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International Opportunities in the Aerospace and Defense Sector International Opportunities in the Aerospace and Defense Sector Presented by Mathew D. Woodlee Senior International Trade Specialist U.S. Commercial Service – Minnesota www.export.gov/minnesota Melissa Grosso Senior International Trade Specialist Global Aerospace & Defense Team Leader U.S. Commercial Service – Connecticut www.export.gov/connecticut Why Export? . Increased sales and profits . Overcoming low growth in the domestic marketplace . Minimizing the effect of seasonal sales fluctuations . Exploiting technology and expertise in foreign markets . Achieving economies of scale . Grow your business . Keep up with the competition • 96% of all customers reside outside the USA Who’s Exporting…? Small- and medium-sized enterprises! • 97% of U.S. exporters are SME’s • Represents 30% of total export value • Most export to only 1 foreign market • Most have fewer than 20 employees U.S. Free Trade Agreements (FTAs) FTAs reduce barriers to U.S. exports, and create a more stable and transparent trading and investment environment, making it easier and cheaper for companies to export their products and services. U.S. FTA Partner Countries . Australia . Bahrain . Chile . CAFTA-DR (Costa Rica, Dominican Republic, El Salvador, Guatemala, Honduras, & Nicaragua) . Colombia . Israel . Jordan . Morocco . NAFTA: Canada & Mexico . Oman . Panama . Peru . Singapore . South Korea Basic Requirements for Exporting • An exportable product or service • A competitive advantage • The finance to take it to the marketplace • A commitment in making the export project work Your International Team Must be: • Flexible • Committed to travel • Work Independently • Good “Ambassadors” • Technologically Proficient • Culturally Sensitive National Export Initiative . More exports = more jobs - Through the National Export Initiative (NEI), President Obama has announced a goal of doubling exports within five years to support two million job in America . Government support - To help achieve this goal, the Export Initiative will provide more funds, focus, and cabinet- level coordination to grow U.S. exports. - This is the first time the United States will have a government- wide export-promotion strategy with focused attention from the president and his Cabinet Federal Agencies and the Trade Promotion Coordinating Committee . Trade Promotion Coordinating Committee is taskforce of 20 agencies focused on coordinating government-wide export promotion through 7 core agencies: – U.S. Department of Commerce – U.S. Export – Import Bank – Overseas Private Investment Corporation – U.S. Trade & Development Agency – Small Business Administration – Department of State – Department of Agriculture U.S. Commercial Service . The U.S. Commercial Service provides U.S. companies unparalleled access to business opportunities around the world. As a U.S. Government agency, we have relationships with foreign government and business leaders in every key global market. Our trade professionals provide expertise across most major industry sectors, in all major and emerging markets . We offer fee‐based services to U.S. companies to help them expand international sales of U.S. made products and services U.S. Commercial Service – Located in 120 cities in over 75 countries Algeria China Germany Ireland Malaysia Portugal Sweden Algiers Beijing Berlin Dublin Kuala Lumpur Lisbon Stockholm Argentina Chengdu Dusseldorf Israel Mexico Qatar Switzerland Buenos Aires Guangzhou Frankfurt Jerusalem Guadalajara Doha Bern Australia Shanghai Munich Tel Aviv Mexico City Romania Taiwan Melbourne Shenyang Ghana Italy Monterrey Bucharest Kaohsiung Sydney Colombia Accra Florence Tijuana Russia Taipei Austria Bogota Greece Milan Morocco Moscow Thailand Vienna Costa Rica Athens Rome Casablanca St. Petersburg Bangkok Belgium San Jose Guatemala Japan Netherlands Vladivostok Turkey Brussels Croatia Guatemala City Nagoya The Hague Saudi Arabia Ankara Zagreb Honduras Osaka‐Kobe New Zealand Dhahran Istanbul Brazil Czech Republic Tegucigalpa Sapporo Wellington Jeddah Izmir Belo Horizonte Prague Hong Kong Tokyo Nigeria Riyadh Ukraine Brasilia Denmark Hong Kong Jordan Lagos Senegal Kiev Recife Copenhagen Hungary Amman Norway Dakar United Arab Emirates Rio de Janeiro Dominican Budapest Kazakhstan Oslo Serbia & Abu Dhabi Sao Paulo Republic India Almaty Pakistan Montenegro Dubai Bulgaria Santo Domingo Ahmedabad Kenya Islamabad Belgrade United Kingdom Sofia Ecuador Bangalore Nairobi Karachi Singapore London Canada Quito Calcutta Korea (South) Lahore Singapore Uruguay Calgary Egypt Chennai Seoul Panama Slovak Republic Montevideo Montreal Alexandria Hyderabad Kuwait Panama City Bratislava Venezuela Ottawa Cairo Mumbai Kuwait City Peru South Africa Caracas Toronto El Salvador New Delhi Lebanon Lima Cape Town Vietnam Vancouver San Salvador Indonesia Beirut Philippines Johannesburg Hanoi Chile Finland Jakarta Libya Manila Spain Ho Chi Minh City Santiago Helsinki Iraq Tripoli Poland Madrid France Baghdad Warsaw Paris How We Can Help Whether you are looking to make your first export sale or expand to additional international markets, we have the expertise you need to identify and penetrate foreign markets. Trade Counseling . Market Intelligence . Business Matchmaking . Due Diligence . Trade Events . In‐Country Promotion of Your Products or Services . Commercial Diplomacy Access Determine Identify Key Implement Export Sales Markets Export Plan Readiness Potential Overcome Challenges Export Counseling . Export Documentation & Regulations . Export Finance Resources . Identifying Schedule B/HTS Numbers . Vetting/Due Diligence on Foreign . Foreign Tariffs/Taxes Parties . Identifying Foreign Markets Inco‐terms and How to Get Paid . International Shipping & Logistics . Finding Agents, Distributors, Reps, etc. Certificates of Origin . Trade Shows and Events . Leveraging Trade Agreements & . Finding International Buyers Free Trade Zones . International Marketing Strategies . Foreign Import Requirements . Export Finance Resources . Export Controls Aerospace & Defense Sales Issues . International Traffic in Arms Regulation (ITAR): – Directorate of Defense Trade Controls, Department of State pmddtc.state.gov . Export Administration Regulations (EAR) – Department of Commerce, Bureau of Industry & Security www.bis.doc.gov . Foreign Military Sales (FMS) – Department of Defense, Defense Security Cooperation Agency www.dcsa.osd.mil Market Intelligence . Country Commercial Guides - Leverage reports, prepared annually by U.S. Embassy staff, containing information on the business, economic and political environments in foreign countries . Foreign Market Conditions - Industry‐specific market research reports and analysis - Country‐specific tariff, tax and regulatory information . International Demand Forecasting – Data mining and predictive analytics – Target foreign markets with highest demand for your products International Partner Search (IPS) . You provide your marketing materials and background on your company . We utilize our network of international contacts to interview potential partners and provide you with a list of pre-qualified candidates. Save valuable time and money by working only with pre-qualified international candidates that are interested in selling your products and services. Obtain high-quality market information on the marketability and sales potential for your products and services. Gold Key Matching Service (GKS) . Pre-screened appointment schedule arranged for you before you travel overseas . Customized market and industry briefings with our local trade specialists at U.S. Embassies and Consulates . Timely and relevant market research . Post-meeting debriefing with our trade specialists and assistance in developing appropriate follow-up strategies . Help with travel, accommodations, interpreter service, and clerical support, etc. International Company Profile (ICP) Determine whether an overseas company or individual is a suitable partner: - Management details - Business activities - Product/service lines - Financial condition - Credit-worthiness - Trading experience - Market coverage - Business connections in the target country. Single Company Promotion (SCP) . This service provides support and official sponsorship in a specific market under the auspices of the American Embassy or Consulate. – Product launches – Technical seminars – Networking receptions Held in a well recognized location, such as a hotel or in some cases, the U.S. Ambassador's residence. A typical event might include a 3-hour program with an introduction by a U.S. Government official followed by detailed company presentation and question/answer session followed by a networking session. Trade Shows/Trade Missions . International Trade Shows – U.S. pavilions put you in the best international trade shows with access to thousands of buyers. – one-on-one meetings with potential buyers. International Buyer Program (IBP) – U.S. Department of Commerce selects leading domestic trade shows to promote through its global network of offices and contacts. – U.S. Commercial Service staff in our Embassies and Consulates abroad recruit and bring delegations of qualified buyers, prospective representatives and distributors to domestic trade shows. – U.S. Commercial Service staff then facilitates meetings between buyers and exhibitors. International Trade Missions – Opportunity to meet with distributors, government and industry officials, prospective customers, and U.S. Embassy officials. Commercial Diplomacy Level the international playing field for your company . Overcome trade
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