The Trans-Pacific Partnership agreement (TPP) the United States is concluding with 11 other Asia-Pacific economies (Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam) will open new opportunities for U.S. companies at home and abroad. What are the benefits, and how can you gain?
This map by the U.S. Trade Representative that negotiates America’s trade deals will give you a neat bird’s-eye view of what TPP can do for exporters in your state. Scroll down all the way to get to the map. You may also want to look at this state-by-state analysis by Trade Benefits America coalition, the cream of American business.
If you click on any state and then go to the PDFs, you will discover, for example, that California companies such as Summit Almonds, Flextronics, Toshiba International, orange exporter Giscal Ltd. currently export $70 billion worth of goods and services to the TPP partners – a figure bound to expand when TPP kicks in and lowers trade barriers further. New jobs will be created as well, on top of the 1.8 million jobs that California’s trade with TPP partners already supports in the state.
To get at opportunities specific for your business and industry in the TPP region and beyond, see market assessment tools by the U.S. Department of Commerce. You can also see on Commerce’s site several pre-qualified trade opportunities and foreign government tender announcements available to U.S. exporters. And for any one TPP member, take a look at Country Commercial Guides. There is also a good market research library of more than 100,000 industry- and market-specific studies. This is harder to browse – but you will proceed best by choosing by industry.
Top-notch scholars show that inbound investment means new job creation in America, and well-paying jobs: in 2012, the average American worker at a Japanese company received almost $80,000 in wages and benefits, well above the U.S. average. Japanese companies also bring new know-how and R&D dollars to the United States. In 2011, Japanese firms had R&D spending of more than $10,260 per worker, well above $8,270 for the average foreign firm.
TradeUp’s team has extensive experience in analyzing and applying trade deals to benefit America companies. In addition to helping you secure capital for your international expansions, we can find new markets for you and take you there. Contact us to discuss!