Texas Once Again Leads the U.S. in Exports

For the 13th year in a row Texas once again leads the U.S. as the number one exporting state. For more information, please see the below press release.

One of the important factors that is crucial to Texas exports is trade agreements. These agreements level the playing field for Texas exporters by reducing or outright eliminating foreign tariffs and non-tariff trade barriers. A number of important trade agreements are currently being negotiated by the U.S. Trade Representative's Office including the Trans-Pacific Partnership (TPP), the Transatlantic Trade and Investment Partnership (TTIP), and the Trade in Services Agreement (TSA), among others. There is also a critical piece of legislation pending before Congress that will provide the executive branch with Trade Promotion Authority (TPA) to more efficiently negotiate trade agreements. TPA is something that all recent administrations have had and is a bi-partisan tool that has been used by various Presidents for over 50 years to negotiate trade agreements. TPA has not been in effect for the last seven years and its renewal is vital for ensuring that new trade agreements will be enacted that will benefit Texas exporters.

Additionally, it is also important for Texas exporters that the pending re-authorization for the U.S. Export -Import Bank be renewed by Congress. Texas exporters, particularly SMEs, utilize the unique services that are offered by the Ex-Im Bankand which are not commercially availableto maintain their competitiveness against foreign competition. A failure by Congress to re-authorize the Ex-Im Bank would have serious adverse effects for Texas exporters by greatly diminishing their competitiveness at a time when the export sector is leading the U.S. in private sector job creation and economic growth.

For questions and answers on TPA, TPP and TTIP, and the Ex-Im Bank, go to TPA Q&ATPP Q&A, TTIP Q&A, and Ex-Im Bank Q&A, respectively. For more information on these and other trade agreements and issues, go to districtexportcouncil.org/materials.

Daniel Ogden
North Texas DEC Legislative Affairs Chair and National DEC Chair Emeritus

 

FOR IMMEDIATE RELEASE                  Contact:        Daniel Swart (817) 310-3744
February 11, 2014                                                       Curt Cultice (202) 482-2253

EXPORT GROWTH BENEFITS TEXAS COMPANIES

Texas merchandise exports set new record in 2013

WASHINGTON – The International Trade Administration (ITA) today announced that new data show Texas merchandise exports increased 5.7 percent in 2013 compared to 2012, growing from $264.7 billion to $279.7 billion. This was a record high export level for the state. Texas’s strong performance in 2013 helped the United States reach an all-time record for exports of U.S. goods and services, reaching $2.3 trillion in 2013 and supporting nearly 10 million American jobs.

“This data shows that more and more Texas companies are growing their businesses and strengthening our economy by selling their top-quality goods to consumers around the globe,” said U.S. Secretary of Commerce Penny Pritzker. “Exports continue to be an important driver for both the U.S. and Texas economies. This data confirms that President Obama’s call for increasing our exports and ensuring that trade and investment become part of our economy’s DNA is the right course for Texas.”

Texas’ merchandise export sales in 2013 outpaced the 2012 figures in many top destinations, including: Nigeria (+50 percent); Colombia (+29 percent); Taiwan (+23 percent); the United Arab Emirates (+23 percent); and Argentina (+19 percent). Key merchandise export categories include: petroleum products; computer and electronic products; chemicals; machinery manufactures; and transportation equipment.

“Texas exporters continue to ramp up their sales by selling to markets around the world with quality, made-in-the-USA products,” said Daniel Swart, Director of the U.S. Commercial Service in North Texas. “By selling internationally, many of these exporters are better able to weather changes in the economy while building their global competitiveness. We’d like to assist with your exporting efforts.”

With more than 100 offices across the United States and in American Embassies and Consulates in more than 70 countries, ITA’s U.S. Commercial Service connects U.S. companies with international buyers. In 2013, ITA helped U.S. businesses facilitate nearly 15,000 export successes. Companies interested in exporting should contact their local office in North Texas at (817) 310-3744 or visit www.export.gov/Texas.

For more information about the impact of exports on individual states, including fact sheets for all 50 states, please visit the Trade Policy & Analysis web page at www.trade.gov/mas/ian

Comments

Data show that trade promotion legislation, new trade agreements would benefit Texas’s workers and businesses

WASHINGTON – Merchandise exports from Texas hit $289.0 billion in 2014, reaching a new record. Texas’s exports in 2014 helped the U.S. achieve a record high for goods and services exports: $2.35 trillion.

Goods exports from Texas supported an estimated 1.1 million U.S. jobs in 2013, contributing to the 11.3 million jobs nationwide that were supported by both goods and services exports that year. On average, jobs in these export-related industries pay up to 18 percent more than non-export related industries.

According to data released by the Department of Commerce’s International Trade Administration, Texas’s goods exports in 2014 were led by a number of sectors, including petroleum and coal products ($59.1 billion); computer and electronic products ($46.6 billion); and chemicals ($46.1 billion).

“Exports are critical to economic growth and job creation in communities across the country,” said Secretary Pritzker. “With 95 percent of the world’s consumers living outside the United States, opening more markets to ‘Made in America’ goods and services is fundamental to our nation’s competitiveness, job creation, and the economic security of our families.

“An estimated 1.1 million U.S. jobs were supported by Texas’s goods exports in 2013 alone. The Obama Administration has set an ambitious trade agenda that will help our businesses, workers, and innovators compete on a level playing field around the world, so they can expand and hire here at home. Now is the time for Congress to pass bipartisan trade promotion legislation, so we can enact new trade agreements with high standards that uphold our values and protect our national security.”

These data further demonstrate the important role that trade and exports have played in America’s and Texas’s economic recovery. In order to build on that momentum, Congress must pass bipartisan trade promotion legislation, which will allow the Administration to negotiate new trade agreements that increase accountability and high standards, uphold our values, and open new markets to American goods and services.

Texas is already benefiting from the free trade agreements that the U.S. has in force with 20 countries. More than $176.4 billion (61 percent) of Texas’s goods exports in 2014 went to free trade partners. Over the past 10 years (2005-2014), goods exports from Texas to these markets grew by 118 percent, with sales to Mexico, Canada, Colombia, and Korea showing the largest dollar growth over this period.

Trade Promotion Legislation

For the past 40 years, Congress has enacted Trade Promotion Authority (TPA) type laws to help guide both Democratic and Republican Presidents in pursuing trade agreements that support U.S. jobs, eliminate barriers to U.S. exports, and set rules to level the playing field for U.S. companies, farmers, ranchers and workers. TPA allows Congress to set high-standard objectives and priorities for U.S. trade negotiators and establish a process for consulting with Congress and the public.

The regional trade agreements under negotiation now – Trans-Pacific Partnership (TPP) and Transatlantic Trade and Investment Partnership (TTIP) – accounted for 62 percent of U.S. goods exports in 2014, supported an estimated 4.2 million U.S. jobs in 2013. TPA will allow these agreements to become a reality, spurring economic growth in the United States and our trading partners.

Trans-Pacific Partnership (TPP) and Transatlantic Trade and Investment Partnership (TTIP)

The Trans-Pacific Partnership (TPP) and Transatlantic Trade and Investment Partnership (TTIP) would create new market opportunities for Texas companies, supporting export-related jobs.

Texas exported $149.5 billion annually in goods to all TPP markets (2012-2014 average), which accounted for 54 percent of the state’s goods exports. Texas’s exports could benefit from new market access as a result of Brunei, Japan, Malaysia, New Zealand, and Vietnam eliminating their tariffs as part of TPP.
The EU’s tariff elimination as part of TTIP would provide new market access that could benefit Texas’s exports. TTIP will be an ambitious, comprehensive, and high-standard trade and investment agreement that offers significant benefits for U.S. companies and workers through eliminating existing trade barriers and better enabling U.S. companies and workers to compete. TTIP will provide new opportunities for U.S. industry, as approximately one-fifth of all U.S. goods and services exports go to the European Union (EU). In 2013, U.S. goods and services exports to the EU supported an estimated 2.5 million U.S. jobs.

Texas exported $29.9 billion annually in goods to the EU (2012-2014 average).
Texas’s top industrial goods exports to the EU include minerals and fuels (tariffs range up to 8 percent); chemicals (tariffs currently go as high as 6.5 percent); and information and communication technologies (tariffs range up to 14 percent).

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