FEDERAL TRADE PROMOTION AND THE NATIONAL EXPORT INITIATIVE

2015

Trade Promotion Coordinating Committee & National Export Initiative

U.S. Department of Commerce |International Trade Administration

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OVERVIEW

Federal Trade Promotion Coordination.

Export Imperative: National & Firm-level Views.

The National Export Initiative and NEI/NEXT.

visit export.gov for more

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TRADE PROMOTION COORDINATION

Trade Promotion Coordinating Committee (TPCC): Interagency task force chaired by the Secretary of Commerce (1992).

Purpose: Establish priorities, coordinate, streamline/customer service.

Mechanisms: Foreign Commercial Service, Export Assistance Centers,

Advocacy, Trade Compliance, SelectUSA.

Export Promotion Cabinet (EPC): Created by Executive Order (2010). Chaired by President/Deputy National Security Advisor (Caroline

Atkinson). Purpose: Oversee the National Export Initiative (NEI).

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TPCC Principals/EPCCommerce Secretary/Senior

Advisor to President on International TradeTPCC Deputies/

ITA Under Secretary

Policy:USTR

TreasuryState

Export Service/Finance:

CommerceState

Ex-Im BankOPIC

USTDASBA

USDA

Sector/Issue:Energy

TransportationDHS

USAIDLaborEPADOD

Interior

TPCC Working Groups/Agency

Leads or Co-leads

Oversight:NSSOMBCEA

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CORE TRADE PROMOTION AGENCIES

Commerce: Market entry and matchmaking, major project advocacy, market access and compliance.

State: Commercial advocacy, commercial function in many posts, trade promotion initiatives (e.g., Directline, BIDs).

SBA: Working capital, business counseling.

Ex-Im Bank: Export loan guarantees, export credit insurance, and direct loans to foreign buyers.

OPIC: U.S. investment & know-how in emerging economies: guarantees, project finance, political risk insurance.

USTDA: Reverse trade missions, feasibility studies, conferences.

Agriculture: Services, grants, and financing. Delivered through associations and state regional groups.

USTR: Trade agenda outreach. Growing small business agenda.

visit export.gov for more

6

OVERVIEW

Federal Trade Promotion Coordination.

Export Imperative: National & Firm-level Views.

The National Export Initiative and NEI/NEXT.

visit export.gov for more

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THE EXPORT IMPERATIVE

• With more and more businesses online, it is a new era for exporting

• Global middle class growth is creating tremendous demand for U.S. goods and services

• The U.S. now has trade agreements with 20 countries and is negotiating agreements with countries that together make up 60+ percent of the world’s GDP.

Less than 5 percent of U.S. companies export.More than half of those sell to only ONE market.

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WHY EXPORT: ECONOMIC IMPACT

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2009 2010 2011 2012 2013 20140

2

4

6

8

10

12

14

9.710.2

10.9 11.1 11.3 11.7

Jobs Supported by Exports of Goods and Services

Mil

lio

ns o

f Jo

bs

1.8 2.1 2.2 2.3 2.3

Source: ITA based on Census Bureau and BEA data

1.6

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WHY EXPORT? COMPANY VIEW

U.S. goods and services are in high demand -- the gold standard of innovation, quality, and safety

Over 95% of the world’s consumers live outside of the USA More than 80% of the world’s purchasing power is

located outside of the U.S. More than 1 billion new middle class consumers

worldwide in the next 15 years Exporters are more competitive

They can pay wages 13-18% higher than other firms They are 8.5% less likely to go out of business

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GROWTH MARKETS

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SMALL BUSINESS

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

0

10

20

30

40

50

60

70

80

29 29 27 27 29 29 29 30 31 33 34 34 33 34

71 71 73 73 71 71 71 70 69 67 66 67 67 66

Large vs. Small- and Medium-Sized En-terprise Share of Total U.S. Goods Ex-

ports, 2000 - 2013

SME % of Exports

Large % of Exports

pe

rce

nta

ge

of

tota

l

Source: U.S. Department of Commerce, U.S. Census Bureau , A Profile of U.S. Importing and Exporting Companies, 2012-2013, April 7, 2015

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OVERVIEW

Federal Trade Promotion Coordination.

Export Imperative: National & Firm-level Views.

The National Export Initiative and NEI/NEXT.

visit export.gov for more

13

NATIONAL EXPORT INITIATIVE

National Export Initiative (NEI)� In 2010, President Obama launches the NEI – the first-

ever government-wide, comprehensive plan of its kind.

� In May 2014, Secretary Pritzker, Chair of the TPCC, launches NEI/NEXT.

Since then, exports have driven our economic recovery� 5 consecutive years of record exports, reaching $2.34

trillion in 2014 � 30,000 U.S. businesses started exporting� 1.6 million more export-supported jobs, bringing our

total to 11.7 million

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1. Helping businesses find their NEXT customer abroad

2. Increasing the efficiency of a company’s (first and) NEXT shipment

3. Helping firms finance their NEXT order

4. Helping communities integrate trade and investment into their NEXT growth plans

5. Opening up the NEXT big markets around the world while ensuring a level playing field

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NEI/NEXT – SUB INITIATIVES

Ongoing: Doing Business in Africa (DBIA): Export.gov/Africa Look South Initiative: Export.gov/LookSouth Made in Rural America Discover Global Markets Conference Series Startup Global Single Window Pilots Trade Facilitation Agreement and Technical Assistance Bilateral dialogues TPP Top Market and Emerging Industries

Forthcoming: Minority/Veteran/Women-owned Infrastructure Initiative Market research Common Customer Service platform Trade mission study