Exports Will Lift GDP Growth

By November 28, 2007Trade

A few examples of how America’s economy keeps humming thanks to exports. From Kiplinger Forecasts:

In the year through September 2007, exports to China were up 16% from the same period in 2006. Timken Co. of Canton, Ohio, is selling oodles of its specialty steel in the Middle Kingdom. China also buys huge volumes of American-grown soybeans and about one-third of the U.S. cotton crop. In addition, sales to China yield indirect benefits for companies that supply the exporters. For example, MTS Systems Corp. of Eden Prairie, Minn., one of the world’s leading manufacturers of test equipment, is doing brisk business with U.S. semiconductor makers and others selling to China.

U.S. exports to Brazil are up nearly 30%. John Deere and Caterpillar are cleaning up there with equipment sales to mining and agricultural businesses riding the wave of high-priced commodities. General Electric peddles jet engines and mining equipment to the South American giant, while IBM, Hewlett-Packard, Compaq and Dell all view Brazil as a choice target for their IT hardware sales forces.

Meanwhile, exports to India have gained a whopping 65%. Boeing will be busy for several years fulfilling orders, collectively worth $13 billion, from Air India and Jet Airways. Cisco is overflowing with Indian orders for IT networking gear, while Motorola and Alcatel-Lucent are cashing in on the nation’s expanding telecommunications infrastructure. Houston-based Transocean Inc. is selling the country deepwater gas drilling platforms as India tries to keep up with its burgeoning energy needs.

Impressive, eh?

Leave a Reply