Archive for the ‘Trade Missions’ Category

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Timely Trade Policy Mission to Japan Yields Insights on Renewable Energy and Smart Grid Business Opportunities

December 27, 2012

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Cora Dickson is a Senior International Trade Specialist in ITA’s Office of Energy and Environmental Industries.

On a windy morning in early December, I stood on an observation platform gazing out over the sea of solar modules, and beyond that, the Pacific Ocean– or more precisely, Matsushima Bay, one of Japan’s “three most scenic spots.”  I was joined on the platform by several U.S. companies, officials and colleagues from the International Trade Administration (ITA) and U.S. Department of Energy (DOE), and workers from the Tohoku Electric Utility who were taking us on a tour of their solar power station.  The view was so breathtaking that it was hard to believe that in March 2011, the land where the solar panels now existed was covered by over 16 feet of water and debris from the tsunami.

International Trade Administration and Department of Energy employees pose for a photo with trade mission participants and workers from the Tohoku Electric Utility on an observation platform above Matsushima Bay in Japan in December 2012.

International Trade Administration and Department of Energy employees pose for a photo with trade mission participants and workers from the Tohoku Electric Utility on an observation platform above Matsushima Bay in Japan in December 2012.

This was the final stop in our “Tohoku (Northeast) Tour” to Fukushima and Miyagi, prefectures that are committing themselves to rebuilding with green technologies after being hit hard by the earthquake and tsunami.  The U.S. companies that signed up for the U.S.-Japan Renewable Energy Policy Business Roundtable in Tokyo on December 3 were given the option to take this tour, which also included courtesy call meetings with officials of both prefectures.

Led by ITA’s Deputy Assistant Secretary for Manufacturing Maureen Smith and DOE’s Deputy Assistant Secretary Phyllis Yoshida, the trade policy mission accomplished its goals: to gain insights into the evolving policy and regulatory landscape for renewable energy and smart grid in Japan.  It was tied to our bilateral discussions, known as the U.S.-Japan Clean Energy Policy Dialogue, allowing private sector input to guide the direction of cooperative activities between our governments.

Prior to the trade mission, my office published a market intelligence brief, “Japan’s Electricity Market and Opportunities for U.S. Renewable Energy and Smart Grid Exporters,” to highlight the complexity yet attractiveness of this burgeoning market.  While Japan is no stranger to renewable energy, it has revisited its policies and incentives due to several factors, including the March 2011 disaster that led to a shutdown of all but two nuclear plants in the country.  There is even talk of structural reform in the electricity sector.

Cora Dickson of the International Trade Administration stands by a sign indicating the high water mark of the floodwaters at the Tohoku Electric Utility's liquified natural gas plant following the March 2011 earthquake and tsunami.

Cora Dickson of the International Trade Administration stands by a sign indicating the high water mark of the floodwaters at the Tohoku Electric Utility’s liquified natural gas plant following the March 2011 earthquake and tsunami.

Another opportunity for U.S. renewable energy and smart grid companies to explore Japan’s market is coming up February 27-March 1 at the World Smart Energy Week in Tokyo, a Commerce certified trade show.  Please contact Takahiko Suzuki if you would like more information.

We will continue to shore up our alliance with the Government of Japan as well as Tohoku communities to promote clean energy.  The Tohoku Tour allowed us to talk with local people about how they envision renewable energy and smart grid technologies will help them manage their energy needs in the wake of the disaster.

On the same grounds of the solar plant in Tohoku, we also briefly visited the 400 MW liquefied natural gas plant operated by the same utility. It had been converted from a coal plant years earlier.  The plant was strong enough to withstand the tsunami, though the workers told of how they retreated to the third floor for several days until the floodwaters receded.  They had no power and they could not contact their families because all the phone towers were also destroyed.

As our bus rolled back towards the city where we would catch the bullet train to return to Tokyo, we saw newly reconstructed houses on the coastline as well as abandoned foundations.  These were solemn reminders that Japan is both vulnerable and resilient, and will take proactive steps towards a better future.  We hope U.S. companies can partner with them to reach their goals.

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Turkish Market Holds Opportunity for U.S. Businesses

December 13, 2012

Kristin Najdi is a Senior International Trade Specialist at the International Trade Administration

Last week, I had the opportunity to accompany Under Secretary of Commerce for International Trade Francisco Sánchez as he led a trade mission of 18 aerospace and defense companies to Ankara and Istanbul, Turkey. The trade mission helped connect U.S. businesses with Turkish partners to identify export opportunities, but also to strengthen the commercial and strategic ties between our two countries.

Strategically positioned at the crossroads of Europe, Asia and the Middle East, Turkey is a high priority market for the United States. With a population of more than 70 million, Turkey continues to be a vital economic hub for the region—with real GDP growth estimated at 8.2 percent in 2011, making it one of the fastest growing economies in the G-20.

President Obama’s April 2009 visit to Turkey – his first overseas trip – emphasized the importance of closer commercial ties between our two countries and continues to reap economic benefits. In fact, total bilateral U.S.-Turkey merchandise trade reached nearly $20 billion last year – an all-time record – and a 34 percent increase over the previous year.

Here at the International Trade Administration (ITA), we take pride in playing a key role in making it easier for U.S. companies to do business around the world, including in Turkey.  To support this effort, Under Secretary Sanchez spoke at “The Ease of Doing Business Symposium” in Ankara, which was co-organized by ITA.  During his presentation he highlighted challenges and opportunities in the Turkish market, and proposed concrete reforms.  He also held various bilateral meetings with his counterparts in the Turkish government to discuss ways of further strengthening our bilateral commercial relations.

Another key outcome of this trip was Under Secretary Sánchez’s announcement of the new U.S. private sector members of the U.S.-Turkey Business Council.  The Council is made up of senior-level executives from the United States and Turkey and provides joint policy recommendations to both governments on ways to strengthen bilateral economic relations.

U.S. businesses on this mission—with their innovative technologies and services—are well- positioned to help support Turkey’s aerospace and defense sectors. For example, the mission included a world leader in the design, manufacture, and marketing of thermal imaging and stabilized camera systems; a company with a strong set of businesses specializing in global infrastructure and finance; and well-known commercial jet and military aerospace manufacturers.

Our mission delegation was especially enthusiastic about the Turkish market for U.S. suppliers seeking joint-venture opportunities, including expanding opportunities for small and medium-sized enterprises in the United States to support the continued modernization of the Turkish Armed Forces.

We also focused on the growing civil aviation market. Turkey, with its strategic geographic location, is located three hours by plane to 1.5 billion people and $23 trillion in GDP, and Turks have increasingly come to rely on domestic and international air service over the past years. Since 2002, there has been a 372 percent increase in domestic passenger traffic, a 77 percent increase in international passenger traffic and a 153 percent increase in total (domestic & international) passenger traffic. Overall, 329 private airline companies operate in the Turkish aerospace industry, 17 of which are Turkish. These companies are creating demand for aircraft parts as well as safety equipment, training and management – all of which are goods and services U.S. companies are well-poised to provide.

This trip was a great success in many respects.  It opened doors for new business opportunities for U.S. companies and continued Commerce’s high-level engagement with the Turkish Government to strengthen our bilateral economic and commercial relationship.

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An Infrastructure Trade Mission to Two Developing Markets

December 4, 2012

Adam S. Wilczewski serves as the Chief of Staff of the International Trade Administration.

Under Secretary of Commerce for International Trade Francisco Sanchez (L) speaks on a panel in Hanoi, Vietnam on November 14, 2012 with (L-R) Ambassador David B, Shear, Leocadia Zak of the U.S. Trade Development Agency and John Moran from the Overseas Private Investment Corporation.

Under Secretary of Commerce for International Trade Francisco Sanchez (L) speaks on a panel in Hanoi, Vietnam on November 14, 2012 with (L-R) Ambassador David B, Shear, Leocadia Zak of the U.S. Trade Development Agency and John Moran from the Overseas Private Investment Corporation.

Asia is home to many of the world’s fastest-growing economies. Countries like China and India readily come to mind. The impressive development of other Asian nations, however, should not be overlooked.

Two countries that have made big economic strides in recent years are Indonesia and Vietnam. They are among the fastest growing countries in the region, with growth rates of 6.5 and 5.9 percent, respectively, in 2011.

Both are members of the Association of Southeast Asian Nations (ASEAN), the bloc of 10 states that forms the United States’ fourth-largest trading partner, making Indonesia and Vietnam important to the U.S economy.

For this reason, the U.S. government is committed to further improving trade relations with both of them.  Under Secretary for International Trade, Francisco Sánchez, recently led an Infrastructure Trade Mission there, underscoring these countries importance.  This trip marked Sánchez’s third visit to Vietnam in 20 months.  Our U.S. Government partners at the U.S. Trade Development Agency and Overseas Private Investment Corporation (OPIC) joined the ITA on this trip for a true whole-of-government effort.

Eight U.S. infrastructure companies – Black and Veatch, Cisco Systems, General Electric Company, Honeywell International, Inc., Oshkosh Corporation, The Shaw Group, Westinghouse Electric Company, and WorleyParsons, LLC – took the opportunity to explore these two foreign markets. Both countries have pressing infrastructure needs due to their high growth rate, offering exciting prospects for U.S companies in that field.

While in Jakarta, Indonesia – our first stop – the delegation met with public and private sector leaders to discuss opportunities that would be mutually beneficial to both of our economies.

Here, OPIC signed a Memorandum of Understanding with the Indonesian Infrastructure Guarantee Fund (IIGF). The organizations pledged to work more closely together to promote private sector infrastructure investment in the world’s fourth most populous country.  A supportive Under Secretary Sánchez stated that “increased investment in infrastructure supported by OPIC will help to accelerate Indonesia’s already-rapid economic growth.”

In Vietnam, the participants met with numerous government officials and representatives from the private sector. Highlights on the agenda included an encounter with the Vietnamese Prime Minister Nguyen Tan Dung and an American Chamber of Commerce hosted lunch in Hanoi.

Most discussions during the trade mission focused on the potential for collaboration on infrastructure projects in areas such as energy, aviation, environmental technology, architecture, construction and engineering.

This Infrastructure Trade Mission is another example of how the U.S. government is working to meet the National Export Initiative’s goal of doubling U.S. exports by the end of 2014.

Southeast Asia is an export market with great potential for U.S. businesses. This growing economic and political importance was underscored by the fact that President Obama chose to visit the region in November directly following his reelection.

Together, working in partnership with the U.S. business community, the International Trade Administration and the entire U.S. Government hope to continue to make progress in meeting infrastructure needs abroad in order to support good-paying jobs here at home.

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An Energy Revolution for Israel

November 9, 2012

David McCormack is an International Trade Specialist in ITA’s Manufacturing and Services unit.

The Oil and Gas Trade Mission to Israel business delegation.

The Oil and Gas Trade Mission to Israel business delegation.

Led by the Acting Deputy Under Secretary of Commerce Ken Hyatt, the U.S. Commerce Department Oil and Gas Trade Mission to Israel introduced 13 companies and 2 universities to the growing oil and gas industry in Israel. The participating organizations included two premier U.S. universities – The University of Texas, Austin and Texas A&M University, Kingsville.  Other Delegates included leaders in oil field services, logistics, consulting, data integration, consulting, and manufacturing.

The mission built on excellent trade relations between the countries, including America’s first ever Free Trade Agreement, signed by the U.S. and Israel in 1985.  More recently, U.S. Senator, Mary Landrieu brought the first ever oil and gas Certified Trade Mission to Israel in 2011, and the Government of Israel sent an inter-ministerial delegation to the U.S., earlier this year to see extensive energy development firsthand. Finally, on October 24, the US-Israel Joint Economic Development Group (JEDG) met in Washington, chaired by U.S. Treasury Secretary, Tim Geithner, and Israeli Treasury Director-General Doron Cohen.  A main topic of discussion was enhanced U.S.-Israel cooperation for natural gas development.  As the JEDG signed an agreement that will extend U.S. loan guarantees of $3.8 billion to Israel to 2016, the trade mission to Israel departed for Tel Aviv to explore the histroric opportunities to help build Israel’s new energy economy.

According to a 2010 United States Geological Survey (USGS) assessment, the Eastern Mediterranean contains approximately 122 trillion cubic feet (tcf) of natural gas, with a current market value of $240 billion. Industry representatives also report that they expect to discover oil in these offshore fields.  Finally, exploration efforts are also ongoing onshore Israel, creating opportunities for manufacturing, drilling, pipeline installation, etc.  Without a developed infrastructure to produce enough of their own energy domestically, Israel has historically been an energy importer. This will not always be the case, and many have recognized that these recent developments represent an energy revolution.  Many expect Israel to become a net energy exporter, but right now, extensive infrastructure and devlopment is needed.  U.S. companies are ready to deliver.

Hosted in Israel by Senior Commercial Officer Maria Andrews, the trade mission delegates attended the 2012 Israel Energy and Business Convention (IEBC), conducted site visits, attended receptions, participated in a roundtable discussion with Israel’s oil and gas industry, and participated in more than 100 customized business meetings.  The official program began at the IEBC, where Hyatt delivered a speech at the opening ceremony, and the U.S delegation was warmly received.

At the roundtable discussion hosted by Hyatt, Senator Mary Landrieu, and the Chair of Israel’s oil and gas association, Uri Aldubi, the delegation received presentations from Noble Energy, Zion Oil, and Genie Energy.  Noble briefed the delegation on their discoveries of around 30 trillion cubic feet of gas offshore Israel, and their future hopes for more gas, as well as oil, discoveries.  Zion, the largest onshore petroleum exploration leaseholder in Israel, spoke about how to do business in Israel, as a U.S. company, and their optimistic outlook towards Israel’s onshore potential.  Finally, Harold Vinegar, from Genie Energy, shared his vision for the development of oil shale in Israel.  Vinegar, formerly a Chief Scientist at Shell, stunned the crowd with his estimate of 250 billion barrels of recoverable oil in Israel’s shale deposits.  That evening, U.S. Ambassador to Israel, Daniel Shapiro, hosted the delegation at his residence for an exclusive networking reception with the leaders of Israel’s new energy economy.

Thanks to the efforts of the Commercial Service in Tel Aviv, the delegation received a rare and intimate tour of the port of Ashdod, and discussed opportunities in pipeline installation and logistics with port authorities.  Keeping a full schedule, they also attended government meetings in Jerusalem, and a high-level presentation and networking session, with industry and government leaders, hosted by the Herzliya Conference, and the Law Firm of Heideman Nudelman & Kalik, a CS Strategic Partner.

While in Israel, Hyatt met with several key government offices, including the Ministry of Energy and Water Resources, the Ministry of Trade, and the Office of the Prime Minister

U.S. Senator Mary Landrieu highlighted the opportunities for academic cooperation between the U.S. and Israel.  There are almost no Israeli born petroleum engineers still in Israel.  Universities in the Gulf states represent the best programs in petroleum and gas engineering, and specialized energy MBA’s in the world.  The 2011 and 2012 Oil and Gas Trade Missions to Israel are laying the groundwork for Israel’s energy industry by bringing advanced petroleum and gas engineering programs to Israel.

The delegates completed the mission feeling optimistic about the commercial opportunities in this sector.  The companies realize that doing business in Israel is often a long-term proposition and this will be the first of hopefully many visits to Israel that the companies will make.  The U.S. Commercial Service and our Strategic Partners are standing by to assist U.S. firms in accessing the historic opportunities represented by Israel’s energy revolution.

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Supporting Innovation and Exports in the Bay Area

July 24, 2012

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Francisco Sánchez is the Under Secretary for International Trade

I was excited to travel to San Francisco and the Bay Area on Monday. As the Under Secretary of International Trade, this area has special importance because it is home to some key industries for America’s economy, especially knowledge-based and clean-technology (cleantech) industries.

The Bay Area is also on the forefront of American innovation. The region produces more patents than any other area of the United States and attracts 36 percent of the nation’s total venture capital investment. In addition, the Bay Area boasts more Ph.D. scientists and engineers than any other metropolitan area in the U.S.

Innovation leads to new ways to use technology and capital that make American workers more productive, leading to new job opportunities. It also helps U.S. companies stay competitive abroad, allowing them to deliver better quality products for less. Innovation is good for the economy and for American workers.

Under Secretary Francisco Sánchez presents Nikolas Weinstein of Nikolas Weinstein Studios an Export Achievement Certificate at his studio in San Francisco (Photo Commerce)

Under Secretary Francisco Sánchez presents Nikolas Weinstein of Nikolas Weinstein Studios an Export Achievement Certificate at his studio in San Francisco (Photo Commerce)

The Bay Area is a good example of how innovation can help create jobs. According to the Progressive Policy Institute, there are an estimated 311,000 people employed making applications, games and other tools for smartphones and devices and for social networking sites like Facebook. 

The Department of Commerce has long recognized this and recently we have undertaken several new initiatives to help encourage innovation. Most recently, the U.S. Patent and Trademark Office (USPTO) announced they would open four new branch offices in Detroit, Denver, Dallas and one right here in San Jose. The new branch offices will help speed up the patent and trademark process, allowing local entrepreneurs to innovate faster.

As part of the effort, Acting Secretary of Commerce Rebecca Blank was just in the Bay Area two weeks ago to promote the office and detail Commerce initiatives to help spur innovation.

While in the Bay Area, I hosted an insourcing roundtable with five local companies who are making insourcing a reality. Insourcing is a growing trend in the U.S. where U.S. companies are bringing manufacturing jobs – once outsourced- back to American soil. More and more businesses are realizing the best place to grow their capacity is right here in America. To help encourage the process, the Department of Commerce has started new initiatives such as SelectUSA to attract business investment back to the United States.

Insourcing represents many new opportunities to create good-paying manufacturing jobs, and we’ve created a fact sheet to let you know how we’re supporting American manufacturers. 

After our insourcing roundtable, I met with executives from Cureline Inc. and toured their facilities. Cureline is a biomedical research group that works with medical centers in the U.S., Europe and Asia.

We consider biotech an emerging industry at ITA, and because of that they have unique needs to succeed abroad. Cureline participated in a Commerce sponsored health IT trade mission to Mexico in May and with the help of the U.S. Export Assistance Center in San Francisco has successfully found clients in Europe in Japan. Cureline also plans to open a new research facility in South San Francisco within a year, which means more local jobs. This is an exciting new industry that shows great promise for the future.  

While I was in San Francisco, I also had the pleasure of meeting Nikolas Weinstein, founder of Nikolas Weinstein Studios and presenting him with an Export Achievement Award for all the work he’s done abroad. Nicholas Weinstein Studios creates unique architectural glass installations in the Mission District of San Francisco, although over 90 percent of their work is sold abroad. For example, in 2010, the studio designed, manufactured and installed a 300-foot long glass sculpture in the lobby of the Hotel Intercontinental in Shanghai. In 2009, they began working with the U.S. Commercial Service in San Francisco to seek counseling on international markets in Japan, China and Hong Kong.

Nicholas Weinstein Studios is the perfect example of a small business using exports as a way to support good-paying jobs in America. The bottom line is: exports equals jobs. To find out more about how to use the resources we have at ITA to help your business export, I urge everyone to visit www.export.gov.

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Helping to Drive the Export Economy

June 5, 2012

Francisco Sánchez is the Under Secretary of Commerce for International Trade.

June is only a few days old, but it’s already been a special month for me personally. 

Last Friday, I was both honored and humbled to receive the “Excellence in Public Sector Service Award” from the Latin Chamber of Commerce of the United States (CAMACOL). 

Based out of my home state of Florida, the organization is one of the most influential minority business associations in the nation. For decades, it has done great work to open new doors of opportunity for U.S. businesses, and I greatly appreciate CAMACOL’s recognition of my work in the global marketplace.

Under Secretary Francisco Sánchez during the Healthcare Technology and Policy Trade Mission (Photo: Eduardo Sanchez)

Under Secretary Francisco Sánchez during the Healthcare Technology and Policy Trade Mission (Photo: Eduardo Sanchez)

However, as I always say, I don’t do this work alone. I have the pleasure of serving with the talented staff of the International Trade Administration (ITA).  Located in roughly 100 U.S. cities, and more than 70 countries, they work tirelessly to represent the interests of American businesses in markets all over the world.  

As you’ll see in this month’s edition of the International Trade Update, they continue to do great work to help American-made products reach as many international consumers and markets as possible.

We held Trade Winds — Asia, an event to help U.S. companies, across a wide-range of sectors, explore the incredible opportunities in the Asia-Pacific region. U.S. goods exports to the region totaled nearly $900 billion in 2011 — a 15 percent increase from 2010.  Incredibly, there is potential to do more, and we are working to help companies make the most of this promise. 

Additionally, in Hong Kong, Commercial Officers from ITA organized the largest ever Filmart conference, bringing together American film companies to meet with regional distributors from across Asia.  This business forum, and others like it, ensures that American entertainment companies are well positioned to prosper in this important market.

I was also proud to lead a delegation of 17 U.S. companies on the first U.S. Healthcare Policy Trade Mission to Mexico.  The Mexican healthcare sector has invested an estimated $500 million in healthcare information technology systems; its government is expanding healthcare coverage to all citizens, and with 4 percent economic growth expected in the country for 2012, this is an ideal market for U.S. medical sector products and services. 

One final highlight from last month: we celebrated American exporters at the President’s “E” and “E Star” annual awards ceremony, which recognizes those who make significant contributions to the U.S. export industry. The event was held at the White House with special guests Commerce Secretary John Bryson, and Valerie Jarrett, Senior Advisor to President Obama.  A record 41 companies were honored for their excellence, and, in the larger picture, the event emphasized how important U.S. exports are to America’s economy and future. 

The numbers are clear: in 2011, the total value of U.S. exports reached a record $2.1 trillion; these exports supported nearly 10 million jobs at a time when putting people to work is a national priority.  That’s why ITA remains firmly committed to helping companies sell products that are “Made in America” in as many markets as possible. 

One example: when this newsletter edition publishes, I am leading a trade mission to Russia focused on clean technology and energy efficiency.  The Russian government has stated that the industry is a key to a modern economy, and we’re determined to ensure that U.S. products are a part of this growth.  And over the next few weeks, ITA will have a number of announcements so keep in contact with us.

June is poised to be a productive month.  As I stated earlier in this column, it’s already been special for me.  I was honored to receive an award for my public service.  But, I don’t do my work to get awards; I do it to make a positive difference for U.S. businesses.  And each new day brings new opportunities to do this work and make that difference.  

Get in touch with ITA, and those opportunities could be yours.

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Hundreds of U.S. Companies Find Opportunities during Trade Winds-Asia

June 5, 2012

Bill Burwell has been with the U.S. Department of Commerce for 14 years and currently serves as the Director of the U.S. Export Assistance Center in Baltimore, Maryland.

Southeast Asia hosted its first Trade Winds event during May, World Trade Month. Organized by the International Trade Administration’s Commercial Service, more than 100 American companies participated in the trade mission. The events were hosted in Singapore, Vietnam, Malaysia, Thailand, and Indonesia May 14-22.

Now in it’s fifth year, Trade Winds is an eight-day trade and business development conference, held in Asia for the first time. Those who attend Trade Winds find opportunities for business connections in key geographic regions. It is like a giant trade mission helping buyers and sellers make connections and sales.

The Trade Winds program, organized by the Mid-Atlantic region of the Commercial Service domestic network, has thus far resulted in more than $100 million worth of exports for participating U.S. companies. 

The morning of the first day saw U.S. Ambassador to Thailand Kristie Kenney officially commence the mission with a ceremony in Bangkok, Thailand where the U.S. Commercial Service had arranged more than 50 business-to-business appointments for the visiting companies.

Meanwhile, 20 additional U.S. companies spent two days exploring business development efforts in Vietnam, where the U.S. Commercial Service in Ho Chi Minh City had arranged well over 80 business to business appointments for the visiting U.S. companies.

As the mission progressed, U.S. Ambassador to Singapore David Adelman welcomed the entire Trade Winds delegation of more than 200 business representatives from 100 companies to Singapore.  These companies spent the next two days participating in a Southeast Asia regional business forum, a forum that included more than 540 one-on-one consultations with Commercial Service Senior Commercial Officers representing 14 markets across the Asia-Pacific region. An additional 216 business-to-business appointments were arranged by the Commercial Service in Singapore for the American business representatives.

By May 21 and 22, Trade Winds – Asia had turned its focus to Malaysia and Indonesia. In Jakarta, U.S. Deputy Chief of Mission, Ted Osius welcomed a delegation of 17 U.S. companies while U.S. Ambassador Paul Jones similarly welcomed 10 U.S. companies to Malaysia. As with previous delegations, the U.S. Commercial Service offices in Jakarta and Kuala Lampur arranged 89 and 67 business to business appointments respectively for the visiting U.S. companies.

During the entirety of the Trade Winds – Asia conference, the U.S. Commercial Service arranged more than 500 business-to-business meetings between U.S. companies and commercial representatives in Thailand, Vietnam, Singapore, Indonesia, and Malaysia. In addition, Commercial Service Senior Commercial Officers engaged in over 540 one on one meetings with U.S. business representatives and provided business development counseling on 14 Asia – Pacific markets.

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Twelve U.S. Companies Participate in the First-Ever Energy Themed Trade Mission to Russia

June 5, 2012

Francisco Sánchez is the Under Secretary of Commerce for International Trade.

Russia’s impending accession to the World Trade Organization (WTO) has sparked a boom of foreign business interest in the Russian economy. Couple this with the Russian governments’ concentrated investments in energy technology and you have a situation ripe for trade deals between American and Russian companies. As such, I am leading a trade delegation of American energy companies to Moscow, the first such energy-themed mission in the history of U.S.-Russian relations.  

Under Secretary Sánchez welcomes members of a 12-company U.S. trade delegation to Moscow for the first stop on an energy efficiency trade mission to Russia. The delegation will meet with public and private sector officials in Moscow and St. Petersburg to discuss export opportunities in a growing sector

Under Secretary Sánchez welcomes members of a 12-company U.S. trade delegation to Moscow for the first stop on an energy efficiency trade mission to Russia. The delegation will meet with public and private sector officials in Moscow and St. Petersburg to discuss export opportunities in a growing sector

Representatives from 12 American energy firms are accompanying me on a business tour of Moscow in search of export opportunities for American energy firms. The Russian market represents incredible potential and invaluable relationships – opportunities that America cannot afford to neglect. Successful investments in the Russian energy market could spur a windfall of job creation and economic growth at home while American companies rake in profits from these beneficial partnerships.

We’ve watched U.S. merchandise exports to Russia double from 2005 to 2010, and then grow nearly another 40 percent in 2011 alone. American business exports to Russia now top $8 billion dollars a year. This is a market we must capitalize on. Recognizing this growth and potential, the Department of Commerce led an automotive technologies mission to Russia in April and was eager to do so again.

The Russian government is implementing an Energy Strategy that calls for energy efficiency, sustainable development, energy development and technological development, as well as improved effectiveness and competitiveness. The demand for affordable and efficient energy will only grow as the global economy evolves, a phenomenon that will continuously stimulate demand for high-quality, energy-efficient products and services. Appropriately, the companies on this trade mission can supply exactly that. As I highlighted in an opinion piece in The Moscow Times, many U.S. businesses on the mission have a particular interest in Russia’s focus on smart grids, green-building and road infrastructure.

This mission is a historic event for both the American and Russian energy industries. U.S. companies, manufacturers, and workers already are global leaders in clean technology production and services. And that is why I am privileged to lead this mission to expand exports to the region, exports that will create jobs at home. As a nation, we should be proud of the expertise our companies offer, as well as the innovation and advancement we are known for. These investments today will pay dividends to our citizens tomorrow.

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First U.S. Healthcare Policy and Trade Mission to Mexico

May 22, 2012

Doug Wallace is a Commercial Officer currently working at the San Francisco Export Assistance Center, and has worked for the International Trade Administration for 15 years.

Thanks to Mexican healthcare reforms, I arose groggily at 5:30 AM and stumbled towards my in-room coffee machine. My Commercial Service colleagues and I organized a Healthcare Policy and Trade Mission of 17 companies to Mexico May 13-15, and the bus was embarking on our medical odyssey in 30 minutes!

Our delegates’ U.S. firms made very interesting products. One made speech recognition software that solved the time-consuming and dangerous global phenomenon of bad handwriting (Give a doctor a pen, and he or she will write poorly in any language.) Others made knee orthopedic devices, ultrasound, infectious disease diagnostics, and air flow aps for clean rooms. One company even sold human tissue samples. Ew.

Off we trundled to begin the Mission at the National Institute of Respiratory Diseases (hey, the traffic isn’t that bad!) to understand Mexico’s priorities for healthcare services and equipment. Given Mexico City’s notorious air quality, I realized that the Institute must be extremely busy, especially with Mt. Popocatepetl currently spewing ash nearby.

Under Secretary Francisco Sanchez with staff of U.S. Commercial Service Mexico City (Photo Eduardo Sanchez)

Under Secretary Francisco Sanchez with staff of U.S. Commercial Service Mexico City (Photo Eduardo Sanchez)

The Mexican Government is expanding health care coverage to all citizens, and with 4 percent economic growth expected for 2012, this is an excellent market for U.S. medical sector companies. Under Secretary Francisco Sánchez led our group to the Mexican Ministry of Health where we learned about Mexico’s priority for integrating and expanding health information management and telemedicine to expand healthcare into far-flung regions. Mexico’s Director General for Planning and Development closed his presentation saying, “we want to adopt the good practices of the United States, and avoid all your mistakes,” to which I did not know whether to raise an eyebrow or cluck “hear, hear!”

There is a discernible look in the eye and tone in the voice of all the players we met in Mexico’s healthcare universe. It’s… pride. Mixed with determination. This was indeed the case for all the hospital administrators who led us on tours of oncology wings, cardiac centers, and emergency rooms. Deeper we went into the duodenum of one hospital facility, like an encapsulated endoscopy. Then, we turned a corner and one delegate let out a short gasp. There it lay: a Varian Cyber Knife.  This hospital’s street cred was now firmly established.

The next day, we had breakfast with U.S. Ambassador Wayne and the head of COFEPRIS, Mexico’s FDA. Over the past year, license application times and bureaucratic steps have dramatically shrunk. Predictability and transparency in the drug and device approval process have dramatically increased. Mexico is striving to establish one of the world’s most modern regulatory regimes. From an afternoon’s worth of in-depth healthcare presentations delivered by numerous luminaries in Mexico’s healthcare sector, one readily grasped the country’s commitment to provide the best possible healthcare to all patients, while employing sound management and technology to bend the cost curve and serve rural areas.

After such a whirlwind introduction to Mexico’s healthcare market, we thanked our hosts, and are already planning our next steps in expanding into this exciting market.

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Auto Companies in Russia: Always Two Sides to a Story

May 1, 2012

Eduard Roytberg is a Senior International Trade Specialist and the Global Automotive Team Leader within the Commercial Service division of the International Trade Administration.

This past week 12 U.S. auto parts and service providers traveled through Russia with ITA’s Deputy Secretary Michelle O’Neill finding partners and business opportunities along the way. It will come as no surprise that three of the 12 are based in Michigan.

CAMACO, LLC is a Novi, Michigan based independent supplier of engineered seat frames to the automotive market with locations in North America, South America, Europe and India. Camaco supports 1,200 employees worldwide and their diverse product scope includes stamped metal and wire-frame seat assemblies, headrest and armrest structures.

Participants in the Russia Automotive Trade Mission and Deputy Under Secretary O'Neill at Johnson Controls in St. Petersburg.

Participants in the Russia Automotive Trade Mission and Deputy Under Secretary O’Neill at Johnson Controls in St. Petersburg. (Photo U.S. Department of Commerce)

Camaco has only just begun working with the U.S. Commercial Service and is looking to expand operations into Russia. They have existing operations in India and Brazil.

Another Michigan company on the mission Fluxtrol, Inc., is based in Auburn Hills. Fluxtrol was established in 1981 and manufactures soft magnetic materials for magnetic flux control in induction heating systems and provides advanced engineering services including computer simulation, induction coil design and process optimization.

Fluxtrol, a client of the U.S. Commercial Service for the past  7 years, embarked on this mission to expand their presence in the Russian market and are looking to broaden and deepen their auto industry contacts. They are already planning follow-up trip. Robert Ruffini, President of Fluxtrol is also a member of the Michigan District Export Council.

Inductoheat, Inc., established in 1962 and based in Madison Heights, is a small yet leading manufacturer of induction heating equipment with more than 50 years of experience. Inductoheat operates 40 facilities worldwide providing products to many of the world’s largest automotive companies.

Indoctoheat has been working with the U.S. Commercial Service for the past two decades and hoped to gain exposure to and understanding of the Russian market, make significant connections with leaders, partners and potential customers in Russia, and explore opportunities for business expansion in Russia.

“As a result of participating in the trade mission, I will be coming back within the next three weeks to visit two new prospective clients and further develop our level of support for the Russian automotive market,” said Inductoheat, Inc., Vice President of Heat Treating Rob Madeira.

Related: U.S. Auto Parts Firms Find Partners in Russia

These and the rest of the mission participants are either already doing business in Russia and looking to expand or are here with the hope of expanding into the Russian market.

To facilitate good business relationships for U.S. companies, the Commercial Service in Russia and globally frequently work with foreign buyers to ensure that U.S. firms find positive and long-lasting relationships in an overseas market.

Some of those buyers were recognized by Ms. O’Neill during the mission’s visit to Moscow and St. Petersburg. Specifically, Triton-Import of Moscow was recognized for its achievement in opening the Russian automotive spare parts market to American small and medium-sized enterprises. For the past 19 years, Triton-Import has been an important Commercial Service partner. This partnership has resulted in more than $50 million in sales for U.S. exporters of automotive spare parts.

The two companies honored last week in St. Petersburg include Solex and Auto Sport Tuning. Solex was recognized for their achievement as a leading importer of American-made trucks and spare parts into Russia. The Commercial service has helped Solex find U.S. partners to actively market U.S. brands that has resulted in more than $300 million in sales for American truck manufacturers and spare parts for American trucks.

Auto Sport Tuning (AST), a relatively young partner of the Commercial Service, was recognized for its leading role as an importer of U.S. specialty automotive equipment in the Russian market. AST has participated in the International Buyer Program, or IBP, since 2007, attending the Automotive Aftermarket Industry Week in Las Vegas, Nevada. As a result of this collaboration and partnership with the Commercial Service, AST has established business partnerships with several American automotive performance suppliers.

The U.S. and Russian companies show the partnership it takes to facilitate global trade. Great partners home and abroad can be facilitated with the help of the Commercial Service domestically and overseas.

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