In the business world, the UK is often seen in a favourable and positive light by US business people and consumers and a wide variety of UK products can be found in the American marketplace.

Exactly the same can be said the other way round, highlighted by the spread of US products available in the UK. The UK and US also offer each other access to important wider markets: the US as a base for UK firms looking to the Americas – North, Central and South – the UK as a base for US companies looking to Europe. The UK has a good service sector base to help US firms – we understand doing business in the European market and how to approach it; the US can bring the benefits of NAFTA.

Total two - way trade in goods of over £50bn reflects the strong and important trade links that exist between the UK and the US. In 1999, UK exports of goods to the US increased by almost 12% (in value terms) and by November 2000 the increase was just over 21%. UK imports from the US had also increased by November 2000, up by almost 16% over the same period the previous year.

The UK was 6th in the US import table behind Canada, Japan, Mexico, China, Germany – during last year, almost 20% of goods sourced in the European Union by US firms came from the UK. Conversely the UK is the 4th biggest market for US exports – over 25% of US exports to the EU came to the UK.

Two - way trade in services is just as significant. This was in excess of £30bn in 1999, of which over two-thirds was in private services. In today’s nternet age with many more services being provided electronically, how great is the scope for this trade to grow, even if we are, as is said, two countries divided by a common language.

As overall levels of UK/US trade continue to increase, there has also been a shift in the mix of products being exported from the UK to the US. There has been large growth in exports of high knowledge content products, such as components for telecommunications, electronics and computers. For example, UK exports of telecommunications and sound recording and reproducing apparatus to the US saw growth, in value terms, of almost 50%, and those of office machines and ADP equipment growth of over 25%. Across the board, this suggests that the UK has the right products, of the right quality and at a competitive price for American buyers.

The fact that we are the number one foreign direct investors in each other’s country also underlines our mutual importance. A staggering total of £264bn ($396bn) worth of direct investments produced income payments back to our respective countries totalling over £18bn ($26. 8bn) in 1999.

Trade Partners UK is committed to helping UK firms develop new, and existing, US business – that is, to increasing those already large two-way trade figures. As well as helping raise awareness of the opportunities that exist, we aim to help them develop the skills, knowledge and confidence to compete successfully in the marketplace.

Identifying market opportunities is fine only if companies are properly prepared and ready to tackle them. Hence, Trade Partners UK is placing greater emphasis on help to get firms ready to export. Two of our programmes – Export USA and the US Marketing Scholarships – are examples of where we are doing this already.

The trade promotion role still exists and last year we supported around 100 groups of UK firms, either exhibiting at trade shows in the US or visiting as trade missions. Both can provide invaluable exposure in the marketplace for UK firms as well as providing an ideal opportunity for American buyers to see some of the new and innovative products and technologies available in the UK.
Biotechnology, aerospace and food and drink are just three of the sectors where Trade Partners UK has supported group visits where good potential business or partnership leads have been generated.

Promoting the close relationship is not confined to the UK only. Trade Partners UK has resources at the 13 British Consulates and Trade Offices across the US.

A commitment to strengthening the UK/US relationship is reflected in the opening of offices in Denver and Phoenix during 2000. The commercial staff at all these offices play a crucial role in maintaining and developing the close bilateral trade relationship. Not only can they be the eyes and ears for UK industry, they can be the first hand of greeting for a US business looking for a UK partner or product – the first hand in a potential new UK/US business relationship. Their job includes undertaking work commissioned by individual UK companies and passing potential export sales leads back to the UK through the Trade UK Export Sales Lead Service. They are always pleased to hear from American buyers looking to source a product in the UK.

Specific relationships have developed at a regional level, too, as can be seen in the various British-American business organisations in the UK and US. Trade Partners UK will continue to encourage and support these on both sides of the Atlantic. The close UK/US trade relationship has been around for over a century and looks well set for the future.

(above) : Los Angeles Skyline (far top) : George Washington's statue