Notes:

Analysis is incremental or based on the increase in sales of Construction Machinery to the markets in the forecasting period. This combines the two variables of volume and growth.

Variables used include:

1. Value of U.S. exports to the country in 2002.
2. Trend line growth rate of exports to country for the 1997-2002 period.
3. Short-term forecast of growth of exports (usually two years) derived from ISA reports, Country Commercial Guides, and Market Research.
4. A measure of the importing country's economy in the forecasting period, including GNP growth, and market factors affecting sales of this equipment.
5. A measure of trade barriers and their effect on current and future trade in this sector.

For further market information, contact Leonard Heimowitz at (202) 482-0558

ALAN O. MAURER
OFFICE OF MACHINERY/TM
May 16, 2003