U.S. Commercial Service

Briefing for Monterey Bay International Trade Association

Christina Sharkey Senior International Trade Specialist San Francisco Export Assistance Center January 30, 2009

Countries Commerce Defines as Middle East/North Africa

Countries Commerce Defines as Middle East/North Africa

Grouping Countries with Similar Commercial Aspects

• The Gulf –UAE, Saudi, Kuwait, Qatar, Oman, Bahrain, Yemen • The Levant – Lebanon, Jordan, Israel, West Bank/Gaza • North Africa – Egypt, Libya, Tunisia, Algeria, Morocco

Saudi Arabia

• Population: 22,570,580 • Population (including non-nationals): 28,146,656 • GDP: $381.989 billion • GDP Growth Rate: 5.0% • Annual Trade with U.S. (exports): $10,395.9 million • Annual Trade with U.S. (imports):$35,626.0 million

Saudi Arabia’s Top Sectors

• • • • • • • • • • • Oil & Gas Field Machinery Chemical Production Machinery Safety & Security Equipment Information Technology Electrical Power Systems Water Resources Equipment Medical Equipment Telecommunication Services Automotive Parts & Equipment Mining Industry Equipment Franchising

United Arab Emirates

• Population: 4,621,399 • GDP: $198.7 billion • GDP Growth Rate: 9.30% • Annual Trade with U.S. (exports): $11,604.8 million • Annual Trade with U.S. (imports): $1,337.5 million

United Arab Emirates’ Top Sectors

• • • • • • • • • • Aircraft and Parts Oil & Gas-Field Machinery Services Pollution Control Equipment Medical Equipment Architecture/Construction/Engineering Computers/Peripherals Safety and Security Equipment Air-conditioning and Refrigeration Equipment Building Products Sporting Equipment and Recreational Equipment

Kuwait

• Population: 1,305,445 • Population (including non-nationals): 2,596,799 • GDP:$112.105 billion • GDP Growth Rate: 10.0% • Annual Trade with U.S. (exports): $2,484 million • Annual Trade with U.S. (imports):$4,118.5 million

Kuwait’s Top Sectors

• • • • • • • • • • Civil Engineering and Construction Heating, Ventilation, and Air Conditioning-HVAC) Oil Field Equipment and Services Building and Construction Equipment Automobiles, Light Trucks, Vans and Utility Vehicles Automotive Parts and Supplies Education and Training Medical and Surgical Equipment Homeland Security Infrastructure, Equipment and Services Environmental Technologies and Services

Qatar

• Population:824,789 • GDP: $71.0 billion • GDP Growth Rate: 9.60% • Annual Trade with U.S. (exports): $2,756.7 million • Annual Trade with U.S. (imports): $477.1 million

Qatar’s Top Sectors

• • • • • • • • • Fresh/Chilled/Frozen Beef Poultry Meat (FOD) Architectural/Construction/Engineering Services Air-conditioning and Refrigeration Equipment Construction Equipment and Tools Oil & Gas Field Machinery and Equipment Telecommunications Equipment, Computers and Peripherals Education Services and Equipment Medical Equipment and Services Security and Safety Equipment

Oman

• Population: 2,734,347 • Population (including non-nationals): 3,311,640 • GDP: $56.32 billion • GDP Growth Rate: 6.2% • Annual Trade with U.S. (exports): $1,059 million • Annual Trade with U.S. (imports):$1,040 million

Oman’s Top Sectors

• Oil and Gas • Transportation • Water and Environmental Technology • Medical Equipment • Electrical and Mechanical Equipment • Power • Franchises • Telecommunications

Yemen

• Population: 23,013,376 • GDP: $27.56 billion • GDP Growth Rate: 3.2% • Annual Trade with U.S. (exports): $642 million • Annual Trade with U.S. (imports):$291 million

Yemen’s Top Sectors

• Telecom • Construction Equipment • Electrical Power Systems (ELP) • Healthcare Technology • Wheat, Corn, Soybean Meal, Rice

Iraq

• Population: 28,221,180 • GDP: $60.12 billion • GDP Growth Rate: 5.90% • Annual Trade with U.S. (exports): $1,560.2 million • Annual Trade with U.S. (imports): $11,395.6 million

Israel

• Population: 7,112,359 • GDP: $161.8 billion • GDP Growth Rate: 4.60% • Annual Trade with U.S. (exports): $13,019.3 million • Annual Trade with U.S. (imports): $20,794.4 million

Israel’s Top Sectors

• • • • • • • • • Automotive Aftermarket Parts & Equipment Educational Services Electronic Components Energy Homeland Security Intelligent Transportation Systems Medical Instruments Telecommunications Equipment Travel and Tourism Services

Egypt

• Population: 81,713,520 • GDP: $129.8 billion • GDP Growth Rate: 5.10% • Annual Trade with U.S. (exports): $5,346.8 million • Annual Trade with U.S. (imports): $2,376.7 million

Egypt’s Top Sectors

• • • • • • • • • • Telecommunications Equipment and Services Petrochemical Industry Environmental Equipment and Services Oil and Gas Field Machinery and Services Packaging Equipment Automotive Parts and Service Equipment Electricity and Power Generation Food Processing Equipment Port Development Services Hotel and Restaurant Equipment

Jordan

• Population: 6,198,677 • GDP: $15,833 billion • GDP Growth Rate: 6.40% • Annual Trade with U.S. (exports): $856.2 million • Annual Trade with U.S. (imports): $1,328.9 million

Jordan’s Top Sectors

• • • • • • • • • • Telecommunication Services Pharmaceuticals Non-electrical (mechanical) Machinery Electrical Machinery and Equipment (incl. Telecoms Equipment) Medical Equipment Transport Equipment / Spare Parts Wheat Barley Maize (Corn) Rice

Lebanon

• Population: 3,971,941 • GDP: $24.64 billion • GDP Growth Rate: 3.60% • Annual Trade with U.S. (exports): $825.9 million • Annual Trade with U.S. (imports): $104 million

Lebanon’s Top Sectors

• Automotive • Air Conditioning / Refrigeration Equipment • Drugs/Pharmaceuticals • Medical Equipment • Apparel • Education Services

Morocco

• Population: 34,343,220 • GDP: $ 74.3 billion • GDP Growth Rate: 4.30% • Annual Trade with U.S. (exports): $1,342.7 million • Annual Trade with U.S. (imports): $609.9 million

Morocco’s Top Sectors

• Telecommunications equipment • Electrical power systems • Environmental equipment & services • Water resources equipment • Tourism • Oil and Gas Exploration

Algeria

• Population: 33,769,668 • GDP: $171.3 billion • GDP Growth Rate: 3.4% • Annual Trade with U.S. (exports): $1,652 million • Annual Trade with U.S. (imports): $17,816 million

Algeria’s Top Sectors

• Oil and Gas - Hydrocarbons • Information and Communications Technology • Public Works and Infrastructure Development • Healthcare • Agricultural Products

Tunisa

• Population: 10,383,577 • GDP: $35.0 billion • GDP Growth Rate: 5.50% • Annual Trade with U.S. (exports): $403 million • Annual Trade with U.S. (imports): $457.6 million

Tunisia’s Top Sectors

• Telecommunications Equipment/Services • Electrical Power Systems • Aircraft/Airport Ground Support • Automotive Parts/Services/Equipment • Architecture/Construction/Engineering Services • Pollution Control Equipment

Libya

• Population: 6,007,069 • Population (including non-nationals): 6,173,579 • GDP: $56.8 billion • GDP Growth Rate: 5.90% • Annual Trade with U.S. (exports): $ 510.8 million • Annual Trade with U.S. (imports): $ 3,385.2 million

Libya’s Top Sectors

• • • • • • • • • • Oil Exploration and Production Natural Gas and LNG Downstream Refining Construction and Engineering Services Transportation Electric Power Telecommunications Education and Training Desalination and Water Treatment Medical Equipment and Services

Countries of Concern and Export Controls

Sanctioned Countries: • Iran • Syria • Sudan Bureau of Industry and Security: Larry Sullivan Tel. 408 998 8806 [email protected]

www.bis.doc.gov

Office of Foreign Assets Control: http://www.treas.gov/offices/enforcement/ofac/

U.S. Advantages in MENA

• General Preference for Western Goods – Price sensitive for lower GDP countries • U.S. Technologies in demand • Weak US dollar gives some advantage • English language widely spoken

Do’s

• Do take your time, business is done on relationships, and you need to get to know your partner • Do show interest in the person, not just the business • Do research all the countries in a region, and relevant trade agreements • Do your due diligence and know all the facts about your potential partner • Do check all the lists • Do learn a few words of Arabic, it will be appreciated • Do remain engaged • Do check travel.state.gov for the latest in travel warnings and alerts

Don’ts

• Don‘t talk politics – Particularly politics of the Middle East!

• Don’t expect a signed contract on your first visit • Don’t just follow the hype on Dubai – there are many opportunities in the Middle East, and looking further beyond may offer more and better opportunities • Don’t travel during or near a religious holiday/Ramadan • Don’t forget to call the Commercial Service! There are many government programs to help you, some free, and some for a small charge – you’ll be surprised at what your tax dollars can do for you.

U.S. Commercial Service

The U.S. Commercial Service is a program of the U.S. Department of Commerce’s International Trade Administration.

Our mission:

 To promote the export of goods & services from the United States, particularly by small- and medium-sized businesses  To represent U.S. business interests internationally  To help U.S. businesses find qualified international partners

Our Network & What it can do for you

• Trade specialists in over 100 U.S. cities and in 80 countries worldwide...

We can...

• Locate international buyers, distributors & agents • Provide expert help at every stage of the export process • Help you to enter new markets faster and more profitably

Products & Services

• • • • • • • Market Research Gold Key Matching Service Trade Counseling & Advocacy International Partner Search Due Diligence Reports Commercial News USA Catalog Exhibitions

Trade Information Center

The Trade Information Center (TIC) is a comprehensive resource for information on all U.S. Federal Government export assistance programs. Information available from the Center:

• Information on all U.S. government export assistance programs. • General export counseling. • Sources of international market research and trade leads. • Import tariffs/taxes and customs procedures. • Advice on Export Licenses and Controls. • Country-specific export counseling and assistance.

Call 1-800-USA-TRADE to contact the Trade Information Center

Market Research

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The U.S. Commercial Service Market Research Library contains more than 100,000 country and industry specific market reports, web sites, events, and trade directory listings.

Included in the Library: Country Commercial Guides

- Prepared annually by U.S. Embassy staff, these guides contain information on the business and economic situation of foreign countries and the political climate as it affects U.S. business and foreign investments.

Trade Counseling

Our trade specialists in the U.S. work directly with our team of experts overseas in getting you all the information and advice that you need. We can help you : 

Determine the best markets for your products & services

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Evaluate international competitors

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Identify and comply with legal and regulatory issues

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Settle disputes

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Learn about cultural issues and business protocol

The Advocacy Center

The U.S. Commercial Service’s Advocacy Center ensures that sales of U.S. products and services have the best possible prospects abroad. Assistance may include:

• Visits to key foreign officials by high-ranking U.S. officials • Direct support from U.S. officials stationed overseas • Letters to foreign decision-makers • U.S. export credit agency financing support to qualified U.S. companies

Advocacy Center efforts are coordinated with U.S. officials stationed at our embassies around the world and other U.S. government agencies to provide companies with maximum assistance.

Gold Key Matching Service

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Pre-screened appointment schedule arranged for you before you travel overseas

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Customized market and industry briefings with our local trade specialists

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Timely and relevant market research

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Post-meeting debriefing with our trade specialists and assistance in developing appropriate follow-up strategies

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Help with travel, accommodations, interpreter service, and clerical support

International Partner Search

1. You provide your marketing materials and background on your company 2. Then we use our network of international contacts to interview potential partners and provide you with a list of up to five pre-qualified partners

 Save valuable time and money by working only with pre-qualified international partners that are interested in selling your products and services.  Obtain high-quality market information on the marketability and sales potential for your products and services.  Get all this information in 15 days.

Commercial News USA

 Monthly trade magazine that lists U.S. products and services  Distributed free to more than 400,000 buyers from around world  A proven track record of high-response rates and sales results  Why not advertise and increase your international sales?

Check out www.export.gov/cnusa for more information

International Company Profile

• • • • • • Detailed report on a potential partner company can include: Company Details Background on Company Management Other product lines and companies represented Financials Embassy comments and recommendation Other info as requested

Catalog Exhibition Shows

1. You provide us with product literature, videos and other visuals 2. Then we promote your catalogs to hundreds of business visitors at selected trade shows and embassies around the world

What you’ll get:

 Your products promoted at events worldwide without you having to travel  Translation of key information about your firm for foreign visitors  Full trade leads presented to you at the end of the show

"I am a long time proponent of catalog shows. I believe that they provide a maximum benefit for a minimal investment, especially for a small business that can't afford to travel internationally."

Mills Machine, Shawnee, OK

“We find the catalog exhibition shows are an economical way of getting our message out, which we feel is the secret to developing new business"

Du-Co Ceramics Company, Saxonburg, PA

Local Programs and Trade Events

www.buyusa.gov/sanfrancisco

Your Local Contacts

In Monterey: Chris Damm Sr International Trade Specialist Phone: 408-535-2757 x 108 Fax: 408-535-2758 [email protected]

In San Francisco: Christina Sharkey Sr International Trade Specialist Phone: 415-705-1765 Fax: 415-705-2299 [email protected]

www.export.gov

www.buyusa.gov