Seattle, and Los Angeles metro areas each exceeded $50 billion of goods exports in 2015 for a fourth consecutive year.

· El Paso, Texas, was the largest metro area to register double-digit export growth both in 2015 and from 2009-2015, shipping $24.6 billion in goods abroad in 2015. This represented a 22 percent increase from 2014, and a 217 percent increase from 2009.

· Houston was the largest metropolitan area exporter of goods to potential Trans-Pacific Partnership (TPP) markets with goods exports totaling $36.2 billion in 2015.

· There were 14 metro areas that exported more than $20 billion of goods in 2015.

Increasing exports has been a top priority of the Obama administration, and the Commerce Department has been a consistent partner in trying to keep businesses competitive by promoting the benefits of free trade agreements (FTAs). The agreements are a critical tool in helping U.S. exporters access the more than 95 percent of the world’s consumers living outside the United States. Markets with FTAs in force accounted for more than half of total goods exports for 195 metropolitan areas.

Potential new trade agreement partners among the TPP markets were top destinations for 21 out of the top 50 metropolitan areas in 2015. TPP will level the playing field for American workers and U.S. businesses, by cutting more than 18,000 tariffs on Made-In-America products and instituting high standards in areas like labor and the environment that will make it easier for U.S. companies to sell their goods and services abroad.

For more information on the contributions of metro areas to U.S. exports, including fact sheets for the top 50 exporting metro areas, visit: http://www.trade.gov/mas/ian/metroreport.

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U.S. Commerce Official Highlights Smart Cities Technologies in Singapore

August 9, 2016

Margaret Hanson-Muse, Regional Senior Commercial Officer, ASEAN U.S. Commercial Service, U.S. Embassy Singapore

Leading an official visit to Singapore from July 14 to 17 on behalf of the United Stated Department of Commerce, Assistant Secretary of Commerce for Global Markets and Director General of the U.S. and Foreign Commercial Service Arun Kumar emphasized opportunities for U.S. companies in Singapore and the global marketplace, focusing on the new and innovative Smart Cities Initiative. Kumar led a Water Infrastructure Business Development mission of nine U.S. companies to Singapore.

At an event co-hosted by the American Chamber of Commerce in Singapore and the US-ASEAN Business Council, Kumar launched the Smart Cities, Regions, and Communities: Export Opportunities guide that will assist U.S. companies in competing for and winning business opportunities in the emerging Smart Cities space. A Smart City is one that leverages technology and data to become more energy efficient, clean, and green, while addressing citizen engagement, governance, and critical needs in education and healthcare. Kumar was joined at the event by Mayor Steve Adler of Austin, Texas.

The new guide is an outcome of President Obama’s Smart Cities Initiative launched last year to leverage new resources and investment for the promotion of sustainable growth in communities throughout the United States while advancing U.S. business opportunities at home and abroad.

Focusing on U.S. export opportunities and citing a White House fact sheet, Kumar stated that “54 percent of the world’s population lives in urban areas, and continued population growth and urbanization will add 2.5 billion people to the world’s urban population by 2050. The associated climate and resource challenges demand innovative approaches. Products and services associated with the Smart Cities markets present significant opportunities for U.S. companies, since nearly 90 percent of this increase will occur in Africa and Asia.”

Showcasing Innovative “Smart” Technologies, a visit to Accenture

In recognizing Singapore as one of the world leaders in the development of Smart Cities technologies, Kumar visited the new Accenture Internet of Things (IoT) center to explore what innovation can mean for Smart Cities. He was escorted by Dwight Hutchins, Managing Director Accenture Strategy Products, Asia Pacific and Chairman of the American Chamber of Commerce of Singapore.

“A visitor to this Center is indelibly impressed by the power of digital technology and how it can be used to gain a competitive advantage” Kumar said. “Cities, like businesses, are also seeking ways to harness digital technology as a more efficient means of providing necessary services to their citizens. Singapore’s enduring commitment to innovation and to becoming a Smart Nation makes it an excellent choice to host such a center. This center is designed to help customers, including Cities, to capitalize on these new technologies to pursue long-term growth.”

The center seeks to help companies in sectors like consumer goods, agriculture, forestry, metals, mining, oil and gas, chemicals, and utilities to capitalize on innovation and new digital services and business models. It also focuses on intelligent connected devices and machines that comprise the Industrial Internet of Things. Centers such as this will be important catalysts for innovation and adoption of Smart Cities technologies.

U.S. businesses are well positioned to assist in Singapore’s Smart Cities development through technologies and services in the energy, environment, infrastructure, healthcare, and information technology sectors. As part of its Smart Nation program launched in 2014, Singapore has been monitoring and promoting urban sustainability and environmental cleanliness, increasing the potential for new and expanded U.S.-Singapore partnerships.

U.S. companies regard Singapore as an excellent place to do business. Since 2003, the World Bank Group has ranked Singapore first in the world in the ease of doing business. Moreover, bilateral trade between the United States and Singapore reached US$46.7 billion last year; a growth that has been enhanced thanks to the success of our bilateral Free Trade Agreement (FTA).

Since the U.S.-Singapore FTA came into force in 2004, U.S exports to Singapore have increased by 48 percent. The Trans-Pacific Partnership, which includes 12 countries, including the U.S. and Singapore, will be the next chapter in our strong commercial relationship.

The Obama Administration’s Smart Cities Initiative will invest more than $160 million in federal research funding and leverage more than 25 new technology collaborations to help local U.S. communities tackle key challenges such as reducing traffic congestion, fighting crime, fostering economic growth, managing the effects of a changing climate and improving the delivery of city services. The new initiative is part of the Obama Administration’s overall commitment to target federal resources to meet local needs and support community-led solutions.

For more information on export opportunities in Singapore, visit the U.S. Commercial Service in Singapore at http://www.export.gov/Singapore.

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Business Investment that Counts: Congratulations to Sofidel and Circleville, Ohio on New Groundbreaking

July 12, 2016

By Vinai Thummalapally, Executive Director, SelectUSA

Yesterday, I was honored to participate in the groundbreaking ceremony for Italy-based Sofidel Group’s first greenfield investment in the United States – a 1.4 million square-foot integrated paper manufacturing facility in Circleville, Ohio expected to create more than 300 jobs. With a speaker lineup featuring Ohio Lieutenant Governor Mary Taylor, Sofidel CEO Luigi Lazzareschi, Columbus2020 CEO Kenny McDonald, P3 Executive Director Ryan Scribner, and JobsOhio Senior Advisor David Mustine – the event clearly demonstrated the depth of community support and engagement for this project.

Groundbreaking

L to R: Tony Curtis, CEO Sofidel America, Simone Capuano, Sofidel Ohio project manager, Luigi Lazzareschi, CEO, Sofidel Group, Vinai Thummalapally, Executive Director, SelectUSA

My role was twofold – first, to welcome Sofidel on behalf of the U.S. government, and second, to congratulate the local community and recognize the vital, collaborative efforts of the state, regional, and local economic developers that helped transform this manufacturing opportunity from a vision to a reality. My observations following the event are below.

Sofidel’s $259 million commitment to Circleville – the largest private sector investment in the community in decades – was recently highlighted by President Barack Obama at the 2016 SelectUSA Investment Summit. It was a particularly meaningful occasion to recognize Sofidel – a world leading manufacturer of paper for hygienic and domestic use – because the Summit is where it all began.

Each SelectUSA Investment Summit is a unique opportunity for investors and those seeking investment to connect and explore the diversity of opportunities across the United States under one roof. Following meetings at the 2015 Summit, Sofidel welcomed Columbus2020, JobsOhio, and the Pickaway Progress Partnership to their facility in Italy. Shortly thereafter, the company’s planned Circleville facility was officially announced in November 2015, which culminated in yesterday’s groundbreaking ceremony. This investment milestone would not have been possible without the support and close collaboration of these dedicated regional and local economic development teams and the state government – and it is truly remarkable how it all came together.

In his remarks, the president emphasized that this project represents exactly the type of investment that the United States welcomes to our shores. The United States is consistently ranked among the best internationally for its overall competitiveness and ease of doing business – and today, Italian companies directly employ nearly 125,000 people across the country.

For companies like Sofidel, which has been making tremendous headway since entering the market in 2012, the United States offers a competitive platform for manufacturing and exports; a transparent, fair, and stable business environment; and one of the world’s most productive workforces.

At the same time, foreign direct investment in the United States creates high-paying jobs, spurs innovation, and drives exports – connecting American communities with global networks. This has a significant real-world impact on Circleville, and communities like it all across the country.

Win-win outcomes like these are why SelectUSA was created in 2011 to help companies considering establishing or expanding operations in the United States. We are proud to have played a role in bringing Sofidel together with these high caliber partners, and look forwarding to continuing to work with all parties towards the next key milestone of this project.

Congratulations and best wishes on the dawn of an exciting new chapter for Circleville and for Sofidel.

To learn how SelectUSA can help your community to attract international investment or assist your company to establish or expand in the United States, visit http://www.SelectUSA.gov.

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New Opportunities with TPP – Increasing U.S. Exports to Singapore

July 12, 2016

Margaret Hanson-Muse is the Regional Senior Commercial Officer for ASEAN at the U.S. Embassy in Singapore. Amy Vickery is an International Trade Specialist covering Singapore for the U.S. Department of Commerce in Washington, D.C.

Singapore is a reliable trading partner, strategic ally, and friend to the United States.

Consistently ranked the easiest place in the world to do business and among the best on indices of competitiveness and perceptions of corruption, Singapore offers a hospitable business climate for American companies exporting, investing and operating abroad. As a shipping and logistics hub and first-world financial center, Singapore is an ideal entry point to the ten ASEAN countries, and even to India and China. As such, over 3,600 U.S. companies have already established a presence in Singapore, with many designating Singapore as their regional and sometimes even second global headquarters. Mirroring U.S. industry’s enthusiasm for operating in Singapore, the U.S. Department of Commerce established its regional commercial office for ASEAN at the U.S. Embassy in Singapore in 2012.
Underpinning our strong bilateral commercial relationship is the U.S.-Singapore Free Trade Agreement (FTA), in force since 2004. The U.S.-Singapore FTA was the United States’ first FTA in Asia and has contributed to a 48 percent increase in U.S. exports to Singapore since implementation. In 2015, Singapore was our 13th largest goods export market and 17th overall largest trading partner. Singapore’s foreign direct investment into the United States reached nearly $20 million last year. Goods exports to Singapore totaled $28.7 billion in 2015, yielding a trade surplus of $10.4 billion—the sixth largest trade surplus for the United States. This goods surplus demonstrates that FTAs work and that U.S. economic well-being is inextricably linked to the Asia market.
Successful implementation of the Trans-Pacific Partnership (TPP) Agreement will be the next chapter in our strong bilateral commercial relationship with Singapore. The TPP, which involves 12 countries, including the United States and Singapore, will help U.S. exporters once it is approved and implemented. As Singapore already has an open economy and existing FTAs with the United States and all other TPP parties except Canada and Mexico, the bulk of economic gains for U.S. firms vis-à-vis Singapore will not come through direct tariff reductions. In fact, Singapore currently maintains the lowest tariff levels of the TPP parties, with an average Most Favored Nation (MFN) applied tariff rate of 0.2 percent. Instead, benefits to U.S. companies will come from the TPP’s improvements on the core obligations in existing FTAs and World Trade Organization agreements, reductions in non-tariff barriers that impede trade, and strategic gains as Singapore’s regional hub status is further solidified through simultaneous regional integration efforts.
Let’s explore a few examples of new benefits under the TPP:
The TPP’s expanded “rules of origin” will help both the United States and Singapore, and are an improvement over the U.S.-Singapore FTA. Under the TPP, these rules, which determine whether or not a good qualifies for preferential tariffs, will now allow for “regional cumulation.” This should allow U.S. and Singaporean exporters to get duty-free treatment on a greater range of goods than they can currently under the U.S.-Singapore FTA.
Professional services are an example of an industry sector that will gain from the TPP. In 2014, Singapore’s imports of services accounted for 13.4 percent of its total trade, a larger proportion than any other TPP country. The TPP represents liberalization over the U.S.-Singapore FTA for several professional services, including architectural, engineering, and auditing services. For Singapore, the TPP contains fewer scheduled exceptions for these services than the bilateral FTA does. This should enable greater exports of U.S. architectural, engineering, and auditing services to Singapore.
For more information on new U.S. export opportunities in Singapore under the TPP please see our Singapore TPP factsheet. Additionally, to find out more about best prospect sectors in Singapore, please see our Country Commercial Guide and Top Market Reports. We invite U.S. exporters interested in exploring the Singapore market to contact us.

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Global Trends Put U.S. Building Product Exports on Solid Footing

July 11, 2016

Joanne Littlefair is a Senior International Trade Specialist at the International Trade Administration

Increasing urbanization worldwide is a megatrend driving global export opportunity for U.S. building product manufacturers, according to a new report, 2016 Top Markets Building Products and Sustainable Construction, from the International Trade Administration (ITA).  With more than half the world population now living in urban areas and more would-be residents flooding into cities daily, cities are challenged to create built environments in which increasingly dense populations can thrive.

This megatrend fuels ITA’s projection that in 2018 some $39.4 billion in global export opportunities will await U.S. exporters of seven categories of building products.  U.S. manufacturers of heating, ventilation, air conditioning and refrigeration (HVACR) products, lighting, plumbing products, wood products, insulation, windows and doors and glass for construction are globally competitive and well positioned to respond to six key trends driven by the urbanization megatrend.

The ITA Top Markets study ranks 75 international markets in terms of 2018 sector export prospects, supported by 10 country case studies.  The study elaborates six focal areas capturing policy and commercial attention as global markets seek increased building performance.

  1. Resilience

In the face of natural and man-made risks, the ability to circumvent, withstand, and recover from impacts is essential to economic and social vitality.  Resilience is a concept receiving considerable attention from governments, investors, international organizations and private sector construction stakeholders.  Buildings have a clear role to play in this sphere.

  1. Energy efficiency

Fully one third of world energy use is estimated to occur inside buildings, so improving building energy efficiency can have huge impacts on energy demand and greenhouse gas emissions.  Improving energy efficiency can be expected to be a continuing core focus throughout buildings.

  1. Water efficiency

Water shortages and drought conditions experienced around the globe underscore the importance of buildings in achieving more sustainable environments.  Estimated to account for 20 percent of global water use, buildings have much to contribute to increasing water efficiency.  The nexus of water efficiency and energy efficiency also is increasingly recognized.

  1. Net-zero energy buildings (NZEB)

The NZEB concept has captured considerable attention globally.  Government policies and private initiatives can be seen being geared to designing, building and operating structures in which the total amount of energy used by the building on an annual basis is roughly equal to the amount of renewable energy generated on site.

  1. Healthy buildings

Notably among institutional and commercial buildings, and increasingly across all building types, there is a focus on increasing building value through a healthy building approach.  This emphasizes indoor air quality, use of low-toxicity materials, occupant thermal comfort and access to natural light, among other factors.

  1. Smart buildings

A smart building is generally understood as one reflecting a holistic approach to a building’s design, construction and operation to maximize efficiencies, occupant comfort and other functional priorities. The building is a system of systems that communicate within the building and externally to optimize performance.  Smart buildings create immediate opportunity for design services and information and communication technologies. They also create demand for high-quality building products with inherent efficiency and interoperable functionality compatible with smart building design.

For additional information on these export opportunity drivers, and how they manifest across the 10 case study markets, download the full report, 2016 Top Markets Building Products and Sustainable Construction.

ITA trade specialists around the globe stand ready to assist U.S. entities with their international market development objectives.  U.S. building products are globally competitive and opportunity exists for companies of all sizes.

 

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Doing Business in Peru—TPP Offers Expanded U.S. Export Opportunities

June 28, 2016

Ricardo Pelaez, Senior Commercial Officer, Lima, Peru

For a decade (2003-2013), Peru was Latin America’s fastest growing economy with an average annual growth rate of 6.3 percent. Over the same time period, it cut poverty in half from 54% to 23.4%. Peru’s economy continued to grow at rates of 2.4 and 2.9% in 2014 and 2015 respectively and is outperforming its regional neighbors. Experts forecast Peru’s economy will return to 3.7 and 4.1 % growth in 2016 and 2017, respectively. This growth will be driven by expanded mining production and anticipated continuation of sound macro-economic and market friendly policies under a new Kuczynski government that takes office on July 28, 2016.

Peru

Peru

Peru’s low inflation and second highest credit rating in Latin America make it an attractive market for U.S. exporters. Peru is our 6th largest export market in Latin America, with U.S. exports totaling $8.8 billion in 2015. Some 12,000 U.S. companies currently export to Peru, roughly 86% of which are SMEs. The United States is Peru’s 2nd largest export market and 2nd largest supplier of imports after China. U.S. products and services are well-positioned to expand in sectors such as mining, construction, food processing and packaging, e-commerce, education, industrial chemicals, medical supplies and equipment, plastics, water management, and security and safety equipment.

The U.S.-Peru Trade Promotion Agreement (PTPA) entered into force in 2009, immediately eliminating tariffs on over 80% of U.S. consumer and industrial products exports to Peru. PTPA has had a tremendously positive impact on trade between our two countries. Since 2009, two-way trade between the U.S. and Peru has grown 8% per year and U.S. exports to Peru have grown 11% per year. Furthermore, the PTPA was a catalyst for Peru to sign another 16 FTAs encompassing 52 economies, cementing its free- trade policy. Peru is actively pursuing regional trade integration through membership in the Pacific Alliance and the Trans-Pacific Partnership (TPP).

In the past few months, my team has assisted more than 170 U.S. exporters interested in penetrating the Peruvian market and recruited over 420 Peruvian buyers to attend U.S. trade shows. We supported over 50 U.S. exhibitors at Perumin, Peru’s largest mining convention and trade show held in Arequipa biennially. In response to a Presidential initiative improving Peruvian citizens’ access to healthcare, we organized a three-day Healthcare Trade and Investment mission led by the Deputy Secretary of Commerce that featured 23 U.S. companies.

The Peruvian government has allocated an additional $1.6 billion to invest in education projects in 2016, which includes the building and design of high performance schools with state of the art educational technologies. Peru’s investment in new transportation and telecommunications infrastructure will contribute to growth in the construction sector, while ongoing mining and energy projects and the continued demand for housing and office facilities will further spur growth in the market and offer new opportunities for U.S. firms.

Peru’s world-renowned gastronomy has fostered growth in its local food processing and packaging industry. Local Peruvian ingredients such as fruits, peppers and Andean cereals are now being successfully marketed internationally. The growing middle-class now has greater purchasing power for more expensive, processed and packaged food products which offers opportunities for U.S. technologies in this sector.

All of these developments mean good news for U.S. exporters. Once in force, the TPP Agreement will amplify the synergies between our two markets, as we increase exports to the other TPP member countries, particularly Asian markets. The TPP will add to the success of the PTPA and increase opportunities for new partnerships between Peruvian and U.S. companies.

As of 2014, over 39,000 U.S. jobs were supported by goods exported to Peru, and that success is expected to increase under the TPP. To learn more about doing business in Peru and other markets, I invite you to select Peru under our Country Commercial Guides. To learn more about U.S. export opportunities to Peru under TPP visit our Peru TPP Country Report.