Expanding your business in the united states

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Presentation transcript:

Expanding your business in the united states Karel Vantomme U.S. Embassy Brussels Karel.vantomme@trade.gov +32 2 811 47 33

I About SELECTUSA U.S Department of Commerce | International Trade Administration | SelectUSA

Total Direct and Indirect Jobs About SelectUSA MISSION SelectUSA’s mission is to promote and facilitate business investment in the United States. We are the single point of contact at the national level for international and domestic companies to invest in the United States. OUR IMPACT To date, SelectUSA has directly assisted in attracting more than $25 billion in client- verified investments to the United States. > 12 Million FDI is responsible for Total Direct and Indirect Jobs Understand Valuable Opportunities SelectUSA is often the initial point of contact for a foreign company seeking information or assistance to invest in the United States. While there is great interest among companies to establish operations in the United States, the prospect of entering the U.S. market may seem daunting. SelectUSA’s goal is to facilitate business investment by providing valuable information, tools, and connections. We work one-on-one with investors to demystify federal rules and regulations and link businesses with partners and resources. Many of our services are free of charge.   Get the Information You Need to Make Decisions Our investment specialists provide the credible, unbiased, detailed data and analytics that managers need to make critical decisions about their investments. Connect to the Right People at the Local Level Through direct introductions and SelectUSA events, international firms can meet U.S. state and local representatives. These contacts help move investment forward, and are fundamental to success. Navigate the Federal Regulatory System The United States is recognized for its ease of doing business. By working with SelectUSA, businesses can develop a better understanding of the U.S. regulatory environment. Our team works with firms on a case-by-case basis to address issues or questions involving federal regulations or programs related to investments. U.S Department of Commerce | International Trade Administration | SelectUSA

II About FDI U.S Department of Commerce | International Trade Administration | SelectUSA

in the United States totaled $3.7 Trillion II Global fdi trends The United States is the Largest Recipient of FDI in the World Source: United Nations Conference on Trade and Development http://unctadstat.unctad.org/ In 2016 alone, FDI Inflows totaled $457 Billion At the end of 2016, FDI Stock in the United States totaled $3.7 Trillion U.S Department of Commerce | International Trade Administration | SelectUSA

Largest and fastest growing Sources of FDI II Largest and fastest growing Sources of FDI Largest Sources of FDI in the United States (by UBO) Fastest-Growing Sources of FDI in the United States (by UBO) Rank Market 2015 Position (USD millions) Share of Total 1 United Kingdom $568,948 18.2% 2 Japan $414,007 13.2% 3 Canada $391,948 10.9% 4 Germany $318,988 10.2% 5 France $251,375 8.0% 6 Ireland $200,502 6.4% 7 Switzerland $143,534 4.6% 8 The Netherlands $137,406 4.4% 9 Spain $61,378 2.0% 10 Sweden $50,875 1.6% 11 Italy $47,049 1.5% 12 Australia $44,925 1.4% 13 Belgium $43,335 14 South Korea $38,174 1.2% 15 Mexico $35,516 1.1% Rank Market 2015 Position (USD millions) CAGR (2010-15) 1 Argentina $3,771 38.9% 2 Chile $2,475 36.9% 3 China $20,765 30.8% 4 Malaysia $1,613 20.5% 5 South Korea $38,174 17.3% 6 Norway $29,600 14.9% 7 United Arab Emirates $27,480 14.2% 8 Colombia $2,468 14.0% 9 India $11,345 13.6% 10 Ireland $200,502 12.8% 11 Bermuda $27,585 11.7% 12 Brazil $23,685 13 Hong Kong $14,525 11.4% 14 Japan $414,007 9.8% 15 Finland $13,278 Source: Bureau of Economic Analysis. UBO refers to Ultimate Beneficial Owner. CAGR refers to Compound Annual Growth Rate. Fastest-Growing Sources of FDI ranks markets with 2015 FDI stock in the United States greater than $1 billion. U.S Department of Commerce | International Trade Administration | SelectUSA

Fdi in the united states by industry Breakout of $3.1 Trillion Inward Position 2004 FDI in the United States U.S Department of Commerce | International Trade Administration | SelectUSA

III Why Invest In the United States? U.S Department of Commerce | International Trade Administration | SelectUSA

Why invest in the united states? III Why invest in the united states? World’s most attractive consumer market $18 trillion annual GDP Population of more than 325 million + FTAs : 742 million; U.S. 42% of Global Consumer Goods Market1 Unparalleled climate for innovation Global leader in research & development (R&D) U.S. Responsible for 27% of Total World R&D Expenditures2 Strong intellectual property protection 52.2% of the Patents Granted in 2012 by the U.S. Patent Office Originated from a foreign market 3 Highly educated and productive workforce 7 of the top 10 universities in the world4 U.S. workforce output per hour is 36 percent above the OECD member country average5 Abundant natural resources and Low-cost, stable energy supply 1/2 to 1/3 of cost compared with Japan, Italy, Germany Competitive export platform Free trade agreements with 20 markets Fast export procedures Transparent, fair and stable business environment Open to People, Cultures, and Ideas Access to Capital National Science Foundation Science and Engineering Indicators 2016 Sources: 1.Office of the U.S. Trade Representative; Central Intelligence Agency – The World Factbook; and Credit Suisse survey; 2. National Science Board’s Science & Technology Indicators, 2016 Digest; 3. U.S. Patent and Trademark Office; 4. The Times Higher Education Report 2017 (U.K.); 5. OECD Labor Productivity Statistics U.S Department of Commerce | International Trade Administration | SelectUSA

Motivations of Foreign Firms III Motivations of Foreign Firms Why do firms choose the United States? Canada 4 Source: fDimarkets.com Since 2003, fDimarkets.com reports 9,766 global companies have announced investment projects in the United States. If completed at announced levels, they represent more than $656.02 billion in capital investment and creation of 1,436,826 jobs. Motive---% of Projects Proximity to markets or customers 44.5 Domestic Market Growth Potential 37.2 Industry Cluster / Critical Mass 20 Skilled workforce availability 9.9 Technology or Innovation 8.6 Regulations or business climate 4.8 Attractiveness / Quality of Life 3.8 Presence of Suppliers or JV Partners 3.3 Facilities Site or Real Estate 2.3 Infrastructure and logistics 2 Other Motive 5.8 U.S Department of Commerce | International Trade Administration | SelectUSA Source: www.FDIMarkets.com

Open investment policy III Open investment policy The United States’ open investment policy is a commitment to treat all investors in a fair and equitable manner. Upheld by administrations throughout U.S. history. Core obligation in bilateral investment treaties (BITs). Ensures investors and investments receive treatment no less favorable than a country affords to its own investors and investments. U.S Department of Commerce | International Trade Administration | SelectUSA

State, regional and Local EDOs III State, regional and Local EDOs State Regional Local U.S Department of Commerce | International Trade Administration | SelectUSA

State, Regional and Local in EUROPE U.S Department of Commerce | International Trade Administration | SelectUSA

A winning investment climate III A winning investment climate Global Entrepreneurship & Development Institute’s Global Entrepreneurship Index 2017 AT Kearney’s 2016 FDI Confidence Index (latest available) #1 #1 IESE Business School’s 2013 Venture Capital and Private Equity Index The United States consistently ranks among the top for having a fair, balanced and competitive business climate, achieved through continuous investments in its infrastructure, legal system, education and workforce training and business friendly policies. U.S Department of Commerce | International Trade Administration | SelectUSA

Abundant Energy Resources III Abundant Energy Resources Domestic energy production revolution1 Driven by Shale gas discovery and development 10 trillion cubic feet projected to be produced by 2030 U.S. features existing pipelines and other infrastructure A global energy player2 Largest producer of petroleum and natural gas Dramatic decline in prices3 Prices set locally, rather than globally 1/2 to 1/3 of cost compared with Japan, Italy, Germany Significant impact on industrial energy prices as well (with positive outcomes for industry) Dramatic investment successes4 Johannesburg-based Sasol Limited announced plans to establish a Gas-to-Liquids plant in Louisiana Expectation of follow-on investment in related chemicals manufacturing Source: Sasol Sources: 1. Boston Consulting Group 2. IEA—World Energy Outlook 2012 3. Business Day Live (SA Newspaper) 4. SelectUSA U.S Department of Commerce | International Trade Administration | SelectUSA

IV SELECTUSA SERVICES U.S Department of Commerce | International Trade Administration | SelectUSA

SelectUSA Services for Foreign Firms IV SelectUSA Services for Foreign Firms Information, Research & Strategic Counseling: We provide companies with information to support their decision-making process, including industry information and analysis Connections: Through direct introductions and SelectUSA events, international firms can meet U.S. state and local representatives Assistance: We help companies navigate the federal system and provide information about federal regulations and programs Understand Valuable Opportunities SelectUSA is often the initial point of contact for a foreign company seeking information or assistance to invest in the United States. While there is great interest among companies to establish operations in the United States, the prospect of entering the U.S. market may seem daunting. SelectUSA’s goal is to facilitate business investment by providing valuable information, tools, and connections. We work one-on-one with investors to demystify federal rules and regulations and link businesses with partners and resources. Many of our services are free of charge.   Get the Information You Need to Make Decisions Our investment specialists provide the credible, unbiased, detailed data and analytics that managers need to make critical decisions about their investments. Connect to the Right People at the Local Level Through direct introductions and SelectUSA events, international firms can meet U.S. state and local representatives. These contacts help move investment forward, and are fundamental to success. Navigate the Federal Regulatory System The United States is recognized for its ease of doing business. By working with SelectUSA, businesses can develop a better understanding of the U.S. regulatory environment. Our team works with firms on a case-by-case basis to address issues or questions involving federal regulations or programs related to investments. U.S Department of Commerce | International Trade Administration | SelectUSA

Interagency Investment Working Group IV Interagency Investment Working Group “The Working Group shall coordinate activities to promote business investment and respond to specific issues that affect business investment decisions” -Executive Order establishing Federal Interagency Investment Working Group (IIWG) 20+ IIWG participating agencies, including: U.S. Department of State U.S. Department of Homeland Security U.S. Small Business Administration Export-Import Bank of the United States U.S. Trade Representative U.S. Department of Energy U.S. Department of Defense U.S Department of Commerce | International Trade Administration | SelectUSA

Select Usa Investment Summit IV Select Usa Investment Summit 2017 2800+ Attendees EDOs from 51 States and Territories Investors from over 60 Markets 79,000 ft2 Exhibition Hall CEOs from GM, GE, BMW, Oracle, ABB, Siemens USA Next Summit: June 20-22, 2018 U.S Department of Commerce | International Trade Administration | SelectUSA

Selectusa investment summit IV Selectusa investment summit The SelectUSA Investment Summit is the highest-profile event dedicated to promoting FDI in the United States. This signature event provides an unparalleled opportunity to bring together companies from all over the world, economic development organizations from every corner of the nation, and other parties working to facilitate business investment in the United States. The Summit's theme – "Grow with US" – will highlight the innovative business climate in the United States and feature investment opportunities from every corner of the country. www.SelectUSAsummit.us If your company is pursuing opportunities to invest in the United States as part of your international growth strategy, we encourage you to participate in the SelectUSA Investment Summit, the premier investment event showcasing inbound investment opportunities throughout the United States.  The 2018 Summit will take place June 20 -22 at the Gaylord Hotel, National Harbor, MD and is expected to draw an audience of more than 2,500 participants, including executives of foreign companies interested in investing in the US market, representatives of economic development organizations from across the United States, and senior US government representatives.  The SelectUSA Summit attracts serious investors.  According to data from fDi Markets, 2013-2016 SelectUSA Investment Summit participants have announced more than $20.6 billion in greenfield FDI into the United States. The Commercial Service at the U.S. U.S Department of Commerce | International Trade Administration | SelectUSA

www.selectusa.gov www.selectusasummit.us @SelectUSA on Twitter U.S Department of Commerce | International Trade Administration | SelectUSA