MISSION DESCRIPTION
The United States Department of Commerce, International Trade Administration (ITA) U.S. Commercial Service (CS) office in Belgium is organizing in conjunction with the Belgian building merchant’s federation (FEMA) a five-day industry-specific Building Materials Mission to New York City, November 21-25, 2008. The product areas range from building technologies to more basic building materials.
Participants will spend five days in New York City, meeting with industry representatives, business multiplier groups and the local Commercial Service staff, visiting sites of commercial interest, including panel discussions, matchmaking and networking.
COMMERCIAL SETTING
The construction market in Belgium is the country’s main industry sector, employing a total workforce of 193,000 with an annual turnover of $30 billion. The building sector activity has recently shown enormous growth—an increase of 5 percent in 2006 from 2005. Residential and non-residential construction outperformed all other economic sectors in 2007. Turnover in building trade also increased by more than 7 percent from 2006 to 2007. The high rate of growth has been due to a favorable Belgian economic conjuncture (the Belgian economy grew by 2 percent in 2006 from 2005), coupled with low interest rates on housing loans since 2003, and a mix of government tax deduction measures. Despite the recent upsurge in growth, the construction market in Belgium is mature and general growth in this sector, with the exception of renovation, is forecasted to fall slightly in 2008 and 2009.
FEMA, the Belgian builders merchants’ federation, represents some 200 companies involved in the building supplies market in Belgium, which represents about 80% of the trading turnover in building materials. There are 663 builders’ merchants in Belgium. Their role is to provide customers (individuals or contactors) with building materials and deliver them on site. Similarly to what is done in Western Europe, the totality of building products in Belgium is sold through this channel.
Belgium’s residential market is currently the most successful construction sub-sector.
Trends in Belgian residential building include energy-efficiency, green building and compact housing. Consumers are also demanding quality and innovative building products and materials. Building renovation and do-it-yourself (DIY) stores are both experiencing periods of intensive growth. Domestic competition is strong with established Belgian producers of building materials. There are around 17 registered American companies involved in construction and building. Imported construction materials come mostly from other European countries and represent a small market share, although the market offers opportunities for cost-saving and/or innovative, quality materials. Several EU directives involving energy saving, labeling and safety regulations affect the building industry by influencing demand and create challenging market entry requirements.
Quick facts on Belgium:
- Comparatively large economy with total GDP of USD 369.57 billion
- Primary trade partners: EU, U.S. and Asia
- Imports from the U.S. in 2007 USD 17.5 billion
- Sophisticated industrial and retail consumers
- Low inflation, low unemployment, 2.7% annual real growth rate
- Per capita income $35,200
MISSION GOALS
The mission will assist representatives of Belgian companies responsible for business activity in their market with efforts to identify competitive and innovative building products and technologies. In addition, we hope to encourage and increase Belgian-U.S. co-operational efforts with construction technology and products exchange.
The summary of results expected from the mission includes finding potential U.S. suppliers; increase cooperation in the building technologies and products sector between Belgium and the U.S. and provide knowledge to Belgian companies on competitive U.S. supplies.
CONTACT INFORMATION
Stéphane Croigny, Commercial Specialist
U.S. Commercial Service
U.S. Embassy
Boulevard du Régent 27
BE-1000 Brussels
Belgium
Tel. 32 2 508 2456
Email: stephane.croigny@mail.doc.gov
Jetta DeNend, Trade Specialist
New York U.S. Export Assistance Center
33 Whitehall St. 22nd floor
New York, NY 10004
U.S.A.
Tel.: 212 809 2644
Email:jetta.denend@mail.doc.gov
Marnix Van Hoe, Secretary General
FEMA (Belgian Building Merchant's Federation)
't Hoogtepunt 2
Brusselsesteenweg 524, B6
BE-1731 Zellik
Tel: 32 2 466 2483
Email: marnix@fema.be