Invest in America Presented at the Invest in California Seminar of the: September 13-15, 2010 Mark O Grady Commercial Attachè, US Commercial Service US Embassy, Seoul
U.S. FDI Positions Top 10 FDI Positions in the United States 10% 62% 11% 3% Note: Numbers denote percentage of the global investment position in the United States 2 2
U.S. FDI Trends Top 10 FDI Growth Countries in the United States 38% 60% 230% 41% 64% 30% 65% 31% 27% 50% Note: Numbers denote average annual growth (CAGR) of FDI position between 2004 and 2008 3
Asian FDI in Perspective Source: BEA 4
Korean FDI in the United States Sample of Recent Greenfield Investment Announcements: Fr0m 2003-2009 Korean companies invested in nearly 150 greenfield FDI projects in the United States. The projects are valued at $15 billion, supporting over 31,0000 jobs. March 2010 - Samsung Telecommunications America, which makes mobile phones, has opened a new packaging and distribution facility in Texas. The communications sector investment is valued at $120 million, supporting 500 jobs. December 2009 - LG Electronics USA, a subsidiary of LG Electronics, has opened the LG Training Academy in California, to support the company's expanding commercial air conditioning business. The consumer electronics sector investment is valued at $6.5 million, supporting approximately 80 jobs. October 2009 - Hyundai Motor announced plans to invest $22 million in Michigan in a manufacturing project in the automotive components sector, supporting 200 jobs. June 2009 - Kumho Asiana Group opened a U.S. based retail tire centre in California. The project is valued at $36 million, supporting 260 jobs. Source: FDI Markets 5
USA: A Great Return on Investment #1 FDI Potential Index 2009 Source: United Nations Conference on Trade and Development #2 * #2 Global #4 Ease Global Innovation Index 2009 Source: BCG and the National Association of Manufacturers (NAM) Competitiveness Index 2009 Source: World Economic Forum of Doing Business 2009 Source: World Bank 6
Strong R&D History U.S. Share of Global R&D Expenditures United States 40% Source: RAND Corporation s National Defense Research Institute 7
Scientific Expertise Nobel Laureates in the Sciences 2000-2007 Source: The Nobel Foundation 8
Driving Technology through Patent Development 167,350 Number of Patents Granted in 2009 by the U.S. Patent Office 51% Originating from International Developers last two years in a row! Source: IFI Patent Intelligence Analysis of 2009 s Top U.S.-Patent Recipients 9
Driving Technology through Educational Excellence 6 of the Top Ten Universities in the World Harvard University Yale University Princeton University California Institute of Technology University of Chicago Massachusetts Institute of Technology 6Are Located in the United States Source: The Times Educational Supplement 2008 http://www.timeshighereducation.co.uk 10
Ensuring a Great Return on Investment $14.58 trillion U.S. GDP 304 million U.S. Population $48,000 Per Capita GDP Source: 2008 U.S. Department of Commerce, Bureau of Economic Analysis, U.S. Population Clock Census Bureau 11
USA: Strong Consumer Base $36,000 Per Capita Disposable Income Source: U.S. Department of Commerce, Bureau of Economic Analysis (4th quarter 2008) 12
Maintaining Competitiveness Invest in America Launched March 2007 Primary U.S. Government Mechanism to Manage Foreign Investment Promotion What We Do: 1. Facilitate Investment Inquiries 2. Act as Ombudsman 3. Connect Investors with U.S. States 4. Provide Policy Guidance 5. Educate Investors 13
Invest in America Guide to Incentives Electric Drive Vehicle Battery and Component Manufacturing Initiative National Institute of Health Challenge Grants in Health and Science Research Business Energy Tax Credit Loan Guarantee Program Wind and Hydropower Technologies Program Updated Guide Available July 2010 at http://www.investamerica.gov/ Contact Invest in America with questions 14
Invest in America Addressing Policy Concerns: Registered Business Traveler Facilitation Programs Further Strengthening of Public Information Efforts Expanded Range and Points of Service with New Technology Performance Standards 15
Investor Education Business and Investment Seminar Series: How to apply for a visa Entering the United States Understanding CFIUS Export control regulations * Alternate policy and regulatory issues may be addressed depending on target market interests. 16
Ombudsman Role Ombudsman for Foreign Investors: 17
Ombudsman Activities 06/09/2008: Foreign manufacturer operating in the United States contacts Invest in America regarding long wait for an EPA decision. 06/09/2008: Invest in America opens ombudsman case for the foreign investor. June 2008: Invest in America carefully researches the matter, seeks EPA contacts, and ascertains decision guidelines. 07/03/2008: Invest in America informs company of timeline, offers support if timeline is exceeded, and provides the appropriate EPA contact. 18
U.S. Commercial Service Respond to investment inquiries Refer Ombudsman cases to Headquarters Foster collaborative relationships with host government agencies and local entities to promote foreign investment where appropriate Support U.S. economic development agencies in official investment activities 19
Contacts Invest in America welcomes your comments, questions, and inquiries. Mark O Grady, Commercial Officer U.S. Commercial Service U.S. Embassy, Seoul Tel: 82-2-397-4535 Fax: 82-2-397-1628 Email: mark.ogrady@mail.doc.gov Invest in America invites you to sign up for its monthly e-newsletter. http://www.investamerica.gov Aaron Brickman, Director International Trade Administration U.S. Department of Commerce Tel: 202-482-5199 Fax: 202-482-3643 Email: aaron.brickman@mail.doc.gov 20
U.S. Commercial Service in Korea Thank You Q & A Mark O Grady Commercial Attachè, US Commercial Service US Embassy, Seoul
and... we should not forget the benefits of the Korean American Community 22