Unleashing Opportunities: Why US Manufacturers Must Export to Europe

Unleashing Opportunities: Why US Manufacturers Must Export to Europe.

Introduction:

In an increasingly interconnected global economy, expanding into international markets is crucial for the success and growth of US manufacturers. While the domestic market offers significant opportunities, exploring new markets, such as Europe, can open doors to untapped potential and long-term sustainability. In this blog, we highlight the importance of exporting to Europe for US manufacturers, the growing demand for American-made products, the advantages of having a secondary market, and the pivotal role of Orbis Partner in facilitating export growth. We also delve into the remarkable growth of US exports to Europe in the last decade, presenting figures, statistics, and insights to support our case.

Having a Plan B:

Diversifying Market Presence The global business landscape is ever-changing, influenced by geopolitical shifts, economic fluctuations, and evolving consumer preferences. In this volatile environment, having a Plan B becomes essential for US manufacturers. By expanding into Europe, manufacturers can establish a secondary market, reducing reliance on a single domestic market. This diversification helps mitigate risks and ensures a more stable revenue stream, even in times of uncertainty.

Growing Demand for American-Made Products European consumers have long demonstrated a fondness for American-made products. The reputation of American manufacturing excellence, innovation, and quality resonates with European buyers, creating a strong demand for US products across various industries. From automotive parts and electronics to food and beverages, European consumers value the authenticity, craftsmanship, and reliability associated with American-made goods. US manufacturers have a unique opportunity to tap into this growing demand and establish a strong foothold in the European market.

Advantages of Having a Secondary Market Entering the European market offers numerous advantages for US manufacturers. Firstly, Europe boasts a large consumer base, comprising diverse demographics and affluent populations. This presents a significant opportunity for manufacturers to scale their operations and increase their customer reach. Additionally, the European market is characterized by a high degree of connectivity, well-established supply chains, and advanced infrastructure, facilitating smooth business operations and logistics. Furthermore, Europe’s stringent quality standards and regulatory frameworks create an environment conducive to maintaining product excellence and customer satisfaction.

Free Trade Agreements:

Simplifying Market Entry The presence of free trade agreements (FTAs) between the United States and European countries further enhances the export opportunities for US manufacturers. These agreements eliminate or reduce trade barriers, such as tariffs and quotas, making it easier and more cost-effective to access European markets. The Transatlantic Trade and Investment Partnership (TTIP) negotiations aimed to further strengthen trade relations between the US and the EU. While TTIP negotiations were put on hold, the existing FTAs, such as the United States-Mexico-Canada Agreement (USMCA) and bilateral agreements with individual European countries, provide a solid foundation for expanding US exports to Europe.

Remarkable Growth of US Exports to Europe Over the past decade, US exports to Europe have experienced substantial growth. In 2010, US goods exports to Europe amounted to $258.6 billion, and by 2019, this figure had surged to $369.7 billion. This remarkable 43% growth reflects the increasing demand for American products in European markets.

In 2020, the largest US exports to the EU were aerospace products and parts, valued at $35.7 billion, followed by mineral fuels at $28.9 billion, and machinery at $26.4 billion. This diversification of exported goods highlights the breadth and depth of opportunities available in various sectors.

In terms of imported manufactured goods, machinery and vehicles constituted 38%, followed by chemicals at 25%, and other manufactured products at 18%. This demonstrates the European market’s appetite for US machinery, vehicles, and chemical products.

Top State Trade In 2020, Texas ranked highest in terms of the export of goods to the EU, with a value of $37.9 billion. California followed closely at $30.0 billion. South Carolina, Illinois, and Georgia also showcased significant trade volumes, amounting to $9.6 billion, $8.8 billion, and $8.3 billion, respectively. Even states such as Wyoming, Montana, and Hawaii participated in the trade, albeit with lower volumes of goods exported to the EU.

Orbis Partner:

Facilitating Export Growth To navigate the complexities of entering and expanding in the European market, US manufacturers can rely on the expertise and support of Orbis Partner. As a leader in export growth into Europe, Orbis Partner offers invaluable market knowledge, strategic guidance, and an extensive network of contacts. They assist manufacturers with market research, regulatory compliance, distribution channel establishment, and market entry strategies. Orbis Partner’s comprehensive support ensures that manufacturers can leverage the tremendous opportunities that the European market presents.

Conclusion:

US manufacturers must seize the opportunities presented by exporting to Europe. By diversifying their market presence, tapping into the growing demand for American-made products, and leveraging the advantages of having a secondary market, manufacturers can ensure long-term sustainability and growth. With the support of Orbis Partner, manufacturers gain access to crucial market insights and guidance to successfully navigate the European market. The remarkable growth of US exports to Europe in the last decade, coupled with the existing free trade agreements, underscores the vast potential that exporting to Europe holds for US manufacturers.

Emma Turner PR Manager

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