Category: International

U.S. Import and Export Price Indexes summary

COEUSA, May 13 - U.S. import prices were unchanged in April, after increasing 2.9 percent in March, the U.S. Bureau of Labor 
Statistics reported today. Higher nonfuel prices in April offset lower fuel prices. Prices for U.S. exports
advanced 0.6 percent in April following a 4.1-percent increase the previous month.


The price index for U.S. imports was unchanged in April, after rising 6.8 percent over the first quarter of
2022. U.S. import prices have not recorded a monthly decline since the index fell 0.4 percent in December
2021. Prices for U.S. imports advanced 12.0 percent for the year ended in April, down from the 13.0-percent
increase recorded last month. (See table 1.)

Fuel Imports: Import fuel prices declined 2.4 percent in April following a 39.2-percent increase from
December to March. The decrease in April was the first 1-month drop since the index fell 7.7 percent in
December 2021. Lower petroleum prices in April more than offset higher natural gas prices. Despite the
decrease in April, import fuel prices rose 64.3 percent over the past 12 months. Petroleum prices fell 2.9
percent in April, after advancing 19.4 percent the previous month. In contrast, natural gas prices increased
6.8 percent in April following a 9.5-percent decline in March. Petroleum and natural gas prices rose over the
past year, advancing 63.0 percent and 102.2 percent, respectively.

All Imports Excluding Fuel: Prices for nonfuel imports increased 0.4 percent in April following advances
of 1.2 percent, 0.9 percent, and 1.4 percent the 3 previous months. Nonfuel import prices have not recorded
a 1-month drop since the index decreased 0.2 percent in November 2020. Higher prices for nonfuel
industrial supplies and materials; capital goods; foods, feeds, and beverages; and automotive vehicles all
contributed to the April increase in nonfuel import prices. The price index for nonfuel imports rose on a 12-
month basis, advancing 7.2 percent.

Foods, Feeds, and Beverages: Foods, feeds, and beverages prices increased 0.9 percent in April, after rising
0.4 percent in March. Prices for foods, feeds, and beverages have not recorded a monthly decline since the
index fell 0.1 percent in November 2021; the index advanced 12.1 percent for the year ended in April.

Nonfuel Industrial Supplies and Materials: Prices for nonfuel industrial supplies and materials rose 0.6
percent in April following a 4.6-percent advance in March. Higher prices in April for steelmaking materials,
fertilizer, and steel mill products more than offset lower prices for unfinished building materials and
precious metals.

Finished Goods: Prices for most of the major finished goods categories increased in April. Import capital
goods prices advanced 0.4 percent for the second consecutive month and the index increased 3.8 percent for
the year ended in April. The 12-month rise in capital goods prices was the largest over-the-year advance
since September 1992. The price index for automotive vehicles also increased in April, rising 0.3 percent
following a 0.1-percent advance in March. Prices for consumer goods were unchanged in April, the first
time the index has not recorded a monthly increase since February 2021.

U.S. export prices rose 0.6 percent in April following a 10.5-percent advance from December to March.
Higher prices for both agricultural and nonagricultural exports contributed to the overall increase in U.S.
export prices in April. The price index for U.S. exports rose 18.0 percent over the past year. (See table 2.)

Agricultural Exports: The price index for agricultural exports advanced 1.1 percent in April, after
increasing 4.3 percent the previous month. Agricultural export prices have not declined on a monthly basis
since September 2021. Higher prices in April for corn, cotton, meat, and nuts more than offset lower prices
for wheat and soybeans. Prices for agricultural exports rose 20.9 percent from April 2021 to April 2022, led
by higher prices for wheat, soybeans, corn, cotton, and meat.

All Exports Excluding Agriculture: Prices for nonagricultural exports advanced 0.5 percent in April
following increases of 4.1 percent in March, 3.3 percent in February, and 2.8 percent in January. In April,
higher prices for capital goods; nonagricultural industrial supplies and materials; automotive vehicles; and
consumer goods all contributed to the rise in nonagricultural export prices. The price index for
nonagricultural exports advanced 17.6 percent for the year ended in April, led by higher nonagricultural
industrial supplies and materials prices.

Nonagricultural Industrial Supplies and Materials: Nonagricultural industrial supplies and materials prices
increased 0.4 percent in April following a 20.7-percent advance from December to March. Higher prices for
chemicals and nonferrous metals more than offset a 1.3-percent drop in fuel prices. Despite the April
decline, export fuel prices rose 72.8 percent over the past year.

Finished Goods: Prices for each of the major finished goods categories advanced in April. Capital goods
prices increased 0.9 percent following consecutive 0.4-percent advances in March and February and a 0.9-
percent rise in January. Prices for export capital goods increased 5.1 percent for the year ended in April, the
largest 12-month advance since September 1982. The price index for automotive vehicles rose 0.8 percent
in April and consumer goods prices advanced 0.5 percent for the same period.

More information for the major import and export price indexes can be found at

Measures of Import and Export Prices by Locality

Imports by Locality of Origin: The price index for imports from China advanced 0.2 percent in April
following a 0.5-percent increase in March. The April rise was driven by higher prices for fabricated metal
products manufacturing. Prices for imports from China rose 4.6 percent over the past year. Import prices
from Japan advanced 0.3 percent in April, after increasing 0.5 percent the previous month. Prices for
imports from Japan rose 1.9 percent from April 2021 to April 2022. The price indexes for imports from the
European Union and Mexico also increased in April, advancing 0.2 percent and 0.6 percent, respectively. In
contrast, the price index for imports from Canada declined 1.4 percent, after rising 20.1 percent from
December to March. (See table 7.)

Exports by Locality of Destination: Export prices to China decreased 0.3 percent in April, the first
monthly drop since a 1.0-percent decline in December 2021. The decrease in April followed a 10.4-percent
rise from December to March. Despite the April drop, prices for exports to China advanced 14.5 percent
over the past 12 months. The price index for exports to Japan rose 0.7 percent in April following a 4.8-
percent increase in March. Export prices to Japan advanced 18.7 percent for the year ended in April, the
largest 12 month increase since May 2021. Prices for exports to the European Union fell 0.6 percent in
April, after rising 4.5 percent the previous month. The price index for exports to Canada increased 1.3
percent in April and export prices to Mexico rose 1.4 percent over the same period. (See table 8.)

Terms of Trade Indexes: Terms of trade indexes are based on country, region, or grouping and measure
the change in the purchasing power of exports relative to imports. U.S. terms of trade with China declined
0.5 percent in April, after rising 9.0 percent from December to March. Higher import prices from China and
decreasing export prices to China each contributed to the April drop in the U.S. terms of trade. Despite the
April decline, the index for U.S. terms of trade with China rose 9.4 percent from April 2021 to April 2022.
U.S. terms of trade with Japan advanced 0.4 percent in April following a 4.2-percent increase in March.
U.S. terms of trade with Japan rose 16.5 percent for the year ended in April, the largest over-the-year
advance since a 17.1-percent increase in May 2021. U.S. terms of trade with the European Union decreased
0.8 percent in April, after rising 3.1 percent the previous month. The index for U.S. terms of trade with
Canada advanced 2.8 percent in April and U.S. terms of trade with Mexico increased 0.8 percent over the
same period. (See table 9.)

Import and Export Services

Imports: Import air passenger fares advanced 3.6 percent in April following an 8.6-percent rise in March
and a 6.1-percent increase in February. In April, higher Asian, Latin American/Caribbean, and European
fares all contributed to the overall advance. Import air passenger fares rose 14.2 percent over the past year,
the largest 12-month increase since September 2021. Prices for import air freight declined 4.6 percent in
April, after increasing 2.7 percent the previous month. Import air freight prices advanced 6.5 percent from
April 2021 to April 2022. (See table 10.)

Exports: The index for export air passenger fares ticked up 0.1 percent in April following a 7.0-percent
advance in March. Higher Latin American/Caribbean fares in April offset declining Asian and European
fares. Export air passenger fares rose 9.7 percent for the year ended in April. Export air freight prices were
unchanged in April, after advances of 4.6 percent and 6.3 percent the previous 2 months. Prices for export
air freight have not recorded a 1-month decline since July 2021 and rose 23.3 percent over the past year.
The April 12-month advance was the largest over-the-year increase since the index rose 23.7 percent in
August 2008.

U.S. Import and Export Price Index data for May 2022 are scheduled for release on Wednesday, June 15, 2022
at 8:30 a.m. (ET).

New Foreign Direct Investment in the United States, 2020

Expenditures by foreign direct investors to acquire, establish, or expand U.S. businesses totaled $120.7 billion (preliminary) in 2020. Expenditures were down 45.4 percent from $221.2 billion (revised) in 2019 and below the annual average of $314.4 billion for 2014-2019. As in previous years, acquisitions of existing businesses accounted for a large majority of total expenditures.

In 2020, expenditures for acquisitions were $116.3 billion, expenditures to establish new U.S. businesses were $1.9 billion, and expenditures to expand existing foreign-owned businesses were $2.4 billion. Planned total expenditures, which include both first-year and planned future expenditures, were $135.8 billion.

Expenditures by industry, country, and state in 2020

By industry, expenditures for new direct investment were largest in manufacturing, at $63.3 billion, accounting for 52.4 percent of total expenditures. Within manufacturing, expenditures were largest in chemical manufacturing ($26.9 billion) and computers and electronic products ($14.8 billion). There were also notable expenditures in information ($17.4 billion), primarily telecommunications.

By country of ultimate beneficial owner (UBO), the largest investing country was Germany, with expenditures of $20.5 billion. Canada ($15.2 billion) was the second largest country, followed by Switzerland ($13.8 billion). By region, Europe contributed two-thirds of new investment in 2020.

By U.S. state, Texas received the largest investment, with expenditures of $18.6 billion, followed by California ($17.8 billion) and New Jersey ($14.1 billion).

Greenfield expenditures

Greenfield investment expenditures—expenditures to either establish a new U.S. business or to expand an existing foreign-owned U.S. business—were $4.4 billion in 2020. Total planned expenditures until completion for greenfield investment initiated in 2020, which include both first-year and future expenditures, were $19.5 billion.

By U.S. industry, greenfield expenditures in 2020 were largest in manufacturing ($1.3 billion) and utilities ($1.1 billion). By region of UBO, Europe ($2.2 billion) and Asia and Pacific ($1.7 billion) had the largest expenditures. By U.S. state, Texas received the highest level of greenfield investment ($1.0 billion).

Employment by newly acquired, established, or expanded foreign-owned businesses

In 2020, employment at newly acquired, established, or expanded foreign-owned businesses in the United States was 197,500 employees. Current employment of acquired enterprises was 194,000. Total planned employment, which includes the current employment of acquired enterprises, the planned employment of newly established business enterprises when fully operational, and the planned employment associated with expansions, was 206,500.

By industry, retail trade accounted for the largest number of employees (between 50,000 and 100,000)1followed by manufacturing (30,900), primarily chemical manufacturing. By country of UBO, Canada accounted for the largest number of employees (112,400), followed by the United Kingdom (10,100) and the United Kingdom Islands in the Caribbean, which include the British Virgin Islands and Cayman Islands (7,400).

By U.S. state, Texas had the largest employment (between 50,000 and 100,000), followed by California (21,000) and Arizona (9,300). Employment for an acquired entity that operated in multiple states is attributed to the state in which it had the greatest number of employees.












Foreign Direct Investment Strengthens America’s High-Tech Competitiveness


High-Tech Industry Employment Concentration, High-Tech Employment/All Employment, by Metro Area, 2015. Source: U.S. Census Bureau, 2015 County Business Patterns.

By Maureen Book, Research Analyst, SelectUSA
SelectUSA recently released its second industry-focused report: “High-Tech Industries: The Role of FDI in Driving Innovation and Growth.”

This report provides an in-depth look at high-tech clusters in the United States and gives the first-ever analysis of the role of foreign direct investment (FDI) in high-tech industries. The report’s biggest takeaway is that FDI plays a significant role in these industries.

Where Are High-Tech Clusters?

High-tech industries are defined as employing more than twice the concentration of science, technology, engineering and mathematics (STEM) workers compared to the national average. After analyzing the U.S. high-tech industry and considering participation of both foreign and domestic firms, SelectUSA explored the geography of high-tech companies in the United States by state, to identify large groups, or clusters, of employment. The top employers of high-tech workers were California, Texas and New York, while the District of Columbia, Virginia and Washington boast the highest employment per capita of high-tech jobs.

High-Tech Clusters by Metro Area

Looking at metro areas with the highest concentration of high-tech employment, SelectUSA found that San Jose, Calif., tops the list with more than 34 percent of local employment in high-tech industries. It was followed closely by Elkhart, Ind., with nearly 33 percent, and Huntsville, Ala., with over 31 percent.

While the concentration in San Jose might not be surprising because it is the largest city in the Silicon Valley, Elkhart and Huntsville both have industry concentrations nearby to make them important locations for high-tech companies. Elkhart’s economy is heavily concentrated in the transportation equipment manufacturing industry and centers around recreational and commercial vehicle manufacturing. While Huntsville is home to many military technology firms and aerospace and defense contractors.

The Role of Foreign Direct Investment (FDI)
Using our definition of high-tech industries and data published by the Bureau of Economic Analysis, SelectUSA looked at the role that FDI plays in high-tech industries. FDI generally involves not only monetary investment, but the management of a company by a foreign enterprise. To be considered FDI, the investment must usually be linked with the real output of the country in which it operates.

Our data found that FDI stock in high-tech industries reached over $1.6 trillion in 2016 and supported 2.1 million jobs in the United States. In fact, the high-tech component of FDI is quite robust – nearly 44 percent of all FDI in the United States is invested in high-tech industries.

Compensation, R&D, Exports and Value-Added Activities

Beyond employment, FDI in high-tech sectors has other significant contributions to the U.S. economy.

The U.S. affiliates of foreign-owned firms typically offer higher wages compared to domestic firms. In addition, companies engaged in FDI in high-tech industries offer higher average pay compared to FDI companies in other industries – more than $101,000 per worker.

U.S. affiliates of foreign-owned firms in the high-tech sector also spend nearly $42 billion on research and development (R&D). In 2015, they also contributed $154 billion towards U.S. goods exports and more than $373 billion towards value-added activities.

Source Markets Supporting High-Tech
We also find that Germany, the United Kingdom, France, and Japan are among the largest source markets for R&D spending, exports and value-added activities in high-tech industries. Beyond that, they are also the US’s traditional trading partners. Collaborating with them on FDI reinforces our trade relationships and strengthens the US’s bilateral ties with these partners.

MBDA Director Visits China on Business Opportunity Trade Mission

MBDA National Director David Hinson, along with a 27-member delegation of U.S. corporate executives and minority-owned businesses, recently completed a China Business Opportunity Trade Mission to Beijing, Tianjin and Shanghai. The goal of the trade mission was to meet with potential corporate, government and university partners and attend the Minority Supplier Development (MSD) China Summit and Business Opportunity Fair.

The trip was organized by the National Minority Supplier Diversity Council (NMSDC) to foster business relations between American corporate and minority-owned businesses, corporate members of MSD China, and Chinese ethnic minority businesses that are not a part of the Han Chinese majority in China and Taiwan.

Director Hinson was a keynote speaker at the MSD China Summit and Business Opportunity Fair, held Sept. 1-2 at the Tasly International Conference Center in Tianjin. In his remarks, he encouraged participants to join in helping minority suppliers gain more business opportunities within the global economy.

The annual event brought together 80 corporate executives, minority supplier development professionals and purchasing executives, along with a host of Chinese and U.S. government officials, and about 100 minority business owners from China and the U.S. The Summit also included several delegations from ethnic minority regions within China.

“Among those core values that citizens of the United States and China share is the belief that we owe our success to the ingenuity, intellect and creativity of our people,” Hinson said.

Over the course of the two days, the Summit provided a forum for an exchange of ideas and included workshops onBusiness Opportunities with Multinational Corporations; Starting a Business in China: Practical Advice from Experts; How Traditional Chinese Medicine Goes International; and The Development of Chinese Ethnic Minorities and Chinese Minority Business Enterprises.

MSD China is the country’s first, national non-profit membership organization dedicated to enhancing the development of the 56 non-majority Chinese ethnic groups in business by connecting minority suppliers to corporations for procurement opportunities on a mutually beneficial basis.

The U.S. delegation attending the event included representatives from Dell, IBM, United Technologies Corporation, The Boeing Company, Hewlett-Packard Company, Marriott International, Inc., Merck, PepsiCo, and several minority businesses and leaders from the NMSDC. The China trade mission ran from Aug. 29 through Sept. 5.

Director Hinson’s time in China also included meetings in Beijing to discuss MBDA’s globalization program and objectives, investment opportunities in China, and current merger and acquisition trends. In addition, he met with the School of Continuing Education at Tsinghua University for an overview of its globalization program and to discuss minority business enterprise matching and the possibility of a joint program between Tsinghua and U.S. universities.

The Business Opportunity Trade Mission is a part of MBDA’s ongoing efforts to create access for minority businesses and broaden domestic and global opportunities through strategic partnerships.

Readout of the President’s Meeting with General Zulkifeli of Malaysia

On August 24, 2017, President Donald J. Trump met with General Zulkifeli bin Muhammad Zin, Director General of the Malaysian National Security Council, accompanied by Malaysia’s Ambassador to the United States, Zulhasnan Rafique, and expressed the gratitude of the United States for the Malaysian Coast Guard, Royal Malaysian Navy, and Royal Malaysian Air Force’s help in recovering the fallen United States sailors of the USS John S. McCain. The President also told General Zulkifeli that he looks forward to welcoming Malaysian Prime Minister Najib Abdul Razak to the White House on September 12. General Zulkifeli was in Washington, D.C., to meet with Assistant to the President for National Security Affairs LTG H.R. McMaster. Noting the 60th anniversary of United States-Malaysia relations, LTG McMaster and General Zulkifeli discussed ways to strengthen bilateral ties, particularly in trade and investment, as well as defense and security cooperation. A stronger partnership in these areas will help the two countries address shared challenges and promote regional peace and stability, including the fight to defeat ISIS and other extremist networks.