diff --git "a/89e63c8a-1be3-4790-a381-d56b0b022231.json" "b/89e63c8a-1be3-4790-a381-d56b0b022231.json" new file mode 100644--- /dev/null +++ "b/89e63c8a-1be3-4790-a381-d56b0b022231.json" @@ -0,0 +1,40 @@ +{ + "interaction_id": "89e63c8a-1be3-4790-a381-d56b0b022231", + "search_results": [ + { + "page_name": "International trade in cars - Statistics Explained", + "page_url": "https://ec.europa.eu/eurostat/statistics-explained/index.php?oldid=328429", + "page_snippet": "EU statistics show that the car industry is of prime importance to the economy and plays a major role in international trade.The car industry is of prime importance to the economy of the European Union (EU) and plays a major role in international trade. This article is part of an online publication providing recent statistics on international trade in goods, covering information on the EU's main partners, main products traded, specific characteristics of trade as well as background information. In 2022, the EU exported \u20ac158 billion worth of cars, which was \u20ac8 billion more than the previous peak of \u20ac150 billion in 2015. In 2022, the EU exported \u20ac158 billion worth of cars, which was \u20ac8 billion more than the previous peak of \u20ac150 billion in 2015. Imports in 2022 amounted to \u20ac62 billion, giving the EU a trade surplus of \u20ac96 billion (Figure 1). The value of extra-EU trade in cars increased by an average of 3.8 % per year between 2002 and 2022 with imports (4.4 %) growing faster than exports (3.6 %). Figure 1: EU exports, imports and trade balance in cars, 2002-2022 (\u20ac billion) Source: Eurostat (online data code: DS-018995) In 2002, the share of cars in total extra-EU exports of goods was 7.7 % (Figure 2). This share dropped to 5.2 % in 2009 and peaked at 8.0 % in 2015 and then dropped to 6.1 % in 2022. In 2002, the share of cars in total extra-EU exports of goods was 7.7 % (Figure 2). This share dropped to 5.2 % in 2009 and peaked at 8.0 % in 2015 and then dropped to 6.1 % in 2022. The share of cars in total extra-EU imports of goods was 2.8 % in 2002. It dropped to 1.9 % in 2012 and reached a peak of 3.3 % in 2019 before falling to 2.1 % in 2022. Figure 2: Share of cars in total extra-EU trade, 2002-2022 (%) Source: Eurostat (online data code: DS-018995) In 2022, the United States was the main export destination of EU's cars (23 % of the total), ahead of the United Kingdom (17 %), China (15 %), South Korea, Switzerland (both 5 %), Japan and T\u00fcrkiye (both 4 %). These seven partners made up almost three-quarters of extra-EU exports of cars.", + "page_result": "\n\n\n\nInternational trade in cars - Statistics Explained\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
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\n International trade in cars\n

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Revision as of 13:07, 6 November 2023 by Roodhan (talk | contribs)
(diff) \u2190 Older revision | Latest revision (diff) | Newer revision \u2192 (diff)
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Data extracted in April 2023. \n

Planned article update: May 2024.\n

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Highlights

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Cars - exports to countries outside the EU reached a peak of \u20ac158 billion in 2022.\n

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Cars - 46 % of exports in Slovakia to countries outside the EU in 2022 were cars.\n

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Cars - \u20ac92 billion, 59 % of EU total made Germany the largest exporter in 2022. \n

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\n[[File:International trade in cars10-05-2023.xlsx]]

EU exports, imports and trade balance in motor cars, 2002-2022

  • Source: Eurostat (online data code: DS-018995)
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This article describes the development of trade in cars. The car industry is of prime importance to the economy of the European Union (EU) and plays a major role in international trade. \n

This article is part of an online publication providing recent statistics on international trade in goods, covering information on the EU's main partners, main products traded, specific characteristics of trade as well as background information.\n

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    Car exports peaked in 2022

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    In 2022, the EU exported \u20ac158 billion worth of cars, which was \u20ac8 billion more than the previous peak of \u20ac150 billion in 2015. Imports in 2022 amounted to \u20ac62 billion, giving the EU a trade surplus of \u20ac96 billion (Figure 1). The value of extra-EU trade in cars increased by an average of 3.8 % per year between 2002 and 2022 with imports (4.4 %) growing faster than exports (3.6 %). \n

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    \"Combined
    Figure 1: EU exports, imports and trade balance in cars, 2002-2022
    (\u20ac billion)
    Source: Eurostat (online data code: DS-018995)
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    In 2002, the share of cars in total extra-EU exports of goods was 7.7 % (Figure 2). This share dropped to 5.2 % in 2009 and peaked at 8.0 % in 2015 and then dropped to 6.1 % in 2022. The share of cars in total extra-EU imports of goods was 2.8 % in 2002. It dropped to 1.9 % in 2012 and reached a peak of 3.3 % in 2019 before falling to 2.1 % in 2022. \n

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    Figure 2: Share of cars in total extra-EU trade, 2002-2022
    (%)
    Source: Eurostat (online data code: DS-018995)
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    The United Kingdom and the United States were the EU's biggest partners in trade of cars in 2022

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    In 2022, the United States was the main export destination of EU's cars (23 % of the total), ahead of the United Kingdom (17 %), China (15 %), South Korea, Switzerland (both 5 %), Japan and T\u00fcrkiye (both 4 %). These seven partners made up almost three-quarters of extra-EU exports of cars.\n

    China and the United Kingdom (both 15 %) were the main origin of extra-EU imports, ahead of the United States (14 %), South Korea (13 %), Japan (12 %), T\u00fcrkiye (10 %) and Mexico (8 %). Together the top seven made up 88 % of all extra-EU imports of cars. It should be noted that exports and imports relate to production within the corresponding country, regardless of the nationality of the factory.\n

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    Figure 3: Main extra-EU partners for exports and imports of cars, 2022
    (%)
    Source: Eurostat (online data code: DS-018995)
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    Between 2002 and 2008, exports of cars to the United States had already fallen from \u20ac23 billion to \u20ac18 billion (Figure 4). In 2009 they declined to \u20ac11 billion, losing \u20ac7 billion in only one year. However, there was a strong resurgence of exports, peaking at \u20ac36 billion in 2022. \n

    Imports from the United States grew from \u20ac3 billion in 2002 to \u20ac6 billion in 2008 but then halved in 2009. They peaked in 2020 at \u20ac11 billion then dropped to \u20ac9 billion in 2022.\n

    During the whole period, the EU had a trade surplus for cars with the United States. It was lowest in 2009 (\u20ac8 billion) and highest in 2022 (\u20ac28 billion).\n

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    Figure 4: EU trade with the United States in cars, 2002-2022
    (\u20ac billion)
    Source: Eurostat (online data code: DS-018995)
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    In 2002, exports of cars to the United Kingdom amounted to \u20ac27 billion, which after some fluctuations dropped to \u20ac19 billion in 2009 (Figure 5). After that, they increased to \u20ac41 billion in 2015 and 2016, but dropped to \u20ac27 billion in 2022. \n

    Imports from the United Kingdom were \u20ac9 billion in 2002, and remained between \u20ac8 billion and \u20ac12 billion until 2014. They increased to \u20ac16 billion in 2016 after which they gradually fell to \u20ac9 billion in 2022. \n

    Between 2002 and 2022, the EU had a trade surplus for cars with the United Kingdom which peaked at \u20ac26 billion in 2015. It dropped to \u20ac17 billion in 2022.\n

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    Figure 5: EU trade with the United Kingdom in motor cars, 2002-2022
    (\u20ac billion)
    Source: Eurostat (online data code: DS-018995)
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    In 2002, exports of cars to China amounted to \u20ac1 billion, increasing to \u20ac5 billion in 2009 (Figure 6). After that, growth accelerated to peak at \u20ac24 billion in 2022. There were few imports of cars from China until 2019, but the growth in recent years reached \u20ac9 billion in 2022.\n

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    Figure 6: EU trade with China in cars, 2002-2022
    (\u20ac billion)
    Source: Eurostat (online data code: DS-018995)
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    The share of intra- and extra-EU imports of cars varied greatly between EU Member States (Figure 7). The share for extra-EU imports was above 40 % in Slovenia (61 %), Cyprus (51 %) and Belgium (46 %), and below 5 % in Luxembourg (1 %), Austria (2 %), Croatia (3 %), Latvia (4 %) and Estonia (5 %).\n

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    Figure 7: Extra- and intra-EU imports of motor cars, 2022
    (%)
    Source: Eurostat (online data code: DS-018995)
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    The share of intra- and extra-EU exports of cars varied even more than for imports. The share for extra-EU exports was above 90 % in Cyprus (100 %), Ireland (96 %) and Malta (95 %) and below 5 % in Luxembourg (3 %).\n

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    Figure 8: Extra- and intra-EU exports of motor cars, 2022
    (%)
    Source: Eurostat (online data code: DS-018995)
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    Germany is the EU's largest exporter of cars

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    Looking at the trade in cars by individual EU Member States, Germany alone was responsible for almost three-fifths of the EU total exports in 2022 (Table 1). In relative terms, i.e. compared with their total extra-EU exports, cars represented 12.9 % of Germany's total exports. This share was surpassed only by Slovakia (45.6 %) and Czechia (14.9 %) which were the only other EU Member States whose share of cars in total exports of goods was higher than 10 %. \n

    With a value of \u20ac19.9 billion in 2022, Germany's share in total EU imports of cars (32.1 %) was the highest of the EU imports, followed by Belgium (24.6 %). For most EU Member States imports of cars made up less than 5 % of their total imports of goods. The only three countries with higher shares were Slovenia (9.1 %), Belgium (6.2 %) and Cyprus (5.1 %). 13 EU Member States had deficits for trade in cars in 2022. It was highest in Belgium (\u20ac6.9 billion), Slovenia (\u20ac2.0 billion) and France (\u20ac1.0 billion). The remaining 14 EU Member States had surpluses, which were highest in Germany (\u20ac72.3 billion) and Slovakia (\u20ac9.1 billion).\n

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    Table 1: Extra-EU trade in cars, 2022
    (\u20ac million and %)
    Source: Eurostat (online data code: DS-018995)
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    Cars dominate trade in road vehicles and related products

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    The subcategory 'motor cars and other motor vehicles for transporting persons', described above as cars, is one of the six subcategories that make up the category road vehicles. Total exports of road vehicles in 2022 were worth \u20ac252.3 billion and their imports were worth \u20ac120.6 billion. Exports of cars (\u20ac157.7 billion) made up 62 % of road vehicles, while the share for imports of cars (\u20ac61.9 billion) was 51 % (Figure 9). 'Parts and accessories of motor vehicles' followed with exports of \u20ac55.9 billion (22 %) and imports of \u20ac28.5 billion (24 %). 'Motor vehicles for the transport of goods and special-purpose motor vehicles' had exports of \u20ac18.9 billion (7 %) and imports of \u20ac7.5 billion (6 %). 'Motor cycles and cycles, motorized and non-motorized; invalid carriages' is the only subcategory where the EU had a trade deficit which amounted to \u20ac10.6 billion in 2022.\n

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    Figure 9: Extra-EU trade in road vehicles by category, 2022
    (\u20ac billion)
    Source: Eurostat (online data code: DS-018995)
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    Source data for tables and graphs

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    Data source

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    EU data comes from Eurostat's COMEXT database.\n

    COMEXT is the Eurostat reference database for international trade in goods. It provides access not only to both recent and historical data from the EU Member States but also to statistics of a significant number of non-EU countries. International trade aggregated and detailed statistics disseminated from the Eurostat website are compiled from COMEXT data according to a monthly process. Because COMEXT is updated on a daily basis, data published on the website may differ from data stored in COMEXT in case of recent revisions.\n

    European statistics on international trade in goods are compiled according to the EU concepts and definitions and may, therefore, differ from national data published by Member States.\n

    The United Kingdom is considered as an extra-EU partner country for the EU for the whole period covered by this article. However, the United Kingdom was still part of the internal market until the end of the transitory period (31 December 2020), meaning that data on trade with the United Kingdom are still based on statistical concepts applicable to trade between the EU Member States. Consequently, while imports from any other extra-EU trade partner are grouped by country of origin, the United Kingdom data reflect the country of consignment. In practice this means that the goods imported by the EU from the United Kingdom were physically transported from the United Kingdom but part of these goods could have been of other origin than the United Kingdom. For this reason, data on trade with the United Kingdom are not fully comparable with data on trade with other extra-EU trade partners.\n

    Product classification\nProducts of the road vehicles sector are defined according to the fourth revision of the Standard international trade classification. They include the divisions 781 motor cars and other motor vehicles for transporting persons; 782 Motor vehicles for the transport of goods and special-purpose motor vehicles; 783 Road motor vehicles, not elsewhere specified (tractors, etc); 784 Parts and accessories of motor vehicles; 785 Motor cycles and cycles, motorized and non-motorized; invalid carriages; and 786 Trailers and semi-trailers.\n

    Unit of measure\nTrade values are expressed in millions of euros. They correspond to the statistical value, i.e. to the amount which would be invoiced in case of sale or purchase at the national border of the reporting country. It is called a FOB value (free on board) for exports and a CIF value (cost, insurance, freight) for imports.\n

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    Context

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    Trade is an important indicator of Europe's prosperity and place in the world. The bloc is deeply integrated into global markets both for the products it sources and the exports it sells. The EU trade policy is one of the main pillars of the EU's relations with the rest of the world.\n

    Because the 27 EU Member States share a single market and a single external border, they also have a single trade policy. EU Member States speak and negotiate collectively, both in the World Trade Organisation, where the rules of international trade are agreed and enforced, and with individual trading partners. This common policy enables them to speak with one voice in trade negotiations, maximising their impact in such negotiations. This is even more important in a globalised world in which economies tend to cluster together in regional groups.\n

    The openness of the EU's trade regime has meant that the EU is the biggest player on the global trading scene and remains a good region to do business with. Thanks to the ease of modern transport and communications, it is now easier to produce, buy and sell goods around the world which gives European companies of every size the potential to trade outside Europe.\n

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    Retrieved from \"https://ec.europa.eu/eurostat/statistics-explained/index.php?title=International_trade_in_cars&oldid=619996\"
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    \n\n\n\n\n\n\n\n\n\n\n\n", + "page_last_modified": " Mon, 06 Nov 2023 12:07:24 GMT" + }, + { + "page_name": "What Are Exports? Definition, Benefits, and Examples", + "page_url": "https://www.investopedia.com/terms/e/export.asp", + "page_snippet": "Exports are those products or services that are made in one country but purchased and consumed in another country.Every year, the United States is usually one of the top exporters of automotive vehicles. As domestic companies manufacturer cars, trucks, and other vehicles, these are shipped around the world and used by non-U.S. entities. In 2020, the Observatory of Economic Complexity reported that the United States was the world's third largest exporter of cars, distributing $47.6 billion of vehicles around the world. The United States distributed over $10 billion worth of vehicles to Canada, with other top being countries receiving U.S.-made vehicles being Germany, China, Belgium, and South Korea. Of the U.S. manufacturers that distribute goods around the world. BMW Manufacturing led domestic companies by the value of cars exported. In 2021, BMW exported nearly 260,000 vehicles to roughly 120 countries, an export total of more than $10 billion. 2021 was the eighth consecutive year that BMW Manufacturing led automotive exports by value, and more than 24% of the company's exports were delivered to China. Alternatively, the United States was also the top importer of vehicles in 2020. It imported $144 billion of cars, most of which came from Japan, Canada, and Mexico.", + "page_result": "\n\n\n\n\n\n\n\n\n\n\nWhat Are Exports? Definition, Benefits, and Examples\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n \n\n\n\n\n\n\n
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    Table of Contents\n
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    Table of Contents\n\n\n
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    • What Is an Export?
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    • Understanding Exports
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    • The Export Process
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    • Trade Barriers and Other Limitations
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    • Pros and Cons of Exports
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    • Real-World Example of Exports
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    • Exports FAQs
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    • The Bottom Line
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    • Economics
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    What Are Exports? Definition, Benefits, and Examples

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    \nTroy Segal is an editor and writer. She has 20+ years of experience covering personal finance, wealth management, and business news.\n
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    Updated September 30, 2023
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    \n\n\nReviewed by\nCharles Potters\n
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    Ariel Courage is an experienced editor, researcher, and former fact-checker. She has performed editing and fact-checking work for several leading finance publications, including The Motley Fool and Passport to Wall Street.

    \" tabindex=\"0\" data-inline-tooltip=\"true\"> Ariel Courage\n
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    \n\n\nFact checked by\nAriel Courage\n
    \nFull Bio
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    Ariel Courage is an experienced editor, researcher, and former fact-checker. She has performed editing and fact-checking work for several leading finance publications, including The Motley Fool and Passport to Wall Street.

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    Investopedia / Eliana Rodgers

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    What Is an Export?

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    Exports are goods and services that are produced in one country and sold to buyers in another. Exports, along with imports, make up international trade. Instead of confining itself within its geographical borders, countries often intentionally seek external markets around the world for commerce, allowing greater revenue and transactional opportunities.\n

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    Key Takeaways

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    • Export refers to a product or service produced in one country but sold to a buyer abroad.
    • Exports are one of the oldest forms of economic transfer and occur on a large scale between nations.
    • Exporting can increase sales and profits\u00a0if they reach\u00a0new markets, and they may even present an opportunity to capture significant global market share.
    • Companies that export heavily are typically exposed to a higher degree of financial risk.
    • In 2021, the world exported nearly $28 trillion of goods and services, led by China ($3.5 trillion of exports).
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    Understanding Exports

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    Exports are incredibly important to modern economies because they offer people and firms many more markets for their goods. One of the core functions of diplomacy and foreign policy between governments is to foster economic trade, encouraging exports and imports for the benefit of all trading parties.\n

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    Export agreements are often heavily strategic, with countries exchanging agreements to ensure their own country can not only receive the goods they need via export but can distribute goods for more domestic revenue via imports. Also, consider how governments may use exports as leverage over political situations. In response to the war in Ukraine, the White House issued an executive order prohibiting both the importation and exportation of certain goods from Russia.\n

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    Companies often measure their net exports which is their total exports minus their total imports. Net exports is a component of measuring a country's gross domestic product (GDP), so exports play a factor in determining a country's financial and economic well-being.\n

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    Good may be sent via direct exporting or indirect exporting. Direct exporting entails working directly with the importer. The exporting company will handle all of the client communication; as a result, they do not pay a middleman fee. Because the direct export method may require teams with specialized knowledge, many companies opt to contract out a middle party to facilitate an indirect export.\n

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    In 2021, the world exported almost $28 trillion worth of goods. $3.5 trillion of this activity came from China, the world's largest exporter.

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    The Export Process

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    In many cases, a country will partner with another country to understand the demand needs for certain products. Instead of blindly manufacturing goods and hoping for an international buyer, the export process often starts with the manufacturing country receiving an order. The exporting country must often receive proper clearance from their home country to export goods; this is often done by obtaining an export license or meeting other country-specific requirements.\n

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    The export process usually entails settling several financial matters upfront. First, the exporter may seek out a letter of credit from the importer if applicable. This ensures the exporter can have greater faith in the transaction and will receive compensation for the goods once exported. The exporter and importer also fix the exchange rate at which the exported goods will be exchanged at from the foreign currency to the home currency. At this point, an invoice is most often issued and paid for, finalizing the sale.\n

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    As the order is prepared, formal documents are gathered including a permit issued by the customers department, financial document such as a bill of lading and shipping documents are prepared, and and shipment advance information. These documents are remit to the seller; of primary importance is the shipment advance which notifies the importer how goods will be transmitted.\n

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    Trade Barriers and Other Limitations

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    A trade barrier is any government law, regulation, policy, or practice that is designed to protect domestic products from foreign competition or artificially stimulate exports of particular domestic products. The most common foreign trade barriers are government-imposed measures and policies that restrict, prevent, or impede the international exchange of goods and services.\n

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    \n

    Companies that export are presented with a unique set of challenges. Extra costs are likely to be realized because\u00a0companies must\u00a0allocate considerable resources to researching foreign markets and modifying products to meet local demand and regulations.\n

    \n
    \n

    \n

    Exports facilitate international trade and stimulate domestic economic activity by creating employment, production, and revenues.

    \n

    Companies that export are typically exposed to a higher degree of financial risk. Payment collection methods, such as open accounts, letters of credit, prepayment and consignment, are inherently more complex and take longer to process than payments from domestic customers.\n

    \n
    \n

    Advantages and Disadvantages of Exports

    \n

    Pros of Exports

    \n

    Companies export products and services for a variety of reasons. Exports can increase sales and profits if the goods create new markets or expand existing ones, and they may even present an opportunity to capture significant global market share. Companies that export spread business risk by diversifying into multiple markets.\n

    \n
    \n

    Exporting into foreign markets can often reduce per-unit costs by expanding operations to meet increased demand. Finally, companies that export into foreign markets gain new knowledge and experience that may allow the discovery of new technologies, marketing practices and insights into foreign competitors.\n

    \n
    \n

    Cons of Exports

    \n

    To export goods, countries may need to incur high transportation costs and the risk of loss due to the transportation of goods. If ownership of the goods does not pass to the buyer until goods are received, this may make the exportation unduly risky for the exporter.\n

    \n
    \n

    Because of logistic and economic constraints, small and medium-sized businesses or governments may find difficulty in exporting goods. In addition, smaller companies often do not have the in-house personnel needed to potentially navigate international trade regulation. Exporting of goods is much more common for larger bodies with greater resources to seek out these outside markets.\n

    \n
    \n

    Last, exporting to foreign countries may result in currency risk. Depending on exchange rate agreements at the time of contract, a foreign currency's worth may deteriorate, negatively affecting an exporter. Consider when one currency strengthens against another; if the exporter is to be paid in the currency whose value has depreciated, their export may be devalued. This devaluation may also occur based on extenuating tariffs or lower export prices.\n

    \n
    \n

    Exporting

    \n
    \nPros\n
      \n

    • Often allows for greater economic activity leading to higher revenue

      • \n

    • May result in production efficiencies due to scaling manufacturing

      • \n

    • May result in greater innovation and R&D through working with foreign partners

      • \n

    • May reduce operational risk in some areas as revenue streams become more diversified

      • \n
    \n
    \n
    \nCons\n
      \n

    • May result in high transportation charges

      • \n

    • May not be achievable by smaller entities due to lack of knowledge and resources

      • \n

    • May result in currency exchange risk due to devaluating currencies

      • \n

    • May increase operational risk in some areas due to unknown political or geographical risks

      • \n
    \n
    \n
    \n
    \n

    Real-World Example of Exports

    \n

    Every year, the United States is usually one of the top exporters of automotive vehicles. As domestic companies manufacturer cars, trucks, and other vehicles, these are shipped around the world and used by non-U.S. entities.\n

    \n
    \n

    In 2020, the Observatory of Economic Complexity reported that the United States was the world's third largest exporter of cars, distributing $47.6 billion of vehicles around the world. The United States distributed over $10 billion worth of vehicles to Canada, with other top being countries receiving U.S.-made vehicles being Germany, China, Belgium, and South Korea.\n

    \n
    \n

    Alternatively, the United States was also the top importer of vehicles in 2020. It imported $144 billion of cars, most of which came from Japan, Canada, and Mexico.\n

    \n
    \n

    Of the U.S. manufacturers that distribute goods around the world. BMW Manufacturing led domestic companies by the value of cars exported. In 2021, BMW exported nearly 260,000 vehicles to roughly 120 countries, an export total of more than $10 billion. 2021 was the eighth consecutive year that BMW Manufacturing led automotive exports by value, and more than 24% of the company's exports were delivered to China.\n

    \n
    \n

    What Is Export Policy?

    \n

    Export policy is the government legislation that dictates how, what, when, and with whom a country exports goods. Export policy defines the tariffs, customs requirements, and limitations on international trade for each country.

    \n
    \n
    \n

    Is It Better to Export Goods Than Import Goods?

    \n

    For each country, this answer will be different. In many cases, it is best to import some goods and export others. Each country is often more proficient in manufacturing certain goods based on their climate, citizen skillset, or access to raw materials. Therefore, it's arguably best for a company to manufacturer and export what it is more efficient at doing so and revert to importing other goods where it may be economically challenging to produce on its own. A great example is produce where certain countries simply have better arable lands and climate conditions to grow certain goods over others.

    \n
    \n
    \n

    What Are the Largest U.S. Exports?

    \n

    The United States largest exports include mineral fuels, machinery, vehicles, medical apparatus, and aircraft.

    \n
    \n
    \n

    Who Is The World's Largest Exporter?

    \n

    Based on most recent export information available for 2020 and 2021, China is the world's largest exporter, followed by the United States, Germany, France, and the United Kingdom.

    \n
    \n
    \n

    The Bottom Line

    \n

    An export is a good that is produced domestically but sold to a consumer overseas. Due to resource constraints, economic policy, and manufacturing strategies of each country, it sometimes makes more sense for countries to make goods to sell for revenue as opposed to retain for consumption.\n

    \n
    \n
    \n
    \n
    Article Sources
    \n
    \n
    \n
    \n
    Investopedia requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate. You can learn more about the standards we follow in producing accurate, unbiased content in our\neditorial policy.
    \n
      \n

    1. The World Bank. "Exports of Goods and Services."

      2. \n

    2. The White House. "Executive Order on Prohibiting Certain Imports, Exports, and New Investments With Respect to Continued Russian Federation Aggression."

      3. \n

    3. OEC. "Cars in United States."

      4. \n

    4. BMW Group. "Eight Years in a Row: BMW Manufacturing is Largest Automotive Exporter in the United States."

      5. \n

    5. World's Top Exports. "United States Top 10 Exports."

      6. \n
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    Related Terms
    \n
    International Commerce: What it Means, How it Works\n
    International commerce is trade between companies in different countries, or just trade between different countries.
    \nmore
    \n
    Free Trade Agreement (FTA) Definition: How It Works, With Example\n
    A free trade agreement reduces barriers to imports and exports between countries by eliminating all or most tariffs, quotas, subsidies, and prohibitions.
    \nmore
    \n
    What Is a Quota?\n
    A quota or protectionism is a government-imposed trade restriction limiting the number or value of goods a nation imports or exports during a specific time.
    \nmore
    \n
    Nontariff Barrier: Definition, How It Works, Types, and Examples\n
    A nontariff barrier is a trade restriction\u2013such as a quota, an embargo, or a sanction\u2013that countries use to further their political and economic goals.
    \nmore
    \n
    What Is Market Access in International Trade?\n
    Market access refers to the ability of a company or country to sell goods and services across borders.
    \nmore
    \n
    Net Exports: Definition, Examples, Formula, and Calculation\n
    A nation's net exports are the value of its total exports minus the value of its total imports. The figure is also called the balance of trade.
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    \n\n\n\n\n\n\n\n\n\n", + "page_last_modified": "" + }, + { + "page_name": "What does a carrier company do to old cell phones from their trade-in ...", + "page_url": "https://www.quora.com/What-does-a-carrier-company-do-to-old-cell-phones-from-their-trade-in-program", + "page_snippet": "", + "page_result": "", + "page_last_modified": "" + }, + { + "page_name": "Know your service exports: 4 ways services are traded globally ...", + "page_url": "https://www.tradeready.ca/2017/fittskills-refresher/know-service-exports-4-ways-services-traded-globally/", + "page_snippet": "According to the World Trade Organization, over the past 20 years trade in services has become the most dynamic segment of world trade, growing more quickly than trade in goods.According to the U.S. Trade Representative\u2019s Office, Trade in services with Canada (exports and imports) totaled an estimated $87.5 billion in 2015. Services exports to Canada totalled $57.3 billion, while services imports were $30.2 billion. Trade in services was also a major job creator in the U.S. Exports of goods and services to Canada supported approximately 1.7 million jobs in the country in 2014. Services include a wide range of activities. At one end of the spectrum are what might be termed personal services, such as training, live artistic performances and medical care. At one end of the spectrum are what might be termed personal services, such as training, live artistic performances and medical care. At the other end are impersonal services, such as telecommunications or the services embodied in manufactured products. In the case of telecommunications, for example, the service is delivered through automated equipment by a telephone company or a cable television operator. The World Trade Organization (WTO) lists four modes of delivery or ways in which services are exported. In both Canada and the U.S., the service sector is an important contributor to the economy. According to the U.S. Trade Representative\u2019s Office, Trade in services with Canada (exports and imports) totaled an estimated $87.5 billion in 2015. Services exports to Canada totalled $57.3 billion, while services imports were $30.2 billion. For example, a firm may be hired to build a subway system in another country. Part of the export will consist of subway cars, but an equally important component will be the design, planning, project management and training involved in constructing and operating the finished system.", + "page_result": "\n\n\n\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\n\n\t\n\tKnow your service exports: 4 ways services are traded globally - Trade Ready\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\t\t\t\n\t\t\t\n\t\t\t\n\t\t\t \t\n\t\t\n\n\n\n\t\n\n\t\n\t\n\t\n\t\n\n\n\n
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    Know your service exports: 4 ways services are traded globally

    \n \n
    \n

    \n 17/01/2017

    \n
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    \n
    \n

    By:\n FITT Team

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    Share
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    \"engineers

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    According to the World Trade Organization, over the past 20 years trade in services has become the most dynamic segment of world trade, growing more quickly than trade in goods.

    \n

    Services represent in excess of 21 percent of world trade. Forecasters predict that this figure will reach 50 percent by the year 2025, as information and communication technologies continue to increase the tradability of services. The shift to knowledge-based economic activity also results in the assimilation of economic activities, which creates an increasingly integrated global economy. The outsourcing of inputs, including services, further fuels the integration process.

    \n

    Trade in services between Canada and the U.S.

    \n

    In both Canada and the U.S., the service sector is an important contributor to the economy. According to the U.S. Trade Representative\u2019s Office, Trade in services with Canada (exports and imports) totaled an estimated $87.5 billion in 2015. Services exports to Canada totalled $57.3 billion, while services imports were $30.2 billion.

    \n

    Trade in services was also a major job creator in the U.S. Exports of goods and services to Canada supported approximately 1.7 million jobs in the country in 2014.

    \n

    Modes of Delivery: Four Ways Services Are Traded

    \n

    Services include a wide range of activities. At one end of the spectrum are what might be termed personal services, such as training, live artistic performances and medical care. At the other end are impersonal services, such as telecommunications or the services embodied in manufactured products. In the case of telecommunications, for example, the service is delivered through automated equipment by a telephone company or a cable television operator.

    \n

    The World Trade Organization (WTO) lists four modes of delivery or ways in which services are exported.

    \n

    \"GBE\u00a0

    \n

    Mode 1: Cross-border

    \n
    \r\n\r\n

    Cross-border trade takes place when the service itself crosses the border from one country to another without the movement of persons.

    \r\n

    \r\n    \r\n
    \n

    The service is transported either via electronic means (e-mail or fax) or by infrastructure, such as transportation services (air, rail, land or sea) or telecommunications (telephone or radio).\u00a0

    \n

    Examples:

    \n
      \n
    • Management consulting: studies, reports, business plans, financial advice
      • \n
    • Information and communication technology: Internet service provision, cellular telephony
      • \n
    • Marketing: market research, advertising, articles
      • \n
    • Consulting engineering: feasibility studies, drawings
      • \n
    • Health: tele-health
      • \n
    • Education and training: e-learning, distance learning
      • \n
    • Transportation: courier services, other transportation services
      • \n
    \n

    \u00a0Mode 2: Consumption abroad

    \n

    Consumption abroad relates to services used by nationals of one country in another country where the service is supplied. This requires the consumer to travel across the border to another country to actually use the service. The supplier of the service, who is being paid by a \u201cnon-resident\u201d customer, is technically exporting a service (even without leaving the country).

    \n

    Examples:

    \n
      \n
    • Tourism and travel-related services: tour operators, hospitality industry, business tourism, agri-tourism, eco-tourism, edu-tourism
      • \n
    • Education and training: study tours, conferences, foreign students, seminars
      • \n
    • Legal: client seeks legal advice in local market and so travels to the market
      • \n
    • Health: patient travels to foreign country for diagnosis and treatment
      • \n
    \n

    \u00a0Mode 3: Commercial presence

    \n

    Commercial presence refers to instances where a company from one country sets up subsidiaries or branches to provide services in another country.

    \n

    \u00a0Examples:

    \n
      \n
    • Financial services: banks, investment companies, insurance brokers
      • \n
    • Construction engineering: sets up project offices to manage local infrastructure projects
      • \n
    • Information technology: local offices set up to service local clients
      • \n
    • Distribution: shipping, warehousing, logistics
      • \n
    \n

    \u00a0Mode 4: Movement of natural persons

    \n

    Movement of natural persons refers to individuals travelling from their own country to supply services in another country.

    \n

    Examples:

    \n
      \n
    • Arts and culture: film industry\u2014actors, directors, production crew, performers
      • \n
    • Construction: architects, tradespeople
      • \n
    • Education and training: trainers, professional speakers
      • \n
    • Environmental: consultants, specialists
      • \n
    • Geomatics: mapping, oceanography
      • \n
    • Recreational and sporting: coaches, trainers, promoters
      • \n
    \n
    \r\n\r\n

    Companies become service exporters if they are paid for their services by a \u201cnon-resident\u201d customer, regardless of where the service is provided.

    \r\n

    \r\n    \r\n
    \n

    The subtlety of services trade

    \n

    For an export to take place, residents of one country pay residents of another for some kind of benefit. In the case of trade in goods, merchandise is physically shipped from one country to another, making tracking and measurement relatively straightforward. Trade in services is much more subtle.

    \n

    Take, for example, the case of a multinational corporation with offices in two adjacent countries. If the subsidiary in one country ships components to the subsidiary in the other, the transaction is recorded both within the corporation and in the customs offices of both countries. But if a manager from one subsidiary travels to the subsidiary in the other country to participate in meetings and offer advice, the export of that manager\u2019s services is not recorded anywhere. Yet, value\u2014in the form of several days of the manager\u2019s time\u2014has been transferred from one country to the other.

    \n

    Services may also be part of more complex international transactions. For example, a firm may be hired to build a subway system in another country. Part of the export will consist of subway cars, but an equally important component will be the design, planning, project management and training involved in constructing and operating the finished system. Some of these services will be delivered in person by individuals travelling to the site of the contract, falling under mode 4. Others, such as plans and schedules, can be transferred electronically, falling under mode 1.

    \n

    Technology is outpacing services trade regulation

    \n

    As information technology has become more sophisticated, databases, advanced software applications and the Internet have made it possible for many businesspeople to export their services without travelling abroad. This makes counting, controlling and regulating service trade more difficult.

    \n

    For example, medical services are rigorously regulated in virtually every country of the world. A doctor qualified in one country cannot practice in another without first passing a series of examinations in the second country. Yet, medical technology already enables X-rays and other types of body scans to be transmitted over long distances for examination and diagnosis. In another example, a doctor in one country may be asked to offer an opinion on the case of a patient in another\u2014in effect, practicing medicine in the patient\u2019s country.

    \n

    The service sector has become a significant economic force in the 21st century. As a result, countries are re-thinking national strategies, entrepreneurial service firms are reinventing themselves and economists are delighting in having new trends and numbers to assess, analyze and forecast.

    \n

    It may be relatively easy to anticipate new trends, but being in a position to capitalize on them is a different matter. Services are invisibles. They cannot be demonstrated, shipped and returned as products can.

    \n
    \r\n\r\n

    Successful service firms have recognized that in selling these kinds of services, the key to success is in the building of relationships, the adaptation of services to meet customer needs and the continuous innovation of unique high-value solutions.

    \r\n

    \r\n    \r\n
    \n
    \r\n
    \r\n This content is an excerpt from the FITTskills Global Business Environment\u00a0textbook. Enhance your knowledge and credibility with\u00a0the\u00a0leading international trade training and certification experts.

    \n

    Apply now\r\n

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    About the author

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    Author: FITT Team

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    \n The Forum for International Trade Training (FITT) is the standards, certification and training body dedicated to providing international business training, resources and professional certification to individuals and businesses. Created by business for business, FITT\u2019s international business training solutions are the standard of excellence for global trade professionals around the world. \n View all posts by FITT Team \n

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    Why Carriers Are Desperate to Buy Your Old Phone

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    \n \n By\n \n \n Andrew Heinzman\n \n \n
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    Carriers may give you a generous trade-in offer. And they have a good reason for doing so.

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    \n Justin Duino / Review Geek\n
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    Key Takeaways

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    Carriers use trade-in deals to attract new customers and keep old customers around. A carrier may also resell or recycle your old phone.

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    Unless you're living under a rock, you've probably seen the outrageous trade-in deals offered by carriers like Verizon, AT&T, and T-Mobile. These deals show up in TV advertisements, automated emails and text messages, and even on billboards. But why are carriers so desperate to buy your old phone?

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    \n Carriers \"Overpay\" for Used Phones\n

    Let's pretend that you own an iPhone 11. You know that it's probably time for an upgrade, but you don't have enough money to buy the latest iPhone. So, you go on Facebook Marketplace and try to sell your iPhone 11---realistically, you'll only make about $200. Nobody in their right mind would pay $400 for a used iPhone 11.

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    But, out of the blue, your carrier sends you an email. It tells you that the latest iPhone just launched, and you'll get a $400 discount if you trade in your iPhone 11 within the next few weeks! It's a beautiful, limited-time promotion!

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    Carriers are happy to overpay for used phones when a flashy new device hits the market. And it doesn't take a rocket scientist to see that this is very weird---you just scored a $400 discount on a phone that's worth $1,000, and your carrier is left with a device that they could\u00a0maybe sell for $200.

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    So, is your carrier losing money? Of course not. The average phone plan is\u00a0$114 a month in the United States, according to Bureau of Labor Statistics data analyzed by\u00a0WhistleOut. Anything that can keep you tethered to a carrier, including a trade-in, is profitable.

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    \n The Goal Is to Lock You In\n

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    Hannah Stryker / How-To Geek\r\r
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    If you've been around for a while, you know that carriers are a lot less ruthless than they used to be. The threat of regulatory intervention forced carriers to abandon several dubious practices, including\u00a0anti-unlocking policies\u00a0and exclusive handset agreements. Carriers have also backed away from subsidized phone plans, which made it difficult for customers to know exactly what they were paying for their device and their cellular service.

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    These old tricks existed for two purposes. First, they locked customers in place. If you were on a subsidized phone plan, for example, the termination fees to end your contract could cost a fortune. And due to anti-unlocking policies, you'd probably have to buy a new phone when you switched carriers.

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    The second purpose was to bring in new customers. Remember, the original iPhone was exclusive to AT&T. Plenty of people switched to AT&T because they wanted the iPhone, and thanks to a subsidized phone plan, they could score the exclusive device for about $125 (and spend the next two years complaining about a mysteriously inflated phone bill). Of course, most subsidized phone plans were \"free upgrades,\" which prevented customers from switching carriers and increased their monthly bill.

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    But are things really that different today? I'd say that the answer is \"yes,\" but with a caveat; the goal of locking down customers hasn't changed. Carriers simply figured out how to achieve this goal without making customers too angry.

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    Andrew Heinzman / Review Geek
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    Most people aren't dropping $1,000 in cold hard cash for a new phone. Instead, they finance the phone through their carrier. You can't leave your carrier until the debt is paid off, but you're an adult, you know exactly how much the phone costs, and you know your minimum payments---there's no subsidized nonsense here, nobody's getting a \"free phone upgrade,\" and so on.

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    Trade-ins make these installment plans a lot more appealing. The idea of paying $1,000 for a smartphone, even over the span of two or three years, can be very intimidating. But $600 isn't such a big deal. Plus, the best trade-in offers are usually limited-time promotions, and by the time another promotion comes around, your old phone may be worth a lot less.

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    If this is starting to sound like a subsidized phone plan---yeah. Some people get trapped in an endless cycle of trade-ins. Instead of keeping a phone, paying it off, and using it until it breaks, they buy into a new installment plan every one or two years. Of course, these customers tend to stick with their carrier and their phone brand of choice. (This habit may be partially responsible for the\u00a0declining popularity of budget and mid-range phones.)

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    Related: Can You Transfer Your Phone Number to a New Carrier?

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    Offering huge trade-in discounts has a secondary benefit; customers speak with their carrier's sales department more often. And sales representatives always press customers to upgrade their phone plan, add new lines, sign up for internet or cable service, buy a warranty, and shop for a bunch of overpriced accessories.

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    Even if you get a ridiculously good deal on your trade-in, your carrier isn't losing money. The whole point in the trade-in is that it's lucrative.

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    \n Also, Old Phones Are Easy to Resell\n

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    Marcus Mears III / Review Geek
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    As you can probably guess, carriers don't just throw your old phone in the trash. They partner with dozens of companies that refurbish, strip, or recycle used phones. While stripping and recycling aren't very profitable (for the carrier, at least), refurbishing old phones can be a profitable venture.

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    Used phones are only refurbished if they can be resold. This explains why flagship devices from Apple, Samsung, and Google tend to have the largest trade-in value---they last a long time and are desirable on the secondhand market. A refurbisher will usually buy used phones from carriers like Verizon, AT&T, and T-Mobile, and resell those phones through big-box retailers or specialty stores, such as\u00a0Back Market.

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    The\u00a0Wall Street Journal found that smartphone refurbishers operate on very thin margins. A refurbisher may only make a 10% profit on a smartphone, and that's before you account for labor costs and listing fees. But the secondhand smartphone market is growing rapidly. Analyst firm IDC notes that around 282 million refurbished phone shipments were made in 2022 (an 11.5% increase over the previous year).

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    Of course, some devices aren't worth refurbishing or reselling. Maybe they're broken, or maybe they just don't have much value. In any case, these devices are stripped or recycled. Apple is notable in this area, as it uses special machines to disassemble used iPhones and pull out valuable resources, including a ridiculous amount of copper.

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    \n Should You Trade In Your Old Phone?\n

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    When it's time to buy a new phone, a trade-in can save you a ton of money. You could even use your trade-in to buy a high-end phone, which will last longer and retain more value than budget or mid-range models. For the most part, trade-ins are a good thing for both the customer and the carrier.

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    But a good discount isn't an excuse to ignore your budget. And, as a general rule, you should never buy something with credit that you can't afford with cash.

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    Related: When Is It Time to Upgrade Your Smartphone?

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    There are plenty of ways to participate in trade-ins without going beyond your means. You could trade in your device to buy last year's iPhone or Samsung Galaxy smartphone, for example. Or, you could specifically buy phones that have a long software support cycle; Apple and Samsung are the best brands for this, as they offer several years of software and security updates.

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    Some people love to own the latest and greatest phone---that's fine. If you want to trade in your device every year, it's your choice. Just know that you're paying a lot of money to enjoy that lifestyle.

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