Exporting is Good for Your Bottom Line
Why Consider Exporting?
- There is no better time to export. Free trade agreements, together with ease of transportation, the Internet, and U.S. Government programs and partnerships continue to simplify the export process.
- More than 70 percent of the world’s purchasing power—and 95 percent of its population are beyond U.S. borders. So if a U.S. business is only selling domestically, they are reaching just a small share of potential customers.
- If your company is not exporting, it’s highly likely your competitors are or will be selling internationally. Exporting enables companies to diversify their portfolios and weather changes in the marketplace, and to grow and become more competitive.
- Free trade agreements have opened up in such markets in Australia, Chile, Singapore, Jordan, Israel, Canada and Mexico, and Central America, creating more opportunities for U.S. businesses.
The Economic Impact of Exporting
- During the past 25 years, U.S. exports have made an important contribution to our country’s economic growth—increasing five-fold from $224 billion to more than $1.4 trillion in 2006.
- Small businesses and entrepreneurs play a key role in global trade. The Small Business Administration reports that small firms exported a record $375 billion in 2006—or more than $1 billion a day. This export growth was three times as fast as the overall economy.
- U.S. exports support millions of American jobs. About 17 percent of all jobs in America's manufacturing sector depends on exports. Workers in jobs supported by merchandise exports typically receive wages higher than the national average.
- Small businesses create 70 percent of the new jobs in America. It is important to help these firms increase their exports.
Smaller Companies Have Vast Untapped Export Potential
- Small and medium-sized companies account for 96 percent of U.S. exporters, but still represent less than one-third of the total export value of U.S. goods’ exports.
- Nearly two-thirds of all exporters only sell to one foreign market, so many of these firms could boost exports by expanding the number of countries they sell to.
- More than two-thirds of exporters have fewer than 20 employees.
U.S. Commercial Service
- The U.S. Commercial Service helps U.S. companies export and protects American business interests abroad, and operates a seamless worldwide network of offices in 109 U.S. cities and at U.S. embassies and consulates in 80 countries.
- The Commercial Service’s end-to-end export solutions helps smaller firms increase profits and lower risks. Companies can benefit from export counseling, customized market research, pre-screened business appointments abroad through the Gold Key Service, international contacts and trade leads, advocacy, trade events, and more.
- The Commercial Service is partnering with corporate organizations to further streamline the export process and build awareness of exporting opportunities for small businesses through seminars and other outreach efforts. These partnerships include FedEx, UPS, e-Bay, Dow Jones Asia, M&T Bank, PNC Bank, and others.
- The U.S. Department of Commerce’s Export Achievement Certificate recognizes companies that have benefited from the Department’s U.S. Commercial Service assistance to make their first export sale or enter new foreign markets.
- In 2006, the Commercial Service network generated nearly 12,000 export successes; facilitating billions of dollars in U.S. export sales.
- For more information, visit www.export.gov, or call the Trade Information Center at 1-800-USA- TRADe.