NC Department ofCommerce

International Trade andInvestment

February 2, 2010

International Trade

• US Exports via North Carolina

– 2006: 21,286,290,087

– 2007: 23,355,818,431

– 2008: 25,075644,452

• July 1, 2008- June 30, 2009 :

– ITD helped 410 firms generate $ 341 million inactual sales

North Carolinas Top TenFY 2009

1. Canada

2. China

3. Mexico

4. Japan

5. United Kingdom

6. Germany

7. France

8. Honduras

9. Netherlands

10.Brazil

Rank Code Description ANNUAL 2006 ANNUAL 2007 ANNUAL 2008

Total all Industries 21,286,290,087.00 23,355,818,431.00 25,075,644,452.00

1 325 Chemicals 3,524,630,716.00 4,354,792,324.00 4,977,140,142.00

2 333 Machinery, Except Electrical 2,597,843,208.00 3,172,365,551.00 3,126,731,319.00

3 334 Computer And Electronic Products 2,815,719,773.00 2,666,703,493.00 2,804,343,044.00

4 336 Transportation Equipment 1,831,641,294.00 1,997,036,243.00 2,264,835,090.00

5 313 Textiles And Fabrics 1,841,269,793.00 1,848,283,167.00 1,899,358,922.00

6 335 Electrical Equipment, Appliances, And Component 899,813,832.00 909,958,642.00 1,033,637,508.00

7 326 Plastics And Rubber Products 963,300,951.00 1,001,672,257.00 1,011,881,026.00

8 322 Paper 665,050,251.00 841,503,146.00 922,507,696.00

9 331 Primary Metal Manufacturing 604,321,089.00 664,305,675.00 887,125,317.00

10 111 Agricultural Products 764,029,946.00 772,506,095.00 814,530,027.00

North Carolina Export Trends

N Depends on World Markets

• North Carolina's export shipments of merchandise in 2008 totaled$25.1 billion. North Carolina was the 15th largest exporter amongthe 50 states in 2008. North Carolina's exports to the worldincreased by $6.9 billion from 2004 to 2008, the 19th largest dollarincrease among the 50 states.

• The state's largest market that year was Canada, to which NorthCarolina exported goods worth $5.8 billion. This accounted fornearly one-fourth (23 percent) of the state's total exports that year.Canada was followed by China ($1.9 billion), Mexico ($1.8 billion),Japan ($1.7 billion), and the United Kingdom ($1.0 billion).

Exports Sustain NC Companies

• Exports Sustain Thousands of North Carolina Businesses

• A total of 7,898 companies exported goods from North Carolinalocations in 2007. Of those, 86 percent, or 6,811 firms, were smalland medium-sized enterprises (SMEs), with fewer than 500employees.

• SMEs generated almost one-quarter (23 percent) of North Carolina'stotal exports of merchandise in 2007.

Source: International Trade Administration and Bureau of the Census, Foreign Trade Division: Exporter Database.

ITD Services

• Counseling andreferral

• Distributor andAgency Searches

• Trade Events andTrade Shows

• Export Financing

• Advocacy

• Education andTraining

ITD Sectors

• Plastics, Chemicals

• IT, Electronics,Software

• Life Sciences

• Automotive

• Textiles

• Furniture

• Telecom

Foreign Direct Investment = Jobs

• Between 2000-2008 foreign companiesannounced the location in North Carolinaof:

– 37,756 jobs

– $7,018,333,144 of investment

Source: Commerce Community Investment Report

Foreign Investment Creates Jobs in NorthCarolina

• In 2007, foreign-controlled companies employed 211,700 workers inNorth Carolina. Major sources of North Carolina's foreign investmentin 2007 were the United Kingdom, Germany, Canada, Japan, andSwitzerland.

• Over one-third (35 percent) of these jobs (74,600 workers) were inthe manufacturing sector in 2007.

• Foreign-controlled companies accounted for 13.7 percent, almostone-seventh, of total manufacturing employment in North Carolina in2007.

• Foreign investment in North Carolina was responsible for 6 percent

of the state's total private-industry employment in 2007.

Over 3,700 Foreign Locations inNC

Aisin AW, BASF Corporation, BayerCorporation, Bosch Siemens Home Appliances,Compass, Continental Teves, Credit Suisse,Daimler, Delhaize Group, DSM, Eisai,Electrolux, Bridgestone Firestone, Flextronics,Freightliner, Fujitsu, GKN, GlaxoSmithKline,Hitachi, Honda, Kyocera, Lenovo, MitsubishiElectric, Nortel Networks, Novartis CropProtection, Novo Nordisk PharmaceuticalsIndustries, Oxford University Press, RBC,Siemens, Sony Ericcson, Sumitomo Electric,TDK, Thomas Built Buses, and Volvo.

Plans for 2010

• Asia Strategy

– Realign resources in China/Japan, addindustry experts in key investment sectors

• Secretary's Mission to Brazil- March

• European Business Development Mission-April

2010 plans continued

• Secretary's China Mission - June

• Farnborough Air Show - July

• Governor’s Mission to India- November

• Better data! By county, Economic impactof trade

Opportunities for growth

• Asia, India, Brazil

• Education of SMEs

• Continued interest in US as destination forinvestment (weaker dollar)

• Need for statewide engagement viatechnology and utilization of partners