markets of Canada and Mexico, the new trade agreements stated below are designed to fuel America's strengthening export competitiveness.
US Exports remain a vital and comprise an increasingly larger share of the US GDP, now accounting for nearly $2.5 Trillion of economic activity when considering goods and services, the largest in world history.
Below are a few key figures that point to reasons why more American firms should consider export as a way to grow revenue.
Sources: US World Economic Forum, Kipplinger Newsletter, State of the Union 2012, 2013, Federal Reserve Bank of Chicago, Wall Street Journal
.Click American Competitiveness for related blog post.
Recognizing the powerful impact increased US exports have on the American economy, successive American administrations of both parties have forged free trade agreements with significant impact. If oil is taken out of assessment, the US has a trade surplus with every nation with which it has an FTA, again suggesting the true competitiveness of American business.
The current administration is launching trade discussions toward an FTA with the 28-member nation European Union and a broader trade framework through the Trans Pacific Partnership, which includes Australia, Brunei Darussalam, Canada, Chile, Malaysia, Mexico, New Zealand, Peru, Singapore, the US, Vietnam and, now, greater interest from Japan to join the trade talks, with support from the US. Of note is that the US already as an FTA with many of these nations involved (Canada/Mexico, Australia, Chile and Peru).
Either of these efforts would in an of themselves amount to the largest FTA in world history, and would have profound long-lasting effects in US industry, with exports continuing to represent an increasing larger role in US GDP. Development and engagement by US firms in exporting now would seem to be a prudent long-term strategic move.
Click US Free Trade Agreements for a complete listing of America's 14 FTA's involving 21 nations and for information on how to determine if your products will receive preferential duty/tariff treatment under those agreements in those foreign markets.