International Perspective: Changing Trade Patterns Presented By: Michael D. Taylor Senior Director, International Affairs and Trade
Jul 27, 2015
International Perspective: Changing Trade Patterns
Presented By:
Michael D. Taylor
Senior Director, International Affairs and Trade
AgendaOverview of the U.S. Plastics Industry Trade
U.S. Trade Policy Update
FF&B Trade Flows & Market Opportunities
Q&A
3
Positivetrade balanceof $12.6 billion
$49.5BPLASTICS 7.3%
2014 Trade Statistics
In 2014, the U.S. plastics industry exported goods valued at $62.1 billion, up 3.1 percent from 2013
$35.1BRESINS 1.8%
$25.0BPRODUCTS 5.1%
$528.3MMOLDS 10.1%
$1.7BMACHINERY 7.7%
Source: U.S. International Trade Commission
Top Industry Export Markets20
02
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
$0
$5,000,000,000
$10,000,000,000
$15,000,000,000
$20,000,000,000
$25,000,000,000
$30,000,000,000
$35,000,000,000
$40,000,000,000
Mexico Canada China Belgium Brazil All Others
U.S
. $ B
illio
ns
Top Plastics Industry Export Markets 2014
All Others $23.5 billion
Mexico $15.8 billion
Canada $13.2 billion
China $5.2 billion
Belgium $2.4 billion
Brazil $2.1 billion
Total $62.1 billion
Changes in U.S. Plastics Industry Exports
Mexico Canada China Belgium Brazil Japan South Korea
Germany United Kingdom
Hong Kong
World-30%
-20%
-10%
0%
10%
20%
30%
40%
9.5%
3.0%
-8.9%
-3.8% -4.8%-2.5% -2.2%
-9.5%
0.6%
-11.5%
0.0%
9.1%
0.4% 0.4%
12.0% 11.4%
-13.3%
14.2%
2.4% 1.9%
-5.8%
2.7%
5.9%4.4%
7.4%
3.0%
-8.3%
3.6%1.5%
5.8%
11.5%9.6%
3.1%
2012 2013 2014
Changes in U.S. Plastics Industry Exports for the Top 10 Exports Markets2012-2014
Source: U.S. International Trade Commission
Growth of Plastics – Industry Exports
NAFTA BRIC Free Trade Agreement Countries
Asia EU28 South America TOTAL-10%
-5%
0%
5%
10%
15%
6.3%
-7.5%
4.0%
-7.9%
-4.4%
2.4%
0.0%
4.9%
2.6%3.5%
-4.5%
3.7%
-3.1%
2.7%
5.2%
0.3%
3.9%2.6%
5.9%
-3.1%
3.1%
2012 2013 2014
Percentage Growth of Plastics Industry Exports2012-2014
Source: U.S. International Trade Commission
Trade Agreements Benefit U.S. Exports
• Exports to FTA partners are up 57% since 2009.• 46% of U.S. goods exports go to our trade agreement partners.• U.S. export growth to our FTA partners (57%) has grown more rapidly
than exports to the rest of the world (44%).• In 2013, 21 of 50 states had record-high exports to these partners.• As a share of goods export value, exports from SMEs exceed the
overall worldwide average of 33% in many FTA markets, including new partners South Korea, Colombia, and Panama.
• The U.S. has a $15.2 billion trade surplus in non-oil products with our FTA partners, nearly 70% higher than the 2009 value nearly 70% higher than the 2009 value.
• In 2014, the U.S. plastics industry had more than a $20.9 billion surplus with our twenty FTA partners.
Source: U.S. Department of Commerce
8
Trade Promotion Authority (TPA)
Trade Promotion Authority (TPA) also known as fast-track negotiating authority is legislation that:
1) Helps shape the principal goals the United States wants to accomplish in international trade negotiations with other countries
2) Establishes a framework for Congress and the Executive Branch to partner in pursuing trade agreements and enacting bills implementing the agreements into law
3) Includes a set of legislative procedures that allows the President to submit a bill implementing a trade agreement to Congress for an up - or - down vote within a set period of time, without amendments.
Trans-Pacific PartnershipTrans-Atlantic Trade & Investment Partnership
Global Opportunities
9
• 2014: U.S. plastics industry exports to the 11 TPP countries were more than $34B
• Since 2000: plastics exports to TPP countries increased more than 91%
• 2014: plastics industry trade surplus with TPP countries was $13.7B
• A high-standard TTIP would advance trade and investment liberalization and address regulatory and other non-tariff barriers
• Based on 2011 trade flows, the U.S. plastics industry would be one of the top benefiting sectors with a total potential tariff savings of $465M
Trans-Pacific Partnership (TPP) by the Numbers
• 698 – The U.S. exported $698 billion in goods to TPP markets in 2013.• 97 – Small and medium-sized enterprises accounted for 97 percent of all
U.S. companies exporting goods to TPP countries in 2011.• 45 – TPP markets accounted for 45 percent of all U.S. goods exports in
2012.• 4 to 50 – America's share of imports into TPP countries varies considerably,
accounting for as little as 4 percent of Vietnam's total imports to as high as 50 percent of Mexico's total imports.
• 1.4 to 5.5 – TPP countries include both developed and developing countries, with projected growth rates ranging from 1.5 percent (Japan) to 5.5 percent (Peru).
• 38.5 – The U.S. plastics industry exported goods worth more then $38.5 billion to the TPP countries in 2014 up 4.6 percent from 2013.
U.S. Plastics Trade Balance by Segment
Source: U.S. International Trade Commission
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
-10,000,000,000
-5,000,000,000
0
5,000,000,000
10,000,000,000
15,000,000,000
20,000,000,000
25,000,000,000
Resin Products Machinery Molds
U.S. Plastics Trade Balance with FTA Countries by Segment
Source: U.S. International Trade Commission
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
-2,000,000,000
0
2,000,000,000
4,000,000,000
6,000,000,000
8,000,000,000
10,000,000,000
12,000,000,000
Resin Products Machinery Molds
Classification Codes
• North American Industrial Classification System (NAICS) Codes– 326 Plastics and Rubber Products Manufacturing
• 3261 Plastics Product Manufacturing– 32611 Plastics Packaging Materials and Unlaminated Film and Sheet Manufacturing
» 326111 Plastics Bag and Pouch Manufacturing» 326112 Plastics Packaging Film and Sheet (including Laminated) Manufacturing» 326113 Unlaminated Plastics Film and Sheet (except Packaging) Manufacturing
• Harmonized Tariff Schedule Codes– Chapter 39 Plastics and Articles Thereof
• 3919 Self-Adhesive Plates, Sheets, Film, Foil and Strip, of Plastics, whether or not in Rolls
• 3920 Other Plates, Sheets, Film, Foil and Strip, of Plastics, Non-Cellular and Not Reinforced, Laminated, Supported or Similarly Combined with Other Materials
• 3921 Other Plates, Sheets, Film, Foil and Strip, of Plastics
13
U.S. Exports of Film & Sheet (Except Packaging) 2000-2014
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
0
200,000,000
400,000,000
600,000,000
800,000,000
1,000,000,000
1,200,000,000
1,400,000,000
Canada Mexico China United Kingdom Belgium Germany
Japan Brazil Singapore Dominican Republic
U.S
. $
Mill
ions
U.S. Exports of Film & Sheet (Except Packaging) 2000-2014
200
0
200
1
200
2
200
3
200
4
200
5
200
6
200
7
200
8
200
9
201
0
201
1
201
2
201
3
201
40
50,000,000
100,000,000
150,000,000
200,000,000
250,000,000
United Kingdom Belgium Germany Japan Brazil Singapore
Dominican Republic
U.S
. $
Mill
ions
U.S. Imports of Film & Sheet (Except Packaging) 2000-2014
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
0
200,000,000
400,000,000
600,000,000
800,000,000
1,000,000,000
1,200,000,000
1,400,000,000
Canada Mexico China Germany Japan Oman South Korea
Taiwan United Kingdom Israel
U.S
. $
Mill
ions
U.S. Imports of Film & Sheet (Except Packaging) 2000-2014
200
0
200
1
200
2
200
3
200
4
200
5
200
6
200
7
200
8
200
9
201
0
201
1
201
2
201
3
201
40
100,000,000
200,000,000
300,000,000
400,000,000
500,000,000
600,000,000
Mexico China Germany Japan Oman South Korea Taiwan
United Kingdom Israel
U.S
. $
Mill
ions
U.S. Exports of Non Self-Adhesive Plates, Sheets, Film 2000-2014
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2,000,000,000
4,000,000,000
6,000,000,000
HTS 3920 HTS 3921
U.S
. $
Bill
ions
Top U.S. Markets for Other Plate, Sheet, Film Non-Cellular Not Supported 2000-2014
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
0
200,000,000
400,000,000
600,000,000
800,000,000
1,000,000,000
1,200,000,000
1,400,000,000
Canada Mexico China United Kingdom Belgium Germany
Japan Brazil Singapore Dominican Republic
U.S
. $
Mill
ions
Top U.S. Markets for Other Plate, Sheet, Film Non-Cellular Not Supported 2000-2014
200
0
200
1
200
2
200
3
200
4
200
5
200
6
200
7
200
8
200
9
201
0
201
1
201
2
201
3
201
40
50,000,000
100,000,000
150,000,000
200,000,000
250,000,000
300,000,000
350,000,000
400,000,000
450,000,000
China United Kingdom Belgium Germany Japan Brazil
Singapore Dominican Republic
U.S
. $
Mill
ions
Top U.S. Exports of Other Plate, Sheet, Film Non-Cellular Not Supported 2000-2014
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
0
200,000,000
400,000,000
600,000,000
800,000,000
1,000,000,000
1,200,000,000
1,400,000,000
1,600,000,000
Polymers of Ethylene Other Plastics NESOI PET
Polymers of Propylene Polymethyl Methacrylate Polymers of Vinyl Chloride NESOI
U.S
. $
Mill
ions
The Distribution of U.S. Exports of Other Plate, Sheet, Film Non-Cellular Not Supported 2014
26.8%
18.1%
12.6%
11.1%
5.7%
5.6%
20.1%
Polymers of Ethylene
Other Plastics NESOI
PET
Polymers of Propylene
Polymethyl Methacrylate
Polymers of Vinyl Chloride NESOI
All Other
Top U.S. Markets for Other Plate, Sheet, Film by 2000-2014
200
0
200
1
200
2
200
3
200
4
200
5
200
6
200
7
200
8
200
9
201
0
201
1
201
2
201
3
201
40
100,000,000
200,000,000
300,000,000
400,000,000
500,000,000
600,000,000
700,000,000
800,000,000
900,000,000
Mexico Canada China United Kingdom Hong Kong
Japan South Korea Germany France Italy
U.S
. $
Mill
ions
Top U.S. Exports of Other Plate, Sheet, Film 2000-2014
200
0
200
1
200
2
200
3
200
4
200
5
200
6
200
7
200
8
200
9
201
0
201
1
201
2
201
3
201
40
100,000,000
200,000,000
300,000,000
400,000,000
500,000,000
600,000,000
700,000,000
Cellular Polyurethanes Cellular Other PlasticsEx Cellular Ex Flexible NESOI Non-Cellular Combined w/ TextilesEx Cellular Flexible NESOI Cellular Vinyl Chloride
U.S
. $
Mill
ions
The Distribution of U.S. Exports of Other Plate, Sheet, Film 2014
23.3%
20.9%
16.6%
12.5%
10.7%
6.6%9.4%
Cellular Polyurethanes
Cellular Other Plastics
Ex Cellular Ex Flexible NESOI
Non-Cellular Combined w/ Textiles
Ex Cellular Flexible NESOI
Cellular Vinyl Chloride
All Other
In Conclusion…
• Notable Export Markets from 2013 to 2014 and 2015 YTD include:– Germany– United Kingdom– Netherlands– Japan– India
• Other Markets to Watch:– Taiwan– Singapore– Czech Republic– Italy– Finland– Belgium– Mexico– Canada
26
Thank You!谢谢 Merci Vielen Dank Grazie ありがとうございました 감사합니다 Obrigado Спасибо Gracias Teşekkürler
Questions & Answers
Michael [email protected]