There seems to be a great deal of confusion in use of business terms such as free trade zones, export processing zones and Foreign Trade Zones - and that turns out to be a major hindrance when you try to compile a list of free trade zones in the US. Basically, you won't find any free trade zones in the United States of America - but you will find a concept which is quite similar to that of a free trade zone which is referred to as a Foreign Trade Zone in the United States. There is a little bit of difference between the two economic concepts, but broadly speaking they serve the same purpose - creating job opportunities and increasing foreign investment while lending a helping hand to international trade. While Foreign Trade Zones are restricted to the United States of America, the concept of free trade zone is common in the developed countries of Europe. In order to understand the intricacies of the entire matter, you need to understand the basics of each of these concepts of economics.
Free Trade Zone
A free trade zone is an area of the country wherein trade barriers, such as tariffs and quotas, are exempted and government policies, which distort the trade, are relaxed in order to attract new business and foreign investment in the country. Simply put, it is an area wherein the concept of free trade - international trade free of government interference, is followed owing to the various benefits it has to offer. Some of the most prominent benefits of free trade include boost in international trade, healthy business competition, efficient production, larger markets, etc. A concept closely related to free trade zone, free trade area refers to a type of trade bloc wherein the member countries do away with certain trade barriers and trade distorting policies for each other.
Foreign Trade Zones in the United States
A concept which is by and large native to the United States of America, the Foreign Trade Zone refers to the special geographic area in the vicinity of a US Port wherein commercial merchandise can be handled without being subjected to Customs duties and other ad valorem taxes. Other than storing, the traders can also assemble, package, clean, test, repair or destroy their goods in the Free Trade Zone - without having to pay any tax for the same. This relief lowers the cost of US based operations of the international trade - while creating job opportunities and capital investment in the country. That being said, this tariff relief is only available for those goods which are restricted to US Foreign Trade Zones. If the goods are meant to be imported and sold in the US market, they will be taxed as soon as they are out of these free trade zones in the United States.
In a Foreign Trade Zone in the United States, goods are treated the same way as they would be treated outside the US territorial borders. This allows the traders to land and store their goods here without having to pay the import duties on these goods. These trade zones are under the direct supervision of U.S. Customs Service. The lengthy list of Foreign Trade Zones in the United States of America has more than 250 members - which includes some of the most prominent names such as FTZ No. 83 Huntsville, FTZ No. 98 Birmingham, FTZ No. 75 Phoenix, FTZ No. 174 Pima County (Tucson), FTZ No. 50 Long Beach (Los Angeles/ Long Beach), FTZ No. 3 San Francisco, etc. Other than these 250 odd Foreign Trade Zones, there also exist around 450 450 Special Purpose sub-zones in the United States.
That must have given you a rough idea as to what a US Foreign Trade Zone is and helped you get rid of all your myths about free trade zones in the United States of America. You can yourself avail the facility of the Foreign Trade Zone in the United States. Even though each of these trade zones have some stipulations of their own, by and large all of them follow the same procedure.
Wednesday, July 13, 2011
Trade Show Booth Ideas
Trade shows offer a unique opportunity to various organizations to display their products and services to their prospective clients. Trade show promotions are also an opportunity for businesses to make sales and strike profitable deals. But all this is possible only if the visitors to the exhibition are attracted to a company's booth. For ensuring maximum visits to the booth, businesses have to focus on two things i.e. the booths should look professional and at the same time they should promise fun. How? Let's find out by looking at the below given trade show booth ideas.
Creative Trade Show Booth Ideas
Booth Set-Up
The booth set-up should be such that it displays the professionalism of your company. The booth should be well organized and well run at all times. After all, the visitors at the exhibition are your prospective clients so they should form a good opinion of your company. You may read more on importance of branding. Here are some useful trade show booth ideas vis a vis booth layout.
* The trade show booth table should always be covered with a good quality table cloth as it gives out an upmarket, more official appearance.
* Add your company's logo and name at various places in the booth such as the center wall, presentation board (if you have one) and even on the tablecloth of the display table.
* If there are some products to be kept on the trade show display table, make sure that the larger ones are kept at the back and the smaller ones in the front so that all items are visible.
* Include visual presentations to demonstrate your company's products to your customers. Visual displays always appeal to the visitors more.
* Have the booth properly manned by booth personnel and make sure that they keep their conversations with the visitors as interactive as possible. The more the booth personnel are able to get the visitors involved, the more likely it is that they will go in for your company's products.
* If your booth is big in size, keep a separate conference area where the prospective customers can actually sit and talk with the booth personnel.
* Arrange for necessary things such as pens, notepads, paper tissues, water cooler, dustbins at the booth.
* Have enough stock of your company's pamphlets, brochures or booklets which can be handed over to all the visitors to your booth who want information on your company and your products. To keep this paper stuff organized and more visible, a good idea would be to keep it on a display rack.
* The lighting at your booth should be appropriate. So, invest in your own booth lighting, especially around the displays, even if the hall is well lit.
* Arrange for enough booth personnel so that your booth is never left unmanned. Make sure that the booth staff is trained in dealing with people, friendly and co-operative. You may read further on ideas for trade show exhibit booth themes.
Games and Prizes
One of the best trade show booth ideas that attract visitors is to give away prizes. If you incorporate some fun games and in the end guarantee prizes to all the participants, there is no way that exhibition visitors would let pass such an opportunity. An interesting game that will both help in promoting your company's products as well as in getting visitors to your booth is to plan an easy quiz of your company's products and services. Have the information about your company's products put up on a banner. Do not clutter the banner, just include five to six main points. Have a game show kiosk placed in your booth wherein visitors who have read the information, can proceed to take on the quiz. In the end, keep interesting prizes for visitors who answer all the questions correctly. There are many benefits of keeping such game show kiosks. These can be seen from a distance too and so people who have no plans of coming to your booth or knowing about your products, get lured by the fun and the prizes it promises, plus you get to market your company's products to prospective clients.
Free Gifts
People who attend trade shows, always expect to get some free gifts. This makes trade show giveaways a must. Food gifts such as candies and cookies, wrapped in boxes on which the company's logo and contact information is mentioned is a good option as a free gift. Stationery items such as notepads, pens, etc. and gift certificates which can be exchanged in lieu of your company's products and services are some other options for promotional gifts that you can consider.
One of the most popular trade show booth ideas that is fast catching up is to invite a local celebrity to your booth to pull in the crowds. If you have a budget for this, you can use this strategy as well. Trade shows are a chance for an organization to come face to face, interact and connect with one's future customers. So, do not let go off this opportunity and do whatever it takes (even if it means shelling a few extra bucks) to grab it.
Creative Trade Show Booth Ideas
Booth Set-Up
The booth set-up should be such that it displays the professionalism of your company. The booth should be well organized and well run at all times. After all, the visitors at the exhibition are your prospective clients so they should form a good opinion of your company. You may read more on importance of branding. Here are some useful trade show booth ideas vis a vis booth layout.
* The trade show booth table should always be covered with a good quality table cloth as it gives out an upmarket, more official appearance.
* Add your company's logo and name at various places in the booth such as the center wall, presentation board (if you have one) and even on the tablecloth of the display table.
* If there are some products to be kept on the trade show display table, make sure that the larger ones are kept at the back and the smaller ones in the front so that all items are visible.
* Include visual presentations to demonstrate your company's products to your customers. Visual displays always appeal to the visitors more.
* Have the booth properly manned by booth personnel and make sure that they keep their conversations with the visitors as interactive as possible. The more the booth personnel are able to get the visitors involved, the more likely it is that they will go in for your company's products.
* If your booth is big in size, keep a separate conference area where the prospective customers can actually sit and talk with the booth personnel.
* Arrange for necessary things such as pens, notepads, paper tissues, water cooler, dustbins at the booth.
* Have enough stock of your company's pamphlets, brochures or booklets which can be handed over to all the visitors to your booth who want information on your company and your products. To keep this paper stuff organized and more visible, a good idea would be to keep it on a display rack.
* The lighting at your booth should be appropriate. So, invest in your own booth lighting, especially around the displays, even if the hall is well lit.
* Arrange for enough booth personnel so that your booth is never left unmanned. Make sure that the booth staff is trained in dealing with people, friendly and co-operative. You may read further on ideas for trade show exhibit booth themes.
Games and Prizes
One of the best trade show booth ideas that attract visitors is to give away prizes. If you incorporate some fun games and in the end guarantee prizes to all the participants, there is no way that exhibition visitors would let pass such an opportunity. An interesting game that will both help in promoting your company's products as well as in getting visitors to your booth is to plan an easy quiz of your company's products and services. Have the information about your company's products put up on a banner. Do not clutter the banner, just include five to six main points. Have a game show kiosk placed in your booth wherein visitors who have read the information, can proceed to take on the quiz. In the end, keep interesting prizes for visitors who answer all the questions correctly. There are many benefits of keeping such game show kiosks. These can be seen from a distance too and so people who have no plans of coming to your booth or knowing about your products, get lured by the fun and the prizes it promises, plus you get to market your company's products to prospective clients.
Free Gifts
People who attend trade shows, always expect to get some free gifts. This makes trade show giveaways a must. Food gifts such as candies and cookies, wrapped in boxes on which the company's logo and contact information is mentioned is a good option as a free gift. Stationery items such as notepads, pens, etc. and gift certificates which can be exchanged in lieu of your company's products and services are some other options for promotional gifts that you can consider.
One of the most popular trade show booth ideas that is fast catching up is to invite a local celebrity to your booth to pull in the crowds. If you have a budget for this, you can use this strategy as well. Trade shows are a chance for an organization to come face to face, interact and connect with one's future customers. So, do not let go off this opportunity and do whatever it takes (even if it means shelling a few extra bucks) to grab it.
How to Choose a Trade Show Theme
When companies launch new products, they need to advertise and market them, which is crucial for sales. Before the products even reach the shelves though, there is one important step that cannot be ignored. This step being that the products need to be introduced to the varied suppliers. And how is one to introduce them to the suppliers and consumers who essentially make up the market? That is where the concept of trade shows comes in. This concept was introduced so that there could be a platform whereby organizations could introduce their products to the different sections in the market, with the view of selling or gaining more clientèle. This practice runs on the same lines as that of a trade fair where different companies gather under one roof and display their products by employing varied means like live displays, distributing pamphlets or maybe playing corporate films that define their products.
Some trade shows are organized exclusively for the suppliers while others are open to both clients and consumers. Whatever the nature of the trade show though, the theme that the trade show is set on will go a long way in determining the success of your products and add to the networking as well. In the following article, we will tell you exactly how to bring this through and the points to consider for it to be a success.
Choosing the Right Trade Show Theme - Points to Consider
Why is the theme even more important for the success of a trade show? For one, it sets you apart from your competitors. Two, it draws in more clients and consumers because they are attracted to what you're offering and three, it does not allow the mundane and routine to set in and therefore, keeps you wanting to thrive for more. Think of it as the packing which will allow the consumers and the clients to view your product and learn more about it.
Thus, the way you present your products is very important and that is where the concept of a good theme comes in. How to choose a trade show theme that will ensure success? Consider the following points.
The General Theme
Is there a general theme to the whole fair that you can work with? Sometimes trade shows will give all the participants a common theme to work with. Even though you've been given this theme, try and find ways in which you can stand out.
List the Strong Points
For you to be able to work with the theme at hand, you need to know your product thoroughly and draw out the strong points of the same. These are the points that you need to stress on when coming up with a theme. What is it that you want the clients and consumers to know? Can you bring it out with the theme?
Draw From Your Product
A theme generally works well when there is an all pervasive theme that is running forth. Consider your product and the theme that it can be molded into. Then try and make as much impact as you can with the theme. For example, if your products are summer wear for women, then your theme will be summer. Do whatever it takes to make the summer theme come through. For example, you could replicate a set as a booth theme such that it looks like the beach and you could have your staff wear sun dresses from the collection. You could also offer cool drinks to the clients and consumers to drive the theme home further.
Let the Theme be all Encompassing
When you come up with a theme, try and make it all encompassing. Make sure that you maintain the same theme in all processes of planning - the pre-event advertising as well as the post event advertising. This will enhance the theme further.
Bring in the Interactive Factor
One of the best ways in which a theme is seen to work wonders is when there is the factor of interaction brought in. If possible, include games and other activities which encourage interaction between the consumers, clients and the organizers. Including prizes is also a great way to promote the theme and thereby the products.
These are some of the factors that one should consider when one chooses a trade show theme. A careful study of these points and preparing a theme based on the same will go a long way in ensuring success of your product.
Some trade shows are organized exclusively for the suppliers while others are open to both clients and consumers. Whatever the nature of the trade show though, the theme that the trade show is set on will go a long way in determining the success of your products and add to the networking as well. In the following article, we will tell you exactly how to bring this through and the points to consider for it to be a success.
Choosing the Right Trade Show Theme - Points to Consider
Why is the theme even more important for the success of a trade show? For one, it sets you apart from your competitors. Two, it draws in more clients and consumers because they are attracted to what you're offering and three, it does not allow the mundane and routine to set in and therefore, keeps you wanting to thrive for more. Think of it as the packing which will allow the consumers and the clients to view your product and learn more about it.
Thus, the way you present your products is very important and that is where the concept of a good theme comes in. How to choose a trade show theme that will ensure success? Consider the following points.
The General Theme
Is there a general theme to the whole fair that you can work with? Sometimes trade shows will give all the participants a common theme to work with. Even though you've been given this theme, try and find ways in which you can stand out.
List the Strong Points
For you to be able to work with the theme at hand, you need to know your product thoroughly and draw out the strong points of the same. These are the points that you need to stress on when coming up with a theme. What is it that you want the clients and consumers to know? Can you bring it out with the theme?
Draw From Your Product
A theme generally works well when there is an all pervasive theme that is running forth. Consider your product and the theme that it can be molded into. Then try and make as much impact as you can with the theme. For example, if your products are summer wear for women, then your theme will be summer. Do whatever it takes to make the summer theme come through. For example, you could replicate a set as a booth theme such that it looks like the beach and you could have your staff wear sun dresses from the collection. You could also offer cool drinks to the clients and consumers to drive the theme home further.
Let the Theme be all Encompassing
When you come up with a theme, try and make it all encompassing. Make sure that you maintain the same theme in all processes of planning - the pre-event advertising as well as the post event advertising. This will enhance the theme further.
Bring in the Interactive Factor
One of the best ways in which a theme is seen to work wonders is when there is the factor of interaction brought in. If possible, include games and other activities which encourage interaction between the consumers, clients and the organizers. Including prizes is also a great way to promote the theme and thereby the products.
These are some of the factors that one should consider when one chooses a trade show theme. A careful study of these points and preparing a theme based on the same will go a long way in ensuring success of your product.
Monday, January 10, 2011
Vietnam Trade, Exports and Imports
As per the General Statistics Office (GSO) of Vietnam, the 2009 export turnovers were estimated to be US$56.6 billion, reflecting a drop of 9.7% from 2008. The import turnovers of 2009 were anticipated to be US$68.8 billion, which showed a drop by 14.7% from 2008. Although the decreased import turnovers were higher than export turnovers, the 2009 trade deficits was estimated to be US$12.2 billion, reduced by 32.1% reported in 2008 and equaling 21.6% of the total export turnovers of 2009.
FDI companies contributed 36% of the total imports in 2009, while the rest 64% was made up by the local companies. The total export results of the same year read 47% earnings by FDI companies (excluding crude oil) and 53% by local companies.
Vietnam Trade: Exports and Imports
Vietnam's main exports include:
*
crude oil
*
textiles and garment
*
rice
*
coffee
*
rubber
*
coal
*
aquaculture
*
processed forest products
Although agricultural produce crowds the export item list, this will soon transform as Vietnam increases its industrial base. The 2009 report states 11% earnings on crude oil, 7% on aquatic products, 7% footwear, 5% electronic equipment, 5% jewelry, 5% rice, 4% wooden products, 4% machinery, 3% coffee, 2% anthracite and 2% rubber.
Vietnam’s key import commodities include:
*
petroleum products
*
steel
*
fertilizer
*
electronics
*
machinery and equipment
The year 2009 saw Vietnam import rubber worth USD 90 million, US$400 million plastics, US$440 million machineries, USD 390 million electronic goods and USD 350 million steel, among others.
Vietnam Trade Partners
Currently, Vietnam's major trading partners include Japan, Singapore, Hong Kong, Taiwan, Korea and the European Union. Its trade with the Asian economies constitutes approximately 80 percent of its total trade. Before 1990, Vietnam's chief trading partners included socialist countries, especially the Soviet Union.
Major markets of Vietnam in the export business 2007 were:
*
Petrochemicals
*
Construction Industry
*
Cement Industry
*
Power Generation/Electricity
*
Food and beverage
*
Paper and Pulp
*
Plastic and Rubber
ASEAN
The Association of Southeast Asian Nations (ASEAN) includes countries, such as Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam. Vietnam had taken on the role of President of the ASEAN, beginning January 01, 2010. The country aims to utilize its term as the president to accelerate development of the ASEAN Community, strengthen regional solidarity and cooperation, and enhance Vietnam’s image at the international front.
FDI companies contributed 36% of the total imports in 2009, while the rest 64% was made up by the local companies. The total export results of the same year read 47% earnings by FDI companies (excluding crude oil) and 53% by local companies.
Vietnam Trade: Exports and Imports
Vietnam's main exports include:
*
crude oil
*
textiles and garment
*
rice
*
coffee
*
rubber
*
coal
*
aquaculture
*
processed forest products
Although agricultural produce crowds the export item list, this will soon transform as Vietnam increases its industrial base. The 2009 report states 11% earnings on crude oil, 7% on aquatic products, 7% footwear, 5% electronic equipment, 5% jewelry, 5% rice, 4% wooden products, 4% machinery, 3% coffee, 2% anthracite and 2% rubber.
Vietnam’s key import commodities include:
*
petroleum products
*
steel
*
fertilizer
*
electronics
*
machinery and equipment
The year 2009 saw Vietnam import rubber worth USD 90 million, US$400 million plastics, US$440 million machineries, USD 390 million electronic goods and USD 350 million steel, among others.
Vietnam Trade Partners
Currently, Vietnam's major trading partners include Japan, Singapore, Hong Kong, Taiwan, Korea and the European Union. Its trade with the Asian economies constitutes approximately 80 percent of its total trade. Before 1990, Vietnam's chief trading partners included socialist countries, especially the Soviet Union.
Major markets of Vietnam in the export business 2007 were:
*
Petrochemicals
*
Construction Industry
*
Cement Industry
*
Power Generation/Electricity
*
Food and beverage
*
Paper and Pulp
*
Plastic and Rubber
ASEAN
The Association of Southeast Asian Nations (ASEAN) includes countries, such as Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam. Vietnam had taken on the role of President of the ASEAN, beginning January 01, 2010. The country aims to utilize its term as the president to accelerate development of the ASEAN Community, strengthen regional solidarity and cooperation, and enhance Vietnam’s image at the international front.
US Trade
U.S. foreign trade and global economic policies
have changed direction dramatically during the several years that the United States has been a country. In the early days of the nation's history, government and business mostly concentrated on developing the domestic economy irrespective of what went on abroad. But since the Great Depression of the 1930s and World War II, the country generally has sought to reduce trade barriers and coordinate the world economic system.
This commitment to free trade has both economic and political roots; the United States increasingly has come to see open trade as a means not only of advancing its own economic interests but also as a key to building peaceful relations among nations.
Average annual growth of population has been 1.1% from 1997 to 2003, which is still higher than other high-income countries’ figure of 0.6 %. The US economy has an edge over other rich countries as indicated by its labour force growth rate of 1.3% (1997-03), while other high income countries have less than 1% growth in workforce over these years.
However, since the end of the 20th century, a growing trade deficit has brought some ambivalence in the minds of American people about trade liberalization. The United States had experienced trade surpluses during most of the years following World War II. But oil price shocks in 1973-1974 and 1979-1980 and the global recession that followed the second oil price shock caused international trade to stagnate.
At the same time, the United States began to feel shifts in international competitiveness. By the late 1970s, many countries, particularly newly industrializing countries, were growing increasingly competitive in international export markets. South Korea, Hong Kong, Mexico, and Brazil, among others, had become efficient producers of steel, textiles, footwear, auto parts, and many other consumer products. The 2003 estimates show a current account deficit of $ 541,834 million.
CHALLENGES IN THE 21st CENTURY
Recently, the IMF has described the US current account deficit as unsustainable . The International Monetary Fund has said it could have a significant adverse effect on interest rates and global capital markets.
The American economy is observing a record-low household saving rate and a large federal fiscal deficit. Thus it is essential to support the adjustment by strong US national saving to avoid a burden falling on investment and growth, both in America and abroad.
Like many countries in the world, the United States too had been undergoing profound economic changes. A wave of technological innovations in computing, telecommunications, and the biological sciences were profoundly affecting how Americans work and play. At the same time, historical factors like collapse of communism in the Soviet Union and Eastern Europe, the growing economic strength of Western Europe, and more recently the emergence of powerful economies in Asia, expanding economic opportunities in Latin America and Africa, have had affected US economy.
The increased global integration of business and finance posed new opportunities as well as risks. All of these changes were leading people in the US to re-examine everything from how they organize their workplaces to the role of government. Perhaps as a result, many workers, while content with their current status, look to the future with uncertainty.
The US economy though a lot better than many economies, face some other long-term challenges. Notwithstanding the fact that many Americans have achieved economic security and some have accumulated great wealth, significant numbers -- especially unmarried mothers and their children -- continue to live in poverty. Disparities in wealth, while not as great as in some other countries, can be seen as still larger than in many. Environmental quality remains a major concern. Substantial numbers of Americans lacked health insurance. And global economic integration has brought some dislocation along with many advantages. In particular, traditional manufacturing industries have suffered setbacks, and the nation has been facing a large and seemingly irreversible deficit in its trade with other countries.
The response to the terrorist attacks of 11 September 2001 showed the remarkable resilience of the economy. Moderate recovery took place in 2002, with the GDP growth rate rising to 2.45%. A major short-term problem in first half 2002 was a sharp decline in the stock market, fueled in part by the exposure of dubious accounting practices in some major corporations.
The Iraq war in March/April 2003 shifted resources to military industries and introduced uncertainties about investment and employment in other sectors of the economy. Though, the United States will continue to be the world leader for many more years, it will have to resolve some long-term problems in order to sustain the growth. These include inadequate investment in economic infrastructure, rapidly rising medical and pension costs of an aging population, sizable trade deficits, and stagnation of family income in the lower economic groups US Trade Figures
have changed direction dramatically during the several years that the United States has been a country. In the early days of the nation's history, government and business mostly concentrated on developing the domestic economy irrespective of what went on abroad. But since the Great Depression of the 1930s and World War II, the country generally has sought to reduce trade barriers and coordinate the world economic system.
This commitment to free trade has both economic and political roots; the United States increasingly has come to see open trade as a means not only of advancing its own economic interests but also as a key to building peaceful relations among nations.
Average annual growth of population has been 1.1% from 1997 to 2003, which is still higher than other high-income countries’ figure of 0.6 %. The US economy has an edge over other rich countries as indicated by its labour force growth rate of 1.3% (1997-03), while other high income countries have less than 1% growth in workforce over these years.
However, since the end of the 20th century, a growing trade deficit has brought some ambivalence in the minds of American people about trade liberalization. The United States had experienced trade surpluses during most of the years following World War II. But oil price shocks in 1973-1974 and 1979-1980 and the global recession that followed the second oil price shock caused international trade to stagnate.
At the same time, the United States began to feel shifts in international competitiveness. By the late 1970s, many countries, particularly newly industrializing countries, were growing increasingly competitive in international export markets. South Korea, Hong Kong, Mexico, and Brazil, among others, had become efficient producers of steel, textiles, footwear, auto parts, and many other consumer products. The 2003 estimates show a current account deficit of $ 541,834 million.
CHALLENGES IN THE 21st CENTURY
Recently, the IMF has described the US current account deficit as unsustainable . The International Monetary Fund has said it could have a significant adverse effect on interest rates and global capital markets.
The American economy is observing a record-low household saving rate and a large federal fiscal deficit. Thus it is essential to support the adjustment by strong US national saving to avoid a burden falling on investment and growth, both in America and abroad.
Like many countries in the world, the United States too had been undergoing profound economic changes. A wave of technological innovations in computing, telecommunications, and the biological sciences were profoundly affecting how Americans work and play. At the same time, historical factors like collapse of communism in the Soviet Union and Eastern Europe, the growing economic strength of Western Europe, and more recently the emergence of powerful economies in Asia, expanding economic opportunities in Latin America and Africa, have had affected US economy.
The increased global integration of business and finance posed new opportunities as well as risks. All of these changes were leading people in the US to re-examine everything from how they organize their workplaces to the role of government. Perhaps as a result, many workers, while content with their current status, look to the future with uncertainty.
The US economy though a lot better than many economies, face some other long-term challenges. Notwithstanding the fact that many Americans have achieved economic security and some have accumulated great wealth, significant numbers -- especially unmarried mothers and their children -- continue to live in poverty. Disparities in wealth, while not as great as in some other countries, can be seen as still larger than in many. Environmental quality remains a major concern. Substantial numbers of Americans lacked health insurance. And global economic integration has brought some dislocation along with many advantages. In particular, traditional manufacturing industries have suffered setbacks, and the nation has been facing a large and seemingly irreversible deficit in its trade with other countries.
The response to the terrorist attacks of 11 September 2001 showed the remarkable resilience of the economy. Moderate recovery took place in 2002, with the GDP growth rate rising to 2.45%. A major short-term problem in first half 2002 was a sharp decline in the stock market, fueled in part by the exposure of dubious accounting practices in some major corporations.
The Iraq war in March/April 2003 shifted resources to military industries and introduced uncertainties about investment and employment in other sectors of the economy. Though, the United States will continue to be the world leader for many more years, it will have to resolve some long-term problems in order to sustain the growth. These include inadequate investment in economic infrastructure, rapidly rising medical and pension costs of an aging population, sizable trade deficits, and stagnation of family income in the lower economic groups US Trade Figures
The United Kingdom Import and Export
The UK Economy ranks sixth in the world in terms of export of commodities and services. The UK Economy does not lag far behind the US in terms of foreign investments. The expanding European Union as well as the large untapped markets in the developing countries are opening new avenues to earn huge financial gains and the overseas investment companies of UK are making rapid in roads into them.
A considerable amount of the food supplies necessary to meet the demands have to be imported from abroad. The UK Economy ranks fourth in the world in terms of volume of imports.
The main trading partners of UK in 2003 were European Union (more than 50%), US, Asia, Middle East, Australia Latin America and Africa.
Making improvements in the quality of life of its people, could also be one of the future challenges for the nation, as other European countries like Norway, Sweden and Switzerland are ranked above UK in terms of HDI.
Foreign Trade
However, imports have exceeded exports and the current account deficit, as on September 2004, was estimated to be US $ 15.8 billion.
Balance of Payments
The trade deficit of the UK Economy in goods and services has reduced by a smaller margin as of the third quarter of 2006, a further reduction from the earlier decreased mark (as recorded at the end of the second quarter) showing a gradual decrease. As of recent, the deficit is somewhat flat.
Balance of Payment
CHALLENGES FACING UK
Government consumption has been restricted in recent years by strict controls on public spending, but is set to rise again over the next few years as the government strives to improve deficient public services. Given the deterioration in public finances owing to disappointing tax receipts, the government's main priority is to bring changes in its fiscal rules while making good its promises on public services such as health, education and transport.
The government's longer-term priority is to implement reforms to raise the country's productivity performance (which remains below the OECD average).
Also, the UK's relations with the EU could be headed for a crisis if, as seems likely, it fails to ratify the EU constitution in a referendum in 2006.
So far, there is little or no prospect of the UK holding a referendum to join economic and monetary union over the next five years The share of GDP accounted for by gross fixed investment, typically fluctuates in a range of 16-17% of GDP.
The very low level of public investment depresses the rate of overall fixed capital formation in the UK. Thus, this is one area, which needs to be corrected.
Making improvements in the quality of life of its people, could also be one of the future challenges for the nation, as other European countries like Norway, Sweden and Switzerland are ranked above UK in terms of HDI.
A considerable amount of the food supplies necessary to meet the demands have to be imported from abroad. The UK Economy ranks fourth in the world in terms of volume of imports.
The main trading partners of UK in 2003 were European Union (more than 50%), US, Asia, Middle East, Australia Latin America and Africa.
Making improvements in the quality of life of its people, could also be one of the future challenges for the nation, as other European countries like Norway, Sweden and Switzerland are ranked above UK in terms of HDI.
Foreign Trade
However, imports have exceeded exports and the current account deficit, as on September 2004, was estimated to be US $ 15.8 billion.
Balance of Payments
The trade deficit of the UK Economy in goods and services has reduced by a smaller margin as of the third quarter of 2006, a further reduction from the earlier decreased mark (as recorded at the end of the second quarter) showing a gradual decrease. As of recent, the deficit is somewhat flat.
Balance of Payment
CHALLENGES FACING UK
Government consumption has been restricted in recent years by strict controls on public spending, but is set to rise again over the next few years as the government strives to improve deficient public services. Given the deterioration in public finances owing to disappointing tax receipts, the government's main priority is to bring changes in its fiscal rules while making good its promises on public services such as health, education and transport.
The government's longer-term priority is to implement reforms to raise the country's productivity performance (which remains below the OECD average).
Also, the UK's relations with the EU could be headed for a crisis if, as seems likely, it fails to ratify the EU constitution in a referendum in 2006.
So far, there is little or no prospect of the UK holding a referendum to join economic and monetary union over the next five years The share of GDP accounted for by gross fixed investment, typically fluctuates in a range of 16-17% of GDP.
The very low level of public investment depresses the rate of overall fixed capital formation in the UK. Thus, this is one area, which needs to be corrected.
Making improvements in the quality of life of its people, could also be one of the future challenges for the nation, as other European countries like Norway, Sweden and Switzerland are ranked above UK in terms of HDI.
Spain Trade, Exports and Imports
Spain’s trade plays a significant role in the nation’s economy, accounting for more than half of its GDP. The nation has, however, had a trade deficit persistently over the past few years, which stood at $77.5 billion in 2009, according to CIA reports. Spain’s weak trade scenario is attributable to several factors, predominantly the nation’s increasing reliance on imported petrol and decreased market competitiveness. Additionally, the steady decline of Spain exports is also attributed to the strength of the euro, since it was adopted by Spain for international trade, which has made Spanish exports more expensive.
Spain Trade, Exports and Imports: Overview
Spain’s top export and import partners are from the EU region. Key export commodities of the nation include motor vehicles, foodstuffs, medicines, machinery and pharmaceuticals. During 2009, Spain had net earnings of $215.7 billion from its exports. This represented a decline of $70.2 billion from the export earnings of 2008.
Spain’s imports were valued at $293.2 billion in 2009, which was a considerable decline from the 2008 level of $415.5 billion. The reason for such a wide gap between Spain’s exports and imports is the lack of resources in the nation, particularly oil. The nation imports a sizeable 1.813 million barrels of oil per day. Other vital import commodities of Spain are mechanical and electric machinery, and iron and steel.
Major trade partners of Spain and their share in its total trade, according to CIA reports for 2009, include:
Exports
Imports
France
18.3%
Germany
14.5%
Germany
10.6%
France
11.1%
Portugal
8.7%
Italy
7.4%
Italy
8%
China
6.2%
Spain Trade, Exports and Imports Agreements
Spain’s trade policy is similar to that of other nations of the European Union. The common weighted average tariff rate in the EU was 1.3% in 2008. The EU, however, has higher tariffs for manufacturing and agricultural products. The EU and Spanish trade policy also has several non-tariff barriers, particularly in the primary and secondary sectors, such as:
*
Subsidies and quotas
*
Import restrictions or bans on shipment of certain goods
*
Market access restrictions in certain services sectors
Other widespread issues with Spain’s trade are inconsistent customs and regulatory administration and stringent protection of intellectual property rights.
Spain Trade, Exports and Imports: Overview
Spain’s top export and import partners are from the EU region. Key export commodities of the nation include motor vehicles, foodstuffs, medicines, machinery and pharmaceuticals. During 2009, Spain had net earnings of $215.7 billion from its exports. This represented a decline of $70.2 billion from the export earnings of 2008.
Spain’s imports were valued at $293.2 billion in 2009, which was a considerable decline from the 2008 level of $415.5 billion. The reason for such a wide gap between Spain’s exports and imports is the lack of resources in the nation, particularly oil. The nation imports a sizeable 1.813 million barrels of oil per day. Other vital import commodities of Spain are mechanical and electric machinery, and iron and steel.
Major trade partners of Spain and their share in its total trade, according to CIA reports for 2009, include:
Exports
Imports
France
18.3%
Germany
14.5%
Germany
10.6%
France
11.1%
Portugal
8.7%
Italy
7.4%
Italy
8%
China
6.2%
Spain Trade, Exports and Imports Agreements
Spain’s trade policy is similar to that of other nations of the European Union. The common weighted average tariff rate in the EU was 1.3% in 2008. The EU, however, has higher tariffs for manufacturing and agricultural products. The EU and Spanish trade policy also has several non-tariff barriers, particularly in the primary and secondary sectors, such as:
*
Subsidies and quotas
*
Import restrictions or bans on shipment of certain goods
*
Market access restrictions in certain services sectors
Other widespread issues with Spain’s trade are inconsistent customs and regulatory administration and stringent protection of intellectual property rights.
South Africa Trade, Exports and Imports
South Africa’s trade, exports and imports are heavily dependent on the nation’s natural resources and the government’s highly liberal trade incentives. South Africa recorded a trade surplus of R3.7 billion in December 2009, according to the South African Revenue Service (SARS). The surplus resulted from a decrease in imports of 13.73% and a decrease in exports of 1.08%. In December, exports amounted to R45.36 billion and imports amounted to R41.69 billion resulting in a surplus of R3.67 billion. The cumulative trade deficit for 2009 was R25.84 billion. Compared to a deficit of R71.63 in 2008, this represents a decline of R45.79 billion or 64%.
South Africa Trade: Exports
South Africa’s primary export commodities include gold, diamonds, platinum, other metals and minerals, machinery and equipment. South Africa’s exports were worth $67.93 billion in 2009, down from $86.12 billion in 2008. The following chart shows the distribution of South Africa’s export partners. All data are in percentages.
South Africa’s export partners 2009
South Africa: Imports
South Africa’s primary import commodities include machinery and equipment, chemicals, petroleum products, scientific instruments, and food materials. South Africa’s imports were worth $70.24 billion in 2009, down from $90.57 billion in 2008. The following chart shows the distribution of South Africa’s import partners. All data are in percentages.
South Africa’s import partners 2009
South Africa Trade: Exchange Rates
The following graph shows South Africa’s main currency, the Rand’s (ZAR) exchange rates in comparison to the US dollar during 2005-2009.
South Africa’s currency Rand’s (ZAR) exchange rates in comparison US$ 2005-2009
South Africa Trade: Exports
South Africa’s primary export commodities include gold, diamonds, platinum, other metals and minerals, machinery and equipment. South Africa’s exports were worth $67.93 billion in 2009, down from $86.12 billion in 2008. The following chart shows the distribution of South Africa’s export partners. All data are in percentages.
South Africa’s export partners 2009
South Africa: Imports
South Africa’s primary import commodities include machinery and equipment, chemicals, petroleum products, scientific instruments, and food materials. South Africa’s imports were worth $70.24 billion in 2009, down from $90.57 billion in 2008. The following chart shows the distribution of South Africa’s import partners. All data are in percentages.
South Africa’s import partners 2009
South Africa Trade: Exchange Rates
The following graph shows South Africa’s main currency, the Rand’s (ZAR) exchange rates in comparison to the US dollar during 2005-2009.
South Africa’s currency Rand’s (ZAR) exchange rates in comparison US$ 2005-2009
Russia Trade, Exports and Imports
Rich in natural resources, Russia boats the largest natural gas reserves in the world, the second largest coal reserves and the eighth largest oil reserves. All these resources constitute a major portion of Russia’s exports. In fact, 80% of Russia’s exports constitute oil, natural gas, metals and timber. In March 2010, a customs union was inaugurated to achieve the economic reintegration of Russia with Belarus and Kazakhstan. This union aims to boost trade among the Commonwealth of Independent States (CIS) nations, make the member nations more competitive and promote investment opportunities. The new tariff system is expected to unleash a flood of imports to Russia and its union partners. It would also strengthen Russia’s trade ties with Central Asia, the Baltic States and Central and Eastern European countries.
Meanwhile, Russia’s trade with India is expected to reach $10 billion in 2010, up from $8.4 billion in 2009. According to Russian trade experts, bilateral trade with India has risen over the past couple of years due to large volume of high-tech exports. Manufacturing, energy, steel production, construction and agriculture are expected to be the prime trading sectors for 2010 and beyond.
Russia’s trade relationship with Australia is expected to improve in 2010 after a rocky 2008 and 2009. Commodities like beef are expected to be the prime trading component between the two countries. Agricultural products also are expected to dominate much of Russia’s imports from Australia.
Russia Trade: Exports and Imports
Russia’s primary export commodities include petroleum and petroleum-based products, natural gas, wood, wood products, metals, chemicals, and defense equipment. The following chart shows Russia’s breakdown of exports in 2008-2009. All data are in USD billion.
Russia’s exports in 2008-2009
The next chart shows a breakdown of Russia’s primary export partners in 2008. All data are in percentages.
Russia’s exports partners in 2008
Russia’s primary import commodities include vehicles, industrial machinery, plastics, medicines, iron and steel, consumer goods, and meat. The following chart shows Russia’s breakdown of imports 2008-2009. All data are in USD billion.
Russia’s imports in 2008-2009
Russia’s currency is Ruble (RUB). The following chart shows RUB’s exchange rate per US dollar from 2005 to 2009.
RUB’s exchange rate per US dollar 2005-2009
Meanwhile, Russia’s trade with India is expected to reach $10 billion in 2010, up from $8.4 billion in 2009. According to Russian trade experts, bilateral trade with India has risen over the past couple of years due to large volume of high-tech exports. Manufacturing, energy, steel production, construction and agriculture are expected to be the prime trading sectors for 2010 and beyond.
Russia’s trade relationship with Australia is expected to improve in 2010 after a rocky 2008 and 2009. Commodities like beef are expected to be the prime trading component between the two countries. Agricultural products also are expected to dominate much of Russia’s imports from Australia.
Russia Trade: Exports and Imports
Russia’s primary export commodities include petroleum and petroleum-based products, natural gas, wood, wood products, metals, chemicals, and defense equipment. The following chart shows Russia’s breakdown of exports in 2008-2009. All data are in USD billion.
Russia’s exports in 2008-2009
The next chart shows a breakdown of Russia’s primary export partners in 2008. All data are in percentages.
Russia’s exports partners in 2008
Russia’s primary import commodities include vehicles, industrial machinery, plastics, medicines, iron and steel, consumer goods, and meat. The following chart shows Russia’s breakdown of imports 2008-2009. All data are in USD billion.
Russia’s imports in 2008-2009
Russia’s currency is Ruble (RUB). The following chart shows RUB’s exchange rate per US dollar from 2005 to 2009.
RUB’s exchange rate per US dollar 2005-2009
Philippines Trade, Exports and Imports
Historically, the Philippines have been an important centre for commerce for centuries for its ethnic minority, namely, the Chinese who were also its first occupants. The archipelago has also been visited by Arabs and Indians for the purpose of trading in the first and early second millennium. As of 21st century, the country is member in several international trade organizations including the APEC, ASEAN and WTO. As of U.S. Department of Commerce data, in 2008, two-way U.S. merchandise trade with the Philippines stood at $17 billion.
There are significant opportunities of export promotion due to trade liberalization. However, it is important to note that the emergence of low-wage export economies and intensifying global competition are the biggest threats to the Philippines export industry. The total exports fell to $37.2 billion in 2009 from $48.2 billion 2008. The country also imported lesser goods valuing $45.8 billion in 2009 as compared to $61.14 billion 2008.
Philippines's exchange rate in Pesos/$
The Philippines Imports Commodities
The major import commodities of the Philippines are:
*
Electronic products
*
Mineral fuels
*
Machinery and transport equipment
*
Iron and steel
*
Textile fabrics
*
Grains
*
Chemicals
*
Plastic
The Philippines Imports Partners
The following graph depicts the share of various import partners of the Philippines as of 2009:
Philippines's import partners (2009)
The Philippines Exports Commodities
The major export commodities of the Philippines are:
*
Semiconductors and electronic products
*
Transport equipment
*
Garments
*
Copper products
*
Petroleum products
*
Coconut oil
*
Fruits
The Philippines Exports Partners
The following graph depicts the share of various export partners of the Philippines as of 2009:
Philippines Export partners 2009
There are significant opportunities of export promotion due to trade liberalization. However, it is important to note that the emergence of low-wage export economies and intensifying global competition are the biggest threats to the Philippines export industry. The total exports fell to $37.2 billion in 2009 from $48.2 billion 2008. The country also imported lesser goods valuing $45.8 billion in 2009 as compared to $61.14 billion 2008.
Philippines's exchange rate in Pesos/$
The Philippines Imports Commodities
The major import commodities of the Philippines are:
*
Electronic products
*
Mineral fuels
*
Machinery and transport equipment
*
Iron and steel
*
Textile fabrics
*
Grains
*
Chemicals
*
Plastic
The Philippines Imports Partners
The following graph depicts the share of various import partners of the Philippines as of 2009:
Philippines's import partners (2009)
The Philippines Exports Commodities
The major export commodities of the Philippines are:
*
Semiconductors and electronic products
*
Transport equipment
*
Garments
*
Copper products
*
Petroleum products
*
Coconut oil
*
Fruits
The Philippines Exports Partners
The following graph depicts the share of various export partners of the Philippines as of 2009:
Philippines Export partners 2009
Pakistan Trade, Exports and Imports
Pakistan’s international trade is suffering from huge amount of deficit due to low demand for its exports. Domestic political instability also accounts for trade deficit. The trade deficit stood at $9.7 billion in FY 2007 and rose to $15 billion in FY 2008. Pakistan is a member of several international organizations such as ASEAN, ECO, SAFTA, WIPO and WTO. Steps have been taken to liberalize the trade and investment regimes of the country. Due to increasing current account deficit, the trade gap range of maximum tariffs was raised from 20%-25% to the 30%-35% on 300 luxury items by Pakistani government in the 2008-09 budget. However, the growth rate of GDP dropped to 5.8% in 2008 and public and external debt indicators worsened.
The major export earnings come from textiles. The country has not been able to expand its exports in other sections due to which it has to suffered shifts in world demand. The government continues with its efforts to diversify the country’s industrial base so as to expand its exports. However, total exports fell from $21.09 billion in 2008 to $17.87 billion 2009. The total imports also reduced from $38.19 billion in 2008 to $28.31 billion in 2009.
Pakistan Exports Commodities
The major export commodities of Pakistan are:
*
Textiles (garments, bed linen, cotton cloth, yarn)
*
Rice
*
Leather goods
*
Sports goods
*
Chemicals
*
Manufactures
*
Carpets and rugs
Pakistan Exports Partners
The following graph depicts Pakistan’s export partners with percentage share as of 2008:
Pakistan’s export partners 2008
Pakistan Imports Commodities
The major import commodities of Pakistan are:
*
Petroleum
*
Petroleum products
*
Machinery
*
Plastics
*
Transportation equipment
*
Edible oils
*
Paper and paperboard
*
Iron and steel
*
Tea
Pakistan Imports Partners
The following graph depicts Pakistan’s import partners with percentage share as of 2008:
Pakistan’s import partners 2008
The major export earnings come from textiles. The country has not been able to expand its exports in other sections due to which it has to suffered shifts in world demand. The government continues with its efforts to diversify the country’s industrial base so as to expand its exports. However, total exports fell from $21.09 billion in 2008 to $17.87 billion 2009. The total imports also reduced from $38.19 billion in 2008 to $28.31 billion in 2009.
Pakistan Exports Commodities
The major export commodities of Pakistan are:
*
Textiles (garments, bed linen, cotton cloth, yarn)
*
Rice
*
Leather goods
*
Sports goods
*
Chemicals
*
Manufactures
*
Carpets and rugs
Pakistan Exports Partners
The following graph depicts Pakistan’s export partners with percentage share as of 2008:
Pakistan’s export partners 2008
Pakistan Imports Commodities
The major import commodities of Pakistan are:
*
Petroleum
*
Petroleum products
*
Machinery
*
Plastics
*
Transportation equipment
*
Edible oils
*
Paper and paperboard
*
Iron and steel
*
Tea
Pakistan Imports Partners
The following graph depicts Pakistan’s import partners with percentage share as of 2008:
Pakistan’s import partners 2008
Nigeria Trade, Exports and Imports
Nigeria's trade relations revolve around the oil and natural gas sectors. After the economic reforms of 2005, the government is making efforts to diversify its export profile beyond the oil sector, such as minerals and agricultural products.
Nigeria Trade: Exports
Oil and natural gas are the most important export products for Nigerian trade. The country exports approximately 2.327 million barrels per day, according to the 2007 figures. In terms of total oil exports, Nigeria ranks 8th in the world. As of 2009, Nigeria has approximately 36.2 billion barrel oil reserves. Despite large scale liberalization efforts, this sector is under close check of the government agencies. Nigerian National Oil Corporation (NNOC) is the regulatory body for the oil and natural gas sector.
Prior to oil production, which surged after the 1970s, agricultural production was the largest export sector for Nigeria. After the country became a largely oil-intensive economy, the agriculture sector took a back seat. However, it still provides employment to almost 70% of the total working population.
According to the 2009 figures, the country’s total export volumes stand at US$45.43 billion. Major items of export are oil products, cocoa and timber. The UK and the US are the largest trade partners for Nigerian exports.
Nigeria's Export Volume 2003-2009
Nigeria Trade: Imports
Due to high international oil prices, Nigeria’s import trade is able to balance export revenue. According to the 2009 figures, the country's imports grossed over US$42.1 billion. Machinery, heavy equipments, consumer goods and food products are the major imports. A large portion of the imports arrive from the EU, particularly the Netherlands, the UK, France and Germany. China, the US and South Korea are also major import trade partners.
Nigeria's Import Volume 2003-2009
After 2005, Nigeria has fostered trade relations with emerging economies, such as India, China and South Korea. After the US, India is the second largest exporter of Nigerian oil.
Nigeria Trade: Exports
Oil and natural gas are the most important export products for Nigerian trade. The country exports approximately 2.327 million barrels per day, according to the 2007 figures. In terms of total oil exports, Nigeria ranks 8th in the world. As of 2009, Nigeria has approximately 36.2 billion barrel oil reserves. Despite large scale liberalization efforts, this sector is under close check of the government agencies. Nigerian National Oil Corporation (NNOC) is the regulatory body for the oil and natural gas sector.
Prior to oil production, which surged after the 1970s, agricultural production was the largest export sector for Nigeria. After the country became a largely oil-intensive economy, the agriculture sector took a back seat. However, it still provides employment to almost 70% of the total working population.
According to the 2009 figures, the country’s total export volumes stand at US$45.43 billion. Major items of export are oil products, cocoa and timber. The UK and the US are the largest trade partners for Nigerian exports.
Nigeria's Export Volume 2003-2009
Nigeria Trade: Imports
Due to high international oil prices, Nigeria’s import trade is able to balance export revenue. According to the 2009 figures, the country's imports grossed over US$42.1 billion. Machinery, heavy equipments, consumer goods and food products are the major imports. A large portion of the imports arrive from the EU, particularly the Netherlands, the UK, France and Germany. China, the US and South Korea are also major import trade partners.
Nigeria's Import Volume 2003-2009
After 2005, Nigeria has fostered trade relations with emerging economies, such as India, China and South Korea. After the US, India is the second largest exporter of Nigerian oil.
NAFTA - North American Free Trade Agreement, NAFTA Trade, NAFTA Import, NAFTA export
The NAFTA was framed on January, 1994. The three countries, namely, Mexico, Canada and the United States of America entered into the NAFTA or the North American Free Trade Agreement to form the biggest free trade zone in the world. NAFTA or North American Free Trade Agreement, has propelled growth in the economy of the three member nations since the year 1994. NAFTA has also led to the increase in the standards of living of the people of its member nations.
Implementing NAFTA has ensured removal of several obstacles with regard to investment and trade in the Canada, Mexico and United States of America.
Effects of implementing the NAFTA:
Agriculture sector:
# Non tariff obstacles pertaining to trade in agriculture between Mexico and United States of America were dissolved. In addition to this, there were other tariffs, which faced removal soon after its implementation.
# It has also been anticipated that majority of the agricultural provisions are likely to be brought into force by the year 2008.
# Agricultural provisions of United States-Canada Free Trade Agreement, which was in force since the year 1989, was included in NAFTA.
Effect of NAFTA on investment:
Implementation of NAFTA, influenced investments in a positive manner. The data given below shows the investment trend with regard to Canada. The other two member partners also registered a healthy growth in investment.
Since the year 1994, stock of FDI or foreign direct investment in Canada has been approximately, USD279 billion(yearly). In the year 2005, the overall foreign direct investment in Canada was USD415 billion. Foreign direct investment by United States of America in Canada escalated to approximately, USD266 billion in the year 2005. Conversely, direct investment by Canada in other NAFTA member nations also showed an increase and attained the USD$213.7 billion mark in USA and USD3.14 billion in its other member nation- Mexico.
Implementing NAFTA has ensured removal of several obstacles with regard to investment and trade in the Canada, Mexico and United States of America.
Effects of implementing the NAFTA:
Agriculture sector:
# Non tariff obstacles pertaining to trade in agriculture between Mexico and United States of America were dissolved. In addition to this, there were other tariffs, which faced removal soon after its implementation.
# It has also been anticipated that majority of the agricultural provisions are likely to be brought into force by the year 2008.
# Agricultural provisions of United States-Canada Free Trade Agreement, which was in force since the year 1989, was included in NAFTA.
Effect of NAFTA on investment:
Implementation of NAFTA, influenced investments in a positive manner. The data given below shows the investment trend with regard to Canada. The other two member partners also registered a healthy growth in investment.
Since the year 1994, stock of FDI or foreign direct investment in Canada has been approximately, USD279 billion(yearly). In the year 2005, the overall foreign direct investment in Canada was USD415 billion. Foreign direct investment by United States of America in Canada escalated to approximately, USD266 billion in the year 2005. Conversely, direct investment by Canada in other NAFTA member nations also showed an increase and attained the USD$213.7 billion mark in USA and USD3.14 billion in its other member nation- Mexico.
Mexico Trade, Mexico Exports, Mexico Imports
Mexico is the world’s 11th largest economy. It is known for being a free trade economy that is heavily geared towards exports. Mexico’s trade is based on free trade agreements with more than 40 countries, including Japan, Israel, EU and various Central and South American countries.
Mexico Trade: Exports & Imports under NAFTA
Mexico’s main free trade agreement involves a trilateral trade bloc between Mexico, the United States and Canada. This agreement came into force in 1994 and immediately brought about the elimination of tariffs on more than half the goods imported into the US from Mexico and roughly one third of all goods exported to Mexico from the US. The ultimate aim of the agreement is to completely eliminate US-Mexico trade tariffs within a period of 10-15 years. Meanwhile, the agreement also accounts for 50% of all Mexican exports and 45% of its imports.
The countries that Mexico imports from include:
*
United States: 44.3%
*
China 5.5%
*
Japan: 4.1%
*
South Korea: 5.3%
*
Brazil: 31.5%
*
Chile: 9.3%
*
Oil is Mexico’s main export and the largest generator of foreign income in the country. Mexico is the sixth largest oil producing country in the world, producing 3.7 million barrels daily. In fact, the production of oil is regulated by the Mexican government with private companies handling the production and shipping of oil.
Besides oil, Mexico exports the following goods to other countries:
*
Electronics
*
Automobiles
*
Aircraft
*
Silver
*
Computers
*
Fruits
*
Processed foods
*
Vegetables
*
Ships
*
Coffee
*
Electricity
*
Biotechnology
*
Cotton
*
Cellular phones
*
Metals
*
Industrial equipment
*
Firearms
*
Aluminum
*
Information technologies
*
Silicone
*
Gold
Automobile exports from Mexico are another main revenue earner for the country. Many major automobile manufacturers are located in the country, such as General Motors, Ford, Chrysler (who have been in Mexico since before the Second World War), along with Volkswagen, Nissan, Honda, Mercedes-Benz and BMW. With an infrastructure that can support R&D, as well as manufacture of components and ancillary industries, many
Mexico Trade: Exports & Imports under NAFTA
Mexico’s main free trade agreement involves a trilateral trade bloc between Mexico, the United States and Canada. This agreement came into force in 1994 and immediately brought about the elimination of tariffs on more than half the goods imported into the US from Mexico and roughly one third of all goods exported to Mexico from the US. The ultimate aim of the agreement is to completely eliminate US-Mexico trade tariffs within a period of 10-15 years. Meanwhile, the agreement also accounts for 50% of all Mexican exports and 45% of its imports.
The countries that Mexico imports from include:
*
United States: 44.3%
*
China 5.5%
*
Japan: 4.1%
*
South Korea: 5.3%
*
Brazil: 31.5%
*
Chile: 9.3%
*
Oil is Mexico’s main export and the largest generator of foreign income in the country. Mexico is the sixth largest oil producing country in the world, producing 3.7 million barrels daily. In fact, the production of oil is regulated by the Mexican government with private companies handling the production and shipping of oil.
Besides oil, Mexico exports the following goods to other countries:
*
Electronics
*
Automobiles
*
Aircraft
*
Silver
*
Computers
*
Fruits
*
Processed foods
*
Vegetables
*
Ships
*
Coffee
*
Electricity
*
Biotechnology
*
Cotton
*
Cellular phones
*
Metals
*
Industrial equipment
*
Firearms
*
Aluminum
*
Information technologies
*
Silicone
*
Gold
Automobile exports from Mexico are another main revenue earner for the country. Many major automobile manufacturers are located in the country, such as General Motors, Ford, Chrysler (who have been in Mexico since before the Second World War), along with Volkswagen, Nissan, Honda, Mercedes-Benz and BMW. With an infrastructure that can support R&D, as well as manufacture of components and ancillary industries, many
Malaysia Trade, Exports and Imports
Southeast Asia, particularly Malaysia, has been a trade hub for centuries. Since the beginning of history, Malacca has served as a fundamental regional commercial center for Chinese, Indian, Arab and Malay merchants for trade of precious goods. Today, Malaysia shares healthy trade relations with a number of countries, specifically the US. The country is associated with trade organizations, such as APEC, ASEAN and WTO. The ASEAN Free Trade Area that was established for trade promotion among ASEAN members also has Malaysia as its founding member. Malaysia has also signed Free Trade Agreements with countries including Japan, Pakistan, China and New Zealand.
Malaysia was once the world’s largest producer of tin, rubber and palm oil. Its manufacturing sector has a crucial role in its economic growth. The export industry was hit hard during the late 2000 economic recession drastically dropping to 78% i.e. FDI to RM4.2 billion in the first two quarters of 2009. Total exports fell down to $156.4 billion in 2009 from $198.7 billion in 2008. The imports also reduced from 154.7 billion in 2008 to $119.5 billion 2009.
Malaysia Exports Commodities
Malaysia mainly exports the following commodities:
*
Electronic equipment
*
Petroleum and liquefied natural gas
*
Wood and wood products
*
Palm oil
*
Rubber
*
Textiles
*
Chemicals
Malaysia Exports Partners
The following graph depicts the shares of various export partners of Malaysia:
Malaysia's Export Partners
Malaysia Imports Commodities
Malaysia mainly imports the following commodities:
*
Electronics
*
Machinery
*
Petroleum products
*
Plastics
*
Vehicles
*
Iron and steel products
*
Chemicals
Malaysia Imports Partners
The following graph depicts the share of various import partners of Malaysia:
Malaysia's Import Partners
Malaysia was once the world’s largest producer of tin, rubber and palm oil. Its manufacturing sector has a crucial role in its economic growth. The export industry was hit hard during the late 2000 economic recession drastically dropping to 78% i.e. FDI to RM4.2 billion in the first two quarters of 2009. Total exports fell down to $156.4 billion in 2009 from $198.7 billion in 2008. The imports also reduced from 154.7 billion in 2008 to $119.5 billion 2009.
Malaysia Exports Commodities
Malaysia mainly exports the following commodities:
*
Electronic equipment
*
Petroleum and liquefied natural gas
*
Wood and wood products
*
Palm oil
*
Rubber
*
Textiles
*
Chemicals
Malaysia Exports Partners
The following graph depicts the shares of various export partners of Malaysia:
Malaysia's Export Partners
Malaysia Imports Commodities
Malaysia mainly imports the following commodities:
*
Electronics
*
Machinery
*
Petroleum products
*
Plastics
*
Vehicles
*
Iron and steel products
*
Chemicals
Malaysia Imports Partners
The following graph depicts the share of various import partners of Malaysia:
Malaysia's Import Partners
Japan Trade, Exports and Imports
Japan’s economy can be characterized as highly industrialized and a free market economy. The nation plays a competitive role in international trade, although productivity is quite low in protected areas, including agriculture, services and distribution. Japan is a member of international trade organizations such as the APEC, WTO, OECD, G-20 and G8, among others. The economy leverages heavily on its well-educated and well-trained workforce, pool of technicians, vast industrial development, foreign trade and high savings and investment rates. Japan relies on trade to fulfill its requirements for natural resources, especially raw material and fuel. It is worth noting that there has not been any direct intervention from Japan to buy currency since 2005, since the yen carry trade has been performing well. Between 2001 and 2006, Japan’s international trade saw an expansion of 60% from ¥91.4 trillion to ¥142.6 trillion. Japan shares an increasingly independent, mature and strong bilateral economic relationship with the US.
Japan’s international trade was hit hard by the global economic downturn of the late 2000s. There was sharp decline of 30.8% in exports to $516.3 billion in 2009, from $746.5 billion in 2008. Japan also imported lesser products in 2009 ($490.6 billion) as compared to 2008 ($708.3 billion).
Japan Exports: Commodities
The primary export items of Japan are as follows:
*
Transport equipment
*
Motor vehicles
*
Semiconductors
*
Electrical machinery
*
Chemicals
*
Oil (268,300 bbl/day (2008 est.)
Japan Exports: Partners
The following graph highlights the export markets of Japan, as of 2008:
Japan's export Partner's 2008
Japan Imports: Commodities
The primary import items of Japan are as follows:
*
Machinery and equipment
*
Fuels
*
Foodstuffs
*
Chemicals
*
Textiles
*
Raw materials
*
Oil: 5.263 million bbl/day (2008 est.)
*
Natural gas :95.39 billion cu m (2008 est.)
Japan’s international trade was hit hard by the global economic downturn of the late 2000s. There was sharp decline of 30.8% in exports to $516.3 billion in 2009, from $746.5 billion in 2008. Japan also imported lesser products in 2009 ($490.6 billion) as compared to 2008 ($708.3 billion).
Japan Exports: Commodities
The primary export items of Japan are as follows:
*
Transport equipment
*
Motor vehicles
*
Semiconductors
*
Electrical machinery
*
Chemicals
*
Oil (268,300 bbl/day (2008 est.)
Japan Exports: Partners
The following graph highlights the export markets of Japan, as of 2008:
Japan's export Partner's 2008
Japan Imports: Commodities
The primary import items of Japan are as follows:
*
Machinery and equipment
*
Fuels
*
Foodstuffs
*
Chemicals
*
Textiles
*
Raw materials
*
Oil: 5.263 million bbl/day (2008 est.)
*
Natural gas :95.39 billion cu m (2008 est.)
Italy Trade, Exports and Imports
Italy trade is dominated by automobiles and machineries. As the country is challenged by mountainous land, cultivation is not possible. Based on the same reason, the Italian trade depends on mostly on the manufacturing sector. World over, Italy’s famous brands such as Armani, Valentino, Versace, Benetton, Prada, FIAT, Lancia, Alfa Romeo, Maserati and Lamborghini have already created their niche in the global trade scene.
Italy Trade: Exports
Recession decreases the global trade volume significantly and Italy was no exception. Its exports volume decreased from $546.9 billion (2008) to $369 billion in 2009. However, even with such a huge decline, the country remained relatively stronger and ranked 8th in the world in terms of the exports volume.
The main exported commodities include:
*
Engineering products
*
Textiles and clothing
*
Production machinery
*
Motor vehicles
*
Transport equipment
*
Chemicals
*
Food
*
Beverages and tobacco
*
Minerals and nonferrous metals
Italy’s main export partners are:
*
Germany
*
France
*
Spain
*
US
*
UK
The graph below shows how the different partners contributed to the total volume (in percentage):
Italy: Import Partners, 2009
Italy Trade: Imports
The imports dipped as well with the recession marred years. The figures dropped from $546.9 billion of 2008 to $358.7 billion in 2009. The country again ranked 9th in terms of imports volumes.
Italy imports the following commodities:
*
Engineering products
*
Chemicals
*
Transport equipment
*
Energy products
*
Minerals and nonferrous metals
*
Textiles and clothing
*
Food
*
Beverages
*
Tobacco
Italy’s main imports partners are:
*
Germany
*
France
*
China
*
Netherlands
*
Libya
*
Russia
Italy Trade: Energy Export
Italy has a high volume of energy production in its industry sector. For the same reason, it is able to export around 3.431 billion kWh of electricity and 667,100 bbl/day of oil. Italy exports around 210 million cu m of natural gas as well. Through such increase in the energy production, Italy’s trade balance has come down from $78.03 billion to $55.44 billion in 2009.
Italy Trade: Exports
Recession decreases the global trade volume significantly and Italy was no exception. Its exports volume decreased from $546.9 billion (2008) to $369 billion in 2009. However, even with such a huge decline, the country remained relatively stronger and ranked 8th in the world in terms of the exports volume.
The main exported commodities include:
*
Engineering products
*
Textiles and clothing
*
Production machinery
*
Motor vehicles
*
Transport equipment
*
Chemicals
*
Food
*
Beverages and tobacco
*
Minerals and nonferrous metals
Italy’s main export partners are:
*
Germany
*
France
*
Spain
*
US
*
UK
The graph below shows how the different partners contributed to the total volume (in percentage):
Italy: Import Partners, 2009
Italy Trade: Imports
The imports dipped as well with the recession marred years. The figures dropped from $546.9 billion of 2008 to $358.7 billion in 2009. The country again ranked 9th in terms of imports volumes.
Italy imports the following commodities:
*
Engineering products
*
Chemicals
*
Transport equipment
*
Energy products
*
Minerals and nonferrous metals
*
Textiles and clothing
*
Food
*
Beverages
*
Tobacco
Italy’s main imports partners are:
*
Germany
*
France
*
China
*
Netherlands
*
Libya
*
Russia
Italy Trade: Energy Export
Italy has a high volume of energy production in its industry sector. For the same reason, it is able to export around 3.431 billion kWh of electricity and 667,100 bbl/day of oil. Italy exports around 210 million cu m of natural gas as well. Through such increase in the energy production, Italy’s trade balance has come down from $78.03 billion to $55.44 billion in 2009.
Ireland Trade, Ireland Exports, Ireland Imports
Helped by trade and attractive policies, Ireland’s economy has made the intelligent transition from an agriculture based economy to a more trade based one. Although Ireland’s trade, especially the export sector, remains dominated by foreign multinationals, exports contribute significantly to the national income.
Ireland Trade: Exports
Ireland’s trade has been the reason for the nation’s prosperity. Although the recession devalued the sterling and forced the government to implement various strategies, foreign companies, such as Apple, Microsoft, IBM, Oracle, Google, eBay, Pfizer, Cadbury-Schweppes, Dell and Intel, have kept the exports alive through their wide range of products.
In 2009, the Irish export volume went down to $107.3 billion, from $119.8 billion in 2008. The main exported commodities were:
*
Machinery and equipment
*
Computers
*
Chemicals
*
Pharmaceuticals
*
Live animals
*
Animal products
Ireland’s exports partners include
*
US
*
UK
*
Belgium
*
Germany
*
France
*
Spain
Ireland: Exports Partners 2009
Ireland imports a huge amount of wood because its own timber industry has subsided due to deforestation and industrial set ups. Recession and the weakening sterling threw up challenges for Irish food and dairy products. The value of Irish exports, especially in the food and beverage segment, dropped significantly with the figures falling by 12% to stand at €7.12 billion, in comparison to the 2008 exports of €8.12 billion.
Ireland Trade: Exports
Ireland’s trade has been the reason for the nation’s prosperity. Although the recession devalued the sterling and forced the government to implement various strategies, foreign companies, such as Apple, Microsoft, IBM, Oracle, Google, eBay, Pfizer, Cadbury-Schweppes, Dell and Intel, have kept the exports alive through their wide range of products.
In 2009, the Irish export volume went down to $107.3 billion, from $119.8 billion in 2008. The main exported commodities were:
*
Machinery and equipment
*
Computers
*
Chemicals
*
Pharmaceuticals
*
Live animals
*
Animal products
Ireland’s exports partners include
*
US
*
UK
*
Belgium
*
Germany
*
France
*
Spain
Ireland: Exports Partners 2009
Ireland imports a huge amount of wood because its own timber industry has subsided due to deforestation and industrial set ups. Recession and the weakening sterling threw up challenges for Irish food and dairy products. The value of Irish exports, especially in the food and beverage segment, dropped significantly with the figures falling by 12% to stand at €7.12 billion, in comparison to the 2008 exports of €8.12 billion.
Iraq Trade, Exports and Imports
Iraq is a member of the Organization of the Petroleum Exporting Countries (OPEC), an international trade organization. Subsequent to its invasion of Kuwait, the country was barred from exporting anything but oil, from 1990 to 2003. This was done by the United Nations (UN) under the Oil-for-Food program. Iraq was allowed to use the proceeds for importing materials of civilian needs, including food, medicine, and infrastructure-repair parts. The export of oil accounted for US$7.4 billion of the total exports in 2003.
Since the lifting of the UN sanctions in 2003, Iraq has been attempting to further trade relations with the US and the international trade community. During this period, Iraq made enormous imports including food, fuels, medicines, and manufactured goods. In 2004, the nation was given the designation of abeneficiary developing country by the UN under the Generalized System of Preferences (GSP) program. In 2007 and 2008, Iraq participated in the two Working Party meetings to promote its WTO accession. This was required to bring its trade regime at par with the multilateral international trade system. The total exports of Iraq dropped to $37.89 billion in 2009 from the previous year’s $58.81 billion. Oils exports in 2009 amounted to 1.9 million bbl/day in 2008. The total imports of Iraq in 2009 also decreased to $35.77 billion, as compared to $37.22 billion in year 2008.
Iraq Trade: Exchange Rates
The following graph shows exchange rates of Iraqi dinars (IQD) per US dollar:
Exchange rates of Iraqi dinars (IQD) per US dollar
Iraq Exports: Commodities
Some main export products of Iraq are:
*
Crude oil 84%
*
Crude materials excluding fuels 8%
*
Food and live animals 5%
Iraq Exports: Partners
The major export partners of Iraq (as of 2008) are as follows:
*
South Korea 7.1%
*
India 12.2%
*
Italy 9.8%
*
US 38.6%
Iraq Imports: Commodities
Some of the main import products of Iraq are:
*
Food
*
Medicine
*
Manufactures
Iraq Imports: Partners
The major import partners of Iraq (as of 2008) are as follows:
*
China 6%
*
Jordan 6.4%
*
US 10.6%
*
Turkey 19.6%
*
Syria 26.2%
Since the lifting of the UN sanctions in 2003, Iraq has been attempting to further trade relations with the US and the international trade community. During this period, Iraq made enormous imports including food, fuels, medicines, and manufactured goods. In 2004, the nation was given the designation of abeneficiary developing country by the UN under the Generalized System of Preferences (GSP) program. In 2007 and 2008, Iraq participated in the two Working Party meetings to promote its WTO accession. This was required to bring its trade regime at par with the multilateral international trade system. The total exports of Iraq dropped to $37.89 billion in 2009 from the previous year’s $58.81 billion. Oils exports in 2009 amounted to 1.9 million bbl/day in 2008. The total imports of Iraq in 2009 also decreased to $35.77 billion, as compared to $37.22 billion in year 2008.
Iraq Trade: Exchange Rates
The following graph shows exchange rates of Iraqi dinars (IQD) per US dollar:
Exchange rates of Iraqi dinars (IQD) per US dollar
Iraq Exports: Commodities
Some main export products of Iraq are:
*
Crude oil 84%
*
Crude materials excluding fuels 8%
*
Food and live animals 5%
Iraq Exports: Partners
The major export partners of Iraq (as of 2008) are as follows:
*
South Korea 7.1%
*
India 12.2%
*
Italy 9.8%
*
US 38.6%
Iraq Imports: Commodities
Some of the main import products of Iraq are:
*
Food
*
Medicine
*
Manufactures
Iraq Imports: Partners
The major import partners of Iraq (as of 2008) are as follows:
*
China 6%
*
Jordan 6.4%
*
US 10.6%
*
Turkey 19.6%
*
Syria 26.2%
India's Trade, Exports and Imports
Having been an agro-based economy, Indian trade has always been devoid of manufactured or industrial goods. Post liberalisation, imports dominated the Indian trade scene in the form of heavy machinery and information technology products and, thus, created an imbalance of trade.
India Trade: Exports
Indian trade was impacted by the global recession of 2007-2009. Indian exports fell from $200.9 billion in 2008 to $165 billion in 2009. India ranked 22nd in the world in terms of export volume.
Being a country with a huge workforce, India has seen its trade being boosted by the production of precious stones and metals. The various other export commodities that India exports are:
*
Petroleum products
*
Machinery
*
Iron and steel
*
Chemicals
*
Vehicles
*
Apparel
India’s main export partners are:
*
UAE
*
US
*
China
*
Singapore
The following graph shows how the above countries have contributed to the total volume:
India: Export Partners, 2009
Indian trade has undergone massive restructuring following the 1991 liberalisation policies. Ever since, India’s exports have experienced a growth rate of 18.11%. The big surprise has been the import sector that has experienced a growth rate of 34.30%.
India Trade: Imports
The Indian economy is headed towards becoming a developed economy and all its sectors are in need of machinery and energy. Therefore, Indian imports are dominated by crude oil and machines. Other imported commodities are:
* Precious stones
* Fertilizer
* Iron and steel
* Gold & Silver
* Electronic Goods
* Machinery other than Electrical
* Organic & Inorganic Chemicals
* Metalliferous Ores & Products
* Coal
* Transport Equipment
In 2009, total imports amounted to $253.9 billion, down from the 2008 figure of $322.3 billion. India ranked fifteenth in the world in terms of import volume.
India’s import partners are:
* China 10.8%
* Saudi Arabia 6.9%
* US 6.7%U
* AE 6.7%
* Iran 4.2%
The graph below shows how the above countries have contributed to total import volume:
India: Import Partners, 2009
Indian trade has undergone massive restructuring following the 1991 liberalisation policies. Ever since, India’s exports have experienced a growth rate of 18.11%. The big surprise has been the import sector that has experienced a growth rate of 34.30%.
India Trade: Exports
Indian trade was impacted by the global recession of 2007-2009. Indian exports fell from $200.9 billion in 2008 to $165 billion in 2009. India ranked 22nd in the world in terms of export volume.
Being a country with a huge workforce, India has seen its trade being boosted by the production of precious stones and metals. The various other export commodities that India exports are:
*
Petroleum products
*
Machinery
*
Iron and steel
*
Chemicals
*
Vehicles
*
Apparel
India’s main export partners are:
*
UAE
*
US
*
China
*
Singapore
The following graph shows how the above countries have contributed to the total volume:
India: Export Partners, 2009
Indian trade has undergone massive restructuring following the 1991 liberalisation policies. Ever since, India’s exports have experienced a growth rate of 18.11%. The big surprise has been the import sector that has experienced a growth rate of 34.30%.
India Trade: Imports
The Indian economy is headed towards becoming a developed economy and all its sectors are in need of machinery and energy. Therefore, Indian imports are dominated by crude oil and machines. Other imported commodities are:
* Precious stones
* Fertilizer
* Iron and steel
* Gold & Silver
* Electronic Goods
* Machinery other than Electrical
* Organic & Inorganic Chemicals
* Metalliferous Ores & Products
* Coal
* Transport Equipment
In 2009, total imports amounted to $253.9 billion, down from the 2008 figure of $322.3 billion. India ranked fifteenth in the world in terms of import volume.
India’s import partners are:
* China 10.8%
* Saudi Arabia 6.9%
* US 6.7%U
* AE 6.7%
* Iran 4.2%
The graph below shows how the above countries have contributed to total import volume:
India: Import Partners, 2009
Indian trade has undergone massive restructuring following the 1991 liberalisation policies. Ever since, India’s exports have experienced a growth rate of 18.11%. The big surprise has been the import sector that has experienced a growth rate of 34.30%.
Global Trade
Global trade is the exchange of raw materials, goods and services across the geographical borders of countries across the globe. Foreign trade got its first impetus from the industrial revolution in the late eighteenth and early nineteenth century. Rapid development in transportation facilities resulted in a surge in international trade in the twentieth century. Today, international trade has taken the form of outsourcing and multinational companies (companies that have a presence in several countries).
The History of World Trade
World trade was prevalent much before the formation of nation states. Some important examples of ancient long distance trade are:
* The Egyptians imported spices from Arabia and the ‘Land of Punt’ (present day Somalia).
* The Ptolemaic dynasty, which ruled in Egypt from 305 BC to 30 BC, traded with India.
* Arabian vessels were used to transport Indian goods to Aden.
* Chinese goods made their way to India, Persia and Rome through the silk route.
From the eighteenth century, industrialization and colonization went hand in hand. The European nations increased their political power through trade. They exploited trading opportunities in eastern countries like India.
Present Global Trade Scenario
There was a dramatic rise in world trade volumes in the twentieth century. While in 1928, world exports amounted to US$31.7 billion, this figure had risen to US$4,215,000.2 billion by 1994. Studies conducted by the UNCTAD in 1994 show that trade in commercial services rose much faster than merchandise trade between 1970 and 1990.
The G-7 group, comprising of the US, France, Germany, the UK, Italy, Japan and Canada, has always commanded a dominant position in world trade. Gradually the significance of certain Asia Pacific nations, such as China, Singapore, India, Hong Kong, Taiwan and Korea, has risen.
World Trade Organization
The World Trade Organization (WTO) is the most powerful body for controlling the dynamics of global trade. It has the power to enforce its rules through sanctions and helps in the formulation of trade agreements between various countries. It also oversees that agreement terms are adhered to by the participating countries and resolves disputes.
International Trade Models
The theory of international trade and its possible effects can be explained with the help of the following models:
Absolute Advantage Theory
Country A is said to have absolute advantage over country B if it can produce commodity C with lower cost of resources than Country B. On the other hand Country B can have an absolute advantage over country A in the production of commodity D. In this case the countries A and B would benefit by trade. Adam Smith put forward his theory of absolute advantage.
Comparative Advantage Theory
According to this theory a country would produce and specialize in those commodities in which it has comparative advantage in terms of resources. The relative factor endowments in a country play a vital role to govern the pattern of trade.
Heckscher-Ohlin Model
According to this theory a country will export that good which utilizes its abundant its factor of production more intensively. Conversely, the country will import goods that utilize factors of production that re locally less abundant in nature. Hence we see that variation in the factor endowments play a key role in the pattern of international trade in the case of the Heckscher-Ohlin Model.
On testing this theory empirically Wasily Leotieff found that this theory might not hold true always. For instance United States was found to export commodities that were labor intensive although it was a capital abundant country itself. This phenomenon was termed as the Leontief Paradox.
Specific Factors Model
This model assumes labor to be mobile but capital fixed in the short run. According to this model if the price of a commodity increases then the producer of that used the specific factor to produce the good would profit. The model is most suited for particular types of industries.
Gravity Model
According to this model the distance between the countries would influence the pattern of trade. Econometric findings have also supported this assumption.
The History of World Trade
World trade was prevalent much before the formation of nation states. Some important examples of ancient long distance trade are:
* The Egyptians imported spices from Arabia and the ‘Land of Punt’ (present day Somalia).
* The Ptolemaic dynasty, which ruled in Egypt from 305 BC to 30 BC, traded with India.
* Arabian vessels were used to transport Indian goods to Aden.
* Chinese goods made their way to India, Persia and Rome through the silk route.
From the eighteenth century, industrialization and colonization went hand in hand. The European nations increased their political power through trade. They exploited trading opportunities in eastern countries like India.
Present Global Trade Scenario
There was a dramatic rise in world trade volumes in the twentieth century. While in 1928, world exports amounted to US$31.7 billion, this figure had risen to US$4,215,000.2 billion by 1994. Studies conducted by the UNCTAD in 1994 show that trade in commercial services rose much faster than merchandise trade between 1970 and 1990.
The G-7 group, comprising of the US, France, Germany, the UK, Italy, Japan and Canada, has always commanded a dominant position in world trade. Gradually the significance of certain Asia Pacific nations, such as China, Singapore, India, Hong Kong, Taiwan and Korea, has risen.
World Trade Organization
The World Trade Organization (WTO) is the most powerful body for controlling the dynamics of global trade. It has the power to enforce its rules through sanctions and helps in the formulation of trade agreements between various countries. It also oversees that agreement terms are adhered to by the participating countries and resolves disputes.
International Trade Models
The theory of international trade and its possible effects can be explained with the help of the following models:
Absolute Advantage Theory
Country A is said to have absolute advantage over country B if it can produce commodity C with lower cost of resources than Country B. On the other hand Country B can have an absolute advantage over country A in the production of commodity D. In this case the countries A and B would benefit by trade. Adam Smith put forward his theory of absolute advantage.
Comparative Advantage Theory
According to this theory a country would produce and specialize in those commodities in which it has comparative advantage in terms of resources. The relative factor endowments in a country play a vital role to govern the pattern of trade.
Heckscher-Ohlin Model
According to this theory a country will export that good which utilizes its abundant its factor of production more intensively. Conversely, the country will import goods that utilize factors of production that re locally less abundant in nature. Hence we see that variation in the factor endowments play a key role in the pattern of international trade in the case of the Heckscher-Ohlin Model.
On testing this theory empirically Wasily Leotieff found that this theory might not hold true always. For instance United States was found to export commodities that were labor intensive although it was a capital abundant country itself. This phenomenon was termed as the Leontief Paradox.
Specific Factors Model
This model assumes labor to be mobile but capital fixed in the short run. According to this model if the price of a commodity increases then the producer of that used the specific factor to produce the good would profit. The model is most suited for particular types of industries.
Gravity Model
According to this model the distance between the countries would influence the pattern of trade. Econometric findings have also supported this assumption.
Germany Trade, Germany Exports, Germany Imports
Germany has been one of the most active trading countries in the world. Its trading relationship spans almost all the major trading countries in Europe and around the world. For these reasons, Germany trade remains the largest in European Union and in the top 5 countries in the world for its trade volumes. Germany’s trade is further helped by its innovation in solar power research and development. In fact, Germany is the largest producer of wind turbines and solar power technology.
Germany Trade, Exports and Imports
In 2009, Germany exports were $1.187 trillion. The amount was lower than the previous year’s figures of $1.498 trillion. The country ranked 3rd in the world in exports and continues to prove its strength as the world top economy.
Germany’s main exported commodities are:
*
Machinery
*
Vehicles
*
Chemicals
*
Metals and manufactures
*
Foodstuffs
*
Textiles
The main export partners of Germany are:
*
France
*
US
*
Netherlands
*
UK
*
Italy
*
Austria
*
Belgium
*
Spain
*
Poland
Germany imports amounted to $1.022 trillion in 2009 and ranked 3rd in the world. The figures, understandably, were low due to recession. In 2008, the figures amounted to $1.232 trillion.
Germany’s main imported commodities are:
*
Machinery
*
Vehicles
*
Chemicals
*
Foodstuffs
*
Textiles
*
Metals
Germany’s main import partners are:
*
Netherlands
*
France
*
Belgium
*
China
*
Italy
*
UK
*
Russia
*
Austria
*
US
*
The real strength of Germany trade has been its productive workforce which according to 2009 figures amounted to 43.51 million. The manufacturing industries employed almost 29.7% of the work force and the growth helped Germany trade in terms of automobiles and machinery.
Germany Trade, Exports and Imports
In 2009, Germany exports were $1.187 trillion. The amount was lower than the previous year’s figures of $1.498 trillion. The country ranked 3rd in the world in exports and continues to prove its strength as the world top economy.
Germany’s main exported commodities are:
*
Machinery
*
Vehicles
*
Chemicals
*
Metals and manufactures
*
Foodstuffs
*
Textiles
The main export partners of Germany are:
*
France
*
US
*
Netherlands
*
UK
*
Italy
*
Austria
*
Belgium
*
Spain
*
Poland
Germany imports amounted to $1.022 trillion in 2009 and ranked 3rd in the world. The figures, understandably, were low due to recession. In 2008, the figures amounted to $1.232 trillion.
Germany’s main imported commodities are:
*
Machinery
*
Vehicles
*
Chemicals
*
Foodstuffs
*
Textiles
*
Metals
Germany’s main import partners are:
*
Netherlands
*
France
*
Belgium
*
China
*
Italy
*
UK
*
Russia
*
Austria
*
US
*
The real strength of Germany trade has been its productive workforce which according to 2009 figures amounted to 43.51 million. The manufacturing industries employed almost 29.7% of the work force and the growth helped Germany trade in terms of automobiles and machinery.
France Trade, Exports and Imports
France trade, by volume, is one of the largest in the world. France exports and imports various raw materials on one side of the spectrum and automobiles and electronic products on the other side. The country ranks sixth in the world in terms of export volumes and 5th when it comes to imports. Being a well developed economy, French trade features a lot of raw materials and manufactured goods.
France Trade, Exports and Imports
In 2009, France’s export volumes amounted to $456.8 billion and the country ranked 6th in the world. However, the figures were much higher in 2008 at $601.9 billion.
France’s main export commodities are:
*
Machinery
*
Transportation equipment
*
Aircraft
*
Plastics
*
Chemicals
*
Pharmaceutical products
*
Iron and steel
*
Beverages
France’s main export partners are:
*
Germany
*
Italy
*
Spain
*
UK
*
Belgium
*
US
*
The Netherlands
The graph below shows how the different partners contributed to the total export volume:
Partners contributed to the total export volume of France
France’s imports totaled up to $532.2 billion in 2009 and the country ranked 5th in the world. However, the figures were much better at $692 billion in 2008.
France main import commodities are:
*
Machinery and equipment
*
Vehicles
*
Crude oil
*
Aircraft
*
Plastics
*
Chemicals
The main import partners are: (2008 data)
*
Germany
*
Belgium
*
Italy
*
Spain
*
Netherlands
*
UK
*
US
France's main import partners
Besides French trade, tourism is a big contributor to the national GDP. In fact, France rules the tourism industry with over 82 million tourists visiting the country for its rich heritage and culture.
Agriculture is another strong point for France, with almost 25% of the EU’s total agricultural products being produced here. The government provides subsidies to the agricultural sector and the development of this sector is likely to give export activities a further boost.
France Trade, Exports and Imports
In 2009, France’s export volumes amounted to $456.8 billion and the country ranked 6th in the world. However, the figures were much higher in 2008 at $601.9 billion.
France’s main export commodities are:
*
Machinery
*
Transportation equipment
*
Aircraft
*
Plastics
*
Chemicals
*
Pharmaceutical products
*
Iron and steel
*
Beverages
France’s main export partners are:
*
Germany
*
Italy
*
Spain
*
UK
*
Belgium
*
US
*
The Netherlands
The graph below shows how the different partners contributed to the total export volume:
Partners contributed to the total export volume of France
France’s imports totaled up to $532.2 billion in 2009 and the country ranked 5th in the world. However, the figures were much better at $692 billion in 2008.
France main import commodities are:
*
Machinery and equipment
*
Vehicles
*
Crude oil
*
Aircraft
*
Plastics
*
Chemicals
The main import partners are: (2008 data)
*
Germany
*
Belgium
*
Italy
*
Spain
*
Netherlands
*
UK
*
US
France's main import partners
Besides French trade, tourism is a big contributor to the national GDP. In fact, France rules the tourism industry with over 82 million tourists visiting the country for its rich heritage and culture.
Agriculture is another strong point for France, with almost 25% of the EU’s total agricultural products being produced here. The government provides subsidies to the agricultural sector and the development of this sector is likely to give export activities a further boost.
Europe Trade, Exports and Imports
The European Union, in a bid to encourage interstate dependency and trading relationships, has abolished all forms of tariffs on trading and adopted a common currency. The move has definitely made this strong economic region even stronger. Such policies have resulted in Europe’s trade running smoothly internally and internationally.
In figures, European trade is the biggest in the world and is the source of all major heavy engineering products. Led by nations such as Germany, Italy, the UK and France, Europe’s trade is dominated by reliable automobiles and heavy machinery.
Europe Trade, Exports and Imports
Europe’s exports were reported at $1.952 trillion in 2007 and the continent ranked first across the globe in terms of export volumes. This volume has witnessed a positive increase ever since the currency was standardized.
The main commodities exported were:
*
Machinery
*
Motor vehicles
*
Aircraft
*
Plastics
*
Pharmaceuticals and other chemicals
*
Fuels
*
Iron and steel
*
Nonferrous metals
*
Wood pulp and paper products
*
Textiles
*
Meat
*
Dairy products
*
Fish
*
Alcoholic beverages
European imports were recorded at $1.69 trillion and the continent ranked first in terms of import volume as well.
The main commodities imported were:
*
Machinery
*
Vehicles
*
Aircraft
*
Plastics
*
Crude oil
*
Chemicals
*
Textiles
*
Metals
*
Foodstuffs
*
Clothing
Here is the list of commodities that the various countries of the European Union manufacture and export:
*
Automobiles - France, Italy, UK, Germany, Czech Republic, Spain
*
Fashion- Italy and France and other western European countries
*
Aircraft- France and Germany
*
Machinery- The entire continent
*
Electronics- Italy, The Netherlands, Germany
*
Food products such as wine, beer, cheeses, chocolates- Western Europe
*
Pharmaceuticals- Switzerland
*
Military equipment- UK, France, Italy, Germany, Russia
*
Industrial chemicals- Most countries
Germany remains the largest player in terms of European trade, while the UK remains a financial hub for most activities in Europe.
In figures, European trade is the biggest in the world and is the source of all major heavy engineering products. Led by nations such as Germany, Italy, the UK and France, Europe’s trade is dominated by reliable automobiles and heavy machinery.
Europe Trade, Exports and Imports
Europe’s exports were reported at $1.952 trillion in 2007 and the continent ranked first across the globe in terms of export volumes. This volume has witnessed a positive increase ever since the currency was standardized.
The main commodities exported were:
*
Machinery
*
Motor vehicles
*
Aircraft
*
Plastics
*
Pharmaceuticals and other chemicals
*
Fuels
*
Iron and steel
*
Nonferrous metals
*
Wood pulp and paper products
*
Textiles
*
Meat
*
Dairy products
*
Fish
*
Alcoholic beverages
European imports were recorded at $1.69 trillion and the continent ranked first in terms of import volume as well.
The main commodities imported were:
*
Machinery
*
Vehicles
*
Aircraft
*
Plastics
*
Crude oil
*
Chemicals
*
Textiles
*
Metals
*
Foodstuffs
*
Clothing
Here is the list of commodities that the various countries of the European Union manufacture and export:
*
Automobiles - France, Italy, UK, Germany, Czech Republic, Spain
*
Fashion- Italy and France and other western European countries
*
Aircraft- France and Germany
*
Machinery- The entire continent
*
Electronics- Italy, The Netherlands, Germany
*
Food products such as wine, beer, cheeses, chocolates- Western Europe
*
Pharmaceuticals- Switzerland
*
Military equipment- UK, France, Italy, Germany, Russia
*
Industrial chemicals- Most countries
Germany remains the largest player in terms of European trade, while the UK remains a financial hub for most activities in Europe.
England Trade, England Exports, England Imports
England is a highly industrialized economy with a well established trade infrastructure. Ever since colonization started, trade has been the most prominent factor of England’s economy. The legacy has been continued into the New World as well, with strong trading relations with the EU and other western countries.
England, as an industry, produces:
*
Machine tools
*
Electric power equipment
*
Automation equipment
*
Railroad equipment
*
Ships
*
Aircraft
*
Motor vehicles and parts
*
Electronics and communications equipment
*
Metals
*
Chemicals
*
Coal
*
Petroleum
*
Paper and paper products
*
Processed food
*
Textiles
Correspondingly, England’s exports show a dominant presence of the aforementioned products as well.
England Trade: Exports and Imports
England, as a part of United Kingdom, recorded a figure of $351.3 billion in 2009 and ranked 10th in the world when it came to exports. Although the recession brought down the figure from $466.3 billion achieved in 2008, the economy was still helped by the amount of exports.
England’s most common exported commodities are:
*
Manufactured goods
*
Fuels
*
Chemicals
*
Food
*
Beverages
*
Tobacco
Major export partners are:
*
US
*
Germany
*
Netherlands
*
France
*
Ireland
*
Belgium
*
Spain
The following graph shows the contribution of different export partners (in percentage):
England's Export Partner
Imports in 2009 were recorded at $473.6 billion, in contrast to $639.3 billion in 2008. England was the 7th country in the world in terms of import volumes.
England’s imports are dominated by the following commodities:
*
Manufactured goods
*
Machinery
*
Fuels
*
Foodstuffs
England’s major import partners are:
*
Germany
*
US
*
China
*
Netherlands
*
France
*
Norway
*
Belgium
*
Italy
The following graph shows how the different countries contributed to the total imports (in percentage):
England's Import Partner
The real highlight of England’s trade, be it exports or imports, is its diverse reach. England trades with almost all the major countries of the world.
England, as an industry, produces:
*
Machine tools
*
Electric power equipment
*
Automation equipment
*
Railroad equipment
*
Ships
*
Aircraft
*
Motor vehicles and parts
*
Electronics and communications equipment
*
Metals
*
Chemicals
*
Coal
*
Petroleum
*
Paper and paper products
*
Processed food
*
Textiles
Correspondingly, England’s exports show a dominant presence of the aforementioned products as well.
England Trade: Exports and Imports
England, as a part of United Kingdom, recorded a figure of $351.3 billion in 2009 and ranked 10th in the world when it came to exports. Although the recession brought down the figure from $466.3 billion achieved in 2008, the economy was still helped by the amount of exports.
England’s most common exported commodities are:
*
Manufactured goods
*
Fuels
*
Chemicals
*
Food
*
Beverages
*
Tobacco
Major export partners are:
*
US
*
Germany
*
Netherlands
*
France
*
Ireland
*
Belgium
*
Spain
The following graph shows the contribution of different export partners (in percentage):
England's Export Partner
Imports in 2009 were recorded at $473.6 billion, in contrast to $639.3 billion in 2008. England was the 7th country in the world in terms of import volumes.
England’s imports are dominated by the following commodities:
*
Manufactured goods
*
Machinery
*
Fuels
*
Foodstuffs
England’s major import partners are:
*
Germany
*
US
*
China
*
Netherlands
*
France
*
Norway
*
Belgium
*
Italy
The following graph shows how the different countries contributed to the total imports (in percentage):
England's Import Partner
The real highlight of England’s trade, be it exports or imports, is its diverse reach. England trades with almost all the major countries of the world.
Egypt Trade, Exports and Imports
Egypt’s trade is characterized by huge trade deficits. The economy is highly dependent on oil exports. Since the 1990s, the government has pioneered several economic reforms through foreign donor aid. However, measurable benefits of these economic reforms are yet to be seen.
Egypt Trade: Exports
According to the 2009 estimates, Egypt’s export trade grossed over US$29 billion, a 22% surge from the previous year’s level. Oil export is central to the Egyptian economy. Based on the 2007 figures, Egypt is the 55th largest oil exporting country. It exports 155,200 barrels per day, approximately. However, the country has huge oil reserves which can act as fuel for the economy for coming decades. Apart from crude oil and petroleum products, the country also exports metal products, cotton, textiles and chemicals.
EU and the US are the biggest exporting markets for Egyptian products. Italy has the largest share of the Egyptian export pie, accounting for 9% of the total volume. It is followed by the US, Spain, India, Syria, Germany and Saudi Arabia.
Egypt: Export Volume
Egypt Trade: Imports
Egypt import volumes reached US$56.2 billion in 2009, a 24% rise from the previous year’s level. Due to surplus import, Egypt ha shad a negative balance of trade since the 1980s. Based on total import volumes, the country ranks 49th in the world. Heavy machinery, chemicals, food stuffs and wood products are the major items of import. The US is the largest import partner. It accounts for more than 10% of the total imports, followed by China, Italy, German and Saudi Arabia.
Egypt: Import Volume
Previously, Egypt used to be a strong trade ally of the communist bloc. However, it gradually shifted trade partners to enjoy greater benefits. Egypt has signed several international trade agreements with partnering countries that govern country’s international trade. It receives huge financial support from the US. This illustrates Egypt’s pro-western trade orientation.
Egypt Trade: Exports
According to the 2009 estimates, Egypt’s export trade grossed over US$29 billion, a 22% surge from the previous year’s level. Oil export is central to the Egyptian economy. Based on the 2007 figures, Egypt is the 55th largest oil exporting country. It exports 155,200 barrels per day, approximately. However, the country has huge oil reserves which can act as fuel for the economy for coming decades. Apart from crude oil and petroleum products, the country also exports metal products, cotton, textiles and chemicals.
EU and the US are the biggest exporting markets for Egyptian products. Italy has the largest share of the Egyptian export pie, accounting for 9% of the total volume. It is followed by the US, Spain, India, Syria, Germany and Saudi Arabia.
Egypt: Export Volume
Egypt Trade: Imports
Egypt import volumes reached US$56.2 billion in 2009, a 24% rise from the previous year’s level. Due to surplus import, Egypt ha shad a negative balance of trade since the 1980s. Based on total import volumes, the country ranks 49th in the world. Heavy machinery, chemicals, food stuffs and wood products are the major items of import. The US is the largest import partner. It accounts for more than 10% of the total imports, followed by China, Italy, German and Saudi Arabia.
Egypt: Import Volume
Previously, Egypt used to be a strong trade ally of the communist bloc. However, it gradually shifted trade partners to enjoy greater benefits. Egypt has signed several international trade agreements with partnering countries that govern country’s international trade. It receives huge financial support from the US. This illustrates Egypt’s pro-western trade orientation.
Dubai Trade, Exports and Imports
According to industry experts, Dubai’s growth is continuing steadily in 2010 and is expected to expand further in 2011. In 2009, the export destinations increased to 163, as per the annul report of the Dubai Chamber of Commerce and Industry. The export of locally processed sugar stood at approximately Dh1.4 billion in 2008. Some other major food product exports included dates, figs and mangoes, worth Dh285 million.
The non-oil exports of the emirate rose by 23% in 2009, in comparison to the 2008 levels. The goods worth AED42.6 billion were exported by Dubai in 2008, whereas it exported goods worth AED52.4 billion in 2009 (Dh186.1 billion, including re-exports). However, according to the Dubai Chamber of Commerce and Industry, total exports plummeted by 16% in 2009. The major re-exporting destinations of Dubai are:
*
Iran (US$ 790 million)
*
India (US$ 204 million)
*
Saudi Arabia (US$ 194 million)
Dubai Imports: Data
Over two-thirds of the import items to the UAE are directed to Dubai. Major import commodities of Dubai are capital, consumables, cement, food products and intermediate products. The leading import sources of Dubai as of 2008 were:
*
Japan (US$ 1.5 billion)
*
China (US$ 1.4 billion)
*
The United States (US$ 1.4 billion)
According to Bu Amim, in 2009, Dubai recorded a 12% increase in the import of fruit and vegetables. In 2007, Dubai exported 2.96 million tons of cement to support is booming construction industry. Dubai imported 300 tons of gold in 2008 and by Q12009 its gold trade reached $14.69 billion.
The non-oil exports of the emirate rose by 23% in 2009, in comparison to the 2008 levels. The goods worth AED42.6 billion were exported by Dubai in 2008, whereas it exported goods worth AED52.4 billion in 2009 (Dh186.1 billion, including re-exports). However, according to the Dubai Chamber of Commerce and Industry, total exports plummeted by 16% in 2009. The major re-exporting destinations of Dubai are:
*
Iran (US$ 790 million)
*
India (US$ 204 million)
*
Saudi Arabia (US$ 194 million)
Dubai Imports: Data
Over two-thirds of the import items to the UAE are directed to Dubai. Major import commodities of Dubai are capital, consumables, cement, food products and intermediate products. The leading import sources of Dubai as of 2008 were:
*
Japan (US$ 1.5 billion)
*
China (US$ 1.4 billion)
*
The United States (US$ 1.4 billion)
According to Bu Amim, in 2009, Dubai recorded a 12% increase in the import of fruit and vegetables. In 2007, Dubai exported 2.96 million tons of cement to support is booming construction industry. Dubai imported 300 tons of gold in 2008 and by Q12009 its gold trade reached $14.69 billion.
China Imports and Exports
FOREIGN TRADE
As part of its continuing effort to become competitive in the global marketplace, China joined the World Trade Organization in 2001;
Its major trade partners are the United States, Japan, South Korea, Taiwan, and Germany. China's entry into the WTO has benefited coastal cities, especially in the southeast. Although a British crown colony until its return to Chinese control in 1997, Hong Kong has long been a major maritime outlet of S China.
China's major industrial products are china's main exports also. Share of manufactured goods, including textiles, garments, electronics and arms are highest in Chinese exports.
China's leading export minerals are tungsten, antimony, tin, magnesium, molybdenum, mercury, manganese, barite, and salt. China is among the world's four top producers of antimony, magnesium, tin, tungsten, and zinc, and ranks second (after the United States) in the production of salt, sixth in gold. China is one of world's largest producers of aluminum.
CHALLENGES FACING CHINA
Challenge in the early 21st century will be to balance its highly centralized political system with an increasingly decentralized economic system.
Also, China's economy, though strengthened by the more liberal economic policies of the 1980s and 90s, continues to suffer from inadequate transportation, communication, and energy resources. However, since the 1980s, China has undertaken a major highway construction program and China is working hard on building up a world-class infrastructure. China's poor human development index highlights the economic disparity between urban China and the rural hinterlands. Human rights campaigners continue to criticize China for executing hundreds of people every year and for failing to stop torture.
Other critical problems include corruption, which affects every level of society, and the growing rate of HIV infection. Another long-term threat to continued rapid economic growth is the deterioration in the environment, notably air pollution, soil erosion and steady fall of water table in the north. Tensions between a highly centralized political and an increasingly de-centralized economic system is also a cause of worry.
As part of its continuing effort to become competitive in the global marketplace, China joined the World Trade Organization in 2001;
Its major trade partners are the United States, Japan, South Korea, Taiwan, and Germany. China's entry into the WTO has benefited coastal cities, especially in the southeast. Although a British crown colony until its return to Chinese control in 1997, Hong Kong has long been a major maritime outlet of S China.
China's major industrial products are china's main exports also. Share of manufactured goods, including textiles, garments, electronics and arms are highest in Chinese exports.
China's leading export minerals are tungsten, antimony, tin, magnesium, molybdenum, mercury, manganese, barite, and salt. China is among the world's four top producers of antimony, magnesium, tin, tungsten, and zinc, and ranks second (after the United States) in the production of salt, sixth in gold. China is one of world's largest producers of aluminum.
CHALLENGES FACING CHINA
Challenge in the early 21st century will be to balance its highly centralized political system with an increasingly decentralized economic system.
Also, China's economy, though strengthened by the more liberal economic policies of the 1980s and 90s, continues to suffer from inadequate transportation, communication, and energy resources. However, since the 1980s, China has undertaken a major highway construction program and China is working hard on building up a world-class infrastructure. China's poor human development index highlights the economic disparity between urban China and the rural hinterlands. Human rights campaigners continue to criticize China for executing hundreds of people every year and for failing to stop torture.
Other critical problems include corruption, which affects every level of society, and the growing rate of HIV infection. Another long-term threat to continued rapid economic growth is the deterioration in the environment, notably air pollution, soil erosion and steady fall of water table in the north. Tensions between a highly centralized political and an increasingly de-centralized economic system is also a cause of worry.
Canada Trade, Exports and Imports
International trade plays a significant role in Canada’s economy. Although the United States remains Canada’s biggest trading partner, the latter’s trade relations with several Asian and European nations have also improved in recent years. A significant portion of Canada’s natural resources, such as oil, gold, nickel and uranium, are exported mainly to the United States. Agricultural products, including wheat and other grains, are also exported to the US, Europe and East Asia.
Canada Trade, Exports and Imports: Balance of Trade
A sharp rise in commodity prices and the global recession led Canada to post its first annual trade deficit in 34 years in 2009. According to Statistics Canada, the country’s trade balance with the rest of the world plunged into red and reported a deficit of $4.8 billion. The country had reported a $47 billion trade surplus in 2008. Canada’s exports to the rest of the world declined by 35% in 2009, while imports fell 26.5% during the year.
Canada Exports
Exports account for nearly 45% of Canada’s Gross Domestic Product or GDP. The country is one of the few developed nations that is a net exporter of energy. Canada's major export partners are the United States, Japan, the United Kingdom, Germany, South Korea, the Netherlands, and China. The major items exported by Canada include
motor vehicles and parts, industrial machinery, aircraft, telecommunications equipment; chemicals, plastics, fertilizers; wood pulp, timber, crude petroleum, natural gas, electricity and aluminum. Canada’s exports to the US declined by 33% in the year 2009.
Canada Imports
Canada’s main imports partners are the United States, European Union, China and Mexico. This North American nation imports machinery, equipment, motor vehicles, parts, electronics, chemicals, electricity and durable consumer goods.
Canada Trade Relations with the US
Bilateral trade between Canada and the US incerased by 52% between 1989 (when the US-Canada Free Trade Agreement (FTA) came into effect) and 1994 (when the
North American Free Trade Agreement (NAFTA) was implemented). Although trade between the US and Canada has flourished since the signing of the NAFTA, some disputes related to intellectual property rights, softwood lumber, beef, tomatoes and other agricultural products do exist. While over 70% of Canada’s exports are to the US, around 50% of its imports come from the US.
Canada Trade, Exports and Imports: Balance of Trade
A sharp rise in commodity prices and the global recession led Canada to post its first annual trade deficit in 34 years in 2009. According to Statistics Canada, the country’s trade balance with the rest of the world plunged into red and reported a deficit of $4.8 billion. The country had reported a $47 billion trade surplus in 2008. Canada’s exports to the rest of the world declined by 35% in 2009, while imports fell 26.5% during the year.
Canada Exports
Exports account for nearly 45% of Canada’s Gross Domestic Product or GDP. The country is one of the few developed nations that is a net exporter of energy. Canada's major export partners are the United States, Japan, the United Kingdom, Germany, South Korea, the Netherlands, and China. The major items exported by Canada include
motor vehicles and parts, industrial machinery, aircraft, telecommunications equipment; chemicals, plastics, fertilizers; wood pulp, timber, crude petroleum, natural gas, electricity and aluminum. Canada’s exports to the US declined by 33% in the year 2009.
Canada Imports
Canada’s main imports partners are the United States, European Union, China and Mexico. This North American nation imports machinery, equipment, motor vehicles, parts, electronics, chemicals, electricity and durable consumer goods.
Canada Trade Relations with the US
Bilateral trade between Canada and the US incerased by 52% between 1989 (when the US-Canada Free Trade Agreement (FTA) came into effect) and 1994 (when the
North American Free Trade Agreement (NAFTA) was implemented). Although trade between the US and Canada has flourished since the signing of the NAFTA, some disputes related to intellectual property rights, softwood lumber, beef, tomatoes and other agricultural products do exist. While over 70% of Canada’s exports are to the US, around 50% of its imports come from the US.
Subscribe to:
Posts (Atom)