The United States is the largest economy in the world with a Gross Domestic Product (GDP) of $14.9 trillion dollars which is more then twice the size of the next largest economy, Japan. In 2009 the U.S. economy exported more then $1 trillion dollars to countries around the world. The country however imports over $1.5 trillion in goods from around the world and this large trade gap is contributing to its current economic woes.

Major Export Partners

The 6 top U.S. export partners consist of the following:

  • Canada 21% $248,888,000
  • Mexico 12% $135,918,000
  • China 5% $62,937,000
  • Japan 5% $61,160,000
  • Germany 4% $49,420,000
  • United Kingdom 4% $49,981,000

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Between 2007 and 2008 there was a 12% increase in the amount of exports from the U.S., however between 2008 and 2009 there was a drop of over 20% largely because of the decline in the economy as the recession took hold. In Obama’s state of the Union address, he suggested that there may be more aid focusing on large exporters in the form of loans and grants. These grants will help stimulate the economy allowing companies to compete with countries where costs are far lower.

Export Grants Funded By the Government

  • Petroleum
  • Steel
  • Motor Vehicles
  • Aerospace
  • Telecommunications
  • Chemicals
  • Creative Industries
  • Electronics
  • Food Processing
  • Consumer Goods
  • Lumber
  • Mining
  • Defense

All of these companies may be able to take advantage of export grants funded by the government to enable them to lower their bottom line and compete more efficiently with companies overseas that have significantly lower operational costs. Labor prices are often far less expensive. The also U.S. has one of the highest hourly wage-rates in the world.

Top Exported Goods

  • Industrial Supplies 29.8%
  • Production Machinery 29.5%
  • Non-Auto Consumer Goods 12.4%
  • Motor Vehicles and Parts 9.3%
  • Food, Feed and Beverages 8.3%
  • Aircraft and Parts 6.6%
  • Other 4.1%

Most manufacturing has left for overseas and has been a contribution to the exports of more expensive industrial supplies and production machinery. Business grants will allow larger companies to grow quickly and enable smaller companies to setup shop and begin exporting their own goods around the world.