invest in america december 2010
DESCRIPTION
Promoting foreign direct investmentTRANSCRIPT
Aaron BrickmanDirector Invest in AmericaU.S. Department of CommerceWashington, DC
Promoting Foreign Direct Investment
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5.5 million
$40 billion
$55 billion
$404 billion
Source: Department of Commerce, Bureau of Economic Analysis
FDI in the U.S. Economy
U.S. Affiliates of Foreign Firms Generate 19% of U.S.
Exports ($204 billion in 2007)
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Top 10 FDI Positions in the United States, 2009
Note: Numbers denote percentage of the global investment position in the United States
U.S. FDI Trends
2%|$45.7b
10% | $225.8b
11% | $264.2b
20%| $453.9b 9% | $218.1b 6% | $127.8b
10% | $238b 8% | $189.4b 8% | $189.3b 2% | $43.9b
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2009 European Investment Positions in the United
States
Source: BEA
Average Annual Growth Rate of European FDI Positions in the United
States 2005 - 2009
European FDI in Perspective
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Industry Breakdown of FDI Position in the United States, 2009
Source: Bureau of Economic Analysis
FDI in the U.S. – Industry Perspective
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Source: Bureau of Economic Analysis
Top 10 FDI Growth Sectors in the United States
(Compound annual growth rate in FDI position between 2005 and 2009 and dollars in 2009 on a historical cost basis)
FDI in the U.S. – Industry Perspective
Miscellaneous Store Retailers
Educational Services
Copper, nickel, lead and zinc ore
Computers and Peripheral Equipment
Wired Telecommunications Carriers
Beverage and Tobacco Products
Petroleum Refining (excluding oil/gas extraction)
Communications Equipment
Other Services (excl. public sector and private households)
Steel Products from Purchased Steel
94%
$3.573 billion
$7.517 billion
$19.464 billion
-$953 million
$55.031 billion
$6.556 billion
$10.865 billion
$3.856 billion
$5.613 billion
89%
73%
73%
69%
66%
57%
52%
50%
42%
$6.991 billion
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Western European Greenfield FDI Announcements in U.S. Green Energy Sector
Source: fDi Markets
FDI Projects in U.S. Alternative/Renewable Energy Sector,
2003-2009
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FDI in U.S. Green Energy Sector
Source: fDi Markets2010 data as of November 19, 2010
Asian-Pacific FDI in
U.S. Renewable Energy Sector
Western European FDI in U.S.
Renewable Energy Sector
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Infrastructure Investment: High Speed Rail
•$10.5 billion in funding to jumpstart the High Speed Intercity Passenger Rail Program through the American Reinvestment and Recovery Act and extensions•Local content rules apply, but 19 of the 55 firms the Florida bidding partnerships are European and a majority of bidding firms are foreign•Several projects are seeking out or considering public-private partnership funding
Sources: Dept. of Transportation, White House, State of Florida
101010
• Strategic Market & FTAs (Population of U.S. and FTAs is 610 million; U.S. 42% of Global Consumer Goods Market)
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• Center for Entrepreneurship (11.5% of Americans are Entrepreneurs)
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• A Leader in Higher Education (Seven of the Top Ten Universities in the World are in the U.S.)
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• Productive Workforce (U.S. leads world in labor productivity per person; productivity gap between U.S. and most developed economies is growing)
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• Open to Cultures and Ideas (U.S. has more Irish than Ireland, Filipinos than Manila, Chinese than Hangzhou* and Poles than Warsaw)
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1. Office of the U.S. Trade Representative; Central Intelligence Agency – The World Factbook; and Credit Suisse survey; 2. Florida International University/University of Michigan study, 2005; 3. The Times Higher Education Supplement 2010 (U.K.); 4. 2007 International Labor Organization Report; 5. U.S. Census Bureau, *Hangzhou city proper
USA: A Great Return on Investment
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The United States: An Attractive Business Climate
World Economic Forum’s 2010-2011 Global Competitiveness rankings
World Bank 2010 Ease of Doing Business Report
AT Kearney’s 2010 FDI Confidence Index
#2#4#5
#1
IESE Business School’s 2009-2010 Venture Capital and Private Equity Index
1212
The United States: A Leader in Technology and Innovation
Businessweek:
OECD:
43 U.S. companies ranked among the top 100 world IT firms
18 U.S. companies ranked among the top 50 world IT firms
These 18 firms account for 35% of all revenue of the top 50 firms – and 58% of their market capitalization
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The United States: World Leader in Research &Development
In 2007, 41% of all R&D in developed countries took place in the U.S.
Other
Almost 50% of all researchers in the developed world work in the U.S.
More Nobel prize winners completed their winning research in the U.S. than in all other countries combined.
Sources: OECD, www.nobelprize.org
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Italian FDI in the United States
Recent Greenfield Investment Announcements:
Source: fDi Markets
August 2010: Prati announced plans to invest $80 million in a new production and R&D center in South Carolina, creating an estimated 80 jobs.
May 2010: Coim S.p.A. announced a $26 million expansion of its New Jersey plastics plant, creating an estimated 56 jobs.
May 2010: Eni announced the opening of the Eni-MIT Solar Frontiers Center in Massachusetts, investing $27 million over five years and creating an estimated 172 jobs.
July 2010: Techniplast announced a $9.6-million expansion and relocation of its U.S. headquarters in Ohio, which will create an estimated 27 jobs.
March 2010: Binari Sonori announced the opening of a $7.10 million business development and production office in California that will create an estimated 25 new jobs.
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Invest in America
• Created in 2007
• Primary U.S. Government Mechanism to Manage Foreign Investment Promotion
• What We Do:
1. Facilitate Investment Inquiries
2. Act as Ombudsman
3. Connect Investors with U.S. States
4. Provide Policy Guidance
5. Educate Investors
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Facilitating Business InquiriesInvest in America provides actionable information to foreign firms to help them:
• Incorporate a business in the U.S.• Understand basic U.S. tax and legal concepts• Learn about incentives available to businesses in
the U.S.• Connect with U.S. state, city, or regional economic
development offices to learn about investment opportunities
• Apply for a business-related visaForeign investors can communicate with Invest in America staff by phone or email in Washington, DC, or meet with members of the U.S. Foreign Commercial Service in almost 80 countries around the world.
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Federal State and Local
Invest in America
Single Point of Contact for Foreign Investors:
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Invest in America
Ombudsman for Foreign Investors:
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U.S. Investment Promotion
• Electric Drive Vehicle Battery and Component Manufacturing Initiative
• National Institute of Health Challenge Grants in Health and Science Research
• Business Energy Tax Credit
• Loan Guarantee Program
• Wind and Hydropower Technologies Program
• Updated Guide Available July 2010 at http://www.investamerica.gov/
• Contact Invest in America with questions
Contact Information
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Aaron BrickmanDirector, Invest in AmericaTel: 202-482-1889Email: [email protected]: http://www.investamerica.gov