Africa, Near East, South Asia (ANESA)
Tools to Help Your Business Enter the Global Marketplace
World Trade Week was an idea born in 1926, during a time when isolationism dominated U.S policy and popular opinion. The manager of the World Trade Department in Los Angeles conceived the idea originally to promote the growth of Southern California ports. President Franklin Roosevelt officially proclaimed World Trade Week as a national observance in 1935 to recognize the importance of international commerce to our economy and way of life.
Today, the symbolism of World Trade Week is more relevant than ever, as more than 70 percent of the world's purchasing power--and 95 percent of its consumers--are outside of the United States, creating opportunity for American businesses and overseas customers alike, while helping people around the world improve their quality of life. The popularity of World Trade Week continues to grow, and in many parts of the world, encompasses the entire month of May, and is celebrated by businesses, associations and governments.
The arrival of World Trade Month is an opportune time to highlight the benefits of trade to “Main Street” America. "A bed and breakfast that thrives on foreign tourists, a local flower shop that imports Colombian roses, and the neighborhood supermarket are just a few of the many examples of how trade impacts our lives in positive ways," said Commerce Secretary Carlos M. Gutierrez in his 2008 World Trade Week Proclamation. Through its network of offices, Commerce will be supporting many local events across the country to help bring home the positive benefits of trade.
Selling Abroad from Main Street America
The benefits of world trade today are felt by Americans on every level. From the small family-owned business to the multi-national corporation, technological innovation has allowed international commerce to become an integrated and seamless part of our lives. Today, roughly 246,000 businesses participate in exporting, most of which are small and medium-sized. These international relationships are essential for the United States, promoting political and economic stability and enhancing the daily lives of Main Street America.
As Secretary of Commerce Carlos Gutierrez writes in his World Trade Week Proclamation:
“Small businesses create 70 percent of the new jobs in America, so we must continue to be diligent in helping these firms boost their international sales. The explosive growth in e-commerce has allowed smaller American businesses to expand their international horizons, with over one billion Internet users outside of the United States, many of whom are potential customers for U.S. businesses.
As we gather at World Trade Week events across the country, let us celebrate the many benefits that global trade has brought our communities. Let us above all recognize and continue to build the positive links that trade creates between Americans and the people of the world.”
One example of a small company’s ability to create links through trade is Headworks, Inc.’s venture into Mexico. Headworks, Inc. of Houston, Texas specializes in wastewater treatment technology that screens out solid wastes from the water as it flows through treatment plants. With its bilingual representation and help from the U.S. Commercial Service in Houston and Mexico City, the firm recently made major new-to-market sales to Mexico. Michele LaNoue, Headworks CEO, says Mexico's increased emphasis on environmental quality is opening new doors of opportunity for pollution control technologies. "Mexico is a country of many different markets, so plan your strategies accordingly," she advises. LaNoue says the firm's overall export sales, including those to Mexico, have enabled her company to grow and support new jobs at its Houston headquarters. “NAFTA has reduced the costs of selling to Mexico, including duties, thereby making us even more competitive,” she says. “We’ve also seen a great reduction in paperwork that has contributed to our cost savings.”
Opportunities for your company are available around the world. Nearby countries like Canada or Mexico may appear to be the most accessible, but other countries and regions may also be a good fit for your company.
Europe is often among the first export markets for U.S. companies. The European Union (EU) created uniform import regulations and mutual recognition of standards for member countries, making it easier for U.S. companies to export their goods to Europe. Additionally, with the use of a common currency, the Euro, the EU market has, in many respects, been turned into one single market. This makes the EU more competitive and more open to international trade.
While the EU is truly a single market for some U.S. goods and services, it is still fragmented along country, language, cultural, and regional lines for others. With the ongoing consolidation of distribution channels and retailers, marketing for many goods can now be done with a pan-European perspective. But for other items – particularly specialty products – the retail outlets, distributors, and end-users are still local, and the best coverage for such markets will likely be on a regional basis that might even divide Europe’s larger countries into more than one market.
The top European sectors include aerospace and defense, automotive, chemicals, energy, environment, seafood, food hygiene, fishery and aquaculture products, food and nutritional supplements, information and communication technology, medical equipment, pharmaceuticals, safety and security, and textiles.
The U.S. Commercial Service, with locations at U.S. embassies and consulates throughout Europe, works with companies to increase U.S. exports to Europe. Visit the BuyUSA website to find trade opportunities, new business partners, market research and one-on-one assistance.
Africa, Near East, South Asia (ANESA)
The ANESA region includes a large number of countries on two continents, including the sizeable markets of India, Egypt, Saudi Arabia and South Africa. African economies continue to sustain the growth momentum of previous years, recording an overall real GDP growth rate of 5.7 percent in 2006, compared to 5.3 percent in 2005 and 5.2 percent in 2004. Approximately 28 countries recorded growth in 2006.
Leading U.S. Export Markets in Sub-Saharan Africa
Sub-Saharan Africa, with its burgeoning consumer base of 650 million, political stability and economic reforms, has increasing market potential. The markets of South Africa, Nigeria, Angola, Kenya and Gabon accounted for 74 percent of U.S. sales in 2007. Overall, U.S. exports to sub-Saharan Africa rose 19 percent in 2007.
U.S. exports to sub-Saharan Africa in 2007 were mainly driven by growth in the following sectors:
 | Vehicles and parts |
| Parts for oil field equipment |
| Wheat |
| Non-crude oil |
| Medical equipment |
Kenya
Despite recent events in Kenya, specifically the crisis triggered by the sharply disputed results of elections held in late December, the country has made many positive developments that are opening up the economic climate and creating numerous opportunities for business and tourism in Kenya. The government of Kenya, the private sector, and development partners are working together to assist Kenya’s economic recovery and development. Kenya is a regional distribution center for trade across East Africa, home to the largest regional financial industry, and is investing aggressively in communications and transportation infrastructure.
Read a letter from the U.S. Ambassador to Kenya Michael E. Ranneberger
South Africa
South Africa's size (a market of forty five million people), infrastructure, pro-business environment and upcoming 2010 FIFA Soccer World Cup make it a logical and exciting choice for companies seeking a stepping-stone to conduct business on the African continent. It is the most advanced, broad-based and productive economy in Africa. The South African economy is characterized by standards similar to those found in developed countries. Along with an established and growing service sector and a well-managed economy, South Africa also has a solid physical infrastructure. It also boasts a sophisticated financial sector with well-developed financial institutions and a stock exchange that ranks among the top exchanges in the world. With preparations for the 2010 FIFA Soccer World Cup under way, there is a booming demand for construction services, transportation projects, information technology, and security services.
Watch a webinar about the South African market.
India
India is the second fastest growing market in Asia and the fourth largest economy in the world. With its one billion-plus population, India presents lucrative and diverse opportunities for U.S. exporters with the right products, services, and commitment. India’s infrastructure, transportation, energy, environmental, health care, high-tech, and defense sector requirements for equipment and services will exceed tens of billions of dollars in coming years, as the Indian economy globalizes and expands. Construction of nearly everything from airports to container ports to teleports is setting the stage to transform India.
Learn how the U.S. Commercial Service can help connect your company to India.
Market opportunities in Latin America continue to grow as a result of regional economic stability. Many countries in the region have built significant hard currency reserves and have improved inflation-fighting techniques, making them better suited to handle global business cycle downturns than in the past.
In the last decade, many countries in the region initiated liberalization measures, such as lowering barriers to trade and investment. To stimulate investment, some countries have signed and ratified bilateral investment treaties with the United States. These steps, combined with strong world demand for commodities and raw materials in recent years, provided a basis for sustained growth of three to four percent annually. As a result, U.S. exports to the region grew by about 15 percent.
This growth in exports was further enhanced by a series of trade promotion agreements (TPAs), including agreements with Chile (implemented in 1995) and Central America/Dominican Republic (implemented in 2007). During the first year of implementation, U.S. exports grew 10 percent. Two new agreements with Colombia and Panama are waiting on ratification in both the United States and the respective countries.
Demand for machine tools, medical products, energy generation, transmission and distribution related equipment, transportation equipment, and IT and telecommunication products presents significant opportunities for U.S. exporters. The IT sector in particular has seen significant expansion in the export of services related to new investment in the region. Pending TPAs should provide further growth opportunities for these and other export sectors. In Panama alone, planned infrastructure investments will require substantial outlays for heavy equipment, such as earth moving and other types of equipment, particularly for the Panama Canal expansion and modernization program.
The recent signing of the United States-Peru TPA Implementation Act will open additional opportunities in this region once Peru has taken the necessary steps to ensure implementation of its obligations. Peru is considered one of the most stable economies in Latin America. In 2005, U.S. small and medium-sized enterprises exported $774 million in merchandise to Peru, representing thirty-eight percent of total U.S. exports to Peru. In fact, eighty percent of U.S. businesses exporting to Peru are small businesses.
Watch a webinar on Peru and Colombia TPAs.
Asia’s diverse economies house a variety of prospects, needs and demands that can be serviced by U.S. exporters. Over the past four decades, several Asian countries have seen some of the fastest economic growth in the world as these countries rapidly transform their economies from agrarian-based to industrial powerhouses. Currently, Asia includes two of the largest economies in the world – Japan and China. As a result, the distinct economic markets of Asia offer excellent opportunities for a large variety of U.S. companies.
U.S. goods are generally in demand throughout Asia. To many Asian consumers, “Made in the United States” equals superior quality. This often allows U.S. sellers to demand premium prices for their products. Top exports from the United States to Asia include: intellectual technology products, aircraft (and parts), soybeans, cotton, machine tools, and aluminum scrap metal. Whether selling capital goods or consumer goods, there is probably a buyer interested in your products in Asia. With rapidly growing markets and consumer classes, it is a great time to begin exporting your products.
China
China’s exponential growth and multiple markets may look overwhelming but they are not out of reach. With roughly 1.4 billion people, there is a market for many companies—large or small. Beyond China’s large cities, such as Beijing and Shanghai, there are also a number of smaller second-tier cities that have diverse markets and high demands. Second-tier cities only account for 8 percent of China’s total population, but the economies are growing at an average rate of 11 percent annually and are responsible for 53.5 percent of the country’s imports.
The U.S. Department of Commerce has 6 main offices throughout China and business centers in 14 key second-tier cities to help you through the export process. From finding a partner, to market research, to trade events, the Commercial Service is your one-stop shop for export information and assistance.
View a Market Brief on China’s Hot New Markets
Free Trade Agreements (FTAs), also known as Trade Promotion Agreements (TPAs), help your company enter into, and compete in, the global marketplace. Currently, the United States has FTAs with 14 countries.
Trade agreements help level the international playing field and encourage foreign governments to adopt open and transparent rulemaking procedures, as well as non-discriminatory laws and regulations. FTAs strengthen business climates by eliminating or reducing tariff rates, improving intellectual property regulations, opening government procurement opportunities, and easing investment rules, making it easier for exporters to do business with agreement countries.
The Commercial Service can help your company understand how FTAs can benefit your business and the U.S. economy.
Get more information on FTAs or view information on specific FTAs
Tools to Help Your Business Enter the Global Marketplace
The U.S. Commercial Service offers various tools designed to help your business enter and succeed in markets worldwide:
| Export Basics |
| Market Research |
| Market Information via Webinar |
| Trade Events |
| Matchmaking |
| Consulting and Advocacy |
| China and Middle East Business Information Centers |
Before you Begin – Are You Ready?
The Export Basics section of export.gov helps you assess your export readiness, understand what you need to know and consider before pursuing an international sales strategy, and – when you are ready – develop and implement your export strategy.
Market Research
Plan your market entry the right way – use market research to learn your product’s potential in a given market, the best prospects for success, and the market business practices before you first export. The Commercial Services Market Research Library contains more than 100,000 industry and country-specific market reports, authored by our specialists working in overseas posts.
Market Information via Webinar
Get new market and industry information without leaving your office. Our webinars feature Commercial Service and industry trade experts about speaking about how your company can increase your international sales.
Trade Events
Trade Events provide venues for U.S. exporters to meet international buyers, distributors or representatives. By organizing trade missions and educational seminars; providing matching or export counseling services at trade shows; and recruiting buyer delegations to U.S. trade shows, we can help your company expand sales at trade events.
Matchmaking
Meet buyers, distributors, and agents for your products and services through trade missions or personalized one-on-one business meetings.
Business Information Centers
Are you interested in China, the Middle East or North Africa? We have trade experts that can assist you in our Business Information Centers.
China Business Information Center
China's growing economy presents a tremendous opportunity for U.S. businesses. However, doing business in China can be challenging – particularly for companies that have limited experience in the China market.
The China Business Information Center (BIC) provides information and tools to help U.S. companies sell their products and services in this vast market. Tools include:
| Trade leads |
| Industry-specific market research |
| Market access and compliance issues |
| Intellectual property rights (IPR) information |
| And much more…. |
The China BIC's trade events calendar highlights the many “Doing Business in China” outreach events that the China BIC supports around the country and via the Internet. If you would like to learn more about the information available from the China BIC, or if you wish to speak to a China specialist, please contact Matthew Quigley at 1-800-USA-TRAD(e) (ext. 3-3787).
Middle East and North Africa Business Information Center (MENABIC)
The Middle East and North Africa is a region of great opportunity for companies of all types and sizes. Business in the region can be challenging as well as rewarding. Find out whether doing business in the Middle East and North Africa is right for you. What are the opportunities? What does it take to succeed? Let us assess your possible risks and potential rewards. Visit the MENABIC website, or if you would like to speak to a trade specialist contact Kam Shah.
Are you ready to explore opportunities in the global marketplace?
Are you already exporting and interested in expanding?
For more information, find your local Commercial Service office or call 1-800-USA-TRADE.