The Business Of US Imports Is Growing Bigger Every Day
The United States imports more than $1.2 trillion worth of goods and services each year. These goods and services range from high-tech equipment to luxury items to more mundane household goods and originate in more than 150 countries. The import market is huge, so you should easily be able to find a place in it for your goods!
Why Such a Big Business?
The imports market is staggeringly large for a country with a population of only around 310 million people. There are a few reasons for this that may be useful to companies thinking of joining the market. First, some imported goods are not locally available, like bananas. Second, certain kinds of goods, particularly luxury items like caviar, champagne, French perfume, or German luxury cars, have a cachet that the locally-produced equivalent might have. Finally, some imported items, like electronics or clothing, are cheaper when made elsewhere.
US Imports Come from Many Different Places
Top Import Partners
While US imports come from many different places, the market is dominated by a few countries. Slightly more than 18% of all US imports come from China. The next highest amount of imports comes from Canada, with 14.8%, followed by Mexico, Japan, and Germany. In fact, the top fifteen US imports partners control nearly 75% of the imports market. This includes countries like South Korea, the United Kingdom, Venezuela, Nigeria, Saudi Arabia, Taiwan, India, and others that make a variety of items.
Top Import Goods
The US imports a variety of different goods, including everything from foods to clothing and cars to computers. The biggest import is crude oil, which makes up a whopping 16.3% of all US imports and is the major contribution of Saudi Arabia, Venezuela, and Nigeria. Other important products include passenger cars, materials to make medicines, computers and computer accessories, cotton clothing, cell phones and other telecommunications equipment, and TVs and DVD players.
US imports Market
While the US imports market does big business every year, the businesses involved in it are not very big. In fact, only 4% of the US import export market is made up of large national or multinational corporations. The other 96% are small businesses. What this means is that there are lots and lots of available trading partners in the US looking for many different kinds of goods to import, and they’re looking for both finished goods like clothing and electronics and raw materials for producing their own goods.
Trade Limits and Regulations
While in some ways importing goods into the US has a simpler procedure than exporting goods from the US, there are some important issues to consider when getting involved in the US imports market. The US does charge import tariffs or taxes on a variety of goods when they enter the US. The tax varies on the product and the country of origin, so it is important to research this subject. The US also limits imports of certain kinds of raw materials to set per-country quotas, so it may be difficult to break into these markets.
The US imports market is huge and is continuing to grow exponentially. While it is dominated by imports from a relatively small number of countries, the market expansion means that there is plenty of room for new companies to get involved.
If you enjoyed reading about The Business Of US Imports Is Growing Bigger Every Day then see our next article about Import Goods.
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