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i

Visit the USITC’s Internet Server to find more information 

about the agency and to download this and other reports

http://www.usitc.gov

,,,,,,,,,,,,,,,,

PREFACE

On August 27, 1993, on its own motion and pursuant to section 332(b) of the Tariff Act of 1930

(19 U.S.C. 1332(b)), the U.S. International Trade Commission (USITC or the Commission) instituted

investigation No. 332-345, Annual Reports on U.S. Trade Shifts in Selected Industries. The report format

was developed by the USITC in response to Congressional interest in establishing a systematic means of

examining and reporting on the significance of major trade shifts, by product and with leading U.S. trade

partners in all natural-resource, agricultural, and manufacturing industries.

On December 20, 1994, the Commission on its own motion expanded the scope of this study to

include selected service industries. Under the expanded scope, the Commission publishes two separate

reports annually: Shifts in U.S. Merchandise Trade and Recent Trends in U.S. Services Trade. A separate

report covering services trade was instituted in order to provide more comprehensive coverage of U.S. trade

performance and overall economic competitiveness.

A significant amount of the work in this recurring report is basic research required to maintain a

proficient level of trade expertise that the Commission has found essential in its statutory investigations and

in apprising its varied customers of global industry trends and competition issues. The information

compiled in this report, such as export, import, trade balance, and industry profile data (establishments,

employees, capacity utilization, and production or shipments) for over 250 major industry/commodity

groups, is not replicated elsewhere in the U.S. Government.

The information and analysis in this report are for the purpose of this report only. Nothing in this

report should be construed to indicate how the Commission would find in an investigation conducted under

other statutory authority.

iii

,,,,,,,,,,,,,,,,

CONTENTS

Preface ............................................ i

Glossary of frequently used abbreviations ................. xi

Chapter 1. Introduction ............................... 1-1

Chapter 2. U.S. merchandise trade performance ............ 2-1

U.S. trade by industry/commodity groups and sectors ..... 2-2

U.S. trade balance ........................... 2-2

U.S. exports ................................ 2-4

U.S. imports ................................ 2-4

U.S. bilateral/multilateral trade ...................... 2-4

Significant bilateral/multilateral shifts ............. 2-4

Significance of international trade in the gross

domestic product ......................... 2-4

Chapter 3. Significant shifts with leading partners and factors 

affecting trends in selected industry/commodity 

groups .................................... 3-1

Significant shifts with leading partners ................ 3-1

Canada .................................... 3-1

China ..................................... 3-5

European Union ............................. 3-9

Japan ..................................... 3-12

Mexico .................................... 3-16

Ten-year trends in selected industry/commodity groups .... 3-19

Summary .................................. 3-19

Fruit and vegetable juices ...................... 3-20

Crude petroleum ............................. 3-22

Natural gas ................................. 3-24

Apparel ................................... 3-26

Semiconductors and integrated circuits ............ 3-28

Chapter 4. Agricultural products ....................... 4-1

U.S. bilateral trade ............................... 4-3

Chapter 5. Forest products ............................ 5-1

U.S. bilateral trade ............................... 5-1

Chapter 6. Chemicals and related products ................ 6-1

U.S. bilateral trade ............................... 6-4

Commodity analysis ............................. 6-6

Medicinal chemicals .......................... 6-6

Major primary olefins ......................... 6-8

Chapter 7. Energy-related products ..................... 7-1

U.S. bilateral trade ............................... 7-3

Commodity analysis of petroleum products ............. 7-4

Chapter 8. Textiles, apparel, and footwear ................ 8-1

U.S. bilateral trade ............................... 8-4
CONTENTS--Continued

iv

Chapter 9. Minerals and metals ......................... 9-1

U.S. bilateral trade ............................... 9-3

Commodity analysis .............................. 9-4

Precious metals and non-numismatic coins ......... 9-4

Natural and synthetic gemstones ................. 9-7

Chapter 10. Machinery ............................... 10-1

U.S. bilateral trade ............................... 10-5

Commodity analysis of semiconductor 

manufacturing equipment ...................... 10-6

Chapter 11. Transportation equipment ................... 11-1

U.S. bilateral trade ............................... 11-3

Commodity analysis .............................. 11-4

Aircraft, spacecraft, and related equipment ......... 11-4

Motor vehicles .............................. 11-5

Certain motor-vehicle parts ..................... 11-6

Chapter 12. Electronic products ........................ 12-1

U.S. bilateral trade ............................... 12-3

Commodity analysis .............................. 12-4

Telephone and telegraph apparatus ............... 12-4

Computers, peripherals, and parts ................ 12-6

Consumer electronics (except televisions) .......... 12-8

Radio and television broadcasting equipment ........ 12-9

Measuring, testing and controlling instruments ...... 12-9

Electrical capacitors and resistors ................ 12-10

Optical goods, including ophthalmic goods ......... 12-11

Chapter 13. Miscellaneous manufactures .................. 13-1

U.S. bilateral trade ............................... 13-3

Commodity analysis of furniture ..................... 13-4

Appendixes

A. Industry/commodity groups and subgroups in this report ..... A-1

B. HTS 8-digit subheading ranges included in 

industry/commodity groups and subgroups, by sector ..... B-1

C. Profile of U.S. industry and market, by industry/commodity

groups and subgroups, 1996-2000 ................... C-1

D. Industry/commodity groups with most significant shifts,

1999 and 2000, and additional statistical tables .......... D-1

E. Definitions of selected country groups ................... E-1

F. Status of antidumping and countervailing duty order

5-year (sunset) reviews ............................ F-1

G. Status of WTO cases involving the United States ........... G-1

H. Background on exchange rate shifts ..................... H-1

Introduction .................................... H-3

Exchange rate determinants and trade ................. H-3
CONTENTS--Continued

v

Appendixes--continued

Exchange rate stability and convertibility .............. H-4

Changes in the nominal and real value of the dollar ....... H-5

Figures

3-1. Fruit and vegetable juices: Imports, exports, trade 

balance, and trade ratios, 1990-2000 .............. 3-20

3-2. Crude petroleum: Imports, exports, trade 

balance, and trade ratios, 1990-2000 .............. 3-22

3-3. Natural gas: Imports, exports, trade 

balance, and trade ratios, 1990-2000 .............. 3-24

3-4. Apparel: Imports, exports, trade 

balance, and trade ratios, 1990-2000 .............. 3-26

3-5. Semiconductors and integrated circuits: Imports, 

exports, trade balance, and trade ratios, 1990-2000 ... 3-28

Tables

2-1. U.S. exports of domestic merchandise, imports for

consumption, and merchandise trade balance, by

major industry/commodity sectors, 1999 and 2000 ... 2-3

2-2. All merchandise sectors: U.S. exports of domestic

merchandise, imports for consumption, and

merchandise trade balance, by selected countries

and country groups, 1999 and 2000 .............. 2-5

2-3. U.S. bilateral merchandise trade balances with major

partners, in dollars and as a ratio to nominal U.S.

gross domestic product (GDP), 2000 .............. 2-6

2-4. Components of U.S. gross domestic product (GDP) and

trade as a share of GDP, 1996-2000 .............. 2-7

2-5. Merchandise trade as a share of gross domestic product

(GDP) for the United States and major trading

partners, 1996-2000 .......................... 2-7

3-1. Leading changes in U.S. exports to and U.S. imports

from Canada, 1999 and 2000 ................... 3-4

3-2. Leading changes in U.S. exports to and U.S. imports

from China, 1999 and 2000 .................... 3-8

3-3. Leading changes in U.S. exports to and U.S. imports

from the EU15, 1999 and 2000 .................. 3-11

3-4. Leading changes in U.S. exports to and U.S. imports

from Japan, 1999 and 2000 ..................... 3-15

3-5. Leading changes in U.S. exports to and U.S. imports

from Mexico, 1999 and 2000 ................... 3-18
CONTENTS--Continued

vi

Tables--continued

4-1. Agricultural products: U.S. exports of domestic

merchandise, imports for consumption, and

merchandise trade balance, by selected countries

and country groups, 1999 and 2000 .............. 4-2

4-2. Leading changes in U.S. exports and imports of 

agricultural products, 1999 and 2000 ............. 4-3

4-3. Agricultural products sector: U.S. trade for selected

industry/commodity groups, 1999 and 2000 ........ 4-5

5-1. Forest products: U.S. exports of domestic merchandise,

imports for consumption, and merchandise trade

balance, by selected countries and country groups,

1999 and 2000 .............................. 5-2

5-2. Leading changes in U.S. exports and imports of

forest products, 1999 and 2000 .................. 5-3

5-3. Forest products sector: U.S. trade for selected industry/

commodity groups, 1999 and 2000 ............... 5-5

6-1. Chemicals and related products: U.S. exports of

domestic merchandise, imports for consumption,

and merchandise trade balance, by selected

countries and country groups, 1999 and 2000 ....... 6-2

6-2. Leading changes in U.S. exports and imports of

chemicals and related products, 1999 and 2000 ...... 6-3

6-3. Chemicals and related products sector: U.S. trade for

selected industry/commodity groups, 1999 and

2000 ...................................... 6-9

7-1. Energy-related products: U.S. exports of domestic

merchandise, imports for consumption, and

merchandise trade balance, by selected countries

and country groups, 1999 and 2000 .............. 7-2

7-2. Leading changes in U.S. exports and imports of

energy-related products, 1999 and 2000 ........... 7-3

7-3. Energy-related products sector: U.S. trade for selected

industry/commodity groups, 1999 and 2000 ........ 7-5

8-1. Textiles and apparel: U.S. exports of domestic

merchandise, imports for consumption, and

merchandise trade balance, by selected countries

and country groups, 1999 and 2000 .............. 8-2

8-2. Leading changes in U.S. exports and imports of

textiles and apparel, 1999 and 2000 .............. 8-3

8-3. Footwear: U.S. exports of domestic merchandise,

imports for consumption, and merchandise trade

balance, by selected countries and country groups,

1999 and 2000 .............................. 8-5

8-4. Textiles, apparel, and footwear sector: U.S. trade for

selected industry/commodity groups, 1999 and

2000 ...................................... 8-8
CONTENTS--Continued

vii

Tables--continued

9-1. Minerals and metals: U.S. exports of domestic

merchandise, imports for consumption, and

merchandise trade balance, by selected countries

and country groups, 1999 and 2000 .............. 9-2

9-2. Leading changes in U.S. exports and imports

of minerals and metals, 1999 and 2000 ............ 9-3

9-3. Changes in U.S. imports of precious metals and 

non-numismatic coins, 1999-2000 ................ 9-6

9-4. Changes in U.S. imports of natural and synthetic

gemstones, 1999-2000 ........................ 9-8

9-5. Minerals and metals sector: U.S. trade for selected

industry/commodity groups, 1999 and 2000 ........ 9-9

10-1. Machinery: U.S. exports of domestic merchandise,

imports for consumption, and merchandise trade

balance, by selected countries and country groups,

1999 and 2000 .............................. 10-2

10-2. Leading changes in U.S. exports and imports

of machinery, 1999 and 2000 ................... 10-3

10-3. Machinery sector: U.S. trade for selected industry/

commodity groups, 1999 and 2000 ............... 10-8

11-1. Transportation equipment: U.S. exports of domestic 

merchandise, imports for consumption, and

merchandise trade balance, by selected countries

and country groups, 1999 and 2000 .............. 11-2

11-2. Leading increases in U.S. exports and imports 

of transportation equipment, 1999 and 2000 ........ 11-3

11-3. Transportation equipment sector: U.S. trade for selected

industry/commodity groups, 1999 and 2000 ........ 11-8

12-1. Electronic products: U.S. exports of domestic

merchandise, imports for consumption, and

merchandise trade balance, by selected countries

and country groups, 1999 and 2000 .............. 12-2

12-2. Leading increases in U.S. exports and imports 

of electronic products, 1999 and 2000 ............. 12-3

12-3. Electronic products sector: U.S. trade for selected

industry/commodity groups, 1999 and 2000 ........ 12-14

13-1. Miscellaneous manufactures: U.S. exports of domestic

merchandise, imports for consumption, and

merchandise trade balance, by selected countries

and country groups, 1999 and 2000 .............. 13-2

13-2. Leading changes in U.S. exports and imports 

of miscellaneous manufactures, 1999 and 2000 ...... 13-3

13-3. Miscellaneous manufactures sector: U.S. trade for

selected industry/commodity groups, 1999

and 2000 .................................. 13-7
CONTENTS--Continued

viii

Tables--continued

B-1. HTS 8-digit subheading ranges included in 

industry/commodity groups and subgroups, by sector . B-3

C-1. Agricultural products sector: Profile of U.S. industry and

market, by industry/commodity groups and 

subgroups, 1996-2000 ........................ C-3

C-2. Forest products sector: Profile of U.S. industry and

market, by industry/commodity groups and 

subgroups, 1996-2000 ........................ C-14

C-3. Chemicals and related products sector: Profile of U.S.

industry and market, by industry/commodity

groups and subgroups, 1996-2000 ............... C-17

C-4. Energy-related products sector: Profile of U.S. industry

and market, by industry/commodity groups and 

subgroups,1996-2000 ......................... C-23

C-5. Textiles, apparel, and footwear sector: Profile of U.S. 

industry and market, by industry/commodity 

groups and subgroups 1996-2000 ................ C-25

C-6. Minerals and metals sector: Profile of U.S. industry and

market, by industry/commodity groups and 

subgroups, 1996-2000 ........................ C-27

C-7. Machinery sector: Profile of U.S. industry and market,

by industry/commodity groups and 

subgroups, 1996-2000 ........................ C-36

C-8. Transportation equipment sector: Profile of U.S.

industry and market, by industry/commodity

groups and subgroups, 1996-2000 ............... C-43

C-9. Electronic products sector: Profile of U.S. industry and

market, by industry/commodity groups and 

subgroups, 1996-2000 ........................ C-47

C-10. Miscellaneous manufactures sector: Profile of U.S.

industry and market, by industry/commodity

groups and subgroups, 1996-2000 ............... C-52

D-1. Domestic export increases: Ranking of top 20 industry/

commodity groups, 1999 and 2000 ............... D-3

D-2. Domestic export declines: Ranking of top 20 industry/

commodity groups, 1999 and 2000 ............... D-4

D-3. Domestic import increases: Ranking of top 20 industry/

commodity groups, 1999 and 2000 ............... D-5

D-4. Domestic import declines: Ranking of top 20 industry/

commodity groups, 1999 and 2000 ............... D-6

D-5. U.S. trade position increases: Ranking of top 30

industry/commodity groups, 1999 and 2000 ........ D-7

D-6. U.S. trade position declines: Ranking of top 30

industry/commodity groups, 1999 and 2000 ........ D-8

D-7 U.S. trade balance deficit: Top 30 industry/commodity 

groups, ordered by 2000 deficit .................. D-9
CONTENTS--Continued

ix

Tables--continued

D-8 U.S. trade balance surplus: Top 30 industry/commodity

groups, ordered by 2000 surplus ................. D-10

F-1. Status of antidumping and countervailing duty order

5-year (sunset) reviews (as of March 2001) ......... F-3

G-1. Status of World Trade Organization (WTO) dispute

settlement cases involving the United States

(as of May 2001) ............................ G-3

H-1. Nominal exchange rates for selected trade partners,

annual averages ............................. H-6

H-2. Nominal and real weighted average indexes of foreign

exchange value of the U.S. dollar versus currencies

of groups of trade partners, annual averages ........ H-7

xi

,,,,,,,,,,,,,,,,

GLOSSARY

of Frequently Used

 Abbreviations

AD ............. antidumping

AGOA .......... African Growth and Opportunity Act

ADB ............ Asian Development Bank

ASEAN ......... Association of Southeast Asian Nations

ATC ............ Agreement on Textiles and Clothing

BEA ............ Bureau of Economic Analysis

BOP ............ balance of payments

CBERA ......... Caribbean Basin Economic Recovery Act

cc .............. cubic centimeters

CD ............. compact disc

CEMs ........... contract electronic manufacturers

CFTA ........... U.S.-Canada Free Trade Agreement

CITA ........... Committee for the Implementation of Textile Agreements

CVD ............ countervailing duty

DSB ............ WTO Dispute Settlement Body

DSU ............ WTO Understanding on Rules and Procedures Governing

Settlement of Disputes (or Dispute Settlement Understanding)

DVD ........... digital versatile disk

EIU ............ Economist Intelligence Unit

EMU ........... European Economic and Monetary Union

EU or EU-15 ..... European Union

FACT ........... Food, Agriculture, Conservation, and Trade (Act)

FAIR ........... Federal Agriculture Improvement and Reform (Act)

FAS ............ Foreign Agriculture Service

FDI ............ foreign direct investment

F.R. ............ Federal Register

GAO ........... U.S. General Accounting Office

GATS ........... General Agreement on Trade in Services

GATT .......... General Agreement on Tariffs and Trade

GDP ............ gross domestic product

HTS ............ Harmonized Tariff Schedule

ICs ............. integrated circuits

IMF ............ International Monetary Fund

ITA ............ International Trade Administration

ITC ............ U.S. International Trade Commission

IER ............. International Economic Review

ITTR ............ Industry Trade and Technology Review

kg .............. kilograms

kN ............. kilonewtons

LCA ............ large civil aircraft

MFA ........... Multifiber Arrangement
GLOSSARY

of Frequently Used

 Abbreviations--Continued

xii

mmt ............ million metric tons

NAFTA ......... North American Free Trade Agreement

OE ............. original equipment

OECD .......... Organization for Economic Co-operation and Development

OPEC ........... Organization of Petroleum Exporting Countries

PC ............. personal computer

PL ............. Public Law

SMEs ........... square meter equivalents

SPS ............ Sanitary-Phytosanitary

SSA ............ sub-Saharan Africa

TBT ............ Technical Barriers to Trade

TMB ........... Textiles Monitoring Body

TRIMS .......... Trade-Related Investment Measures

TRIPS .......... Trade-Related Aspects of Intellectual Property Rights

TRQs ........... tariff-rate quotas

UN ............. United Nations

UNCTAD ........ United Nations Conference on Trade and Development

URA ............ Uruguay Round Agreements

U.S.C. .......... U.S. Code

USDA .......... U.S. Department of Agriculture

USDOC ......... U.S. Department of Commerce

USITC .......... U.S. International Trade Commission

USTR ........... Office of the U.S. Trade Representative

WTO ........... World Trade Organization

Y2K ............ Year-2000
 

1

 In some cases, industry/commodity groups have been further broken down into subgroups in order to create

more meaningful data sets.

 

2

 Major roles include determining whether U.S. industries are materially injured or threatened with material

injury by unfair imports, conducting studies on the international competitiveness of U.S. industries, and advising

the President and the Congress on the likely effects of trade-policy changes and proposals.

 

3

 This report analyzes changes in U.S. merchandise trade on a value basis. A principal reason is that aggregate

trade data by quantity are generally not available. Consequently, it is possible (if prices change significantly) for

the value of trade to change considerably, but for the quantity of trade to remain the same. Where appropriate, this

report also provides trade data on a quantity basis.

 

4

 See USITC, Recent Trends in U.S. Services Trade, investigation No. 332-345, USITC publication 3409, May

 2001.

 

5

 Official statistics of the U.S. Department of Commerce (USDOC), reported in USDOC, Bureau of Economic

Analysis, Survey of Current Business, Table 1.1, Gross Domestic Product, Apr. 2001, p. D-3.

1-1

,,,,,,,,,,,,,,,,

CHAPTER 1

Introduction

The international trade analysts of the U.S. International Trade Commission (USITC or the

Commission), Office of Industries, routinely monitor trade developments in all natural resource,

agricultural, and manufacturing industries, and in the services sector. Trade monitoring at the

industry/commodity sector and subsector levels (the latter referred to as industry/commodity groups and

subgroups1 in this report) is a facet of the research and analysis undertaken by the Office of Industries as

part of its responsibility to provide advice and technical information on industry and trade issues. Trade

monitoring enables the USITC to better anticipate and address the issues of concern in its various roles

under U.S. trade statutes.2 This annual report analyzes significant merchandise trade shifts on an aggregate

basis, on a bilateral basis, and at the industry/commodity-group or -subgroup level.3 This series is part of

the Commission’s recurring reports that facilitate the development of core competencies and expertise, and

which enables the Commission to provide objective and in-depth analysis to the Congress, the President or

Executive Branch, other Federal agencies, and the general public, related to emerging and complex

international trade and economic issues.

For trade-monitoring purposes, the USITC assigns U.S. Harmonized Tariff Schedule (HTS)

import headings/subheadings, and the corresponding Schedule B export categories, to industry/commodity

groups and subgroups. These groups are aggregated into 10 sectors. Appendix A lists these sectors and the

industry/commodity groups and subgroups included in each sector. Appendix B provides the HTS 8-digit

subheading ranges included in each industry/commodity group and subgroup.

U.S. trade shifts in services are the subject of a separate USITC annual report.4 Thus, throughout

this report, unless otherwise specified, references to trade balances represent U.S. merchandise trade only.

In assessing the U.S. merchandise trade deficit in 1999, it is important to note that the United States

recorded a trade surplus in services of $89.2 billion,5 which, when added to the $493.1-billion merchandise

trade deficit, reduced the combined trade deficit (merchandise plus services) to $403.9 billion.

Chapter 1 of the report is the general introduction. Chapter 2 summarizes U.S. merchandise trade

for 2000, in comparison with such trade for 1999. Coverage of the individual merchandise sectors includes

data showing U.S. export, import, and trade balance shifts by industry/commodity groups (and in some
 

6

 Appendix C (app. B in last year’s report) has been altered in comparison with previous years in an attempt to

include more meaningful industry data. Therefore, certain aggregate groups with data limitations have been

eliminated from this section. Additionally, certain subgroups have been included in the place of the related

aggregate group.

 

7

 The Uruguay Round Agreements Act amended section 751 of the Tariff Act of 1930 to require both

Commerce and the Commission to conduct sunset reviews of outstanding orders 5 years after their publication to

determine whether revocation of an order would be likely to lead to continuation or recurrence of dumping or a

countervailable subsidy and material injury. 19 U.S.C. 1675(c).

1-2

cases subgroups), and shifts in trade with U.S. trade partners. In addition, the chapter also discusses the

significance of international trade in the gross domestic product of the United States compared with its

major trade partners.

Chapter 3 analyzes the shifts in U.S. trade with each of the top five U.S. trade partners--Canada,

China, the European Union, Japan, and Mexico. Summary tables detail the important shifts in U.S.

bilateral trade and highlight leading changes in industry/commodity groups for each of the five major trade

partners. This chapter also examines the 10-year trade trends for five industry/commodity groups

including fruit and vegetable juices, crude petroleum, natural gas, apparel, and semiconductors and

integrated circuits.

Chapters 4 through 13 address specific industry/commodity sectors, with each chapter providing a

general sector overview and identifying significant shifts in merchandise trade within the sector. In most

cases, these chapters identify significant shifts in specific industry/commodity groups or subgroups, and

focus on trade flows (exports, imports, or trade balance) exhibiting shifts exceeding $1.5 billion. Finally, a

statistical summary table of industry/commodity groups or subgroups, showing absolute and percent

changes in a year-to-year comparison for 1999 and 2000, concludes each sector analysis chapter.

Appendix C provides official and estimated data (1996-2000) for domestic consumption,

production, employment, trade, and import penetration for most of the industry/commodity groups and

subgroups covered in this report.6 USITC international trade analysts have estimated certain components of

these data, based on primary and secondary government and industry sources. The estimated data are

subject to change either from future secondary sources, or from the detailed surveys the USITC often

conducts in the course of statutory investigations or other work. Appendix D ranks the industry/commodity

groups exhibiting the most significant annual growth and decline in U.S. exports, imports, and trade

balances in 2000, and includes additional statistical trade data. Appendix E lists the political entities

included in the country groups shown in this report. 

As part of the trade monitoring effort, the Commission also keeps track of the review of U.S.

antidumping and countervailing duty orders mandated by the Uruguay Round agreements (referred to as

sunset reviews)7 and trade disputes that are appealed to the World Trade Organization (WTO). Appendix

F lists the current status of existing AD and CVD orders in the sunset review process. Appendix G lists the

current status of existing WTO dispute settlement cases involving the United States.

Finally, appendix H discusses the effect of exchange rate shifts on trade flows and summarizes the

major shifts in exchange rates that occurred during 2000, highlighting the appreciation of the Japanese yen

and depreciation of the European Monetary Union’s euro.
1-3

TRADE DATA NOTE

Although all import and export data presented in this report are official statistics of the U.S.

Department of Commerce (Commerce), these data may be substantially different from the data

presented by other government agencies and private institutions that cite Commerce as the source

for trade data. Possible reasons for these discrepancies are as follows:

C Data in this report include merchandise trade only; other reported data may include

services.

C Data are not seasonally adjusted; the values of other reported data may be so adjusted.

C Data are not adjusted on a balance of payments (BOP) basis; the values of other

reported data may be so adjusted in line with the concepts and definitions used

to prepare national and international accounts.

C Exports are on a domestic export/f.a.s. basis; other reported export data may be on a

total export/f.a.s. basis, which include re-exports of foreign merchandise.

C Imports are on an imports-for-consumption/customs value basis; other reported import

data may be on a general imports/customs value basis.

C Exports and imports may not include all errata because certain errors may not be

corrected by Commerce in time to be included in this report.

C Data in this report may be adjusted for errors that are not of sufficient magnitude to be

changed in Commerce data.

C There are no adjustments for carryover (exports and imports received late or not

processed for any reason and then subsequently included in a later month's data are

reassigned to the month of exportation/entry), and trade is reported as originally

released by Commerce. Other reported data may adjust export/import trade for

carryover.

C The industry/commodity groups contained in this report are developed by the USITC

and may differ from similarly labeled groups of other sources.

 

1

 Total U.S. combined trade grew by $299.6 billion (14 percent) during 2000 to about $2.4 trillion. Official

statistics of the U.S. Department of Commerce (USDOC).

 

2

 The causes and implications of trade deficits are a subject of ongoing debate and a topic where differing views

exist. The Federal Reserve Bank of Chicago points out, for example, that trade imbalances can have a positive

effect on the U.S. economy, and that deficits by themselves are neither good nor bad but rather it is the cause of the

deficit that matters. The U.S. Trade Deficit Review Commission reached divergent conclusions as to the specific

causes and consequences of the trade deficit and the details of recommended actions. For further information , refer

to The Federal Reserve Bank of Chicago-Detroit FedPoints, “The Upside of Trade Deficits,” Sept.-Oct. 2000,

found at Internet address http://www.chicagofed.org/publications/index.cfm, retrieved Nov. 17, 2000; The U.S.

Trade Deficit: Causes, Consequences, and Recommendations for Action, Washington, D.C.: U.S. Trade Deficit

Review Commission, Nov. 14, 2000; and Trade Liberalization: Fears and Facts (ch. 4, Trade Deficits), The

Washington Papers/179, Center for Strategic and International Studies, Washington, D.C., May 2001.

 

3

 Information on the macroeconomic background for U.S. merchandise trade performance in 2000 was

principally derived from Christopher L. Bach, “The Year 2000,” Survey of Current Business, USDOC, Apr. 2001,

pp. 28-68; Council of Economic Advisors, Economic Report of the President, together with the Annual Report of

the Council of Economic Advisers, “The Macroeconomic Policy and Performance,” Jan. 2001, pp. 55-93; Federal

Reserve Board of Governors, Monetary Policy Report Submitted to Congress, Feb. 13, 2001; and Organization for

Economic Cooperation and Development (OECD), “United States,” OECD Economic Outlook, (Paris: OECD,

Dec. 2000), pp. 75-80.

2-1

,,,,,,,,,,,,,,,,

CHAPTER 2

U.S. Merchandise Trade Performance

Linda White

(202) 205-3427

white@usitc.gov

Highlights of U.S. merchandise trade performance in 2000 are presented first in this chapter, along

with an overview of wider U.S. macroeconomic conditions. Next are analyses of key trade shifts in

industry/commodity groups and sectors, and among bilateral and multilateral trade partners. Material in

this chapter is compiled from more detailed analyses presented in subsequent chapters, including important

bilateral trade and multilateral economic developments (chapter 3), and product-specific developments in

the industry/commodity sectors (chapters 4-13) affecting U.S. merchandise trade.

During 2000, U.S. total merchandise trade (exports plus imports) grew by $258 billion

(16 percent) to just over $1.9 trillion, representing about 78 percent of total U.S. combined trade (exports

plus imports of merchandise and services)1 and 20 percent of U.S. real (19 percent nominal) gross domestic

product. However, the U.S. merchandise trade deficit continued to widen, increasing from $375.2 billion in

1999 to $493.1 billion in 2000. Exports increased by $70.1 billion to $712.3 billion, but did not keep pace

with a $187.9 billion increase in imports, which totaled $1.2 trillion in 2000.2

At the macroeconomic level, rapid U.S. and worldwide economic growth during the first half of the

year combined with a deceleration of both during the last half exerted a mixed influence on U.S.

merchandise trade performance in 2000.3 Although rapid expansion of the U.S. economy during the first

half of 2000 continued to spur growing U.S. demand for both domestic and imported goods, indications of
 

4

 See app. H for a more detailed discussion about how exchange rate shifts and other macroeconomic factors

affect trade flows.

 

5

 Discussion of U.S. merchandise trade by industry/commodity sectors excludes products covered by special

provisions of the HTS in chs. 98-99.

2-2

an economic slowdown started to emerge during the summer months resulting in slower growth in the

second half of 2000. Against a backdrop of lower investment returns from the stock market, slightly lower

levels of unemployment, and higher real (inflation-adjusted) personal incomes for the year overall,

consumers spent a higher portion of disposable incomes with a resulting negative rate of personal savings.

Likewise, business investment and expenditures were further encouraged by improved corporate-sector

performance, technological advances, and productivity gains. However, the continued strength of the U.S.

dollar against the currencies of the United States’ major trade partners tended to lessen the competitiveness

of U.S. merchandise in both domestic and foreign markets.4 External economic factors such as differing

growth rates among global economies, structural impediments to trade in key foreign markets, price shifts

for certain widely traded products (e.g., crude petroleum), and ongoing changes in the technology sector

(e.g., globalization and outsourcing trends in the computers hardware industry) likely had a greater direct

influence on trade shifts than exchange rates in certain industry/commodity sectors as well as on U.S.

bilateral trade flows with specific partners.

U.S. TRADE BY INDUSTRY/COMMODITY GROUPS AND SECTORS

U.S. Trade Balance

The widening of the U.S. merchandise trade deficit during 2000 primarily reflects significant shifts

in key industry/commodity groups shown in tables D-1 through D-8 in appendix D. Trade shifts

contributing to a wider deficit were decreased exports (table D-2) of aircraft, spacecraft, and related

equipment (hereafter aircraft). Also contributing to a wider deficit were substantial growth in imports (table

D-3) of crude petroleum; petroleum products; and telephone and telegraph apparatus. In contrast, notable

counter-shifts somewhat tempered the deficit growth during this period, particularly increased exports

(table D-1) of semiconductors and integrated circuits and decreased imports (table D-4) of lumber.

Overall, the predominant industry/commodity groups contributing to the 2000 deficit were motor

vehicles; apparel; crude petroleum; and computers, peripherals, and parts (hereafter computer hardware). 

See table D-6. Trade deficits in these four groups together accounted for $264.1 billion, or about 54

percent of the U.S. merchandise trade deficit in 2000, a decrease from the previous year when they

accounted for a roughly 58-percent share. In contrast, the largest surplus ($21.7 billion) was again

recorded for aircraft (table D-6). These five groups were not only a large component of the 2000 U.S. trade

position, but also exhibited significant shifts in exports, imports, or both during 2000.

The major industry/commodity sectors registered trade deficits in 2000 (table 2-1)5 with the

exception of agricultural products, which recorded a wider trade surplus. The most significant change for

the year was in chemicals and related products, which shifted from a trade surplus in 1999 to a trade deficit

in 2000. Although the trade deficit for machinery narrowed in 2000, other sectors experienced erosion of

their trade balances, accelerating the trend from previous years.
2-3

Table 2-1

U.S. exports of domestic merchandise, imports for consumption, and merchandise trade balance, by major

industry/commodity sectors, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

Agricultural products ........................... 55,569 59,112 3,543 6.4

Forest products ............................... 24,070 26,434 2,364 9.8

Chemicals and related products ................... 81,240 92,433 11,193 13.8

Energy-related products ......................... 11,957 15,529 3,572 29.9

Textiles and apparel ............................ 18,723 20,353 1,631 8.7

Footwear .................................... 693 664 -30 -4.3

Minerals and metals ............................ 39,890 47,280 7,390 18.5

Machinery ................................... 66,886 79,140 12,254 18.3

Transportation equipment ........................ 145,937 143,641 -2,296 -1.6

Electronic products ............................. 162,240 189,109 26,869 16.6

Miscellaneous manufactures ..................... 15,270 16,872 1,602 10.5

Special provisions ............................. 19,714 21,721 2,007 10.2

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 642,189 712,287 70,098 10.9

U.S. imports for consumption:

Agricultural products ........................... 49,469 52,159 2,690 5.4

Forest products ............................... 35,798 38,195 2,398 6.7

Chemicals and related products ................... 80,172 95,295 15,123 18.9

Energy-related products ......................... 69,473 122,650 53,177 76.5

Textiles and apparel ............................ 71,269 80,909 9,640 13.5

Footwear .................................... 14,074 14,856 782 5.6

Minerals and metals ............................ 81,717 95,015 13,298 16.3

Machinery ................................... 79,143 89,293 10,150 12.8

Transportation equipment ........................ 203,661 223,355 19,694 9.7

Electronic products ............................. 228,469 277,854 49,384 21.6

Miscellaneous manufactures ..................... 60,312 67,322 7,011 11.6

Special provisions ............................. 43,879 48,436 4,556 10.4

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 1,017,435 1,205,339 187,904 18.5

U.S. merchandise trade balance:

Agricultural products ........................... 6,100 6,953 853 14.0

Forest products ............................... -11,727 -11,761 -34 -0.3

Chemicals and related products ................... 1,068 -2,862 -3,930 (

2

)

Energy-related products ......................... -57,516 -107,121 -49,605 -86.2

Textiles and apparel ............................ -52,547 -60,555 -8,009 -15.2

Footwear .................................... -13,380 -14,192 -812 -6.1

Minerals and metals ............................ -41,827 -47,735 -5,908 -14.1

Machinery ................................... -12,257 -10,153 2,103 17.2

Transportation equipment ........................ -57,724 -79,714 -21,990 -38.1

Electronic products ............................. -66,230 -88,745 -22,516 -34.0

Miscellaneous manufactures ..................... -45,042 -50,450 -5,408 -12.0

Special provisions ............................. -24,165 -26,715 -2,550 -10.6

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... -375,246 -493,052 -117,805 -31.4

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

 

2Not meaningful for purposes of comparison.

Note.—Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

6

 See app. E for a list of countries/political entities included in selected country groupings of table 2-2.

 

7

 In recent years, these countries consistently appeared as the top five U.S. partners in terms of total trade. The

15 member countries of the EU are considered together as a single U.S. trade partner, for no individual EU country

was consistently ranked among the top five U.S. trade partners from year to year.

2-4

U.S. Exports

U.S. merchandise exports improved in 2000 for each industry/commodity sector except

transportation equipment and footwear (table 2-1). The most significant export increases (exceeding

$1.5 billion) were (in descending order of shifts) electronic products, machinery, chemicals and related

products, and minerals and metals. Together, these four sectors recorded a net export gain totaling

$57.8 billion, which accounted for 82 percent of the net increase of all U.S. merchandise exports in 2000.

Further analyses of the underlying factors and the leading products responsible for export shifts in these

and other industry/commodity sectors are provided in chapters 4-13.

U.S. Imports

U.S. merchandise imports rose in 2000 for every industry/commodity sector (table 2-1). The most

significant (exceeding 1.5 billion) were (in descending order) energy-related products, electronic products,

transportation equipment, and chemicals and related products. Together, these four sectors accounted for

$137.4 billion (73 percent) of the net increase in merchandise imports. Further analyses of the underlying

factors and the leading products responsible for import shifts in these and other industry/commodity sectors

are provided in chapters 4-13.

U.S. BILATERAL/MULTILATERAL TRADE

Significant Bilateral/Multilateral Shifts

The growth of the U.S. merchandise trade deficit during 2000 also reflected significant shifts with

certain key trade partners. Table 2-2 shows U.S. bilateral merchandise trade with its 10 largest partners

(ranked by total trade) and U.S. multilateral merchandise trade with selected country groups6 during 2000.

The U.S. trade deficit widened by $6.7 billion or more with each of its five major partners--Canada, China,

the European Union (EU), Japan, and Mexico.7 Further analyses of the underlying factors and the leading

products responsible for trade shifts for each of these five major partners are provided in chapter 3.

Significance of International Trade in the Gross Domestic Product

To provide perspective on the significance of international trade in the U.S. economy, merchandise

trade values are compared with various macroeconomic measures. For the United States and its five major

trade partners, the relative sizes of their economies, U.S. bilateral merchandise trade flows, and the ratios

of such balances to U.S. gross domestic product (GDP) are compared in table 2-3. The U.S. merchandise

trade deficit with all worldwide trade partners combined was higher in 2000 than the previous 2 years–5.0

percent of the nominal U.S. GDP in that year–compared to ratios of 4.1 percent in 1999 and 3.2 percent in

1998. In 2000, U.S. merchandise trade deficits with its five major trade partners accounted for 3.4 percent 
2-5

Table 2-2

All merchandise sectors: U.S. exports of domestic merchandise, imports for consumption, and

merchandise trade balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

Canada ..................................... 145,731 155,601 9,869 6.8

Mexico ...................................... 81,381 100,442 19,061 23.4

Japan ....................................... 54,310 60,751 6,441 11.9

China ....................................... 12,585 15,335 2,750 21.9

Germany .................................... 25,151 27,403 2,251 9.0

United Kingdom ............................... 35,815 38,148 2,332 6.5

Korea ....................................... 22,038 26,302 4,265 19.4

Taiwan ...................................... 17,640 22,404 4,764 27.0

France ...................................... 17,654 18,921 1,267 7.2

Malaysia ..................................... 8,558 10,123 1,565 18.3

All Other ..................................... 221,326 236,858 15,532 7.0

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 642,189 712,287 70,098 10.9

EU-15 ...................................... 142,029 152,652 10,623 7.5

OPEC ...................................... 19,397 18,234 -1,163 -6.0

Latin America ................................. 133,944 156,292 22,348 16.7

CBERA ..................................... 19,030 20,728 1,698 8.9

Asia ........................................ 159,371 185,282 25,911 16.3

Sub-Saharan Africa ............................ 5,332 5,563 232 4.3

Central and Eastern Europe ...................... 2,650 2,743 94 3.5

U.S. imports for consumption:

Canada ..................................... 198,242 229,060 30,818 15.5

Mexico ...................................... 109,018 134,734 25,716 23.6

Japan ....................................... 130,951 145,742 14,791 11.3

China ....................................... 81,522 99,581 18,058 22.2

Germany .................................... 55,386 58,349 2,963 5.3

United Kingdom ............................... 38,773 42,843 4,069 10.5

Korea ....................................... 31,152 39,829 8,677 27.9

Taiwan ...................................... 35,057 40,384 5,327 15.2

France ...................................... 25,400 29,435 4,034 15.9

Malaysia ..................................... 21,391 25,447 4,056 19.0

All Other ..................................... 290,541 359,936 69,394 23.9

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 1,017,435 1,205,339 187,904 18.5

EU-15 ...................................... 194,409 218,375 23,966 12.3

OPEC ...................................... 38,892 62,934 24,041 61.8

Latin America ................................. 165,686 206,087 40,401 24.4

CBERA ..................................... 19,365 22,161 2,796 14.4

Asia ........................................ 382,342 443,490 61,148 16.0

Sub-Saharan Africa ............................ 13,750 22,213 8,463 61.5

Central and Eastern Europe ...................... 4,803 6,385 1,581 32.9

U.S. merchandise trade balance:

Canada ..................................... -52,511 -73,459 -20,948 -39.9

Mexico ...................................... -27,637 -34,292 -6,655 -24.1

Japan ....................................... -76,641 -84,991 -8,350 -10.9

China ....................................... -68,937 -84,245 -15,308 -22.2

Germany .................................... -30,235 -30,946 -712 -2.4

United Kingdom ............................... -2,958 -4,695 -1,737 -58.7

Korea ....................................... -9,115 -13,526 -4,412 -48.4

Taiwan ...................................... -17,417 -17,980 -563 -3.2

France ...................................... -7,747 -10,514 -2,767 -35.7

Malaysia ..................................... -12,833 -15,325 -2,491 -19.4

All Other ..................................... -69,215 -123,078 -53,863 -77.8

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... -375,246 -493,052 -117,805 -31.4

EU-15 ...................................... -52,380 -65,723 -13,343 -25.5

OPEC ...................................... -19,495 -44,699 -25,204 -129.3

Latin America ................................. -31,742 -49,795 -18,053 -56.9

CBERA ..................................... -335 -1,433 -1,098 -327.6

Asia ........................................ -222,971 -258,208 -35,237 -15.8

Sub-Saharan Africa ............................ -8,418 -16,649 -8,231 -97.8

Central and Eastern Europe ...................... -2,154 -3,642 -1,488 -69.1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

8

 See ch. 3 for more information about significant shifts with leading trade partners.

2-6

Table 2-3

U.S. bilateral merchandise trade balances with major partners, in dollars and as a ratio to nominal U.S.

gross domestic product (GDP), 2000

Partner

 Nominal

 GDP

 U.S. 

 exports

 U.S. 

 imports

U.S.

merchandise

trade balance

Ratio of the

merchandise

trade balance

to U.S. GDP

Billion dollars –––––––––– Million dollars ––––––––––– Percent

European Union (EU) ........... 8,917.9 152,652 218,375 -65,723 0.7

Japan ...................... 4,622.1 60,751 145,742 -84,991 0.9

China ....................... 1,065.7 15,335 99,581 -84,246 0.9

Canada ..................... 705.2 155,601 229,060 -73,459 0.7

Mexico ...................... 557.0 100,442 134,734 -34,292 0.3

United States ................. 9,963.1 712,287 1,205,339 -493,052 5.0

Note.--Calculations based on unrounded data.

Source: U.S. trade data compiled from official statistics of the U.S. Department of Commerce (USDOC). GDP data

for the United States are from USDOC, Bureau of Economic Analysis, Survey of Current Business, Table 1.1,

Gross Domestic Product, Apr. 2001, p. D-3. Estimated GDP data for Canada, Japan, Mexico, EU, and China are

from U.S. Department of State, Country Reports on Economic Policy and Trade Practices, 2000, found at

http://www.state.gov/e/eb/rls/rpts/eptp/2000, retrieved May 7, 2001.

of nominal U.S. GDP. Over the 5-year period 1996-2000, imports of merchandise (goods) became a larger

component of the U.S. economy, whereas exports of U.S. goods fluctuated over the years to represent a

larger share of GDP in 2000 compared with 1999 (table 2-4).

However, comparing U.S. global merchandise imports and exports as shares of GDP with such

ratios for its major trade partners (table 2-5, with Germany in place of the EU due to data availability)

indicates that, during 1996-2000, global merchandise trade accounted for a smaller portion of GDP for the

United States and Japan (the world’s two largest economies) than for other major partners. In terms of

exports, U.S. trade partners continued to benefit from growth (albeit slowing) in the U.S. economy that

provided a strong market for their exports in recent years. Although the ratio of merchandise imports to

GDP was higher for the United States than for Japan over the 5-year period, it was roughly one-third the

ratio for Canada and Mexico and at least two-fifths the ratio for Germany until 2000 when Germany’s

imports from the United States and foreign markets overall decreased by about half in terms of U.S.

dollars.8
2-7

Table 2-4

Components of U.S. gross domestic product (GDP) and trade as a share of GDP, 1996-2000

Component 1996 1997 1998 1999 2000

Billion current dollars

Personal consumption expenditures:

Goods ............................. 2,190.6 2,284.6 2,407.1 2,601.7 2,830.3

Services ............................ 3,047.0 3,239.8 3,441.5 3,655.6 3,927.0

Gross private domestic investment ......... 1,242.7 1,383.7 1,531.2 1,622.7 1,832.7

Exports:

Goods ............................. 582.1 643.2 634.7 642.2 712.3

Services ............................ 255.8 279.0 285.1 299.3 308.7

Imports:

Goods ............................. 790.5 862.4 907.6 1,017.4 1,205.3

Services ............................ 154.8 171.2 185.5 203.1 219.5

Government consumption expenditures and

gross investment ..................... 1,421.9 1,481.0 1,529.7 1,630.1 1,743.7

 Gross Domestic Product ............ 7,813.2 8,300.8 8,759.9 9,299.2 9,963.1

Percent

Exports as a share of GDP:

Goods ............................. 7.5 7.7 7.2 6.9 7.2

Services ............................ 3.3 3.4 3.3 3.2 3.1

Imports as a share of GDP:

Goods ............................. 10.1 10.4 10.4 11.0 12.1

Services ............................ 2.0 2.1 2.1 2.2 2.2

Note.--Calculations based on unrounded data. Components of U.S. GDP may not sum to total, as merchandise

(goods) trade data are consistent with other trade statistics cited in this report.

Source: Merchandise trade data are compiled from official statistics of the U.S. Department of Commerce

(USDOC). All other data (balance-of-payments basis) are from USDOC, Bureau of Economic Analysis, Survey of

Current Business, Table 1.1, Gross Domestic Product, Apr. 2001, p. D-3.

Table 2-5

Merchandise trade as a share of gross domestic product (GDP) for the United States and major trade

partners, 1996-2000

(Percent)

Country 1996 1997 1998 1999 2000

Change 

 1996-2000

Exports as a share of GDP:

United States ........... 7.5 7.7 7.2 6.9 7.2 -0.3

Japan ................. 8.9 9.8 9.9 9.4 10.0 1.1

China ................. 18.5 20.2 19.1 19.5 20.1 1.6

Canada ............... 34.1 34.5 36.0 37.4 38.5 4.4

Mexico ................ 28.7 27.5 28.3 29.2 30.1 1.4

Germany .............. 22.4 24.5 25.8 28.9 13.9 -8.5

Imports as a share of GDP:

United States ........... 10.1 10.4 10.4 11.0 12.1 2.0

Japan ................. 7.6 7.3 6.7 6.3 7.1 -0.5

China ................. 17.0 15.8 14.6 15.3 18.6 1.6

Canada ............... 29.0 31.8 33.9 34.4 33.8 4.8

Mexico ................ 26.7 27.3 30.2 30.4 31.4 4.7

Germany .............. 19.6 21.3 22.0 27.8 12.5 -7.1

Note.--Calculations based on unrounded data.

Source: U.S. trade data compiled from official statistics of the U.S. Department of Commerce (USDOC). GDP data

for the United States are from USDOC, Bureau of Economic Analysis, Survey of Current Business, Table 1.1,

Gross Domestic Product, Apr. 2001, p. D-3. Estimated trade and GDP data for Japan, China, Canada, Mexico, and

Germany are from U.S. Department of State, Country Reports on Economic Policy and Trade Practices, 2000,

found at http://www.state.gov/e/eb/rls/rpts/eptp/2000, retrieved May 7, 2001

 

1

 Canada was the second-leading destination for U.S. foreign direct investment in 1999 (latest data available) 

at $111.7 billion according to the Bureau of Economic Analysis (BEA), “U.S. Direct Investment Abroad,

International Data, Country Detail for Position, Capital Flow, and Income,” found at

http://www.bea.doc.gov/bea/di/diapos, retrieved Feb. 2001. Canadian Foreign Direct Investment in the United

States was $79.7 billion in 1999. Found at http://www.bea.doc.gov/bea/di/fdipos (latest data available), retrieved

Feb. 2001.

 

2

 See ch. 2 for a general discussion about U.S. and international macroeconomic conditions that influenced U.S.

merchandise trade performance in 2000.

3-1

,,,,,,,,,,,,,,,,

CHAPTER 3

Significant Shifts With Leading Partners and

Factors Affecting Trends in Selected

Industry/Commodity Groups

This chapter examines noteworthy economic and trade developments among major U.S. trade

partners during 2000 and selected industries during 1990-2000. Significant shifts in U.S. trade with each of

the top five U.S. trade partners are discussed, including highlights of trade-related developments and

analyses of trade trends. Long-term trade trends are analyzed for five selected industry/commodity groups.

SIGNIFICANT SHIFTS WITH LEADING PARTNERS

The following summarizes key shifts in U.S. merchandise trade with each of its top five trade

partners in terms of U.S. total trade (exports plus imports)--Canada, China, the European Union, Japan,

and Mexico. For each partner, U.S. trade flows are discussed for the relevant industry/commodity groups

and subgroups. A tabulation of significant shifts in trade is included at the end of the discussions for each

partner.

Canada

Change in 2000 from 1999:

U.S. trade deficit: Increased by $20.9 billion (40 percent) to $73.5 billion

U.S. exports: Increased by $9.9 billion (7 percent) to $155.6 billion

U.S. imports: Increased by $30.8 billion (15 percent) to $229.1 billion

• Total U.S. merchandise trade with Canada increased by 12 percent in 2000 to $384.7 billion (table

3-1), reaching a level slightly greater than U.S. merchandise trade with the EU ($371.0 billion) and

close to two-thirds of that with Asia ($628.8 billion). Among individual nations, Canada was both

the largest market for U.S. exports in 2000 and the principal source of U.S. imports. Bilateral

trade with Canada is strongly influenced by the highly integrated nature of North American

manufacturing, as evidenced by high levels of foreign direct investment between these two

countries.1 Geographic proximity, the North American Free Trade Agreement, shared

infrastructure, similar markets, and the strong presence in Canada of subsidiaries of U.S.

corporations promote trade between the United States and Canada.2
 

3

 Real output growth in 2000 for the United States was 5.0 percent compared with 4.7 percent for Canada.

IMF, World Economic Outlook, May 2001, p. 2, retrieved Jun. 6, 2001.

 

4

 According to the Bureau of Labor Statistics, labor costs for manufacturing workers in Canada in 1999 were

19 percent lower than in the United States. 

 

5

 See “Crude Petroleum” in this chapter and ch. 7 for additional information.

 

6

 See “Semiconductors and Integrated Circuits” in this chapter for additional information.

 

7

 U.S. exports of computers and parts to Canada rose by $859 million (17 percent) in 2000 to $5.9 billion, while

U.S. imports from Canada rose by $529 million (17 percent) to $3.7 billion.

 

8

 See “Aircraft, Spacecraft, and Related Equipment” in ch. 11 for additional detail.

3-2

• The sharp expansion in the U.S. merchandise trade deficit with Canada in 2000 largely reflects the

growing U.S. dependence on Canada as a source of energy, higher petroleum prices in 2000, faster

economic growth in the United States than Canada,3 and higher labor costs in the United States

than Canada.4 The U.S. trade deficit with Canada in the energy sector expanded by $13.5 billion

(87 percent) in 2000 and accounted for 65-percent of the total increase in the U.S. trade deficit

with Canada that year. U.S. imports of crude petroleum and natural gas from Canada rose by

$11.1 billion in 2000, while U.S. exports of these products increased by only $351 million. A

significant part of the $6.1-billion (93-percent) rise in U.S. imports of crude petroleum from

Canada in 2000 was caused by a 65 percent increase in the world price of crude petroleum.5

• Canada was among both the largest foreign suppliers of semiconductors to the U.S. market and the

largest foreign markets for U.S. exports of semiconductors in 2000 as global demand for

semiconductors and other electronic/electrical components expanded significantly.6 U.S. exports of

semiconductors, circuit apparatus, and printed circuits to Canada rose by $824 million (18

percent) in 2000 to $5.5 billion, whereas U.S. imports from Canada rose by $289 million 

(11 percent) to $2.8 billion, generating a U.S. trade surplus of $2.7 billion. Canada is a major

location for the production of telecommunications equipment, and a significant portion of U.S.

exports is likely being consumed in Canadian-made telecom equipment. In addition, Canada is a

significant semiconductor production-sharing partner for the United States. IBM has a facility in

Canada used for the assembly of semiconductors that are fabricated into intermediate or finished

products in other locations, including the United States.

• Similar cross-border integration of manufacturing and marketing affects trade in computer

equipment. The United States maintains a trade surplus with Canada in computer equipment and

parts that rose by $330 million in 2000 to $2.1 billion.7

• U.S. exports of aircraft engines and aircraft equipment rose by $330 million (9 percent) during

2000 to $3.8 billion, whereas U.S. imports of these products rose by $1.4 billion (27 percent) to

$6.7 billion, resulting in a U.S. trade deficit with Canada of $2.9 billion. Canadian producer

Bombardier is a world leader in the production of commuter jets.8 U.S. demand for such aircraft is

significant because the United States did not produce regional jet aircraft in 2000. Canada is a

major market for Boeing, the dominant U.S. producer of large civil aircraft. In addition, Boeing

has three production facilities in Canada that manufacture aircraft components for the North

American market.

• U.S. exports of certain motor vehicle parts to Canada declined by $386 million (2.4 percent) in

2000 to $15.8 billion, while U.S. imports of motor vehicles from Canada declined by $907 million

(2 percent) to $45.7 billion. The modest decline in U.S.-Canadian automotive trade in 2000
 

9

 U.S. exports of certain motor vehicle parts to Mexico rose by $1.6 billion (31 percent) in 2000 to $6.7 billion

whereas U.S. imports of finished vehicles from Mexico grew by $5.2 billion (33 percent) to $21.0 billion.

 

10 U.S. Government and industry officials, e-mail and telephone communication by USITC staff, Mar. 15-23,

2001.

3-3

contrasts with the sharp rise in U.S.-Mexican automotive trade, reflecting a steady southward shift

in the North American assembly of finished vehicles and auto parts.9

U.S. exports

• U.S. exports of copper and related articles to Canada rose by $913 million (166 percent) during

2000 to $1.5 billion. The rise reflects exports of semifabricated copper articles by a U.S. entity for

further fabrication in Canada. The articles are returned to the United States for further processing.

U.S. imports

• U.S. imports of lumber from Canada fell by $799 million (11 percent) during 2000 to $6.2 billion,

primarily reflecting declining prices. However, U.S. imports of furniture from Canada rose by

$604 million (17 percent) during 2000 to $4.2 billion. Canadian furniture producers are successful

in the U.S. market owing to geographic proximity, low-cost lumber, similar preferences in

furniture design, comparable methods of manufacture, and similar channels of distribution.

• As a result of relatively strong prices in 2000 compared with 1999, the value of U.S. imports of

wood pulp and wastepaper rose by $601 million (28 percent) during 2000 to $2.8 billion. The

quantity of wood pulp imported from Canada increased by 5 percent while the quantity of imports

of waste paper rose by 40 percent. The increase was due, in part, to the higher operating costs of

U.S. pulping operations and the strength of the U.S. dollar.

• U.S. imports from Canada of printing and writing papers rose by $348 million (12 percent) during

2000 to $3.2 billion. Both the volume and the average unit value of these imports rose as Canadian

product increased its share of the U.S. printing and writing papers market.

• The more than doubling of U.S. imports of optical goods in 2000, to $933 million, was attributable

to growing demand for imported optical components used in advanced optoelectronic and fiberoptic voice, video, and data communications systems. These components are used in such dataintensive applications as Internet access, real-time data backup, e-mail, video teleconferencing, and

movement of large blocks of stored data across networks. Principal Canadian suppliers of these

products are Nortel Networks and JDS Uniphase Corp, as well as smaller Canadian network

component suppliers.10

Josephine Spalding

(202) 205-3498

spalding@usitc.gov
3-4

Table 3-1

Leading changes in U.S. exports to and U.S. imports from Canada, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Minerals and metals:

Copper and related articles (MM036) ........... 549 1,462 913 166.2

Steel mill products (MM025) .................. 2,254 2,579 325 14.4

Electronic products:

Computers, peripherals, and parts (ET035) ....... 5,021 5,880 859 17.1

Semiconductors and integrated circuits (ET033) ... 2,787 3,302 516 18.5

Telephone and telegraph apparatus (ET017) ...... 2,613 3,105 491 18.8

Optical fibers, optical fiber bundles and 

cables (ET037) .......................... 373 592 220 58.9

Circuit apparatus not exceeding 1000V (ET028) ... 1,222 1,378 156 12.8

Printed circuits (ET026) ..................... 695 848 153 22.0

Energy-related products: 

Petroleum products (CH005) ................. 1,010 1,300 290 28.8

Electrical energy (CH001) .................... 206 398 191 92.7

Natural gas and components (CH006) .......... 148 307 160 108.2

Transportation equipment: 

Aircraft engines and gas turbines (ET001) ....... 1,628 1,841 214 13.1

Aircraft, spacecraft, and related 

equipment (ET013) ....................... 1,883 2,000 116 6.2

Decreases:

Certain motor-vehicle parts (ET010) .............. 16,218 15,832 -386 -2.4

All other .................................. 109,125 114,777 5,652 5.2

––––––––––––––––––––––––––––––––––––––––––––

TOTAL ............................... 145,731 155,601 9,869 6.8

U.S. IMPORTS:

Increases:

Energy-related products:

Crude petroleum (CH004) .................... 6,552 12,654 6,103 93.1

Natural gas and components (CH006) .......... 6,933 11,970 5,037 72.7

Petroleum products (CH005) ................. 2,362 3,911 1,549 65.6

Electrical energy (CH001) .................... 1,334 2,711 1,377 103.3

Electronic products: 

Telephone and telegraph apparatus (ET017) ...... 4,564 9,156 4,592 100.6

Optical goods, including ophthalmic 

goods (ET038) .......................... 373 933 560 150.1

Computers, peripherals, and parts (ET035) ....... 3,213 3,742 529 16.5

Transportation equipment:

Aircraft, spacecraft, and related 

equipment (ET013) ....................... 3,801 4,747 946 24.9

Aircraft engines and gas turbines (ET001) ....... 1,461 1,957 496 33.9

Forest products:

Wood pulp and wastepaper (AG059) ........... 2,154 2,754 601 27.9

Printing and writing papers (AG063) ............ 2,861 3,209 348 12.2

Newsprint (AG062) ......................... 3,341 3,674 333 10.0

Other:

Furniture (MM054) ......................... 3,607 4,211 604 16.7

Precious metals and non-numismatic 

coins (MM020) .......................... 2,218 2,728 510 23.0

Decreases:

Transportation equipment:

Motor vehicles (ET009) ...................... 46,563 45,656 -907 -1.9

Rail locomotive and rolling stock (ET008) ........ 1,170 816 -355 -30.3

Other:

Lumber (AG052) ........................... 7,041 6,242 -799 -11.4

All other .................................. 98,695 107,988 9,294 9.4

––––––––––––––––––––––––––––––––––––––––––––

TOTAL ............................... 198,242 229,060 30,818 15.5

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

11 Because the United States and China treat trade through Hong Kong differently, U.S. and Chinese

measurements of the bilateral deficit differ significantly. China maintains that the United States should not count

goods from U.S.- and other foreign-owned processing and compensation ventures in China that are shipped to the

United States via Hong Kong as Chinese exports. China considers these transshipments to be Hong Kong’s exports

to the United States. See The Economist Intelligence Unit (EIU), “Political Scene: Tensions Continue With the

USA,” Country Report: China, Mar. 1, 1996.

 

12 U.S. State Department, telegram No. 2094, “China’s Economy in 2000: Lucky Numbers,” prepared by U.S.

Embassy, Beijing, March 1, 2001.

 

13 Ibid.

 

14 U.S. State Department, telegram No. 724, “Chinese Trade Diversifying: Less Vulnerable to Fluctuations in

U.S. Economy,” prepared by U.S. Embassy, Beijing, Jan. 1, 2001.

 

15 U.S. State Department, telegram No. 5923, “China Trade: Thank Heaven for Little Dragons,” prepared by

U.S. Embassy, Beijing, June 15, 2000.

 

16 “China’s Economic Power: Enter the Dragon,” The Economist, Mar. 7, 2001.

3-5

China

Change in 2000 from 1999:

U.S. trade deficit: Increased by $15.3 billion (22 percent) to $84.3 billion11

U.S. exports: Increased by $2.8 billion (22 percent) to $15.3 billion

U.S. imports: Increased by $18.1 billion (22 percent) to $99.6 billion

• The U.S. trade deficit with China widened during 1999-2000 due in part to consumer demand and

the continued strength of the U.S. economy, particularly early in 2000. Total U.S. trade with China

increased by 22 percent in 2000 to $114.9 billion (table 3-2) and accounted for 6 percent of total

U.S. merchandise trade with all trading partners. The United States remained China’s secondlargest trading partner despite China’s efforts to diversify its export markets in anticipation of the

widely predicted fourth quarter slowdown in the U.S. economy. Trade reports from China indicate

that U.S. imports consisted largely of labor- intensive processed goods, while technology-intensive

products and raw materials dominated U.S. exports to China.12

• China’s GDP grew by 8 percent in 2000, to $1.1 trillion, primarily due to growth in the industrial

sector, increased infrastructure investment, and greater urban consumption.13 Disposable income

among urbanites grew by 6.4 percent, retail sales increased by 9.7 percent, and fixed-asset

investment climbed by 9.3 percent.

• According to China’s General Administration of Customs, the value of China’s international trade

in goods and services grew by nearly 30 percent in 2000.14 China’s exports grew by 27 percent to

$250 billion and its imports increased by 35 percent to $225 billion. Southeast Asian markets

absorbed nearly 70 percent of China’s exports during 2000, with export growth driven primarily

by sales of machinery and high-technology equipment such as telecommunications, electronics, and

information technology products. These products accounted for about 42 percent of the value of

China’s total exports. Garments, textiles, and shoes accounted for much of the remainder. In 2000,

China became the world’s third-largest computer hardware exporter,15 as the Taiwan computer

equipment industry shifted much of its production and investment to China.16

• The Chinese Government reportedly continued its efforts during 2000 to stimulate the economy

with proactive fiscal and monetary policies that included boosting demand through infrastructure

spending; prioritizing investment in infrastructure (especially in western China) and technical

innovations; promoting greater urban and rural consumption; and by increasing VAT rebates on
 

17 FY 2001 Country Commercial Guide: China, U.S. State Department, found at

http://www.state.gov/www/about_state/business/com-guides/2001/eap/china-ccg2001, pdf, retrieved Mar. 28, 2001.

 

18 Oilseeds: World Market and Trade, U.S. Department of Agriculture, Foreign Agricultural Service, FOP 

03-01, March 2001.

 

19 U.S. State Department, telegram No. 724, “Chinese Trade Diversifying: Less Vulnerable to Fluctuations in

U.S. Economy.”

 

20 Ibid. 

3-6

staple exports such as machinery, electronics, textiles, footwear, and toys that contributed to

China’s strong export performance.

• China’s imports were driven by a 25-percent increase in demand for machinery, production inputs,

and electronic components from Japan, Korea, Taiwan, and Hong Kong for China’s processing

and assembly trades. As a result, these products accounted for a large share (46 percent) of

China’s total imports during 2000.

U.S. exports

• Increases in U.S. exports of electronics and high-technology products can be attributed to a 23-

percent expansion in output of China’s processing and assembly industry in 2000. In particular,

the Chinese computer market grew significantly in 2000, according to China’s Ministry of

Information Industry, in response to demand for PCs from educational institutions as well as to the

rapid development of the software and computer service sectors and to expansion in Internet usage.

Further, China planned to invest $25 billion in telecommunication infrastructure in 2000,17 and

expects to add 30 million fixed-line users, 30 million mobile-phone users, and 11 million

data/multimedia-communications users. Highlights of the leading increases and decreases in U.S.

exports are identified in table 3-2.

• U.S. exports to China of oilseeds, principally soybeans, increased dramatically during 2000,

largely attributable to expanding domestic demand for soybeans and a reported shift in official

Chinese Government policy regarding the importation of soybean oil and meal.18 China relies on

imports of soybeans to satisfy its growing demand for oil and meal. In 2000, the Chinese

Government encouraged the importation of raw soybeans for crushing and processing by Chinese

mills rather than the importation of finished meal and oil.

U.S. imports

• U.S. imports from China continued to rise during 2000 despite China’s efforts to lessen its reliance

on the U.S. market and shift its exports to recovering Asian markets. The United States continued

to be China’s largest single export market, accounting for almost 25 percent of China’s total

exports in 2000.19 

• Sustained U.S. demand for electronic products, principally computer hardware, consumer

electronics (except televisions), and telephone and telegraph apparatus, as well as apparel,

furniture, footwear, and household appliances (including commercial models) during 2000

accounted for 39 percent of all U.S. imports from China. Increased imports of computer hardware

alone ($2.9 billion) accounted for 16 percent of the overall rise in U.S. imports from China. Direct

investments in China by Taiwan, as well as China’s desire to export more value-added hightechnology products,20 spurred tremendous growth in China’s output of telecommunications,

electronic, and information technology products during 2000. For example, China’s output of
 

21 U.S. State Department, telegram No. 2094, “China’s Economy in 2000: Lucky Numbers.”

3-7

printed circuit boards, automated switching equipment, mobile telephone equipment (excluding

mobile telephones themselves), and microcomputers, presumably influenced by U.S. and global

demand, each grew between 40 and 100 percent per sector during 2000 compared to 1999.21

Highlights of the leading increases and decreases in U.S. imports are identified in table 3-2.

William Greene

(202) 205-3405

greene@usitc.gov
3-8

Table 3-2

Leading changes in U.S. exports to and U.S. imports from China, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Agricultural products:

Oilseeds (AG032) .......................... 354 1,020 666 188.0

Hides, skins, and leather (AG046) ............. 127 260 134 105.5

Minerals and metals:

Copper and related articles (MM036) ........... 90 286 195 216.2

Iron and steel waste and scrap (MM023) ......... 96 216 119 124.1

Other:

Computers, peripherals, and parts (ET035) ....... 691 1,140 450 65.1

Semiconductor manufacturing equipment 

and robotics (MM087) ..................... 127 292 165 129.4

Decreases:

Transportation equipment:

Aircraft, spacecraft, and related 

equipment (ET013) ....................... 2,294 1,689 -604 -26.3

Aircraft engines and gas turbines (ET001) ....... 196 97 -99 -50.4

Other:

Fertilizers (CH016) ......................... 933 662 -271 -29.1

Boilers, turbines, and related machinery (MM090) . . 202 81 -121 -59.8

Crude petroleum (CH004) .................... 57 (

1

) -57 -100.0

Animal or vegetable fats and oils (AG033) ....... 74 20 -53 -72.5

All other .................................. 7,345 9,572 2,227 30.3

––––––––––––––––––––––––––––––––––––––––––––

TOTAL ............................... 12,585 15,335 2,750 21.9

U.S. IMPORTS:

Increases:

Electronic products:

Computers, peripherals, and parts (ET035) ....... 7,761 10,670 2,908 37.5

Consumer electronics (except 

televisions) (ET018) ...................... 4,756 6,252 1,496 31.5

Telephone and telegraph apparatus (ET017) ...... 2,172 2,942 770 35.4

Other:

Apparel (CH049) ........................... 7,399 8,528 1,130 15.3

Furniture (MM054) ......................... 3,001 4,060 1,059 35.3

Footwear (CH051) ......................... 8,438 9,206 768 9.1

Decreases:

Miscellaneous manufactures:

Brooms, brushes, and hair grooming 

articles (MM063) ......................... 474 410 -64 -13.5

Hair grooming articles, non-electric 

(except brushes) (MM063B) ................ 219 168 -50 -23.0

Other:

Nuclear materials (CH002) ................... 75 1 -74 -98.2

Shirts and blouses (CH049E) ................. 1,816 1,766 -51 -2.8

Unwrought zinc (MM040A) ................... 54 29 -25 -45.7

Cotton, not carded or combed (AG049) ......... 24 0 -24 -100.0

All other .................................. 45,332 55,547 10,214 22.5

––––––––––––––––––––––––––––––––––––––––––––

TOTAL ............................... 81,522 99,581 18,058 22.2

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1Less than $500,000.

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

22 Eurostat Economic Statistics, European Commission, found at http//www.europa.eu/int.comm.eurostat...ntcatalogue/EN?catalogue=Eurostat, retrieved Apr. 5, 2001. 

 

23 “European Economic Outlook,” Price Waterhouse Coopers, found at http//www.pwcglobal.com/gx/eng/inssol/spec-int, retrieved April 4, 2001. 

 

24 Eurostat Economic Statistics, European Commission, found at http//www.europa.eu/int.comm.eurostat...ntcatalogue/EN?catalogue=Eurostat, retrieved Mar. 28, 2001. 

 

25 Jean-Philippe Dauvin, “Chip market surpasses $200B mark – Digital networking products, mobile ICs lead

the way to a new growth era,” Electronic Buyers’ News, Jan. 1, 2001, found at http://proquest.umi.com/ pqdweb?

TS=...3&Idx=4&Deli, retrieved Mar. 27, 2001. See “Semiconductors and Integrated Circuits” in this chapter for

additional information.

3-9

European Union

Change in 2000 from 1999:

U.S. trade deficit: Increased by $13.3 billion (26 percent) to $65.7 billion

U.S. exports: Increased by $10.6 billion (8 percent) to $152.7 billion

U.S. imports: Increased by $24.0 billion (12 percent) to $218.4 billion

• Consumer and manufacturing demand stimulated by a strong U.S. economy through most of 2000

was a principal factor responsible for the sustained growth in U.S. imports and the U.S. trade

deficit with the nations of the European Union (table 3-3). This trend followed expansions in the

U.S. trade deficit of $17.7 billion (51 percent) in1999 and $10.6 billion (44 percent) in 1998.

Growth in U.S. import demand was principally concentrated in pharmaceuticals, petroleum

products, transportation equipment, and electronic products and instruments.

• Economic growth for the 15 member nations of the EU rose by 3.3 percent in 2000,22 compared

with 2.5 percent growth in 1999. Economic expansion during the second half of the year slowed

somewhat from the pace established during the first half of 2000 in response to higher energy

prices and slowing worldwide demand. Germany, Italy, France, Spain, and the United Kingdom

experienced marked reductions in growth rates in their economies during the second half of 2000.23

Overall EU economic growth in 2000 resulted in a falling rate of unemployment, to 8.4 percent

from 9.2 percent in 1999. EU merchandise exports represented a major factor in the growth of EU

economies during 2000 as industrial production increased by an estimated 4.4 percent.24

U.S. exports

• The leading EU market for U.S. manufacturers in 2000 was the United Kingdom, accounting for

25 percent of total exports to the EU, followed by Germany (18 percent). Both nations are major

markets for U.S. aircraft and aircraft parts, pharmaceuticals, and computers and computerequipment.

• U.S. exports of semiconductors and integrated circuits along with semiconductor manufacturing

equipment and robotics led the increase in U.S. exports to EU nations in 2000. Worldwide

semiconductor sales grew by 38 percent in 2000, largely reflecting higher prices and strong global

and EU demand for semiconductors and integrated circuits in personal computers, mobile

communications, and in industrial electronics and distribution.25

• Increases in exports of pharmaceuticals (medicinal chemicals) to the EU reflected increasing U.S.

investment in Europe by U.S. multinational pharmaceutical companies who reportedly have taken
 

26 Shipping bulk active ingredients between countries also allows companies to formulate products in local

markets to conform to specific local requirements.

 

27 “Laying foundations for growth,” Euromoney, June 2000, found at http://proquest.umi.com/ pqdweb?

TS=...3&Sid2&Idx=4&Deli, retrieved Apr. 9, 2001. See “Medicinal Chemicals” in ch. 6 for additional

information.

 

28 See “Aircraft, Spacecraft, and Related Equipment” in ch. 11 for additional information.

 

29 Bruce D. Nordwall, “French Manufacturers Succeed In Global Aerospace Market,” Aviation Week & Space

Technology, Aug. 28, 2000, found at http://proquest.umi.com/pqdweb? TS=...=3&Sid, retrieved Mar. 28, 2001. 

 

30 For additional details, see USITC “Outsourcing by the Pharmaceutical Industry Provides Opportunities for

Fine Chemical Producers Worldwide,” Industry Trade and Technology Review, October 1999.

 

31 Clay Boswell, Feliza Mirasol, “Sourcing Pharmaceutical Manufacturing From Offshore Facilities,” Chemical

Market Reporter, Oct. 25, 1999, p. A28.

 

32 Ibid.

 

33 “Laying foundations for growth,” Euromoney, June 2000, found at http://proquest.umi.com/pqdweb?

TS=...=&Did, retrieved Mar. 27, 2001. 

3-10

advantage of tax differentials between nations by shipping bulk active ingredients to production

facilities abroad, such as Ireland, where tax policy is favorable to value-added manufacturing.26 In

addition, at least one major Irish pharmaceutical company sources pharmaceutical products from

manufacturing facilities in the United States.27

• U.S. exports of aircraft, spacecraft, and related equipment to Europe declined in 2000 as Boeing

delivered a larger share of aircraft to U.S. customers than to European customers. Shipments in

2000 largely reflect orders for aircraft placed 18 to 24 months before delivery.28

U.S. imports

• Germany was the leading EU supplier of U.S. imports in 2000, accounting for 27 percent of total

U.S. imports from the EU, followed by the United Kingdom (20 percent) and France (13 percent).

All three nations are major suppliers of motor vehicles, pharmaceuticals, and aircraft and related

equipment to the U.S. market.

• The transportation sector, largely composed of aircraft and related equipment, accounted for 15

percent of the increase of U.S. imports from EU nations in 2000. European manufacturers,

particularly French producers, have established a strong presence in the U.S. and global markets

through aggressive marketing efforts, and demand has remained strong for civil passenger

transport aircraft as passenger air miles continue to climb.29

• Pharmaceutical products accounted for the largest single increase in imports from the EU due to

the increasing tendency of U.S. pharmaceutical firms to outsource the production of intermediate

and finished products from Ireland, Germany, and the United Kingdom30 and the large number of

prominent multinational pharmaceutical companies in these nations.31 Ireland, in particular, has

sought to attract foreign investment to the country through the use of tax incentives for U.S. and

other foreign pharmaceutical firms.32 As a result, Ireland has become a base for a number of

worldwide pharmaceutical and biotechnology exporting companies.33
 

34 See “Crude Petroleum” in this chapter and ch. 7 for additional information.

3-11

• U.S. imports of petroleum products increased by $2.7 billion (96 percent) to $5.6 billion due

primarily to the significant rise in the price of crude petroleum in 2000.34 This price increase served

to increase the value of downstream fuel-related products imported from Europe, although the

volumes of products imported tended to remain stable.

Vincent DeSapio

(202)-205-3435

desapio@usitc.gov

Table 3-3

Leading changes in U.S. exports to and U.S. imports from EU15, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Semiconductor manufacturing equipment 

and robotics (MM087) ....................... 1,539 2,911 1,372 89.1

Medicinal chemicals (CH025) ................... 7,072 8,327 1,254 17.7

Semiconductors and integrated circuits (ET033) ..... 3,788 4,956 1,169 30.9

Decreases:

Transportation equipment:

Aircraft, spacecraft, and related 

equipment (ET013) ....................... 19,107 15,628 -3,479 -18.2

Motor vehicles (ET009) ...................... 2,604 2,055 -549 -21.1

All other .................................. 107,918 118,775 10,857 10.1

––––––––––––––––––––––––––––––––––––––––––––

TOTAL ............................... 142,029 152,652 10,623 7.5

U.S. IMPORTS:

Increases:

Medicinal chemicals (CH025) ................... 17,803 22,676 4,873 27.4

Petroleum products (CH005) ................... 2,871 5,619 2,748 95.7

Aircraft, spacecraft, and related equipment (ET013) . . 7,288 9,532 2,244 30.8

Decreases:

Machinery:

Printing and related machinery (MM081) ......... 1,478 1,224 -254 -17.2

Molds and molding machinery (MM099) ......... 1,425 1,194 -231 -16.2

All other .................................. 163,544 178,130 14,585 8.9

––––––––––––––––––––––––––––––––––––––––––––

TOTAL ............................... 194,409 218,375 23,966 12.3

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

35 For more on shifts of the dollar-yen exchange rate during 2000, see “Exchange Rates” in appendix H.

 

36 See ch. 2 for more information about U.S. economic performance in 2000.

 

37 Official statistics of the Ministry of Finance, reported in “Main Economic Indicators of Japan,” Policy

Planning and Research Division, Minister’s Secretariat, Ministry of Finance, Mar. 2001.

 

38 Household spending was negatively influenced by pension concerns, potential future health-care costs,

corporate bankruptcies, weak financial institutions burdened by rising amounts of non-performing loans, rising

public-sector debt, depressed stock and property markets, continued near-record levels of unemployment, and

smaller December employee bonuses. Economist, “Asia’s So Slow Express, Japan’s Economic Recovery Appears

Still to be on Track, but the Risks of a Derailment are Rising,” Nov. 4, 2000, pp. 75-77; Ichiko Fuyuno, “Japan,

High Anxiety,” Far Eastern Economic Review, Feb. 22, 2001, p. 62; and Japan External Trade Organization, The

State of the Japanese Economy, Statistics and Trends Through 4Q 2000, Apr. 2001, found at

http://www.jetro.go.jp/ec/e/report/4Q_2000.pdf, retrieved Apr. 23, 2000.

 

39 Economist, “Asia’s So Slow Express.”

 

40 U.S. and Foreign Commercial Service (US&FCS) and U.S. Department of State (State Dept.), “Chapter V,

Leading Sectors for U.S. Exports and Investment, Best Prospects for Non-Agricultural Goods and Services,”

FY2001 Country Commercial Guide, Japan, July 2000, pp. 30, 35, and 40.

 

41 Economist, “Asia’s So Slow Express.”

3-12

Japan

Change in 2000 from 1999:

U.S. trade deficit: Increased by $8.4 billion (11 percent) to $85.0 billion

U.S. exports: Increased by $6.4 billion (12 percent) to $60.8 billion

U.S. imports: Increased by $14.8 billion (11 percent) to $145.7 billion

• The deficit with Japan, which reached its highest historical level in 2000, remained the largest

among U.S. bilateral trade partners. This deficit widened for the fourth consecutive year as

increases in imports from Japan outpaced growth of U.S. exports to that country. However, a 5-

percent appreciation of the yen against the dollar during 2000 (table H-1) moderated growth of this

deficit.35

• Expansion of the U.S. trade deficit and of bilateral trade flows with Japan largely reflected

divergences between a robust, albeit slowing, U.S. economy36 and a Japanese economy in a decadelong slowdown. Japan’s economy emerged from a second-half 1999 recession, aided by

government spending, to grow sporadically during 2000 by 1.2 percent for the year in real terms.37

Growth of private consumption, key to sustained recovery, continued to be dampened by ongoing

economic and financial uncertainties.38

• Japanese economic performance was uneven across industry sectors. Certain large firms in the

information-technology and automotive industries benefitted from sustained demand at home,

abroad, or both.39 Japan is the world’s second-largest producer of, and market for, products of

these industries40 which predominated among the leading shifts in U.S. bilateral trade with Japan in

2000 (table 3-4). In contrast, chemicals, steel, and other heavy industries in Japan are still plagued

with overcapacity despite recent restructuring attempts.41

U.S. exports

• Growing Japanese demand for electronic components, resulting from the boom in personal

computers (PC) and mobile telephones, spurred increased U.S. exports of semiconductor
 

42 See “Semiconductors and Integrated Circuits” in this chapter and “Semiconductor Manufacturing

Equipment” in ch. 10 for additional information.

 

43 Economist, “Asia’s So Slow Express.”

 

44 Moreover, a new multilateral Joint Statement on Semiconductors replaced the 1996 bilateral Semiconductor

Agreement that expired in mid-1999. For more information about progress in U.S.-Japan bilateral negotiations to

reduce barriers to trade in semiconductors, see Office of the U.S. Trade Representative, “Japan,” 2001 National

Trade Estimate Report on Foreign Trade Barriers, Apr. 2001, pp. 263-264.

 

45 US&FCS and State Dept., “Electronic Components, Leading Sectors for U.S. Export and Investment,” pp. 30-

31.

 

46 The number of Internet users in Japan was estimated to exceed 27 million at the beginning of 2000 and is

anticipated to reach 77 million within 5 years. US&FCS and State Dept., “Telecommunications Equipment,

Leading Sectors for U.S. Export and Investment,” p. 35.

 

47 See “Computers, Parts, and Peripherals” and “Telephone and Telegraph Apparatus” in ch. 12 for additional

information.

 

48 Economist, “Asia’s So Slow Express.”

 

49 US&FCS and State Dept., “Computers and Computer Peripherals, Leading Sectors for U.S. Export and

Investment,” p. 35.

 

50 See “Aircraft, Spacecraft, and Related Equipment” in ch. 11 for additional information.

 

51 See “Motor Vehicles” and “Certain Motor-Vehicle Parts” in ch. 11 for additional information.

3-13

manufacturing machinery and of semiconductors and integrated circuits.42 Such trade may decline

over the long-term, however, as Japanese electronics firms are planning large-scale investments to

expand production of electronic components.43 Partly as a result of years of market-access

negotiations,44 the U.S. share of the Japanese electronic components market was estimated at 26

percent for 2000, including components produced in the United States by Japanese transplants.45

• Similarly, expansion of the Internet46 and telecommunications networks in Japan spurred greater

U.S. exports of computers, peripherals, and parts; and of telephone and telegraph apparatus.47

Consumer demand for these products remained robust as evidenced by rising PC shipments to

households, subscriptions to mobile telephone services, and sales of handsets offering Internet

access.48 Corporations in Japan, partly in anticipation of electronic commerce, are contracting for

information-technology services with companies that are constructing large-scale “server farms,” in

which U.S. suppliers currently hold a leading market position.49

• Lower exports of aircraft, spacecraft, and related equipment in 2000 were almost exclusively due

to significantly lower deliveries (58 percent in value terms) of large civil aircraft to Japan, as a

result of purchasing decisions dating back to 1998 at the height of the Asian financial crisis.50

U.S. imports

• Import growth of motor vehicles, certain motor-vehicle parts, and internal combustion piston

engines, other than for aircraft, was driven by sustained U.S. consumer demand, continued

popularity of certain Japanese import models of passenger cars and light trucks, and the presence

of numerous Japanese transplant facilities in the United States that rely on Japanese-origin

components in their automobile assembly operations.51

• Rising imports of semiconductors and integrated circuits, electrical capacitors and resistors, and

semiconductor manufacturing machinery mirrored global trends as the growing U.S. electronics
 

52 See “Semiconductors and Integrated Circuits” in this chapter, “Semiconductor Manufacturing Equipment” in

ch. 10, and “Electrical Capacitors and Resistors” in ch. 12 for additional information.

 

53 See “Computers, Parts, and Peripherals” and “Telephone and Telegraph Apparatus” in ch. 12 for additional

information.

 

54 U.S. imports of electrostatic photocopying machines of HTS 9009.12.00 from all sources declined by $485.7

million (39 percent) from the previous year level to $771.5 million in 2000. Compiled from official statistics of the

U.S. Department of Commerce.

 

55 See for example, Susan Avery, “Manufacturers to Face Off in 2001,” Purchasing Magazine, Jan. 25, 2001,

found at http://www.manufacturing.net/magazine/archives/2001/pur0125.01/012office.htm, retrieved May 8, 2001.

3-14

industry turned to foreign sources to ensure adequate supplies of electronic components while

simultaneously upgrading and expanding domestic electronic component production.52

• Similarly, expanding U.S. computer and telecommunications demand, mirroring global trends,

spurred greater imports of computers, peripherals, and parts, and of telephone and telegraph

apparatus from Japan as firms in both countries competed globally and produced and exported

similar products.53

• The decline in imports of photographic cameras and equipment was primarily attributable to

declines of electrostatic photocopying machines and parts for such copiers. Japan remained the

largest U.S. source of such copiers in 2000, but U.S. imports were down from nearly all top

sources54 as competition intensified among manufacturers for larger shares of a dwindling U.S.

market for copiers.55

Karl Tsuji

(202) 205-3434

tsuji@usitc.gov
3-15

Table 3-4

Leading changes in U.S. exports to and U.S. imports from Japan, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Electronic products:

Computers, peripherals, and parts (ET035) ....... 3,680 4,451 770 20.9

Semiconductors and integrated circuits (ET033) ... 2,801 3,296 495 17.7

Telephone and telegraph apparatus (ET017) ...... 1,787 2,223 436 24.4

Measuring, testing, and controlling 

instruments (ET043) ...................... 1,518 1,939 421 27.7

Optical goods, including ophthalmic 

goods (ET038) .......................... 499 756 257 51.6

Transportation equipment:

Certain motor-vehicle parts (ET010) ............ 997 1,317 319 32.0

Aircraft engines and gas turbines (ET001) ....... 979 1,216 237 24.2

Other:

Semiconductor manufacturing 

machinery (MM087A) ..................... 1,204 2,190 987 82.0

Works of art and miscellaneous manufactured 

goods (MM064) .......................... 176 429 253 143.2

Decreases:

Aircraft, spacecraft, and related equipment (ET013) . . 4,557 3,252 -1,304 -28.6

All other .................................. 36,113 39,683 3,570 9.9

––––––––––––––––––––––––––––––––––––––––––––

TOTAL ............................... 54,310 60,751 6,441 11.9

U.S. IMPORTS:

Increases:

Transportation equipment:

Motor vehicles (ET009) ...................... 32,115 34,507 2,392 7.4

Certain motor-vehicle parts (ET010) ............ 4,562 5,374 812 17.8

Motorcycles, mopeds, and parts (ET011) ........ 1,321 1,963 642 48.6

Internal combustion piston engines, other than 

for aircraft (ET002) ....................... 4,682 5,299 617 13.2

Electronic products:

Semiconductors and integrated circuits (ET033) ... 6,401 8,045 1,644 25.7

Computers, peripherals, and parts (ET035) ....... 13,645 14,540 896 6.6

Telephone and telegraph apparatus (ET017) ...... 3,210 3,896 685 21.3

Measuring, testing, and controlling 

instruments (ET043) ...................... 1,796 2,348 552 30.8

Electrical capacitors and resistors (ET025) ....... 912 1,429 517 56.7

Consumer electronics (except 

televisions) (ET018) ...................... 5,322 5,834 511 9.6

Television receivers and video monitors (ET022) . . 409 732 322 78.8

Optical goods, including ophthalmic

goods (ET038) .......................... 1,144 1,421 277 24.2

Machinery:

Semiconductor manufacturing

machinery (MM087A) ..................... 1,568 2,869 1,301 82.9

Miscellaneous machinery (MM098) ............. 1,291 1,679 388 30.1

Other:

Medicinal chemicals (CH025) ................. 1,894 2,243 349 18.4

Decreases:

Photographic cameras and equipment (ET039) ..... 2,646 2,063 -583 -22.0

Games (MM060) ............................ 2,525 2,179 -345 -13.7

Steel mill products (MM025) .................... 1,461 1,231 -229 -15.7

All other .................................. 44,049 48,090 4,041 9.2

––––––––––––––––––––––––––––––––––––––––––––

TOTAL ............................... 130,951 145,742 14,791 11.3

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

56 See “Crude Petroleum” in this chapter and ch. 7 for additional information.

 

57 BNA Inc,“Mexico’s Trade Gap Low in February; Exports, Imports Fall With U.S. Economy,” International

Trade Daily, Mar. 15, 2001, pp. 9-10, #58.

 

58 Despite being 15 percent higher than in the previous year, the average hourly compensation for

manufacturing workers in Mexico in 1999 (US$2.12) was still only 11 percent of that in the United States

($19.20). U.S. Department of Labor, Bureau of Labor Statistics, “International Comparison of Hourly

Compensation Costs for Production Workers in Manufacturing, 1999," news release, Sep. 7, 2000.

 

59 Effective Jan. 1, 2001, the Government of Mexico modified both the Maquiladora and PITEX (Program for

Temporary Importation to Manufacture Exported Products) programs to eliminate duty-free entry of components,

materials, and machinery for use in the production of goods for export to the United States and Canada under

NAFTA unless these industrial inputs were imported from Mexico’s NAFTA partners. Effective the same date,

under the Sectoral Promotion program, Mexico reduced its normal rate of duty on thousands of industrial inputs to

0 or 5 percent ad valorem to lessen the impact of the modification to the Maquiladora program on assembly plants

using inputs imported from non-North American sources. 

 

60 Calculated from official statistics of the Government of Mexico, available on CD-ROM from Global

Information Services, World Trade Atlas: Mexico Edition, December 2000.

3-16

Mexico

Change in 2000 from 1999:

U.S. trade deficit: Increased by $6.7 billion (24 percent) to $34.3 billion

 U.S. exports: Increased by $19.1 billion (23 percent) to $100.4 billion

 U.S. imports: Increased by $25.7 billion (24 percent) to $134.7 billion

• Higher world petroleum prices56 contributed significantly to the growth in the U.S. trade deficit

with Mexico in 2000, as the rise in the value of crude petroleum imported from Mexico accounted

for 18 percent of the growth in value of U.S. imports from Mexico that year, but accounted for 63

percent of the increase in this deficit.

• A sizeable portion of U.S. trade with Mexico continued to reflect cross-border integration of

manufacturing and U.S.-based manufacturers’ foreign direct investment in Mexico through

subsidiaries and joint-ventures.57 The value added to U.S.-origin parts and materials through

assembly and finishing operations in Mexico amplified the U.S. merchandise trade deficit as the

bulk of these assembled goods were exported back to the United States. The lower labor costs in

Mexico compared with those in the United States provides an incentive to perform labor-intensive

manufacturing operations in Mexico.58 Largely due to cross-border rationalization of production,

Mexico is the second-largest U.S. trade partner in terms of total trade.

• The foreign assembly industry (operating under the Maquiladora and PITEX Programs59)

accounted for 86 percent of Mexico’s exports to the United States in 2000.60 Major exports from

these assembly plants were automobiles, auto parts, apparel, televisions, computer and

telecommunications equipment, and other electronic products. Together, these industries were

responsible for most of the growth in the nonpetroleum U.S. trade deficit with Mexico in 2000.

U.S. exports

• A 6.9-percent growth in Mexico’s real GDP in 2000 and much higher demand for U.S.-origin

refined petroleum products and natural gas by manufacturing plants in Mexico’s foreign assembly
 

61 Latin Focus Consensus Forecast, “Mexico GDP 2000–First Take,” found at http://www.economy.com.

 

62 Wes Basel, “United States GDP–First Take,” found at

http://www.dismalscientist.com/economy/releases/gdp/htm, retrieved March 30, 2001.

 

63 Official statistics of INEGI (Mexico’s census bureau), as of Oct. 2000, reprinted from “Maquiladora

Scoreboard,” Twin Plant News, May 2001, p 55. Comparable data are not available for companies registered under

PITEX.

 

64 See “Electronic Products” in ch. 12 for additional information.

 

65 See “Motor Vehicles” in ch. 11 for additional information.

3-17

industry bolstered U.S. exports to record levels in 2000.61 Higher world crude petroleum prices

enabled the Mexican Government to increase expenditures for education, health care, and

infrastructure projects. This, in turn, spurred employment in export-oriented manufacturing

industries and boosted consumer confidence, thereby expanding Mexico’s demand for automobiles,

telephone and telegraph apparatus, and builders’ hardware imported from the United States.

• Increased exports of electronic products, miscellaneous plastics products, and fabrics, primarily

destined as inputs to the maquiladora industry or to Mexican domestic manufacturing sectors,

drove overall U.S. exports in 2000 to their highest levels. Collectively, exports of these products

rose by $6.1 billion (37 percent) to $23.1 billion and accounted for 23 percent of the overall

increase in U.S. exports to Mexico in 2000.

U.S. imports

• Record U.S. imports from Mexico in 2000 were driven by continued growth in the U.S. economy.62

Although Mexico has free-trade agreements with 31 countries, the United States accounted for 89

percent of Mexico’s overall exports in 2000. The automotive, electronic products, and apparel

sectors accounted for most U.S. imports of manufactured goods from Mexico.63 Mexico is a 

leading supplier of these products to the U.S. market. Selected electronic products (table 3-5)

accounted for 26 percent ($6.8 billion) of the expansion of U.S. imports from Mexico in 2000.64

• Motor vehicles, certain motor-vehicle parts, and seats for motor-vehicles and aircraft accounted for

25 percent ($6.3 billion) of the total increase in U.S. imports from Mexico in 2000. The majority

of motor vehicle imports from Mexico continue to consist of small and medium-size cars and light

trucks. Mexico’s liberalization of trade and investment regulations under NAFTA has enabled

companies such as General Motors, Ford, Volkswagen, and DaimlerChrysler to accelerate their

cross-border rationalization of production in North America.65

Ruben Mata

(202) 205-3403

mata@usitc.gov
3-18

Table 3-5

Leading changes in U.S. exports to and U.S. imports from Mexico, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Energy-related products:

Petroleum products (CH005) ................. 1,847 3,508 1,661 90.0

Natural gas and components (CH006) .......... 302 668 366 121.4

Transportation equipment:

Certain motor-vehicle parts (ET010) ............ 5,088 6,669 1,582 31.1

Internal combustion piston engines, other than 

for aircraft (ET002) ....................... 1,407 2,407 999 71.0

Motor vehicles (ET009) ...................... 2,277 3,207 930 40.9

Electronic products:

Semiconductors and integrated circuits (ET033) ... 3,178 4,488 1,310 41.2

Telephone and telegraph apparatus (ET017) ...... 1,827 2,401 574 31.4

Computers, peripherals, and parts (ET035) ....... 2,804 3,303 500 17.8

Other:

Miscellaneous plastic products (CH041) ......... 3,635 4,517 883 24.3

Fabrics (CH046) ........................... 1,972 2,588 617 31.3

Decreases:

Apparel (CH049) ............................ 2,515 2,296 -219 -8.7

Parts of circuit apparatus (ET030) ............... 1,066 984 -82 -7.7

All other .................................. 53,464 63,404 9,940 18.6

––––––––––––––––––––––––––––––––––––––––––––

TOTAL ............................... 81,381 100,442 19,061 23.4

U.S. IMPORTS:

Increases:

Transportation equipment:

Motor vehicles (ET009) ...................... 15,813 21,025 5,212 33.0

Certain motor-vehicle parts (ET010) ............ 3,687 4,586 899 24.4

Energy-related products:

Crude petroleum (CH004) .................... 5,265 9,838 4,573 86.8

Petroleum products (CH005) ................. 670 1,125 455 67.9

Electronic products:

Telephone and telegraph apparatus (ET017) ...... 2,668 4,641 1,973 73.9

Computers, peripherals, and parts (ET035) ....... 7,239 9,047 1,808 25.0

Radio and television broadcasting 

equipment (ET023) ....................... 1,974 3,279 1,305 66.1

Circuit apparatus not exceeding 1000V (ET028) ... 1,679 2,153 474 28.2

Consumer electronics (except 

televisions) (ET018) ...................... 2,556 3,025 470 18.4

Semiconductors and integrated circuits (ET033) ... 1,066 1,511 445 41.8

Television receivers and video monitors (ET022) . . 4,609 4,928 320 6.9

Other:

Apparel (CH049) ........................... 7,846 8,731 885 11.3

Seats for motor vehicles and aircraft (MM067) .... 1,817 2,026 209 11.5

Decreases:

Medicinal chemicals (CH025) ................... 292 168 -124 -42.4

Other fresh fruit (AG024) ...................... 479 370 -109 -22.8

All other .................................. 51,357 58,280 6,923 13.5

––––––––––––––––––––––––––––––––––––––––––––

TOTAL ............................... 109,018 134,734 25,716 23.6

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

66 See app. H for the shifts in exchange rates during the last half of this decade, and for a detailed discussion

about how exchange rate shifts and other economic factors affect trade flows.

 

67 See discussions on significant shifts with leading partners early in this chapter.

 

68 For more details about developments regarding the global financial crisis and trade developments for these

countries, see USITC, Shifts in U.S. Merchandise Trade in 1999, investigation No. 332-345, USITC publication

3353, Sep. 2000, p. 3-1. 

 

69 See app. A for a list of the industry/commodity groups.

 

70 See “Aircraft, Spacecraft, and Related Equipment” in ch. 11 for additional detail.

 

71 See “Commodity Analysis of Semiconductor Manufacturing Equipment” in ch. 10 for additional detail.

 

72 See ch. 4 for additional detail.

 

73 Ibid.

 

74 See “Measuring, Testing, and Controlling Instruments” in ch. 12 for additional detail.

3-19

TEN-YEAR TRENDS IN SELECTED INDUSTRY/COMMODITY GROUPS

This section provides added perspective on trade shifts in five industry/commodity groups by

examining longer term trends in exports, imports, and trade balance for the period 1990-2000. The selected

groups were chosen on the basis of their general widespread attention among the industry, trade, and

business community as well as important global developments influencing their trade. A summary of the

common economic trends among U.S. industry/commodity groups is presented followed by explanations of

particular trends in the selected products. 

Summary

During 1990-2000 the United States continued to experience a growing deficit in its merchandise

trade balance. Factors influencing the deficit in this period included a generally stronger U.S. economy

compared with its trading partners; a general increase in the real exchange rate of the U.S. dollar;66

globalization of U.S. industries; and increasing competition, especially from emerging industrial

countries.67 Throughout the 1990s, U.S. demand for foreign goods outpaced foreign demand for U.S.

goods, due largely to strong economic growth in the United States. Economic growth in many important

foreign markets was constrained by large debts, particularly among those countries hardest hit by the

economic and financial crises that evolved during the latter half of 1997 in East/Southeast Asia and the

Latin America regions.68 As the U.S. economy continued to grow during 1990-2000, demand for imports

increased in all industry sectors, outpacing the increases in exports.

Most global developments in the selected groups worsened the trade deficit. For example, unit price

increases substantially enlarged the deficit for crude petroleum and natural gas. The widening of the trade

deficit in apparel, resulting from bigger gains in imports than exports, reflected ongoing trade liberalization,

strong U.S. consumer demand, growing price competitiveness of foreign garments as the dollar appreciated,

and efforts of Asian countries to expand exports in the aftermath of the Asian financial crisis of 1997 and

1998 to earn much-needed foreign exchange. Although the U.S. trade deficit expanded for the

aforementioned groups, prospects for two of the selected groups substantially improved. Fruit and

vegetable juices realized a significant reduction in the deficit during 1990-2000. The trade deficit for

semiconductors and integrated circuits, an important high-technology segment of the U.S. economy,

narrowed considerably despite an increase in the deficit during several of the intervening years.

Of the 259 USITC industry/commodity groups69 routinely monitored by Commission staff, groups

registering deficits accounted for nearly two-thirds of the total: 164 experienced deficits in 2000, and the

cumulative deficit of the top 5 groups (table D-7) totaled almost $295 billion versus a surplus of

approximately $50 billion for the top 5 groups recording surpluses (table D-8). The top groups where the

United States had trade surpluses (based on 2000 trade) include Aircraft, Spacecraft, and Related

Equipment70 (although there was a substantial reduction in the surplus during 1999-2000); Semiconductor

Manufacturing Equipment and Robotics;71 Cereals;72 Oilseeds;73 and Measuring, Testing, and Controlling

Instruments.74
 

75 This industry/commodity group includes fruit and vegetable juices such as orange, apple, grape, and mixed

juices.

3-20

Fruit and Vegetable Juices75

• During the 1980's, a series of freezes in Florida and Texas, that killed many fruit trees resulted in

new plantings further south in these States that have reached peak yields in the recent 10-year

period.

• Although the overall U.S. trade deficit narrowed during the 10-year period, it widened by $6

million in 2000 to $54 million. The reason for this growth in the deficit is that world prices of

apple juice, the principal U.S. import, rose significantly whereas the price of orange juice, the

principal U.S. export, fell significantly in 2000 compared with 1999 levels. World supplies of

orange juice increased in 2000, resulting in lower prices as Florida production increased by 21
3-21

percent. U.S. apple juice price increases may have been influenced, in part, by an antidumping case

against Chinese apple juice. 

U.S. exports

• The United States exports about 10 percent of its domestically produced fruit juice, much of which

is blended with imported fruit juices selected for such blending characteristics as acidity,

sweetness, coloration, and seasonality. Ample supplies of U.S. fruit juice production and strong

global demand led to an increase in the export of U.S. produced and blended juices during much of

the 1990-2000 period. During this time frame, exports grew from under $400 million to over $700

million.

U.S. imports

• The imports-to-consumption ratio fell 11 percent in the 1990s. Imports dropped from about $1

billion in 1990 to less than $800 million by 2000.

• Apple juice accounts for over one-third of fruit juice imports or $278 million. The major suppliers

are Argentina, Chile, Italy, China, and Germany. Almost one-third of the remaining fruit juice

imports, $223 million, consist of orange juice, about half of this from Brazil. The quantity of apple

juice imports remained lower than total orange juice imports in 2000, but higher prices resulted in

apple juice replacing orange juice as the principal fruit juice import in terms of total import value. 

Alfred L. Dennis

(202) 205-3316

dennis@usitc.gov
3-22

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000

0

10

20

30

40

50

60

Imports/consumption Exports/shipments

Source: Compiled by the U.S. International Trade Commission.

Crude Petroleum

• The U.S. trade deficit for crude petroleum reached an all-time high of $56.1 billion in 2000. This

deficit was relatively stable during 1990-96, but varied significantly during 1997-2000 primarily

because of wide changes in the price of crude petroleum (figure 3-2). 

• World demand for crude petroleum increased as OPEC curbed production by nearly 9 percent,

causing unstable pricing on the world market. As a result, average world prices for crude
 

76 See ch. 7 for additional information.

3-23

petroleum fluctuated during 1990-2000 from a low of $10.87 per barrel in 1998 to a high of

$30.00 in 2000.76

U.S. exports

• U.S. exports of crude petroleum have been prohibited since 1973, except as approved by the U.S.

Government. Canada accounted for virtually all U.S. exports of crude petroleum during 1990-

2000, which are part of a commercial exchange agreement between U.S. and Canadian refiners

that has been approved by the Secretary of Energy. 

• In May 1996, the President allowed for the export of Alaskan North Slope (ANS) crude to Pacific

Rim nations, although most of ANS production is shipped to U.S. refineries for domestic

consumption. However, the President can impose new export restrictions in the event of severe

crude petroleum supply shortages. 

• U.S. exports of crude petroleum, which account for less than 0.5 percent of domestic consumption,

decreased from 109,000 barrels per day (b/d) in 1990 to 50,000 b/d in 2000. 

U.S. imports

• U.S. imports of crude petroleum began to rise in 1985. This can be attributed to declining world

crude petroleum prices resulting in the reduced profitability of certain high cost U.S. stripper wells,

many of which were then shut down. Consequently, U.S. production has declined each year,

reaching an all-time low of 5.8 million b/d in 2000. 

• The total quantity of U.S. imports of crude petroleum accounted for over 60 percent of domestic

consumption in both 1999 and 2000. 

• U.S. imports increased from 5.9 million b/d in 1990 to 8.9 million b/d in 2000. Canada, Mexico,

Venezuela, Saudi Arabia, and Nigeria were the principal sources of U.S. imports throughout the

period. 

Cynthia B. Foreso

(202) 205-3348

foreso@usitc.gov
 

77 U.S. Department of Energy, Energy Information Administration, “U.S. Natural Gas Markets: Recent Trends

and Prospects for the Future,” May 2001, p. 5.

3-24

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000

0

2

4

6

8

10

12

14

Imports/consumption Exports/shipments

Source: Compiled by the U.S. International Trade Commission.

Natural Gas

• The U.S. trade deficit in natural gas increased steadily during 1990-2000, going up by its largest

amount ever during 1999-2000 when it reached a 10 year high of $10.6 billion (figure 3-3). The

largest contributing factor to the increased deficit was the sharp increase in natural gas prices,

caused primarily by strong demand for home heating and tight seasonal supply of natural gas.77

• Imports of natural gas, however, represent only a modest share of domestic consumption. Imports

usually increase (or decrease) as changes in weather necessitate changes in supply availability for
 

78 Ibid., p. xi.

3-25

winter heating. This is shown, in part, by the fluctuation in the imports-to-consumption ratio

ranging from 6 percent to nearly 14 percent (despite significant increases in prices for imported

gas) in the period.

U.S. exports

• Total U.S. natural gas exports over the 10-year period accounted for less than 1 percent of

domestic production. Exports ranged from $199 million in 1990 to a high of $411 million in 2000,

the only year in which exports exceeded $352 million. Foreign markets for liquefied natural gas

(LNG) are severely limited due to its combustible nature and the resulting increased costs

associated with liquefaction and compression for container transport. 

• The volume of natural gas exports remained relatively stable during 1995-99, increasing by only 6

percent, whereas exports in 1999-2000 increased by 45 percent attributable solely to larger

shipments of pipeline gas to Mexico and Canada. Pipeline exports to Canada and Mexico have

typically accounted for the major share of natural gas exports, while LNG exports (only to Japan)

accounted for 30 to 45 percent by volume. 

U. S. imports

• U.S. imports of natural gas, primarily by pipeline from Canada, have grown at a faster pace in

recent years to supplement the domestic supply in response to unforeseen high demand for all fuels

used for residential heating owing to unexpectedly cold winters, often in the Northeast. These

imports have been facilitated by a 15-percent increase in overall natural gas pipeline import

capacity from Canada since 1998.78 Related price increases due to the sharp rise in demand have

accentuated the value of imported natural gas. 

• Although imports on a value basis increased during 1990-98, at an average annual rate of about 5

percent, the spike in natural gas prices in the last 2 years caused import values to increase by 20

percent in 1999 and by 72 percent in 2000.

Eric Land

(202) 205-3349

land@usitc.gov
 

79 See Chapter 8, Textiles, Apparel, and Footwear, for more information on these issues.

3-26

Apparel

• The deterioration of the U.S. apparel trade balance during 1990-2000 largely reflected the

sustained growth in imports which greatly outpaced the growth in U.S. exports (figure 3-4). Much

of the import and export growth occurred with countries benefitting from preferential trade

agreements with the United States, namely NAFTA partners Canada and Mexico, and the CBERA

countries. Also contributing to the growth in imports was the ongoing phase out of quotas under

the Uruguay Round Agreement on Textiles and Clothing (ATC). U.S. apparel trade (imports and

exports) will likely continue to grow as a result of newly enacted legislation that authorizes

preferential treatment for imports of apparel made in eligible CBERA and sub-Saharan African

countries from U.S. materials.79
3-27

• The growth in U.S. apparel trade with CBERA countries and Mexico during the 1990s mainly

involved U.S. exports of cut garment pieces for assembly and U.S. imports of the finished

garments. According to U.S. industry sources, the growth in U.S. apparel trade with these

countries that use U.S. garment pieces partly displaced U.S. apparel imports from Asia, the major

foreign supplier. Although imports from Asia rose by 91 percent during 1990-2000, to $35.5

billion, its share of U.S. apparel imports fell from 74 percent to 55 percent in the period. U.S.

apparel exports to Asia peaked at $1.1 billion in 1996, and then fell to $556 million in 2000.

• Much of the recent import growth and export decline reflected the latent effects of the Asian

financial crisis of 1997-98, as weak economic activity in Asia led to reduced demand for foreign

goods and increased efforts to boost exports to earn much needed foreign exchange. At the same

time, the significant currency devaluations of several Asian countries effectively reduced U.S.

dollar prices of their goods in the U.S. market, but increased U.S. export prices in Asian markets. 

The phase out of U.S. quotas on apparel imports by January 1, 2005, will likely strengthen the

competitiveness of developing countries in Asia whose shipments are currently subject to restraint

and which have the capability to establish a significant presence in the U.S. apparel market as a

result of their access to low-cost labor inputs.

U.S. exports

• U.S. apparel exports more than quadrupled during 1990-2000 to $8.2 billion, and their share of

U.S. industry shipments more than tripled to nearly 15 percent. The export growth resulted mainly

from larger shipments to CBERA countries and Mexico, which together accounted for nearly 80

percent of U.S. apparel exports in 2000. U.S. apparel exports to these countries consisted mostly

of garment parts for assembly there and re-export to the United States. 

• Leading U.S. export markets for finished apparel are Canada, Japan, and the European Union

(EU), which accounted for a combined 16 percent of U.S. apparel exports in 2000. U.S. apparel

exports to Canada rose by 164 percent to $579 million during 1990-2000. Exports to Japan

peaked at $952 million in 1996 and then tracked a slowdown in Japanese economic activity, falling

by more than one-half to $438 million in 2000. Exports to the EU declined by 26 percent during

1990-2000, to $313 million. The EU share of U.S. apparel exports fell from 17 percent to 4

percent in the period, largely attributable to a strong U.S. dollar and more intense competition from

Asian suppliers in the EU market, particularly in the aftermath of the Asian financial crisis.

U.S. imports

• U.S. imports of apparel more than tripled during 1990-2000 to $64.4 billion. The import share of

apparent U.S. apparel consumption rose during the period to an estimated 60 percent in 2000. 

Much of the import growth during 1990-2000 came from Mexico and the CBERA countries,

whose shipments rose by 1,131 percent and 391 percent, respectively. Apparel imports from

China, the leading Asian supplier, rose by 161 percent during 1990-2000 to $8.5 billion. Imports

from Hong Kong, the second-largest Asian supplier, increased by 5 percent and totaled $4.6 billion

in 2000. U.S. imports from the next largest Asian suppliers, Korea, Indonesia, and Thailand,

whose currencies depreciated significantly in the aftermath of the Asian financial crisis of 1997-98,

have risen substantially since then, by 9 percent, 21 percent, and 20 percent, respectively. 

Laura V. Rodriguez

(202) 205-3499

lrodriguez@usitc.gov

Semiconductors and Integrated Circuits
3-28

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000

0

10

20

30

40

50

Deficit Imports Exports

Figure 3-5

Semiconductors and integrated circuits: Imports, exports, trade balance, and trade ratios,

1990-2000

• The years 1999-2000 demonstrated exceptionally strong growth in the global and U.S.

semiconductor markets relative to most other years during the 1990-2000 period. Both U.S.

imports and exports significantly increased in the past 2 years (figure 3-6). 

• Two-way trade with production-sharing partners accounted for a large portion of overall U.S.

semiconductor trade. Semiconductor production-sharing entails unfinished semiconductors

fabricated in the United States being sent abroad, primarily to locations in Southeast Asia, for the

finishing stages of assembly and testing. After finishing, the semiconductors usually are reexported to the United States or a third-country market for consumption. Increased U.S. exports

are often an indicator of strong U.S. demand. 
3-29

U.S. exports

• Although U.S. exports somewhat lagged behind import trends during the first half of the 1990s,

U.S. exports in the second half of the decade grew at a faster rate than the overall global market as

worldwide demand soared for specific products such as digital signal processors, mixed signal

products, optoelectronics, and microprocessors. 

• U.S. firms are leading manufacturers of many of the above mentioned items that are essential

components in high-growth sectors such as telecommunications equipment, networking equipment,

and computers.

U.S. imports

• Throughout the 1990s, U.S. semiconductor import trends largely mirrored global consumption

patterns. The global market, which grew from $51 billion to $204 billion during the period,

experienced tremendous expansion from 1990-95, a recession during 1996-98, and a strong

recovery in 1999-2000.

• During 1996-98, commodity memory products, particularly dynamic random access memory

semiconductors (DRAMs), experienced significant price erosion as the growth in world supply

exceeded the growth in demand. The United States is the leading consumer of DRAMs, and, as a

result of the price declines, overall value of U.S. semiconductor imports experienced several years

of decline and did not surpass the 1995 total until 2000. 

Robert Carr

(202) 205-3402

rcarr@usitc.gov

 

1

 The Step 2 program offers certificates to domestic textile mills and raw cotton exporters that provide an

economic incentive to purchase U.S.-grown cotton. The effect of Step 2 is to encourage raw cotton exports and

U.S. textile production using domestically produced cotton. Step 2 is part of the 3-Step competitiveness program,

which was written into law under the 1990 FACT Act and continued under the 1996 FAIR Act. Funding for Step

2 was capped at $701 million for the life of the FAIR Act.

 

2

 National Cotton Council of America, found at www.cotton.org.

4-1

,,,,,,,,,,,,,,,,

CHAPTER 4

Agricultural Products

Alfred L. Dennis, Coordinator

(202) 205-3316

dennis@usitc.gov

Change in 2000 from 1999:

U.S. trade surplus: Increased by $853 million (14 percent) to $6.9 billion

U.S. exports: Increased by $3.5 billion (6 percent) to $59.1 billion

U.S. imports: Increased by $2.7 billion (5 percent) to $52.2 billion

Much of the improvement in the U.S. balance of trade was driven by increased exports of cotton as

a result of the refunding of USDA’s Step-2 program1 for U.S. cotton exports (table 4-1). U.S. cotton

exports rebounded from a precipitous decline in 1999 when funding for Step-2 expired, while U.S. cotton

imports declined in 2000 (table 4-2).2 Other shifts in trade included an increase in U.S. imports of

shellfish, particularly of shrimp, as world supplies of aqua culture-grown shellfish increased. Higher

disposable incomes of U.S. consumers in 2000 led to higher demand for luxury food such as shrimp, more

eating in restaurants where shrimp and other shellfish are typically consumed, and more restaurants

offering shellfish on the menu. After cotton, the largest increase in U.S. exports was for oilseeds because 

China purchased more raw soybeans. The largest decline of U.S. agricultural exports was for cereals,

which declined mainly due to a 6-percent decline in the world price of corn. The other significant export

decline was for vegetable oil, consisting mainly of soybean oil. The decline was spurred by low world

prices for competing products, such as palm oil, and by China’s shift to purchasing raw soybeans rather

than finished vegetable oil. Trade statistics for all product groups in the agricultural products sector are

presented in table 4-3 at the end of this chapter.
4-2

Table 4-1

Agricultural products: U.S. exports of domestic merchandise, imports for consumption, and merchandise

trade balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

Canada ..................................... 7,608 8,209 600 7.9

Japan ....................................... 11,984 12,573 590 4.9

Mexico ...................................... 5,850 6,772 922 15.8

China ....................................... 965 1,895 930 96.3

Korea ....................................... 2,763 2,978 215 7.8

Netherlands .................................. 1,618 1,526 -92 -5.7

Thailand ..................................... 445 531 86 19.4

Italy ........................................ 586 682 96 16.4

Taiwan ...................................... 2,093 2,181 88 4.2

France ...................................... 437 411 -27 -6.2

All other ..................................... 21,219 21,354 135 0.6

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 55,569 59,112 3,543 6.4

EU-15 ...................................... 7,508 7,177 -331 -4.4

OPEC ...................................... 2,449 2,705 255 10.4

Latin America ................................. 10,436 11,079 643 6.2

CBERA ..................................... 2,605 2,511 -93 -3.6

Asia ........................................ 22,135 24,346 2,211 10.0

Sub-Saharan Africa ............................ 728 769 41 5.6

Central and Eastern Europe ...................... 272 231 -40 -14.8

U.S. imports for consumption:

Canada ..................................... 10,349 11,189 840 8.1

Japan ....................................... 482 487 5 1.0

Mexico ...................................... 5,631 6,033 402 7.1

China ....................................... 1,191 1,396 205 17.2

Korea ....................................... 184 210 26 14.0

Netherlands .................................. 1,443 1,642 199 13.8

Thailand ..................................... 2,117 2,356 239 11.3

Italy ........................................ 1,756 1,939 184 10.5

Taiwan ...................................... 412 381 -31 -7.4

France ...................................... 2,176 2,068 -108 -5.0

All other ..................................... 23,729 24,459 730 3.1

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 49,469 52,159 2,690 5.4

EU-15 ...................................... 9,930 10,341 411 4.1

OPEC ...................................... 1,282 1,268 -14 -1.1

Latin America ................................. 15,727 16,028 301 1.9

CBERA ..................................... 3,189 3,481 293 9.2

Asia ........................................ 8,010 8,662 652 8.1

Sub-Saharan Africa ............................ 833 875 42 5.1

Central and Eastern Europe ...................... 254 263 8 3.3

U.S. merchandise trade balance:

Canada ..................................... -2,740 -2,980 -240 -8.8

Japan ....................................... 11,502 12,087 585 5.1

Mexico ...................................... 219 739 521 238.0

China ....................................... -226 499 725 (

2

)

Korea ....................................... 2,579 2,768 189 7.3

Netherlands .................................. 176 -115 -291 (

2

)

Thailand ..................................... -1,671 -1,824 -153 -9.1

Italy ........................................ -1,169 -1,257 -88 -7.5

Taiwan ...................................... 1,682 1,800 118 7.0

France ...................................... -1,739 -1,658 81 4.7

All other ..................................... -2,510 -3,105 -595 -23.7

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 6,100 6,953 853 14.0

EU-15 ...................................... -2,422 -3,164 -742 -30.7

OPEC ...................................... 1,168 1,437 269 23.1

Latin America ................................. -5,292 -4,950 342 6.5

CBERA ..................................... -584 -970 -386 -66.1

Asia ........................................ 14,125 15,684 1,559 11.0

Sub-Saharan Africa ............................ -105 -106 -1 -1.1

Central and Eastern Europe ...................... 17 -31 -49 (

2

)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

 

2Not meaningful for purposes of comparison.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
4-3

Table 4-2

Leading changes in U.S. exports and imports of agricultural products, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Cotton, not carded or combed (AG049) ........... 968 1,883 915 94.5

Oilseeds (AG032) ........................... 4,776 5,482 707 14.8

Cattle and beef (AG002) ...................... 2,753 3,287 534 19.4

Hides, skins, and leather (AG046) ............... 1,850 2,330 480 26.0

Decreases:

Cereals (AG030) ............................ 10,129 9,467 -662 -6.5

Animal or vegetable fats and oils (AG033) ......... 1,947 1,450 -497 -25.5

Prepared or preserved vegetables, mushrooms, and

olives (AG019) ............................ 1,565 1,464 -101 -6.4

Fruit and vegetable juices (AG038) .............. 748 713 -35 -4.7

All other .................................... 30,834 33,036 2,202 7.1

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 55,569 59,112 3,543 6.4

U.S. IMPORTS:

Increases:

Shellfish (AG009) ............................ 5,072 6,007 935 18.4

Cattle and beef (AG002) ...................... 2,905 3,357 452 15.6

Distilled spirits (AG042) ....................... 2,383 2,727 344 14.4

Malt beverages (AG040) ...................... 1,881 2,166 284 15.1

Decreases:

Coffee and tea (AG028) ....................... 3,114 2,921 -193 -6.2

Cotton, not carded or combed (AG049) ........... 136 21 -115 -84.8

Unmanufactured tobacco (AG043) ............... 711 628 -83 -11.7

All other .................................... 33,267 34,333 1,067 3.2

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 49,469 52,159 2,690 5.4

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

U.S. BILATERAL TRADE

Largest trade balance shifts in 2000 from 1999:

China: U.S. trade balance improved by $725 million to $499 million surplus

Japan: U.S. surplus increased by $585 million (5 percent) to $12.1 billion

Mexico: U.S. surplus increased by $521 million (238 percent) to $739 million

Although exports increased to the two largest markets for U.S. agricultural products, Japan and

Canada, the largest absolute shifts were to Mexico (third-leading export market), and China (fifth-leading

export market). See table 4-1. 

The U.S. trade shift with China was led by U.S. exports of oilseeds, which rose as China’s

purchases of raw soybeans increased. Higher demand for meat by China’s growing middle class, and a

change in policy from buying finished products to purchasing raw soybeans for processing, caused China

to import more soybeans for use in animal feeds and vegetable oils.

Japan was the most important U.S. export market for agricultural products in 2000, and U.S.

agricultural exports to Japan greatly exceeded U.S. imports from Japan. Excluding Japan, U.S.
4-4

agricultural trade would have registered a deficit. Much of the increase in the U.S. trade surplus with

Japan resulted from higher cigarette prices in 2000. Also, Japan Tobacco bought some of RJR Tobacco’s

brands, leading to higher quantities of Japanese imports. U.S. exports of cigarettes to Japan increased

about 13 percent to $1.9 billion and accounted for the largest U.S. agricultural export to Japan. U.S. pet

food sales to Japan jumped 62 percent in 2000 to $234 million as Japanese consumers purchased more

premium dried and bagged pet food from the United States and less lower priced canned pet food from

countries such as China.

Much of the $521 million increase in the U.S. trade surplus in agricultural trade with Mexico is

accounted for by the resumption of funding for the Step-2 program to promote cotton exports. Mexico

purchased about $476 million of U.S. cotton in 2000, or approximately one-fourth of all U.S. cotton

exports, for use in the Mexican textile industry. This was a $191 million increase (67 percent) from the

$285 million Mexico imported in 1999.
Table 4-3

Agricultural products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

4-5

AG001 Certain miscellaneous animals and meats:

Exports .............................. 1,754 2,106 352 20.1

Imports .............................. 1,513 1,689 176 11.6

Trade balance ......................... 241 417 176 73.1

AG002 Cattle and beef:

Exports .............................. 2,753 3,287 534 19.4

Imports .............................. 2,905 3,357 452 15.6

Trade balance ......................... -152 -70 82 53.9

AG003 Swine and pork:

Exports .............................. 932 1,174 242 25.9

Imports .............................. 717 986 269 37.6

Trade balance ......................... 215 188 -28 -12.8

AG004 Sheep and meat of sheep:

Exports .............................. 25 23 -2 -6.3

Imports .............................. 179 206 27 14.8

Trade balance ......................... -155 -183 -28 -18.2

AG005 Poultry:

Exports .............................. 1,878 2,055 177 9.4

Imports .............................. 57 71 13 23.4

Trade balance ......................... 1,821 1,984 164 9.0

AG006 Fresh or frozen fish:

Exports .............................. 1,634 1,705 71 4.3

Imports .............................. 2,945 3,103 159 5.4

Trade balance ......................... -1,310 -1,398 -88 -6.7

AG007 Canned fish:

Exports .............................. 222 170 -52 -23.6

Imports .............................. 611 538 -73 -11.9

Trade balance ......................... -389 -369 20 5.2

AG008 Cured and other fish:

Exports .............................. 166 168 2 1.1

Imports .............................. 277 294 17 6.1

Trade balance ......................... -111 -126 -15 -13.6

AG009 Shellfish:

Exports .............................. 752 799 47 6.2

Imports .............................. 5,072 6,007 935 18.4

Trade balance ......................... -4,319 -5,208 -888 -20.6

AG010 Dairy produce:

Exports .............................. 591 664 73 12.4

Imports .............................. 1,387 1,474 87 6.3

Trade balance ......................... -796 -810 -14 -1.7

AG011 Eggs:

Exports .............................. 155 159 4 2.6

Imports .............................. 20 18 -3 -13.7

Trade balance ......................... 134 141 7 5.1

AG012 Sugar and other sweeteners:

Exports .............................. 357 350 -7 -2.0

Imports .............................. 879 805 -74 -8.5

Trade balance ......................... -522 -455 67 12.8

AG012A Sugar:

Exports .............................. 70 64 -6 -9.2

Imports .............................. 639 551 -88 -13.8

Trade balance ......................... -569 -488 82 14.3
Table 4-3--Continued

Agricultural products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

4-6

AG012B High fructose corn sweetener:

Exports .............................. 103 101 -2 -1.9

Imports .............................. 34 32 -2 -6.4

Trade balance ......................... 69 70 (

3

) 0.4

AG013 Animal feeds:

Exports .............................. 3,621 4,061 440 12.1

Imports .............................. 604 641 37 6.1

Trade balance ......................... 3,017 3,419 403 13.3

AG014 Live plants:

Exports .............................. 144 132 -12 -8.5

Imports .............................. 428 460 32 7.5

Trade balance ......................... -285 -329 -44 -15.5

AG015 Seeds:

Exports .............................. 697 702 5 0.7

Imports .............................. 428 444 16 3.7

Trade balance ......................... 269 258 -11 -4.2

AG016 Cut flowers:

Exports .............................. 41 40 -2 -4.5

Imports .............................. 592 611 20 3.3

Trade balance ......................... -550 -572 -22 -3.9

AG017 Miscellaneous vegetable substances:

Exports .............................. 453 485 31 6.9

Imports .............................. 839 790 -50 -5.9

Trade balance ......................... -386 -305 81 21.0

AG018 Fresh, chilled, or frozen vegetables:

Exports .............................. 1,201 1,351 150 12.5

Imports .............................. 2,236 2,350 113 5.1

Trade balance ......................... -1,035 -999 36 3.5

AG019 Prepared or preserved vegetables, mushrooms,

 and olives:

Exports .............................. 1,565 1,464 -101 -6.4

Imports .............................. 1,384 1,408 23 1.7

Trade balance ......................... 180 56 -124 -69.0

AG020 Edible nuts:

Exports .............................. 1,212 1,361 149 12.3

Imports .............................. 794 808 14 1.8

Trade balance ......................... 418 553 135 32.2

AG021 Tropical fruit:

Exports .............................. 64 57 -7 -10.3

Imports .............................. 1,574 1,548 -26 -1.7

Trade balance ......................... -1,510 -1,490 20 1.3

AG022 Citrus fruit:

Exports .............................. 498 635 137 27.5

Imports .............................. 331 311 -20 -6.0

Trade balance ......................... 167 324 157 93.7

AG023 Deciduous fruit:

Exports .............................. 743 797 54 7.3

Imports .............................. 268 247 -21 -7.9

Trade balance ......................... 475 551 76 15.9
Table 4-3--Continued

Agricultural products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

4-7

AG024 Other fresh fruit:

Exports .............................. 562 638 77 13.6

Imports .............................. 1,031 1,024 -7 -0.6

Trade balance ......................... -469 -386 83 17.7

AG025 Dried fruit other than tropical:

Exports .............................. 379 342 -36 -9.6

Imports .............................. 78 63 -14 -18.4

Trade balance ......................... 301 279 -22 -7.4

AG026 Frozen fruit:

Exports .............................. 89 86 -3 -3.4

Imports .............................. 125 122 -4 -3.1

Trade balance ......................... -37 -36 1 2.3

AG027 Prepared or preserved fruit:

Exports .............................. 180 190 11 5.9

Imports .............................. 576 547 -29 -5.1

Trade balance ......................... -396 -356 40 10.1

AG028 Coffee and tea:

Exports .............................. 284 298 14 4.8

Imports .............................. 3,114 2,921 -193 -6.2

Trade balance ......................... -2,830 -2,623 207 7.3

AG029 Spices:

Exports .............................. 72 80 7 10.3

Imports .............................. 530 552 22 4.1

Trade balance ......................... -458 -472 -14 -3.1

AG030 Cereals:

Exports .............................. 10,129 9,467 -662 -6.5

Imports .............................. 732 662 -69 -9.5

Trade balance ......................... 9,398 8,805 -592 -6.3

AG031 Milled grains, malts, and starches:

Exports .............................. 439 402 -37 -8.4

Imports .............................. 261 304 43 16.3

Trade balance ......................... 178 98 -80 -44.8

AG032 Oilseeds:

Exports .............................. 4,776 5,482 707 14.8

Imports .............................. 263 255 -9 -3.2

Trade balance ......................... 4,513 5,228 715 15.8

AG033 Animal or vegetable fats and oils:

Exports .............................. 1,947 1,450 -497 -25.5

Imports .............................. 1,348 1,311 -37 -2.8

Trade balance ......................... 599 139 -460 -76.8

AG034 Pasta, cereals, and other bakery goods:

Exports .............................. 1,044 1,092 48 4.6

Imports .............................. 1,637 1,755 118 7.2

Trade balance ......................... -593 -662 -70 -11.7

AG035 Sauces, condiments, and soups:

Exports .............................. 587 641 55 9.3

Imports .............................. 457 502 46 10.0

Trade balance ......................... 130 139 9 6.8
Table 4-3--Continued

Agricultural products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

4-8

AG036 Infant formulas, malt extracts, and other edible

 preparations:

Exports .............................. 2,458 2,444 -14 -0.6

Imports .............................. 670 678 8 1.2

Trade balance ......................... 1,788 1,765 -22 -1.3

AG037 Cocoa, chocolate, and confectionery:

Exports .............................. 651 808 156 24.0

Imports .............................. 2,123 2,056 -67 -3.2

Trade balance ......................... -1,472 -1,248 223 15.2

AG038 Fruit and vegetable juices:

Exports .............................. 748 713 -35 -4.7

Imports .............................. 796 767 -29 -3.7

Trade balance ......................... -48 -53 -6 -11.7

AG039 Nonalcoholic beverages, excluding fruit and

 vegetable juices:

Exports .............................. 328 312 -16 -4.8

Imports .............................. 625 683 57 9.2

Trade balance ......................... -298 -371 -73 -24.5

AG040 Malt beverages:

Exports .............................. 201 169 -32 -15.9

Imports .............................. 1,881 2,166 284 15.1

Trade balance ......................... -1,680 -1,996 -316 -18.8

AG041 Wine and certain other fermented beverages:

Exports .............................. 541 551 10 1.8

Imports .............................. 2,210 2,259 49 2.2

Trade balance ......................... -1,669 -1,708 -40 -2.4

AG042 Distilled spirits:

Exports .............................. 480 483 3 0.6

Imports .............................. 2,383 2,727 344 14.4

Trade balance ......................... -1,902 -2,244 -341 -17.9

AG043 Unmanufactured tobacco:

Exports .............................. 1,294 1,222 -73 -5.6

Imports .............................. 711 628 -83 -11.7

Trade balance ......................... 583 594 10 1.8

AG044 Cigars and certain other manufactured tobacco:

Exports .............................. 651 709 58 9.0

Imports .............................. 301 290 -11 -3.6

Trade balance ......................... 350 419 69 19.8

AG045 Cigarettes:

Exports .............................. 3,232 3,308 76 2.4

Imports .............................. 112 212 100 89.6

Trade balance ......................... 3,120 3,096 -24 -0.8

AG046 Hides, skins, and leather:

Exports .............................. 1,850 2,330 480 26.0

Imports .............................. 1,052 1,167 115 10.9

Trade balance ......................... 798 1,163 366 45.8

AG047 Furskins:

Exports .............................. 141 158 17 12.1

Imports .............................. 73 87 14 19.3

Trade balance ......................... 67 70 3 4.3
Table 4-3--Continued

Agricultural products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

4-9

AG048 Wool and other animal hair:

Exports .............................. 22 19 -4 -16.5

Imports .............................. 70 74 3 4.9

Trade balance ......................... -48 -55 -7 -15.0

AG049 Cotton, not carded or combed:

Exports .............................. 968 1,883 915 94.5

Imports .............................. 136 21 -115 -84.8

Trade balance ......................... 832 1,862 1,030 123.8

AG050 Ethyl alcohol for nonbeverage purposes:

Exports .............................. 58 91 34 58.6

Imports .............................. 130 162 31 24.1

Trade balance ......................... -73 -70 2 3.4

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

2This coding system is used by the U.S. International Trade Commission to identify major groupings and

subgroupings of HTS import and export items for trade-monitoring purposes

3Less than $500,000.

Note.—Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

5-1

,,,,,,,,,,,,,,,,

CHAPTER 5

Forest Products

Vincent Honnold, Coordinator

(202) 205-3314

vhonnold@usitc.gov

Change in 2000 from 1999:

U.S. trade deficit: Increased by $34 million (0.3 percent) to $11.8 billion

U.S. exports: Increased by $2.4 billion (10 percent) to $26.4 billion

U.S. imports: Increased by $2.4 billion (7 percent) to $38.2 billion

The U.S. trade deficit in forest products in 2000 changed little from 1999 to 2000, as both imports

and exports rose by comparable amounts (table 5-1). Product groups with the largest increases in exports

included wood pulp and wastepaper, industrial papers and paperboards, and printing and writing papers

(table 5-2). Growth in paper and paperboard production overseas improved demand for raw material

inputs, which led to increases in both the volume and price of U.S. wood pulp and wastepaper exports to

Canada, Mexico, Japan, and the EU. Growing demand for paper products in Canada and Mexico, due

primarily to strong economies, fueled exports of industrial papers and paperboards and printing and writing

papers. Product groups with the largest increases in U.S. imports were wood pulp and wastepaper,

printing and writing papers, and industrial papers and paperboards (table 5-2). Pulp requirements of U.S.

paper mills also led to increased imports of pulp; rising prices for pulp contributed to the growth in the

value of pulp imports. Increased imports of printing and writing papers and industrial papers and

paperboards came at the expense of U.S.-produced paper products. Trade statistics for all product groups

in the forest products sector are presented in table 5-3 at the end of this chapter. 

U.S. BILATERAL TRADE

Largest trade balance shifts in 2000 from 1999:

 Mexico: U.S. surplus increased by $527 million (26 percent) to $2.6 billion 

 Canada: U.S. deficit increased by $325 million (2 percent) to $16.9 billion

China: U.S. deficit increased by $290 million (33 percent) to $1.2 billion

In 2000, the United States had a trade surplus in forest products with 5 of its top 10 trade partners

(Mexico, Japan, the United Kingdom, Korea, and Italy) and a trade deficit with the remainder (table 5-1). 

Canada was the largest sector trade partner of the United States, accounting for 51 percent of total U.S.

trade (exports plus imports) in forest products in 2000. No other trade partner accounted for more than 10

percent of total U.S. trade in forest products in that year. 
5-2

Table 5-1

Forest products: U.S. exports of domestic merchandise, imports for consumption, and merchandise trade

balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

Canada ..................................... 7,231 7,858 628 8.7

Mexico ...................................... 3,091 3,628 537 17.4

Japan ....................................... 2,847 3,004 157 5.5

China ....................................... 637 787 150 23.6

United Kingdom ............................... 1,090 1,276 186 17.0

Germany .................................... 740 790 50 6.7

Brazil ....................................... 274 260 -14 -5.0

Korea ....................................... 724 808 84 11.6

Italy ........................................ 614 737 123 20.1

Indonesia .................................... 184 236 52 28.3

All other ..................................... 6,640 7,051 411 6.2

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 24,070 26,434 2,364 9.8

EU-15 ...................................... 4,272 4,834 563 13.2

OPEC ...................................... 510 625 115 22.5

Latin America ................................. 5,178 5,769 590 11.4

CBERA ..................................... 1,070 1,088 17 1.6

Asia ........................................ 5,998 6,537 539 9.0

Sub-Saharan Africa ............................ 155 159 4 2.6

Central and Eastern Europe ...................... 66 69 3 4.9

U.S. imports for consumption:

Canada ..................................... 23,829 24,782 953 4.0

Mexico ...................................... 1,044 1,055 10 1.0

Japan ....................................... 610 652 42 6.9

China ....................................... 1,526 1,967 441 28.9

United Kingdom ............................... 807 875 68 8.4

Germany .................................... 760 893 133 17.5

Brazil ....................................... 972 1,145 173 17.7

Korea ....................................... 295 394 100 33.9

Italy ........................................ 409 447 38 9.3

Indonesia .................................... 721 670 -52 -7.2

All other ..................................... 4,824 5,316 492 10.2

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 35,798 38,195 2,398 6.7

EU-15 ...................................... 3,955 4,504 548 13.9

OPEC ...................................... 755 696 -59 -7.8

Latin America ................................. 2,774 2,936 162 5.9

CBERA ..................................... 107 102 -5 -4.8

Asia ........................................ 4,488 5,085 597 13.3

Sub-Saharan Africa ............................ 110 141 31 28.3

Central and Eastern Europe ...................... 23 36 13 58.7

U.S. merchandise trade balance:

Canada ..................................... -16,599 -16,924 -325 -2.0

Mexico ...................................... 2,046 2,573 527 25.7

Japan ....................................... 2,237 2,352 115 5.1

China ....................................... -890 -1,180 -290 -32.7

United Kingdom ............................... 283 401 118 41.5

Germany .................................... -20 -104 -83 -413.7

Brazil ....................................... -698 -884 -186 -26.7

Korea ....................................... 429 413 -16 -3.7

Italy ........................................ 205 290 86 41.8

Indonesia .................................... -537 -434 104 19.3

All other ..................................... 1,816 1,735 -82 -4.5

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... -11,727 -11,761 -34 -0.3

EU-15 ...................................... 316 331 14 4.6

OPEC ...................................... -245 -71 174 71.0

Latin America ................................. 2,404 2,833 428 17.8

CBERA ..................................... 963 986 23 2.4

Asia ........................................ 1,510 1,452 -58 -3.8

Sub-Saharan Africa ............................ 45 18 -27 -59.7

Central and Eastern Europe ...................... 43 33 -10 -23.1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

1

 U.S. Department of Agriculture (USDA), Foreign Agricultural Service (FAS), Mexico Solid Wood Products

Annual Report (Part II, Market Report) 2001, Mexico City, AGR No. MX1029, Mar. 9, 2001.

 

2

 See ch. 2 for a general discussion about U.S. and international macroeconomic conditions that influenced U.S.

merchandise trade performance in 2000.

5-3

Table 5-2

Leading changes in U.S. exports and imports of forest products, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Wood pulp and wastepaper (AG059) ............. 3,540 4,619 1,079 30.5

Industrial papers and paperboards (AG061) ........ 5,018 5,490 473 9.4

Printing and writing papers (AG063) .............. 1,490 1,691 201 13.5

Printed matter (AG066) ....................... 4,195 4,306 111 2.6

Decreases:

Cork and rattan (AG058) ...................... 90 86 -5 -5.0

All other .................................... 9,737 10,242 505 5.2

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 24,070 26,434 2,364 9.8

U.S. IMPORTS:

Increases:

Wood pulp and wastepaper (AG059) ............. 2,604 3,388 783 30.1

Printing and writing papers (AG063) .............. 4,538 5,206 668 14.7

Industrial papers and paperboards (AG061) ........ 2,596 2,928 331 12.8

Printed matter (AG066) ....................... 3,161 3,489 328 10.4

Decreases:

Wood veneer and wood panels (AG054) .......... 3,574 3,471 -103 -2.9

All other .................................... 19,324 19,713 389 2.0

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 35,798 38,195 2,398 6.7

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

Mexico was the second-largest trade partner of the United States in forest products as well as the

country with which the United States enjoyed its largest trade surplus (table 5-1). U.S. exports of forest

products to Mexico increased by 17 percent during 2000, while imports from Mexico were flat. Continued

growth in the Mexican economy and a vibrant maquiladora sector during 2000 fueled demand for a wide

range of products including paper boxes and bags, industrial papers and paperboard, wood pulp and

wastepaper, printing and writing papers, printed matter, lumber, and wood veneer and wood panels.1 

Although U.S. exports of forest products to Canada rose in 2000, U.S. imports increased even

more (table 5-1). A healthy Canadian economy in 2000 led to increased demand for U.S. forest products

exports, including industrial papers and paperboards, printing and writing papers, and lumber, logs and

rough wood products. Wood pulp and wastepaper exports rose to satisfy the raw material needs of

Canadian paper mills. Likewise, a strong, albeit slowing U.S. economy2 attracted additional imports of

forest products from Canada, traditionally the largest supplier to the United States. Imports of newsprint,

printing and writing papers, wood pulp and wastepaper, and industrial papers and paperboards registered

gains.
 

3

 Ibid.

5-4

U.S. imports of forest products from China grew strongly in 2000, nearly triple the increase in

U.S. exports of forest products to China (table 5-1). Import gains occurred in a variety of products,

particularly printed matter, miscellaneous paper products, miscellaneous articles of wood, paper boxes and

bags, wooden containers, and moldings, millwork, and joinery. Increased economic activity in the United

States, accompanied by high levels of consumer spending, drove demand for imports of these products.3 
Table 5-3

Forest products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

5-5

AG051 Logs and rough wood products:

Exports .............................. 1,885 1,941 56 3.0

Imports .............................. 495 576 81 16.3

Trade balance ......................... 1,390 1,365 -25 -1.8

AG052 Lumber:

Exports .............................. 2,184 2,210 26 1.2

Imports .............................. 7,820 7,071 -750 -9.6

Trade balance ......................... -5,636 -4,860 776 13.8

AG053 Moldings, millwork, and joinery:

Exports .............................. 545 553 8 1.4

Imports .............................. 2,521 2,518 -3 -0.1

Trade balance ......................... -1,976 -1,966 10 0.5

AG054 Wood veneer and wood panels:

Exports .............................. 958 1,029 70 7.3

Imports .............................. 3,574 3,471 -103 -2.9

Trade balance ......................... -2,615 -2,443 173 6.6

AG055 Wooden containers:

Exports .............................. 172 197 25 14.4

Imports .............................. 471 565 94 20.0

Trade balance ......................... -299 -369 -69 -23.2

AG056 Tools and tool handles of wood:

Exports .............................. 44 53 9 20.8

Imports .............................. 120 136 16 13.4

Trade balance ......................... -75 -82 -7 -9.0

AG057 Miscellaneous articles of wood:

Exports .............................. 187 193 6 3.2

Imports .............................. 1,007 1,111 104 10.3

Trade balance ......................... -821 -918 -98 -11.9

AG058 Cork and rattan:

Exports .............................. 90 86 -5 -5.0

Imports .............................. 450 485 35 7.7

Trade balance ......................... -359 -399 -39 -10.9

AG059 Wood pulp and wastepaper:

Exports .............................. 3,540 4,619 1,079 30.5

Imports .............................. 2,604 3,388 783 30.1

Trade balance ......................... 936 1,231 295 31.6

AG060 Paper boxes and bags:

Exports .............................. 1,416 1,500 84 5.9

Imports .............................. 802 940 138 17.2

Trade balance ......................... 615 561 -54 -8.8

AG061 Industrial papers and paperboards:

Exports .............................. 5,018 5,490 473 9.4

Imports .............................. 2,596 2,928 331 12.8

Trade balance ......................... 2,421 2,563 141 5.8

AG062 Newsprint:

Exports .............................. 423 492 68 16.2

Imports .............................. 3,517 3,789 271 7.7

Trade balance ......................... -3,094 -3,297 -203 -6.6

AG063 Printing and writing papers:

Exports .............................. 1,490 1,691 201 13.5

Imports .............................. 4,538 5,206 668 14.7

Trade balance ......................... -3,048 -3,516 -468 -15.3
Table 5-3--Continued

Forest products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

5-6

AG064 Certain specialty papers:

Exports .............................. 641 689 48 7.5

Imports .............................. 971 1,138 167 17.2

Trade balance ......................... -330 -449 -119 -36.1

AG065 Miscellaneous paper products:

Exports .............................. 1,281 1,385 104 8.1

Imports .............................. 1,150 1,385 235 20.4

Trade balance ......................... 131 (

3

) -131 -100.0

AG066 Printed matter:

Exports .............................. 4,195 4,306 111 2.6

Imports .............................. 3,161 3,489 328 10.4

Trade balance ......................... 1,034 817 -217 -21.0

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

2This coding system is used by the U.S. International Trade Commission to identify major groupings and

subgroupings of HTS import and export items for trade-monitoring purposes

3Less than $500,000.

Note.—Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

1

 The aggregate chemical trade balance changed from a $1.1 billion trade surplus to $2.9 billion deficit.

 

2

 Phone conversation with Mr. Kevin Swift, senior economist with the American Chemistry Council, on March

30, 2001. Using data from a different source, he noted a decline from a $20.6 billion surplus in 1995 to a $6.3

billion surplus in 2000 with deficits occurring in November and December of 2000. The U.S. chemical trade

balance is also discussed in “U.S. Chemical Firms Face Economic Slowdown,” European Chemical Marketer,

Mar. 19-25, 2001, p. 8.

 

3

 Although many aspects of the Asian crisis have improved, there reportedly are some lingering problems in

some parts of the Asian petrochemical industry. John Richardson, “Asian Round-up: Post Crisis,” European

Chemical News, supplement, Oct. 2000, pp. 44-51.

 

4

 The annual real value of the dollar increased by more than 6 percent against other major currencies in 2000.

Appendix H, “Background on Exchange Rates shifts,” p. H-5.

6-1

,,,,,,,,,,,,,,,,

CHAPTER 6

Chemicals and Related Products

Stephen Wanser, Coordinator

(202) 205-3363

swanser@usitc.gov

Change in 2000 from 1999:

U.S. trade balance: Decreased by $3.9 billion to $2.9 billion deficit1

U.S. exports: Increased by $11.2 billion (14 percent) to $92.4 billion

U.S. imports: Increased by $15.1 billion (19 percent) to $95.3 billion

The U.S. trade balance for chemicals and related products shifted from a surplus in 1999 to a

deficit in 2000 (table 6-1). As one industry source noted,2 the U.S. chemical trade balance has steadily

declined since 1995, due in part to various causes (not necessarily occurring simultaneously) including the

Asian crisis in 1997-98,3 rising petroleum prices, the strong dollar, and, most recently, the high price of

U.S. (and Canadian) natural gas. Petroleum and natural gas, used as chemical feedstocks, influence the

cost of the downstream products. The increase in the price of U.S. natural gas that occurred in 2000

relative to most other gas producing countries decreased the competitiveness of certain U.S. downstream

chemicals in both the domestic and foreign markets. 

Another important influence on the U.S. chemical trade balance (and the U.S. trade balance in

general) is the economic performance of the United States relative to its major trading partners. Since so

many chemical and related products (e.g., coatings, adhesives, plastics, and pigments) are used in the

production of manufactured goods, the performance of the sector is influenced both directly and indirectly

by the state of the economy. As economies become stronger, imports tend to increase. During the year,

real GDP grew more rapidly in the United States than many of its major trading partners, and the U.S.

dollar appreciated relative to the currencies of many of these partners.4 As a consequence, U.S. imports

grew more rapidly than the imports of its major trade partners.
6-2

Table 6-1

Chemicals and related products: U.S. exports of domestic merchandise, imports for consumption, and

merchandise trade balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

Canada ..................................... 18,783 20,327 1,545 8.2

Mexico ...................................... 10,731 13,105 2,374 22.1

Japan ....................................... 5,575 6,267 692 12.4

Ireland ...................................... 755 1,252 496 65.7

United Kingdom ............................... 3,566 4,355 789 22.1

Germany .................................... 2,947 2,977 30 1.0

China ....................................... 2,149 2,430 281 13.1

France ...................................... 2,509 2,852 343 13.7

Belgium ..................................... 3,732 4,640 908 24.3

Netherlands .................................. 3,717 3,896 179 4.8

All other ..................................... 26,776 30,334 3,557 13.3

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 81,240 92,433 11,193 13.8

EU-15 ...................................... 20,336 23,166 2,830 13.9

OPEC ...................................... 1,711 1,994 283 16.6

Latin America ................................. 18,634 22,175 3,541 19.0

CBERA ..................................... 1,821 2,025 203 11.2

Asia ........................................ 17,704 20,251 2,548 14.4

Sub-Saharan Africa ............................ 610 710 100 16.3

Central and Eastern Europe ...................... 243 287 44 18.1

U.S. imports for consumption:

Canada ..................................... 13,708 15,858 2,151 15.7

Mexico ...................................... 3,124 3,473 349 11.2

Japan ....................................... 8,869 9,563 694 7.8

Ireland ...................................... 6,326 11,452 5,126 81.0

United Kingdom ............................... 6,834 7,223 389 5.7

Germany .................................... 8,267 7,377 -890 -10.8

China ....................................... 4,242 4,942 699 16.5

France ...................................... 3,576 4,070 494 13.8

Belgium ..................................... 1,889 1,670 -219 -11.6

Netherlands .................................. 1,306 1,492 186 14.2

All other ..................................... 22,030 28,174 6,144 27.9

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 80,172 95,295 15,123 18.9

EU-15 ...................................... 33,537 39,410 5,873 17.5

OPEC ...................................... 3,245 5,590 2,345 72.2

Latin America ................................. 6,613 8,326 1,713 25.9

CBERA ..................................... 892 1,286 394 44.2

Asia ........................................ 18,815 21,341 2,526 13.4

Sub-Saharan Africa ............................ 849 1,454 604 71.2

Central and Eastern Europe ...................... 340 791 451 132.8

U.S. merchandise trade balance:

Canada ..................................... 5,075 4,469 -606 -11.9

Mexico ...................................... 7,607 9,632 2,025 26.6

Japan ....................................... -3,294 -3,296 -2 (

2

)

Ireland ...................................... -5,571 -10,201 -4,630 -83.1

United Kingdom ............................... -3,268 -2,868 400 12.2

Germany .................................... -5,321 -4,401 920 17.3

China ....................................... -2,093 -2,512 -419 -20.0

France ...................................... -1,067 -1,218 -152 -14.2

Belgium ..................................... 1,843 2,970 1,127 61.2

Netherlands .................................. 2,411 2,403 -7 -0.3

All other ..................................... 4,746 2,159 -2,587 -54.5

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 1,068 -2,862 -3,930 (

3

)

EU-15 ...................................... -13,201 -16,244 -3,043 -23.0

OPEC ...................................... -1,535 -3,596 -2,061 -134.3

Latin America ................................. 12,021 13,849 1,828 15.2

CBERA ..................................... 929 738 -191 -20.5

Asia ........................................ -1,111 -1,090 22 1.9

Sub-Saharan Africa ............................ -239 -744 -505 -211.2

Central and Eastern Europe ...................... -97 -504 -407 -422.0

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

 

2Less than 0.05 percent.

 

3Not meaningful for purposes of comparison.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

5

 However, rising natural gas prices hindered U.S. exports during the end of 2000, as discussed in Westervelt,

Sim, Noor-Duncan, and Hunter, “Petrochemical Problems: Gas Price Surge Burns Producers,” Chemical Week,

Mar. 28, 2001, p.29.

 

6

 The significance of the gas price increase on the U.S. plastics industry was recently noted as follows,

“Domestic exposure to high energy prices – especially natural gas and natural gas liquids– has all but eliminated

U.S. petrochemical [plastics] producers from participation in export markets and raises the threat of a loss of

domestic market share to imported raw materials and finished goods,” Gary Adams, president of CMAI, reported

Chemical Week, Mar. 28, 2001, p. 30.

 

7

 This export growth combined with the large increase in imports continues the trend exhibited during 1995-99,

and reflects the multinational nature of the major pharmaceutical companies as well as the introduction of several

innovative products that command high market prices.

6-3

Among major types of chemicals and related products, U.S. export and import performance varied

widely during 1999-2000 (table 6-2). The increase in exports of plastic products reflects the strong

competitive nature of this segment of the U.S. chemical industry and increased production sharing with

Canada and Mexico.5 Primary olefins exhibited the second-largest increase in import value (see commodity

analysis section that follows). However, in the second half of 2000, the U.S. plastics industry was

adversely affected by high natural gas prices and lingering economic problems in Asia, which resulted in

limited foreign demand for U.S. resins and finished products. In addition, lower foreign prices for plastic

resins caused U.S. imports to increase by a larger amount.6 Exports of medicinal chemicals

(pharmaceuticals) also exhibited strong growth, although this industry also showed larger gains in U.S.

imports 7 (see commodity analysis section that follows).

Table 6-2

Leading changes in U.S. exports and imports of chemicals and related products, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Miscellaneous plastic products (CH041) ........... 11,816 13,904 2,088 17.7

Medicinal chemicals (CH025) ................... 13,681 15,749 2,068 15.1

Certain organic chemicals (CH012) .............. 5,401 6,723 1,322 24.5

Other plastics in primary forms (CH036) .......... 6,323 7,305 982 15.5

Decreases:

Fertilizers (CH016) ........................... 3,032 2,381 -651 -21.5

Pesticide products and formulations (CH023) ....... 2,211 2,036 -175 -7.9

Other tires (CH040) .......................... 111 89 -22 -20.0

All other .................................... 38,664 44,246 5,582 14.4

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 81,240 92,433 11,193 13.8

U.S. IMPORTS:

Increases:

Medicinal chemicals (CH025) ................... 23,781 29,110 5,329 22.4

Major primary olefins (CH007) .................. 1,798 3,552 1,754 97.5

Miscellaneous plastic products (CH041) ........... 10,988 12,356 1,368 12.5

Certain organic chemicals (CH012) .............. 3,595 4,711 1,116 31.0

Decreases:

Pesticide products and formulations (CH023) ....... 1,183 1,090 -93 -7.8

Synthetic organic pigments (CH018) ............. 404 358 -46 -11.4

Synthetic dyes and azoic couplers (CH019) ........ 527 481 -45 -8.6

All other .................................... 37,897 43,637 5,741 15.1

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 80,172 95,295 15,123 18.9

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

8

 Douglas Associates, The Douglas Update, Florence, AL, Feb. 28, 2001.

 

9

 “Global agrochemical market down again” AGROW, World Crop Protection News, Mar. 2, 2001, No. 371, p.

16.

 

10 Clay Boswell, Feliza Mirasol, “Sourcing Pharmaceuticals from Offshore Facilities,” Chemical Marketing 

Reporter, Oct. 25, 1999, p. 28.

6-4

Offsetting declines occurred in fertilizers and pesticide exports. Reduced fertilizer exports reflected

a combination of decreased demand due, in part, to reduced demand in China and India and increased

competition from alternative foreign sources. Fertilizer exports were particularly compromised by the high

price of U.S. natural gas, which is the principal feedstock (raw material) for nitrogenous fertilizers. As a

result, domestic nitrogen fertilizer production was reduced and more product was imported.8 The decline

in U.S. agrochemical exports continued the trend exhibited during 1997-99 and reflected a general decline

in global agrochemical sales for the period. One of the primary causes of the world (and U.S.) decline “is

global overproduction in previous years creating historically low commodity prices.”9

Pesticide products registered the largest absolute decline. This decline reflects the consequences of

excess product inventories and a decline in agriculture product prices. Although imports of dyes and

pigments have been increasing for the past several years, the import decline in 2000 reflects certain global

trends as well as a more stable market and a stronger competitive position (following restructuring and

merging) of many of the large multinational companies in the United States. With respect to dyes, a

significant portion of textile production has moved offshore and some of the large multinational dye

manufacturers have followed it, thereby reducing demand from facilities in the United States. Trade

statistics for all commodity/industry groups in the chemicals and related products sector are presented in

table 6-3 at the end of this chapter.

U.S. BILATERAL TRADE

Largest trade balance shifts in 2000 from 1999:

 Ireland: U.S. deficit increased by $4.6 billion (83 percent) to $10.2 billion

 Mexico: U.S. surplus increased by $2.0 billion (27 percent) to $9.6 billion

Belgium: U.S. surplus increased by $1.1 billion (61 percent) to $3.0 billion

The largest increase in the U S. bilateral trade deficit was with Ireland, which increased

dramatically for this sector. U.S. imports were led by medicinal and intermediate chemicals, which

accounted for 89 percent of the total sector imports. The largest categories for U.S. chemical exports to

Ireland in 2000 were also medicinal and intermediate chemicals, which accounted for 40 percent of total

chemical exports. The Irish Government, through its Industrial Development Agency, has worked to

attract foreign investment in high-technology, high value-added specialty industries. The technically skilled

work force and a 10-percent corporate tax rate (working in conjunction with transfer pricing) have made

Ireland an ideal location for foreign companies wanting to locate in Europe and sell throughout the world.10

The largest bilateral trade improvement was with Mexico, the second-largest U.S. trading partner

(in terms of total trade). Growth in U.S.-Mexican sector trade can be attributed to the development of

Mexico’s downstream manufacturing industries that use U.S. chemicals and related products, as well as the

strengthening of Mexican markets for the finished products. A challenge facing the Mexican chemical

industry, which benefits U.S. chemical exports, is its reported limited capacity to process crude
 

11 Kara Sissell, “Domestic Demand Growth Keeps Accelerating,” Chemical Week, Jun 21, 2000, pp. 74-5.

 

12 Kara Sissell, “Industry Renews Pleas for Action,” Chemical Week, Nov. 10, 1999, p. 46.

 

13 Kara Sissell, “Mexico’s Year of Transition,”Chemical Week, Jan. 3, 2000, p. 35.

 

14 Western Europe chemical production grew 4.5 percent in 2000, partially due to increases in prices, prompted,

somewhat, by high chemical feedstocks prices.

 

15 In the first half of 2000 alone, the EU chemical trade with the rest of the world increased by 30 percent.

Sean Milmo, “Chem Growth Projected to Slow in EU Next Year,” Chemical Marketing Reporter, Dec. 4, 2000, 

p. 8.

6-5

petroleum and natural gas into basic chemicals: “For more than ten years, political and economic problems

have prevented the government and private industry from making the large investments needed to

resuscitate the nation’s petrochemicals sector.”11 This concern was underscored by the president of

Mexico’s chemical industry association who noted that chemicals accounted for 55 percent of Mexico’s

total trade deficit and stated “we cannot continue exporting jobs to other countries where they process our

crude petroleum and natural gas only for us to import it back as petrochemicals.”12 The Mexican economy

expanded by approximately 5 percent during 1999-2000, and although increased Mexican demand for

finished chemicals could be met, in part, by local production, the country’s lack of capacity to manufacture

basic chemicals caused U.S. exports to Mexico to exceed U.S. imports from Mexico. Mexico primarily

exports to the United States unfinished petroleum oils used to manufacture basic chemicals and

intermediates.13

The second-largest increase in the U.S. bilateral trade surplus was with Belgium. However, the

data are not representative of the Belgium chemical industry because Belgium has (as does the Netherlands)

a major port servicing a large segment of European overseas chemical trade. Therefore, U.S. trade with the

EU, which represented the largest regional U.S. deficit for chemicals and related products, is more likely

the relevant market. Total trade in chemicals and related products between the EU and the United States

expanded in 2000, as U.S. exports to the EU15 increased by 14 percent and U.S. imports from the EU-15

increased by 18 percent.14 Nevertheless, one of the key features of 2000 was that the European chemical

industry performed better in trade than its counterparts in the United States and Japan.15 This was due, in

particular, to strong domestic demand in the United States, combined with the effect of the “weak euro”,

which has declined by 30 percent against the dollar since its introduction 2 years ago and has helped to

boost European exports by improving the price competitiveness of EU chemicals. In addition, for some

chemical industry sectors, the strong U.S. economy continued to absorb a portion of the EU products that

would normally have been exported to Asian markets. However, U.S. bilateral trade varied among

individual EU countries included among the top-10 trade partners for chemicals and related products, as

did the size of the declines and gains. For example, the U.S. trade balance declined significantly with

Ireland (83 percent) and France (14 percent), while it improved with the United Kingdom (12 percent) and

with Germany (17 percent), albeit from significant trade deficits currently in existence.

The United States’s primary trading partner in chemicals and related products is Canada, largely

due to proximity, similar economies, fostering of regional integration of the industries and markets, and

reduced tariff rates under the CFTA and NAFTA. In 2000, Canada was the leading source of sector

products imported by the United States as well as the leading market for U.S. exports in this sector. In

fact, total trade in chemicals and related products between the United States and Canada was more than

double the total trade with any other U.S. trading partner. Although the United States has had an

increasing trade surplus in the past few years, the U.S. bilateral trade surplus with Canada decreased, with

U.S. exports to Canada increasing less than U.S. imports from Canada.
 

16 For added detail, see USITC “Outsourcing by the Pharmaceutical Industry Provides Opportunities for Fine

Chemical Producers Worldwide,” Industry Trade and Technology Review, publication 3253, Oct. 1999, pp 1-14,

available at the ITC’s Internet site at www.usitc.gov (“publications”).

 

17 Charles W. Thurston, “Branded Offshore Manufacturing Finds a Home in Ireland and Singapore,” Chemical 

Market Reporter, June 8, 1998, p. FR 12.

 

18 In 2000, there were 27 new drugs approved by the Food and Drug Administration, compared with 35 that

were approved in 1999.

6-6

COMMODITY ANALYSIS

Medicinal Chemicals

U.S. trade deficit: Increased by $3.3 billion (32 percent) to $13.4 billion. 

U.S. exports: Increased by $2.1 billion (15 percent) to $15.7 billion. 

U.S. imports: Increased by $5.3 billion (22 percent) to $29.1 billion.

The U.S. trade deficit in medicinal chemicals (pharmaceuticals) increased in 2000, reflecting a

larger increase in U.S. imports (particularly from Europe) than in U.S. exports. Global trade in the

pharmaceutical industry has generally increased since January 1, 1995, following the elimination of duties

on most medicinal chemical products under the Uruguay Round Agreement. The United States, United

Kingdom, Germany, Ireland, Japan, and several other countries with large pharmaceutical industries

participated in this agreement. Because the world pharmaceutical industry is dominated by multinational

corporations, there is substantial intracompany trade throughout the industry. Following the recent wave of

mergers in the pharmaceutical industry, it is not uncommon for a company in an industrialized country

(e.g., Germany or the United Kingdom) to have a production facility in another industrialized country (e.g.,

the United States or France) that manufactures a complete pharmaceutical product line for world

consumption.

In addition, there is a continuing trend in the pharmaceutical industry, which started in the early

1990s, toward outsourcing the production of bulk active ingredients and chemical intermediates used in the

production of drugs. Such chemicals are often produced in highly specialized processes that only a limited

number of facilities are equipped to perform. Outsourcing benefits pharmaceutical companies that need a

timely and flexible source of these chemicals. This is often the situation for firms interested in minimizing

the time required to move products through clinical trials and, after regulatory approval, to benefit as long

as possible from patent protection.16 Because of the importance of getting new pharmaceutical products to

the market as quickly as possible, companies are typically willing to use either domestic or foreign

production facilities. However, the location of the outsourcing country is determined by a number of

factors, including domestic taxes, work force, infrastructure, environmental regulation, and wage rates.17 

As in 1998 and 1999, 2000 saw several new and innovative medicines introduced into the market.18 Such

products command high sales prices, which may also account for the increase in total trade in the

pharmaceutical industry. 

U.S. exports

The top three export markets for U.S. pharmaceutical exports were Canada, the United Kingdom,

and Japan, which together accounted for approximately 18 percent of total U.S. pharmaceutical exports.

Since the major multinational pharmaceutical companies have a strong presence in these countries, these

exports are possibly intracompany transfers. Overall, the combination of higher drug prices, increasing

demand by aging populations, and the industry’s tendency to export bulk active ingredients to formulate in

local markets led to the continued rise in U.S. exports. In terms of value, U.S. exports to the following
 

19 Sean Milmo, “Europe in Contract Mode,” Chemical Market Reporter, Jan. 18, 1999, p. 11.

 

20 Patricia L. Layman, “Irish Firms Find Their Niche,” Chemical & Engineering News, Feb. 22, 1999, p. 18.

 

21 Charles W. Thurston, “Branded Offshore Manufacturing,” Chemical Market Reporter, July 10, 2000, p. 12.

 

22 Boswell, Clay and Feliza Mirasol, “Sourcing Pharmaceutical Manufacturing from Offshore Facilities,”

Chemical Market Reporter, Oct. 25, 1999, p. 28.

 

23 Dyan Machan, “Irish Tiger,” Forbes, Mar. 9, 1998, p. 86. 

 

24 Sean Milmo, “Europe in Contract Mode,” Chemical Market Reporter, July 19, 2000, p. FR11.

6-7

countries increased the most in 2000: the United Kingdom increased by $501 million to $1.7 billion;

Canada by $312 million to $2.2 billion; and Belgium by $303 million to $1.0 billion. Although U.S.

exports to Germany had decreased in 2 previous years, U. S. exports to Germany increased in 2000, due

partly to increased investment in the German contract manufacturing facilities that support the German

pharmaceutical industry and require imported medicinal intermediate products.19

U.S. imports

U.S. imports of pharmaceuticals increased in 2000, primarily from Ireland. From 1995 through

1999, U.S. imports of medicinal chemicals from Ireland increased eightfold, increasing from $634 million

in 1995 to $5.2 billion in 1999. Then, imports of these products virtually doubled in 2000. 

The top three suppliers of pharmaceuticals to the United States in 2000 were Ireland, the United Kingdom,

and Germany. Their combined $17.3-billion of exports to the United States accounted for 60 percent of

total U.S. imports of these products.

The Irish economy has been strong over the past decade, largely because of its membership in the

EU and a 10-percent tax rate applied to manufacturing corporations. The most significant growth has been

in high-technology areas, such as pharmaceuticals.20 Reportedly, 13 of the 15 leading multinational drug

companies worldwide have established manufacturing facilities in Ireland.21 According to the Industrial

Development Agency of Ireland (IDA), “over 120 overseas companies employ 15,000 and export $12

billion annually, making Ireland one of the largest exporters of pharmaceuticals and fine chemicals in the

world. IDA estimates total overseas investment in the pharmaceutical sector at $5 billion, spread across

intermediates, bulk additives, and finished drugs.”22 Because its production costs are relatively low and

because foreign multinational companies can take advantage of transfer pricing, Ireland’s medicinal

chemicals are highly price competitive in the U.S. market, which has led to a rise in imports that continued

from 1995 through 2000.23 However, because of the strong multinational presence, U.S. pharmaceutical

imports from Ireland reflect, in part, intracompany trade.

Germany, Ireland, and the United Kingdom have benefitted from the trend toward outsourcing to

selected locations throughout the world in the pharmaceutical industry. Because of the large number of

prominent multinational pharmaceutical companies that are active in these three countries (e.g., Glaxo 

SmithKline, and Hoechst Marion Roussell) and their reputations for well-trained organic chemists, all three

countries are attractive sites for contract manufacturing.24 An increasing amount of U.S. imports from

Germany and the United Kingdom can be attributed to outsourced production by multinational firms, in

addition to intracompany trade. Finally, the merger of Britain’s Glaxo Wellcome and the United States’

Smith Kline Beecham added to international pharmaceutical trade between the United States and the United

Kingdom.

Stephen Wanser

(202) 205-3363

swanser@usitc.gov
6-8

Major Primary Olefins

Change in 2000 from 1999:

U.S. trade deficit: Increased by $1.6 billion (101 percent) to $3.2 billion

U.S. exports: Increased by $118 million (65 percent) to $299 million

U.S. imports: Increased by $1.8 billion (98 percent) to $3.6 billion

The trade deficit in major primary olefins increased chiefly because of rising unit values of the

imported products. However, import values are misleading because the major domestic producers of olefins

are also the largest olefin importers; these producers often source their imports from related or affiliated

firms and value these imports at transfer prices. Domestic olefin production costs increased because of the

increased costs of raw materials, such as ethane (from natural gas) and petroleum-based naphtha. In

addition, significant new production capacity planned several years previously began coming onstream

during the year. As a result, profit margins for domestic producers were low in 2000 and these producers

attempted to control costs by increasing imports of lower cost foreign olefins. 

U.S. imports

The value of U.S. imports of major primary olefins, mostly ethylene and propylene, increased

mostly because of increased import prices; by quantity, imports increased by only 12 percent. Such

imports represent a minimal share of the U.S. market; import penetration in 2000 for each of the two major

primary olefins, ethylene and propylene, was less than 1 percent. The major suppliers in 2000 were

Nigeria, Saudi Arabia, Venezuela, Algeria, and Colombia.

Eric Land

(202) 205-3349

land@usitc.gov
Table 6-3

Chemicals and related products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

6-9

CH007 Major primary olefins:

Exports .............................. 181 299 118 65.0

Imports .............................. 1,798 3,552 1,754 97.5

Trade balance ......................... -1,617 -3,253 -1,636 -101.2

CH008 Other olefins:

Exports .............................. 208 264 56 26.7

Imports .............................. 91 156 65 71.2

Trade balance ......................... 117 108 -9 -7.8

CH009 Primary aromatics:

Exports .............................. 91 105 14 15.2

Imports .............................. 815 1,563 748 91.8

Trade balance ......................... -724 -1,459 -734 -101.4

CH010 Organic commodity chemicals:

Exports .............................. 1,474 2,146 673 45.7

Imports .............................. 778 1,201 423 54.4

Trade balance ......................... 696 946 250 35.9

CH011 Organic specialty chemicals:

Exports .............................. 6,940 7,553 613 8.8

Imports .............................. 6,546 7,040 494 7.6

Trade balance ......................... 394 513 119 30.3

CH012 Certain organic chemicals:

Exports .............................. 5,401 6,723 1,322 24.5

Imports .............................. 3,595 4,711 1,116 31.0

Trade balance ......................... 1,806 2,012 206 11.4

CH013 Miscellaneous inorganic chemicals:

Exports .............................. 4,365 5,228 864 19.8

Imports .............................. 4,641 5,442 800 17.2

Trade balance ......................... -276 -213 63 22.8

CH014 Inorganic acids:

Exports .............................. 204 246 43 20.9

Imports .............................. 238 251 14 5.8

Trade balance ......................... -34 -5 29 84.9

CH015 Chlor-alkali chemicals:

Exports .............................. 781 862 81 10.4

Imports .............................. 126 162 36 28.7

Trade balance ......................... 655 700 45 6.9

CH016 Fertilizers:

Exports .............................. 3,032 2,381 -651 -21.5

Imports .............................. 2,486 3,224 737 29.7

Trade balance ......................... 546 -843 -1,389 (

3

)

CH017 Paints, inks, and related items, and certain

 components thereof:

Exports .............................. 3,327 3,802 475 14.3

Imports .............................. 1,959 2,119 160 8.2

Trade balance ......................... 1,368 1,683 315 23.0

CH018 Synthetic organic pigments:

Exports .............................. 360 373 13 3.6

Imports .............................. 404 358 -46 -11.4

Trade balance ......................... -43 16 59 (

3

)
Table 6-3 --Continued

Chemicals and related products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

6-10

CH019 Synthetic dyes and azoic couplers:

Exports .............................. 404 436 32 8.0

Imports .............................. 527 481 -45 -8.6

Trade balance ......................... -123 -45 78 63.1

CH020 Synthetic tanning agents:

Exports .............................. 13 18 5 37.7

Imports .............................. 7 7 (

4

) -1.3

Trade balance ......................... 6 11 5 83.8

CH021 Natural tanning and dyeing materials:

Exports .............................. 21 24 3 12.9

Imports .............................. 71 73 2 3.2

Trade balance ......................... -50 -49 (

4

) 0.9

CH022 Photographic chemicals and preparations:

Exports .............................. 433 507 74 17.0

Imports .............................. 564 555 -9 -1.6

Trade balance ......................... -131 -48 83 63.1

CH023 Pesticide products and formulations:

Exports .............................. 2,211 2,036 -175 -7.9

Imports .............................. 1,183 1,090 -93 -7.8

Trade balance ......................... 1,029 947 -82 -8.0

CH024 Adhesives and glues:

Exports .............................. 502 602 100 20.0

Imports .............................. 181 194 13 7.4

Trade balance ......................... 321 408 87 27.1

CH025 Medicinal chemicals:

Exports .............................. 13,681 15,749 2,068 15.1

Imports .............................. 23,781 29,110 5,329 22.4

Trade balance ......................... -10,100 -13,361 -3,260 -32.3

CH026 Essential oils and other flavoring materials:

Exports .............................. 948 1,034 86 9.0

Imports .............................. 754 775 21 2.8

Trade balance ......................... 194 258 65 33.3

CH027 Perfumes, cosmetics, and toiletries:

Exports .............................. 2,578 2,851 273 10.6

Imports .............................. 1,864 2,192 328 17.6

Trade balance ......................... 714 659 -54 -7.6

CH028 Soaps, detergents, and surface-active agents:

Exports .............................. 2,138 2,331 193 9.0

Imports .............................. 948 1,050 103 10.8

Trade balance ......................... 1,190 1,280 90 7.6

CH029 Miscellaneous chemicals and specialties:

Exports .............................. 2,536 2,738 202 8.0

Imports .............................. 1,790 1,948 158 8.8

Trade balance ......................... 746 790 44 5.9

CH030 Explosives, propellant powders, and related

 items:

Exports .............................. 264 314 50 18.9

Imports .............................. 267 265 -2 -0.7

Trade balance ......................... -3 49 52 (

3

)

CH031 Polyethylene resins in primary forms:

Exports .............................. 2,249 2,688 439 19.5

Imports .............................. 1,329 1,650 321 24.2

Trade balance ......................... 920 1,038 118 12.8
Table 6-3 --Continued

Chemicals and related products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

6-11

CH032 Polypropylene resins in primary forms:

Exports .............................. 863 1,131 268 31.1

Imports .............................. 232 251 19 8.0

Trade balance ......................... 630 880 250 39.7

CH033 Polyvinyl chloride resins in primary forms:

Exports .............................. 626 716 90 14.4

Imports .............................. 235 331 97 41.1

Trade balance ......................... 391 385 -6 -1.6

CH034 Styrene polymers in primary forms:

Exports .............................. 753 848 95 12.7

Imports .............................. 427 572 145 34.0

Trade balance ......................... 326 276 -50 -15.3

CH035 Saturated polyester resins:

Exports .............................. 566 629 62 11.0

Imports .............................. 448 522 73 16.4

Trade balance ......................... 118 107 -11 -9.4

CH036 Other plastics in primary forms:

Exports .............................. 6,323 7,305 982 15.5

Imports .............................. 2,455 2,786 331 13.5

Trade balance ......................... 3,868 4,519 651 16.8

CH037 Styrene-butadiene rubber in primary forms:

Exports .............................. 309 344 35 11.4

Imports .............................. 173 232 59 34.4

Trade balance ......................... 137 112 -24 -17.7

CH038 Other synthetic rubber:

Exports .............................. 1,079 1,317 238 22.0

Imports .............................. 697 778 80 11.5

Trade balance ......................... 382 539 157 41.2

CH039 Pneumatic tires and tubes (new):

Exports .............................. 2,366 2,414 48 2.0

Imports .............................. 4,559 4,700 141 3.1

Trade balance ......................... -2,193 -2,286 -93 -4.3

CH040 Other tires:

Exports .............................. 111 89 -22 -20.0

Imports .............................. 129 137 8 6.0

Trade balance ......................... -18 -48 -30 -166.5

CH041 Miscellaneous plastic products:

Exports .............................. 11,816 13,904 2,088 17.7

Imports .............................. 10,988 12,356 1,368 12.5

Trade balance ......................... 828 1,547 719 86.9

CH042 Miscellaneous rubber products:

Exports .............................. 1,982 2,319 337 17.0

Imports .............................. 2,277 2,518 241 10.6

Trade balance ......................... -295 -199 96 32.7

CH043 Gelatin:

Exports .............................. 63 66 3 4.2

Imports .............................. 107 103 -4 -3.7

Trade balance ......................... -44 -37 7 15.1
Table 6-3 --Continued

Chemicals and related products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

6-12

CH044 Natural rubber:

Exports .............................. 41 39 -1 -3.4

Imports .............................. 704 842 137 19.5

Trade balance ......................... -664 -803 -139 -20.9

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

2This coding system is used by the U.S. International Trade Commission to identify major groupings and

subgroupings of HTS import and export items for trade-monitoring purposes

3Not meaningful for purposes of comparison.

4Less than $500,000.

Note.—Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
1

 See “Crude Petroleum” in ch. 3 for additional information.

7-1

,,,,,,,,,,,,,,,,

CHAPTER 7

Energy-Related Products

Cynthia B. Foreso, Coordinator

(202) 205-3348

foreso@usitc.gov

Change in 2000 from 1999:

U.S. trade deficit: Increased by $49.6 billion (86 percent) to $107.1 billion

U. S. exports: Increased by $3.6 billion (30 percent) to $15.5 billion

U.S. imports: Increased by $53.2 billion (77 percent) to $122.7 billion

The overall U.S. trade deficit in energy-related products increased primarily because of an increase

in the world price of crude petroleum coupled with an increase in the price of natural gas (table 7-1). The

world price of crude petroleum increased by about $15 per barrel (or by 100 percent) in 2000, with the

average for the year exceeding $30.00 per barrel.1 This increase in price resulted from tight supplies of

crude petroleum on the world market. OPEC curbed production by nearly 9 percent and demand increased,

thus causing unstable pricing on the world market. At the same time, the price of natural gas, which

mirrors crude prices, rose from an average of $2.17 per thousand cubic feet in 1999 to $3.60 per thousand

cubic feet in 2000.

U.S. imports of crude petroleum began to rise in 1985 when declining world crude petroleum

prices reduced the profitability of certain high cost U.S. stripper wells, many of which were then shut

down. Consequently, U.S. production has declined each year, reaching an all-time low of 5.8 million

barrels per day in 2000. U.S. drilling activity increased by 28 percent from 1999 to 2000. Of the total

number of new exploratory and developmental wells drilled during 2000, crude wells accounted for 18

percent, natural gas accounted for 60 percent, and dry holes accounted for 22 percent. As the increased

drilling activity did not begin until November 2000, any production increases would not be accounted for

until mid-2001.

Historically, the United States has maintained a trade deficit in the energy-related products sector

primarily because of an increasing reliance on imported crude petroleum. Crude petroleum accounted for

70 percent of the import volume in this sector during 2000; natural gas accounted for 11 percent; petroleum

products accounted for 10 percent; coal, coke, and related chemical products accounted for 5 percent; and

electricity accounted for 4 percent. The nations showing the largest changes in sector trade with the United

States in 2000 were Nigeria, Canada, Saudi Arabia, Mexico, and Venezuela. The principal sources of

U.S. imports of energy-related products in 2000 were Canada, Venezuela, Saudi Arabia, Mexico, and

Nigeria. Major trading partners and leading commodity trade shifts are presented in tables 7-1 and 7-2.
7-2

Table 7-1

Energy-related products: U.S. exports of domestic merchandise, imports for consumption, and

merchandise trade balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

Canada ..................................... 2,370 2,896 526 22.2

Mexico ...................................... 2,311 4,342 2,031 87.9

Venezuela ................................... 79 149 69 87.4

Saudi Arabia ................................. 33 42 9 27.8

Nigeria ...................................... 26 17 -10 -37.1

United Kingdom ............................... 257 257 (

2

) 0.2

Iraq ........................................ 0 0 0 0.0

Norway ...................................... 41 32 -9 -22.8

Colombia .................................... 38 49 11 29.5

Angola ...................................... 1 1 (

2

) -14.6

All other ..................................... 6,801 7,744 944 13.9

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 11,957 15,529 3,572 29.9

EU-15 ...................................... 1,912 2,072 160 8.4

OPEC ...................................... 245 309 64 26.0

Latin America ................................. 3,746 6,422 2,676 71.5

CBERA ..................................... 704 1,178 475 67.5

Asia ........................................ 3,096 3,083 -13 -0.4

Sub-Saharan Africa ............................ 150 158 7 4.9

Central and Eastern Europe ...................... 42 70 28 66.1

U.S. imports for consumption:

Canada ..................................... 17,766 31,860 14,095 79.3

Mexico ...................................... 6,280 11,356 5,076 80.8

Venezuela ................................... 8,480 14,863 6,383 75.3

Saudi Arabia ................................. 6,679 12,478 5,799 86.8

Nigeria ...................................... 3,720 8,706 4,986 134.0

United Kingdom ............................... 2,278 3,919 1,641 72.0

Iraq ........................................ 2,721 4,148 1,427 52.5

Norway ...................................... 2,085 3,578 1,493 71.6

Colombia .................................... 2,807 3,299 491 17.5

Angola ...................................... 2,320 3,321 1,002 43.2

All other ..................................... 14,338 25,122 10,784 75.2

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 69,473 122,650 53,177 76.5

EU-15 ...................................... 4,444 8,338 3,893 87.6

OPEC ...................................... 24,856 45,389 20,533 82.6

Latin America ................................. 20,816 35,997 15,181 72.9

CBERA ..................................... 1,479 3,117 1,639 110.8

Asia ........................................ 2,055 3,021 965 47.0

Sub-Saharan Africa ............................ 8,001 15,016 7,016 87.7

Central and Eastern Europe ...................... 44 5 -39 -89.0

U.S. merchandise trade balance:

Canada ..................................... -15,396 -28,964 -13,569 -88.1

Mexico ...................................... -3,970 -7,014 -3,044 -76.7

Venezuela ................................... -8,401 -14,714 -6,313 -75.2

Saudi Arabia ................................. -6,646 -12,436 -5,790 -87.1

Nigeria ...................................... -3,694 -8,690 -4,996 -135.2

United Kingdom ............................... -2,021 -3,662 -1,641 -81.2

Iraq ........................................ -2,721 -4,148 -1,427 -52.5

Norway ...................................... -2,044 -3,546 -1,502 -73.5

Colombia .................................... -2,769 -3,249 -480 -17.3

Angola ...................................... -2,318 -3,320 -1,002 -43.2

All other ..................................... -7,538 -17,378 -9,840 -130.5

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... -57,516 -107,121 -49,605 -86.2

EU-15 ...................................... -2,532 -6,266 -3,734 -147.4

OPEC ...................................... -24,611 -45,080 -20,469 -83.2

Latin America ................................. -17,070 -29,575 -12,505 -73.3

CBERA ..................................... -775 -1,939 -1,164 -150.2

Asia ........................................ 1,041 62 -979 -94.0

Sub-Saharan Africa ............................ -7,850 -14,859 -7,008 -89.3

Central and Eastern Europe ...................... -2 65 67 (

3

)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

 

2Less than $500,000.

 

3Not meaningful for purposes of comparison.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
7-3

Table 7-2

Leading changes in U.S. exports and imports of energy-related products, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Petroleum products (CH005) ................... 6,599 9,562 2,963 44.9

Natural gas and components (CH006) ............ 759 1,286 527 69.4

Decreases:

Crude petroleum (CH004) ..................... 772 444 -328 -42.5

All other .................................... 3,827 4,236 410 10.7

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 11,957 15,529 3,572 29.9

U.S. IMPORTS:

Increases:

Crude petroleum (CH004) ..................... 31,642 56,546 24,904 78.7

Petroleum products (CH005) ................... 22,079 39,787 17,707 80.2

Natural gas and components (CH006) ............ 11,042 19,157 8,115 73.5

All other .................................... 4,710 7,160 2,450 52.0

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 69,473 122,650 53,177 76.5

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

Petroleum products accounted for 52 percent of U.S. export volume of energy-related products,

while coal, coke, and related products accounted for 40 percent in 2000. The primary markets for U.S.

exports of energy-related products were Mexico and Canada. 

Overall shifts in trade (in terms of quantity) for the products in this sector in 2000 included slightly

increased imports of crude petroleum and decreased exports. Also, imports of distillate and residual fuel

oils (primarily bunker fuels used directly for industrial and residential heating) and natural gas (used

directly for industrial and residential heating as well as electricity generation) increased due to cold winter

conditions in the Northeast. Trade statistics for all commodity/industry groups in the energy-related

products sector are presented in table 7-3 at the end of this chapter.

U.S. BILATERAL TRADE

Largest trade balance shifts in 2000 from 1999:

Canada: U.S. deficit increased by $13.6 billion (88 percent) to $29.0 billion

Venezuela: U.S. deficit increased by $6.3 billion (75 percent) to $14.7 billion

Saudi Arabia: U.S. deficit increased by $5.8 billion (87 percent) to $12.4 billion

Canada remained the leading U.S. trading partner for energy-related products in 2000. The United

States and Canada share a sophisticated and intricate system of pipelines that carry natural gas, crude

petroleum, and refined petroleum products between the two countries. Also, the United States and Canada

share interconnected grids used to transmit electricity across the border. The U.S. trade deficit with

Canada increased as a result of increases in the prices of crude petroleum and natural gas. 

The U.S. trade deficit with Venezuela and Saudi Arabia, both members of OPEC, increased in

2000 because of the increased price of crude petroleum. However, in terms of quantity, U.S. imports of
2The products covered in this sector include motor fuels, distillate and residual fuel oils, and other finished and

unfinished oils requiring further processing such as asphalt, coke, aviation fuels, naphthas, paraffin wax,

lubricating oils and greases, and petrochemical feedstocks.

7-4

energy-related products from Venezuela increased by only 1.7 percent and from Saudi Arabia by only 5.9

percent. Together, Venezuela and Saudi Arabia account for more than 60 percent of the quantity of U.S.

imports of energy-related products from OPEC. The U.S. energy-related products trade deficit with Latin

America also increased as a result of rising crude petroleum prices. The trade deficit with Mexico

increased by 77 percent in 2000; however, in terms of quantity, the increase in imports was only 2.6

percent. 

COMMODITY ANALYSIS OF PETROLEUM PRODUCTS2

Change in 2000 from 1999:

U.S. trade deficit: Increased by $14.7 billion (94 percent) to $30.2 billion

U. S. exports: Increased by $3.0 billion (45 percent) to $9.6 billion

U.S. imports: Increased by $17.7 billion (80 percent) to $39.8 billion

The U.S. trade deficit in petroleum products increased in 2000 as a result of the aforementioned

increase in the price of crude petroleum, which is the primary raw material for these products. The United

States is a major world producer and consumer of petroleum products and relies upon imports, which

account for about 12.5 percent of domestic consumption, to supplement domestic production. The United

States accounts for 20 percent of the world’s production of petroleum products and maintains 21 percent of

the world’s operating refineries. The number of U.S. operating refineries decreased from 159 in 1999 to

158 in 2000, as one small refinery that had been idle since 1995 was permanently shut down; however,

total U.S. operating capacity actually increased by 4 percent from 1999 to 2000 as refinery maintenance

projects allowed for increased capacity utilization. 

U.S. exports

In terms of quantity, U.S. exports of petroleum products are minimal, accounting for less than 5

percent of total production and accounting for less than 6 percent of total world exports of petroleum

products. The volume of U.S. exports of petroleum products, mainly to Mexico and Canada via pipelines,

increased by 3.4 percent in 2000. The primary petroleum products exported were residual fuel oils used as

bunker fuels and unfinished gasolines.

U.S. imports

 While the value of U.S. imports of petroleum products in 2000 increased significantly because of

the increased price of crude petroleum to refineries, the quantity of these imports increased by only 1.9

percent. The quantity of U.S. imports of distillate and residual fuel oils, used primarily as heating and

bunker fuels, increased in 2000, owing to increased demand in the Northeast due to a harsh winter. 

Cynthia B. Foreso

(202) 205-3348

foreso@usitc.gov
Table 7-3

Energy-related products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

7-5

CH001 Electrical energy:

Exports .............................. 206 398 191 92.7

Imports .............................. 1,334 2,711 1,377 103.3

Trade balance ......................... -1,127 -2,313 -1,186 -105.2

CH002 Nuclear materials:

Exports .............................. 950 1,121 172 18.1

Imports .............................. 1,636 1,989 354 21.6

Trade balance ......................... -686 -868 -182 -26.5

CH003 Coal, coke, and related chemical products:

Exports .............................. 2,671 2,718 47 1.8

Imports .............................. 1,741 2,460 719 41.3

Trade balance ......................... 930 257 -673 -72.3

CH004 Crude petroleum:

Exports .............................. 772 444 -328 -42.5

Imports .............................. 31,642 56,546 24,904 78.7

Trade balance ......................... -30,870 -56,103 -25,232 -81.7

CH005 Petroleum products:

Exports .............................. 6,599 9,562 2,963 44.9

Imports .............................. 22,079 39,787 17,707 80.2

Trade balance ......................... -15,480 -30,224 -14,744 -95.2

CH006 Natural gas and components:

Exports .............................. 759 1,286 527 69.4

Imports .............................. 11,042 19,157 8,115 73.5

Trade balance ......................... -10,282 -17,870 -7,588 -73.8

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

2This coding system is used by the U.S. International Trade Commission to identify major groupings and

subgroupings of HTS import and export items for trade-monitoring purposes

Note.—Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

 

1

 Footwear is addressed separately in this chapter.

 

2

 Kay C. Norwood, “The Norwood Report,” Jan. 20, 2001, Wachovia Securities, Textile Quarterly, found at 

http://www.textileweb...0B7694F32}&Bucket=Feature+Articles, retrieved Feb. 21, 2001.

 

3

 Consumer spending began to fall, however, in the latter part of the year. Industry sources report that rising

fuel costs and concerns about an economic slowdown curtailed consumer spending in the United States to an

annualized rate of 2.9 percent in the fourth quarter, down from 4.5 percent in the third quarter. See Michael

Paduano, “Inside Americas Issue 3, 2001, The Economy: U.S,” the Woolmark Company, found at

http://www.textileweb....ket=Featured+Article&Featured=True, retrieved Mar. 20, 2001.

 

4

 Data on personal consumption expenditures is not reported separately for apparel. U.S. Department of

Commerce, Bureau of Economic Analysis, facsimile to USITC staff, Mar. 19, 2001.

 

5

 Board of Governors of the Federal Reserve System, “Industrial Production and Capacity Utilization: Recent

Developments and the 1999 Revision,” Federal Reserve Bulletin, Feb. 2001, p. 144.

8-1

,,,,,,,,,,,,,,,,

CHAPTER 8

Textiles, Apparel, and Footwear

Laura V. Rodriguez, Coordinator

(202) 205-3499

lrodriguez@usitc.gov

Change in 2000 from 1999 for textiles and apparel:1

U.S. trade deficit: Increased by $8.0 billion (15 percent) to $60.6 billion

U.S. exports: Increased by $1.6 billion (9 percent) to $20.4 billion

U.S. imports: Increased by $9.6 billion (14 percent) to $80.9 billion

The U.S. trade deficit in textiles and apparel widened in 2000 because of a significant increase in

U.S. imports (table 8-1). This growth largely reflected the impact of recent multilateral and bilateral trade

agreements, a strong U.S. dollar,2 and continued healthy consumer demand for apparel through most of the

year.3

Consumer spending on apparel and footwear in 2000 rose by 8.3 percent over the 1999 level.4

Much of that demand was satisfied by increased imports, with apparel accounting for about 80 percent of

such imports in 2000 by value. Mexico, China, and the Caribbean Basin countries were the leading

sources of U.S. imports of apparel. As in previous years, the substantial import growth in 2000 also

contributed to a continuing decline in U.S. apparel production which fell for the sixth consecutive year, by

5.5 percent.5 (See U.S. bilateral trade section for more details on increases in U.S. imports of textiles and

apparel from leading foreign producers.) 

U.S. textile and apparel exports increased from 1999 to 2000; Mexico and the CBERA countries

accounted for 82 percent of the increase in 2000. A significant share of U.S. exports of textile and apparel

products to these countries consisted of shipments of cut garment parts for assembly and 
8-2

Table 8-1

Textiles and apparel: U.S. exports of domestic merchandise, imports for consumption, and merchandise

trade balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

Mexico ...................................... 5,550 6,155 605 10.9

China ....................................... 166 221 55 32.8

Canada ..................................... 3,545 3,646 101 2.8

Hong Kong ................................... 295 332 36 12.3

Honduras .................................... 1,233 1,475 242 19.6

Dominican Rep ................................ 1,259 1,395 137 10.8

Korea ....................................... 180 202 23 12.6

India ........................................ 36 46 9 25.7

Taiwan ...................................... 108 113 4 4.1

Italy ........................................ 163 145 -17 -10.6

All other ..................................... 6,187 6,624 437 7.1

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 18,723 20,353 1,631 8.7

EU-15 ...................................... 1,836 1,924 88 4.8

OPEC ...................................... 312 261 -51 -16.4

Latin America ................................. 10,607 12,003 1,396 13.2

CBERA ..................................... 4,389 5,125 736 16.8

Asia ........................................ 1,845 2,030 184 10.0

Sub-Saharan Africa ............................ 146 136 -10 -7.0

Central and Eastern Europe ...................... 62 43 -19 -30.5

U.S. imports for consumption:

Mexico ...................................... 9,413 10,580 1,167 12.4

China ....................................... 9,234 10,710 1,476 16.0

Canada ..................................... 3,640 3,945 304 8.4

Hong Kong ................................... 4,559 4,804 245 5.4

Honduras .................................... 2,205 2,423 218 9.9

Dominican Rep ................................ 2,388 2,478 90 3.8

Korea ....................................... 3,189 3,479 290 9.1

India ........................................ 2,666 3,161 495 18.6

Taiwan ...................................... 2,916 2,992 76 2.6

Italy ........................................ 2,314 2,484 170 7.3

All other ..................................... 28,745 33,853 5,109 17.8

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 71,269 80,909 9,640 13.5

EU-15 ...................................... 5,019 5,360 341 6.8

OPEC ...................................... 2,526 3,153 627 24.8

Latin America ................................. 19,439 21,654 2,215 11.4

CBERA ..................................... 8,999 9,817 818 9.1

Asia ........................................ 38,102 43,544 5,442 14.3

Sub-Saharan Africa ............................ 622 789 167 26.9

Central and Eastern Europe ...................... 438 511 73 16.6

U.S. merchandise trade balance:

Mexico ...................................... -3,863 -4,426 -562 -14.5

China ....................................... -9,068 -10,489 -1,422 -15.7

Canada ..................................... -96 -299 -204 -213.0

Hong Kong ................................... -4,264 -4,472 -208 -4.9

Honduras .................................... -971 -948 24 2.4

Dominican Rep ................................ -1,129 -1,082 46 4.1

Korea ....................................... -3,009 -3,276 -267 -8.9

India ........................................ -2,630 -3,115 -485 -18.5

Taiwan ...................................... -2,807 -2,879 -72 -2.5

Italy ........................................ -2,152 -2,339 -187 -8.7

All other ..................................... -22,558 -27,230 -4,672 -20.7

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... -52,547 -60,555 -8,009 -15.2

EU-15 ...................................... -3,183 -3,436 -253 -7.9

OPEC ...................................... -2,214 -2,892 -678 -30.6

Latin America ................................. -8,832 -9,651 -819 -9.3

CBERA ..................................... -4,610 -4,692 -82 -1.8

Asia ........................................ -36,257 -41,515 -5,258 -14.5

Sub-Saharan Africa ............................ -476 -653 -178 -37.3

Central and Eastern Europe ...................... -376 -468 -92 -24.4

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

6

 The rise in exports of textiles to Mexico could also reflect that country’s reputed shortage of locally made

textiles that have the quality levels demanded by the U.S. market. See “Trends in World Textile and Clothing

Trade,” Textile Outlook International, Jan. 2001, p. 62.

 

7

 Gail A. Raiman, “Textile Industry Year-End Trade and Economic Report,” American Textile Manufacturers

Institute news release, Dec. 21, 2000, found at http: //www.atmi.org/NewsRoom/releases/ pr200034.asp., retrieved

Mar. 20, 2001.

 

8

 “Textile Industry Year-End Trade and Economic Report,” Jan. 2, 2001, found at

http://www.textileweb....0B7694F32}&Bucket=Feature+Articles, retrieved Jan. 8, 2001.

 

9

 Shipments are estimated by the Commission based on data available from the U.S. Census Bureau.

8-3

subsequent return to the United States as finished apparel.6 These shipments have been increasing since

NAFTA went into effect and encouraged more U.S. investment in apparel assembly operations. U.S. textile

exports (yarn, fabric, and made-up textile goods) increased, reaching a record high of over $10 billion in

2000.7 Industry sources attribute this increase to NAFTA as well as the recent passage of the CBTPA.8

Much of the increase was accounted for by U.S. exports of fabrics, which rose by 17 percent in 2000 (table

8-2). 

Table 8-2

Leading changes in U.S. exports and imports of textiles and apparel, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Fabrics (CH046) ............................ 5,170 6,067 897 17.4

Fibers and yarns, except raw cotton and 

raw wool (CH045) .......................... 2,830 3,126 296 10.5

Decreases:

Body-supporting garments (CH049K) ............. 543 445 -98 -18.0

Men's and boys' trousers (CH049C) .............. 1,056 997 -59 -5.6

All other .................................... 9,124 9,718 594 6.5

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 18,723 20,353 1,631 8.7

U.S. IMPORTS:

Increases:

Apparel (CH049) ............................ 56,565 64,402 7,837 13.9

All other .................................... 14,704 16,507 1,802 12.3

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 71,269 80,909 9,640 13.5

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

Change in 2000 from 1999 for footwear:

U.S. trade deficit: Increased by $812 million (6 percent) to $14.2 billion

U.S. exports: Decreased by $30 million (4 percent) to $664 million

U.S. imports: Increased by $782 million (6 percent) to $14.9 billion

The U.S. trade deficit in footwear widened primarily as a result of an increase in imports (table 8-

3). U.S. producers’ shipments of footwear fell in 2000 by $263 million (9 percent) to $2.6 billion.9

Consequently, the share of the U.S. footwear market supplied by imports in 2000 rose slightly to 87

percent by value. Footwear imports from China rose by $768 million (9 percent), almost double the
 

10 See table 8-3 for the largest bilateral trade balance shifts for footwear.

 

11 Pacific Trade Winds, “News Briefs,” Feb. 2000, p. 3.

 

12 Robin Anson and Paul Simpson, “World Textile and Apparel Trade and Production Trends,” Textile Outlook

International, Sept. 2000, p. 49 and Pacific Trade Winds, “Asia’s Apparel Industry: Notable Trends in 2000 with

Implications for 2001,” Jan. 2001, p. 1.

 

13 Pacific Trade Winds, “News Briefs,” May. 2000, p. 3 and Pacific Trade Winds, “China’s Exports Boosted by

Leather and Silk,” Mar. 2001, p. 2.

8-4

increase of the previous year. China accounted for 77 percent of the U.S. import quantity of footwear in

2000 and 62 percent of the total import value in 2000. China’s dominance in footwear continues to be

attributed to its price competitiveness due to low wages and established production infrastructure. Trade

statistics for all industry/commodity groups and subgroups in the textile, apparel, and footwear sector are

presented in table 8-4 at the end of this chapter.

U.S. BILATERAL TRADE

Largest trade balance shifts in 2000 from 1999 for textiles and apparel:10

China: U.S. deficit increased by $1.4 billion (16 percent) to $10.5 billion

Mexico: U.S. deficit increased by $562 million (15 percent) to $4.4 billion

India: U.S. deficit increased by $485 million (19 percent) to $3.1 billion

The continued rise of price-competitive textile and apparel imports into the United States in 2000

from foreign producers with lower labor and other production costs was a primary factor in widening the

U.S. trade deficit with many of its trading partners, including China. Trade with China was also influenced

by a change in the product mix, bilateral agreements, and the continuation of the economic rebound that

occurred in 1999 when China’s textile industry made its first profit in 6 years. This reversal resulted from

the Chinese Government’s efforts to improve the competitiveness of China’s textile and apparel industry. 

In recent years, initiatives have been launched to eliminate obsolete equipment and unprofitable operations

and to streamline and modernize manufacturing.11 Industry sources report that China’s exports of textiles

and apparel are rising as the textile and apparel industry enters a strong growth phase and as the Chinese

Government implements a 5-year plan to raise textile production for both domestic and export markets.12

A change in product mix also contributed to the rise in U.S. sector imports from China in 2000. 

This year was reportedly an especially strong fashion year for leather apparel, with China emerging as the

world’s largest exporter of leather with a 60-percent share of the world’s multibillion dollar market.13 In

2000, 40 percent of the increase in U.S. textile and apparel imports from China was accounted for by U.S.

imports of leather apparel from China, which rose by 57 percent to $1.6 billion. U.S. exports of textiles

and apparel to China rose by 33 percent to $221 million; however, the base value of these exports was too

small to offset the large increase in U.S. sector imports from China.

The U.S. trade deficit with Mexico also widened as U.S. imports of textiles and apparel from

Mexico continued to grow in 2000. Apparel accounted for 83 percent ($8.7 billion) of total U.S. sector
8-5

Table 8-3

Footwear: U.S. exports of domestic merchandise, imports for consumption, and merchandise trade

balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

China ....................................... 41 43 2 6.0

Italy ........................................ 5 4 -1 -24.0

Brazil ....................................... 2 1 -1 -27.1

Indonesia .................................... 14 14 (

2

) 2.2

Mexico ...................................... 94 114 21 22.0

Thailand ..................................... 5 7 2 32.0

Spain ....................................... 4 3 -1 -25.5

Dominican Rep ................................ 57 54 -4 -6.2

United Kingdom ............................... 18 17 -1 -6.3

Vietnam ..................................... 30 27 -2 -7.9

All other ..................................... 424 379 -45 -10.6

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 693 664 -30 -4.3

EU-15 ...................................... 82 65 -16 -19.8

OPEC ...................................... 30 34 4 12.2

Latin America ................................. 216 234 18 8.6

CBERA ..................................... 98 94 -4 -4.2

Asia ........................................ 263 253 -9 -3.6

Sub-Saharan Africa ............................ 17 14 -3 -15.3

Central and Eastern Europe ...................... 2 1 -1 -38.3

U.S. imports for consumption:

China ....................................... 8,438 9,206 768 9.1

Italy ........................................ 1,185 1,259 74 6.2

Brazil ....................................... 960 1,149 189 19.7

Indonesia .................................... 751 731 -20 -2.7

Mexico ...................................... 354 351 -3 -0.7

Thailand ..................................... 325 329 4 1.2

Spain ....................................... 327 325 -1 -0.4

Dominican Rep ................................ 237 181 -56 -23.6

United Kingdom ............................... 239 198 -41 -17.1

Vietnam ..................................... 146 125 -21 -14.5

All other ..................................... 1,111 1,001 -110 -9.9

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 14,074 14,856 782 5.6

EU-15 ...................................... 2,038 2,044 6 0.3

OPEC ...................................... 752 732 -20 -2.7

Latin America ................................. 1,593 1,709 116 7.3

CBERA ..................................... 259 196 -63 -24.3

Asia ........................................ 10,142 10,841 699 6.9

Sub-Saharan Africa ............................ 3 1 -3 -79.9

Central and Eastern Europe ...................... 148 135 -13 -8.6

U.S. merchandise trade balance:

China ....................................... -8,397 -9,163 -765 -9.1

Italy ........................................ -1,180 -1,255 -75 -6.3

Brazil ....................................... -958 -1,148 -189 -19.7

Indonesia .................................... -738 -717 20 2.8

Mexico ...................................... -260 -237 23 8.9

Thailand ..................................... -320 -322 -2 -0.6

Spain ....................................... -323 -322 (

2

) 0.1

Dominican Rep ................................ -180 -127 52 29.1

United Kingdom ............................... -221 -181 40 18.0

Vietnam ..................................... -116 -97 19 16.2

All other ..................................... -687 -622 65 9.4

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... -13,380 -14,192 -812 -6.1

EU-15 ...................................... -1,956 -1,978 -22 -1.1

OPEC ...................................... -722 -698 24 3.3

Latin America ................................. -1,377 -1,474 -97 -7.1

CBERA ..................................... -161 -102 59 36.6

Asia ........................................ -9,879 -10,588 -709 -7.2

Sub-Saharan Africa ............................ 13 13 (

2

) 1.4

Central and Eastern Europe ...................... -146 -134 12 8.2

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

 

2Less than $500,000.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

14 On January 1, 1999, almost all U.S. tariffs on qualifying apparel articles from Mexico under NAFTA were

eliminated, giving Mexico an even greater price competitive advantage over its Caribbean Basin competitors in the

production of apparel for export to the United States. The enactment of the United States-Caribbean Basin Trade

Partnership Act in 2000, however, is expected to place the CBTPA countries on a more equal competitive basis

with Mexico.

 

15 The production-sharing provisions provide a duty exemption for U.S. apparel parts returned to the United

States in the form of finished apparel. In general, the duty is assessed only on the value-added abroad. The fabric

for making the apparel parts can be of either U.S. or foreign origin as long as the fabric is cut to shape in the

United States and exported ready for assembly. Apparel from Mexico assembled from U.S.-made and -cut fabric

has been eligible to enter free of duty since the implementation of NAFTA in 1994.

 

16 The number of textile and apparel maquiladoras grew from 1,035 in 1999 to 1,113 in 2000. See “Maquila

Scoreboard,” Twin Plant News, May 2000, p. 55, and April 2001, p. 55.

 

17 Guilford Mills and Cone Mills have a joint Mexican venture to develop an industrial park in the state of

Tamaulipas for similar operations. A Guilford plant to produce primarily cotton/Lycra circular knit products is

also under construction in the city of Altamira and is expected to start production in 2001. Burlington Industries is

manufacturing denim cloth in Yecapixtla, Mexico, sewing the fabric into garments at its sewing facility in the

central Mexican state of Aguascalientes, and then laundering and finishing garments through its joint venture with

International Garment Processors in the state of Chihuahua. See “U.S. Mills in Mexico: The Status of Their

Strategies,” Bobbin, Nov. 2000.

 

18 U.S. imports of textiles and apparel from Mexico could slow even further in 2001. According to one industry

source, “no less than 5,000 jobs could have been lost in the Mexican garment industry as a result of the U.S.

economic slowdown.” Industry association statistics collected to date suggest that the growth rate of Mexican

textile and apparel exports to the United States will be even smaller in 2001. See Emerging Textiles, “Mexico’s

Garment Industry Cuts Jobs Following U.S. Slowdown,” Apr. 6, 2000, found at

http://www.emergingtextiles.com/cgi-bin/more,cgi/latest060401.html, retrieved Apr. 9, 2001.

8-6

imports from Mexico.14 Most of the imported garments from Mexico were assembled from U.S.-cut fabric

components and entered under the production-sharing provisions of chapter 98 of the Harmonized Tariff

Schedule of the United States.15 U.S. textile and apparel imports from Mexico have grown steadily since

the implementation of the North American Free Trade Agreement in 1994, which by January 1, 1999 had

phased out barriers to most textile and apparel between the United States and Mexico. NAFTA trade

preferences have been instrumental in not only encouraging U.S. apparel producers to begin or expand

operations in Mexico, but more recently, they have also motivated U.S. producers of fabrics that are used

to produce apparel and other textile products to establish facilities in Mexico close to their customers.16

Various operations have been or are being established in Mexico ranging from contract operations with

Mexican cut-and-sew firms to produce apparel packages to vertically integrated operations that produce

different types of fabrics.17 Notwithstanding these developments in the late 1990s, the rate of increase of

U.S. textile and apparel imports from Mexico slowed in 2000, to only 12 percent, compared with the 14-

percent growth rate of 1999. This slowdown likely reflects the downturn in the U.S. economy in the last

part of 2000.18

U.S. exports of textiles and apparel to Mexico also grew more slowly in 2000, increasing by 11

percent compared with 17 percent in 1999. Leading U.S. textile exports to Mexico included woven fabrics

of synthetic filament yarn and cotton fabrics, which rose by 76 percent and 67 percent to $566 and $454

million, respectively. 

The 19-percent increase in U.S. imports of textiles and apparel from India in 2000 to $3.2 billion

contributed to a significant widening of the U.S.’s trade deficit with this increasingly important world

supplier of textiles and apparel. India’s principal textile and apparel exports to the United States in 2000

included women’s or girl’s blouses and suits, bed linens, and men’s shirts and sweaters. As one of the

leading segments of the country’s economy, India’s textile and apparel industry has been able to increase its

exports because of its vast fiber base, an abundant and low-cost skilled labor force, a large and diversified

textile infrastructure, and manufacturing flexibility. 
 

19 Ibid, p. 1-1.

 

20 Eva Martinez Fornos, “The Dominican Triumph–The sector faces the future with optimism following the

approval of textile parity and the election of a new government,” Apparel Industry International, July 2000, found

at http://www.aiimag.com, retrieved Sep. 9, 2000.

 

21 The Trade and Opportunity Act of 2000 also provides trade benefits for Sub-Saharan Africa. Title I of the

Act, the Africa Growth and Opportunity Act (AGOA), authorizes duty-free treatment under the Generalized

System of Preferences for imports of qualifying apparel from eligible SSA countries for 8 years beginning on

October 1, 2000. The AGOA also provides for the elimination of existing U.S. quotas on imports of textiles and

apparel from the SSA countries, and allows imports of such goods from all SSA countries to enter free of quota

during the 8-year period.

 

22 Industry sources report that China’s labor costs of $0.69 per hour are higher than those of Pakistan and

Indonesia whose rates are $0.37 and $0.32 per hour respectively. See, “Lowest costs in Madagascar, Indonesia and

Pakistan,” Emerging Textiles, Mar. 21, 2001, found at http://www.emergingtextiles.com, retrieved Mar. 22, 2001.

8-7

Historically, India has had import restraints and market access barriers that have impeded the flow

of imports into the country. Nevertheless, U.S. exports of textiles and apparel to India rose (albeit from a

small base) by 26 percent in 2000 to $46 million. As India reduces tariffs and dismantles trade barriers

under its WTO commitments,19 the growth of U.S. exports of textiles and apparel to India can be expected

to accelerate.

In addition to the shifts in trade with China, Mexico, and India, shifts occurred in U.S. trade with

other leading partners in 2000. The U.S. trade deficit with the Caribbean Basin countries rose in 2000,

reversing the decline of the previous year (table 8-1). Leading U.S. exports to the Caribbean Basin

countries were T-shirts (19 percent of the total), undergarments (13 percent), and men’s and boy’s suits (12

percent). 

The growth in U.S. trade with the Caribbean Basin countries in 2000 likely resulted from foreign

investors beginning preparations in anticipation of countries’ recently enacted legislation.20 Implemented in

October 2000, Title II of the Trade and Opportunity Act of 2000, the United States-Caribbean Basin Trade

Partnership Act (CBTPA) provides for duty-free and quota-free treatment for imports of qualifying textile

and apparel articles from CBERA beneficiary countries during a transition period beginning on October 1,

2000, and ending on the earlier of September 8, 2008, or the date on which the Free-Trade Area of the

Americas or a comparable free-trade agreement between the United States and CBERA countries enters

into force. The CBTPA is expected to enhance opportunities for the Caribbean Basin countries to expand

their trade with the United States and for U.S. textile and apparel firms to expand production-sharing

arrangements with CBTPA countries.21

The U.S. trade deficit with Asia for textiles and apparel widened significantly in 2000

(table 8-1). In contrast to a slight decline in Asia’s share of total U.S. textile and apparel imports in 1999,

Asia’s share rose by about 1 percentage point in 2000, to 54 percent. In addition to the growth in U.S.

sector imports from China and India as discussed earlier, U.S. imports from all the leading Asian suppliers

grew in 2000 with the greatest increases registered for Bangladesh, Thailand, Indonesia, and Pakistan,

countries with highly competitive labor costs.22 U.S. imports from these four countries rose by $443

million, $417 million, $414 million, and $379 million respectively. Also contributing to the growth in

imports from the Asian countries was the ongoing phaseout of quotas under the Uruguay Round Agreement

on Textiles and Clothing (ATC). The phaseout of U.S. quotas on apparel imports by January 1, 2005

under the ATC will likely strengthen the competitiveness of developing countries in Asia whose shipments

are currently subject to restraint. U.S. exports to most of its leading Asian trading partners, China, Hong

Kong, Korea, and Taiwan, also rose in 2000. The rise in U.S. exports to these countries likely reflects the

financial recovery of the Asian markets during the past couple of years.
Table 8-4

Textiles, apparel, and footwear sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

8-8

CH045 Fibers and yarns, except raw cotton and raw

 wool:

Exports .............................. 2,830 3,126 296 10.5

Imports .............................. 2,547 2,771 223 8.8

Trade balance ......................... 282 355 73 25.8

CH046 Fabrics:

Exports .............................. 5,170 6,067 897 17.4

Imports .............................. 5,563 6,052 490 8.8

Trade balance ......................... -393 15 408 (

3

)

CH046A Broadwoven fabrics:

Exports .............................. 2,475 3,100 625 25.3

Imports .............................. 3,418 3,622 204 6.0

Trade balance ......................... -943 -521 422 44.7

CH046B Knit fabrics:

Exports .............................. 621 787 166 26.8

Imports .............................. 926 1,004 78 8.4

Trade balance ......................... -305 -217 88 28.9

CH046C Specialty fabrics:

Exports .............................. 503 481 -22 -4.4

Imports .............................. 322 374 51 15.9

Trade balance ......................... 180 107 -73 -40.7

CH046D Coated and other fabrics:

Exports .............................. 906 912 7 0.7

Imports .............................. 522 591 69 13.2

Trade balance ......................... 384 322 -62 -16.2

CH046E Glass fiber fabrics:

Exports .............................. 78 99 21 26.5

Imports .............................. 89 100 11 11.9

Trade balance ......................... -11 -1 10 94.0

CH046F Other fabrics:

Exports .............................. 588 688 100 17.1

Imports .............................. 285 362 77 27.0

Trade balance ......................... 302 326 23 7.7

CH047 Carpets and rugs:

Exports .............................. 772 791 19 2.4

Imports .............................. 1,248 1,464 217 17.4

Trade balance ......................... -475 -674 -198 -41.7

CH048 Home furnishings:

Exports .............................. 398 418 20 5.0

Imports .............................. 2,652 3,215 563 21.2

Trade balance ......................... -2,254 -2,797 -543 -24.1

CH048A Blankets:

Exports .............................. 36 36 (

4

) (

5

)

Imports .............................. 149 214 66 44.2

Trade balance ......................... -113 -178 -66 -58.2

CH048B Pillowcases and sheets:

Exports .............................. 111 94 -17 -15.2

Imports .............................. 658 723 65 9.9

Trade balance ......................... -547 -629 -82 -15.0
Table 8-4--Continued

Textiles, apparel, and footwear sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

8-9

CH048C Table/kitchen linens and towels:

Exports .............................. 108 113 5 4.7

Imports .............................. 891 1,039 147 16.5

Trade balance ......................... -783 -926 -142 -18.2

CH048D Curtains:

Exports .............................. 38 40 2 6.6

Imports .............................. 267 361 94 35.1

Trade balance ......................... -230 -321 -91 -39.8

CH048E Bedspreads and other furnishing articles:

Exports .............................. 27 45 18 67.9

Imports .............................. 376 547 171 45.4

Trade balance ......................... -350 -502 -153 -43.7

CH048F Pillows, cushions, and sleeping bags:

Exports .............................. 78 90 11 14.3

Imports .............................. 307 326 20 6.4

Trade balance ......................... -228 -237 -8 -3.7

CH048G Tapestries and other wall hangings:

Exports .............................. 1 1 (

4

) -1.2

Imports .............................. 4 5 1 16.9

Trade balance ......................... -3 -4 -1 -21.5

CH049 Apparel:

Exports .............................. 7,964 8,177 213 2.7

Imports .............................. 56,565 64,402 7,837 13.9

Trade balance ......................... -48,601 -56,225 -7,624 -15.7

CH049A Men's and boys' suits and sports coats:

Exports .............................. 61 82 20 32.9

Imports .............................. 1,157 1,196 40 3.4

Trade balance ......................... -1,095 -1,115 -19 -1.8

CH049B Men's and boys' coats and jackets:

Exports .............................. 120 115 -6 -4.8

Imports .............................. 1,739 1,976 237 13.6

Trade balance ......................... -1,619 -1,862 -243 -15.0

CH049C Men's and boys' trousers:

Exports .............................. 1,056 997 -59 -5.6

Imports .............................. 6,381 7,321 940 14.7

Trade balance ......................... -5,325 -6,324 -999 -18.8

CH049D Women's and girls' trousers:

Exports .............................. 595 587 -9 -1.4

Imports .............................. 6,241 7,419 1,177 18.9

Trade balance ......................... -5,646 -6,832 -1,186 -21.0

CH049E Shirts and blouses:

Exports .............................. 1,848 2,053 205 11.1

Imports .............................. 18,213 20,159 1,947 10.7

Trade balance ......................... -16,365 -18,107 -1,742 -10.6

CH049F Sweaters:

Exports .............................. 29 37 8 29.7

Imports .............................. 2,033 2,506 472 23.2

Trade balance ......................... -2,005 -2,469 -464 -23.1

CH049G Women's and girls' suits, skirts, and coats:

Exports .............................. 239 249 10 4.2

Imports .............................. 3,870 4,304 434 11.2

Trade balance ......................... -3,631 -4,055 -424 -11.7
Table 8-4--Continued

Textiles, apparel, and footwear sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

8-10

CH049H Women's and girls' dresses:

Exports .............................. 102 106 4 4.4

Imports .............................. 1,800 1,889 89 4.9

Trade balance ......................... -1,699 -1,783 -84 -5.0

CH049I Robes, nightwear, and underwear:

Exports .............................. 923 1,028 104 11.3

Imports .............................. 4,601 4,842 240 5.2

Trade balance ......................... -3,678 -3,814 -136 -3.7

CH049J Hosiery:

Exports .............................. 445 423 -22 -4.8

Imports .............................. 847 950 103 12.1

Trade balance ......................... -402 -527 -124 -30.9

CH049K Body-supporting garments:

Exports .............................. 543 445 -98 -18.0

Imports .............................. 1,370 1,439 68 5.0

Trade balance ......................... -828 -993 -166 -20.0

CH049L Neckwear, handkerchiefs, and scarves:

Exports .............................. 38 40 2 5.9

Imports .............................. 428 510 82 19.1

Trade balance ......................... -390 -470 -80 -20.4

CH049M Gloves, including gloves for sports:

Exports .............................. 180 185 5 2.8

Imports .............................. 1,991 2,076 85 4.3

Trade balance ......................... -1,811 -1,891 -80 -4.4

CH049N Headwear:

Exports .............................. 92 107 15 16.0

Imports .............................. 1,063 1,245 182 17.2

Trade balance ......................... -971 -1,138 -168 -17.3

CH049O Leather apparel and accessories:

Exports .............................. 90 94 4 4.6

Imports .............................. 1,275 2,028 753 59.1

Trade balance ......................... -1,185 -1,934 -749 -63.2

CH049P Fur apparel and other fur articles:

Exports .............................. 54 48 -6 -11.9

Imports .............................. 151 241 90 59.5

Trade balance ......................... -97 -193 -96 -99.6

CH049Q Rubber, plastic, and coated-fabric apparel:

Exports .............................. 83 102 19 23.2

Imports .............................. 251 390 139 55.6

Trade balance ......................... -168 -288 -120 -71.6

CH049R Nonwoven apparel:

Exports .............................. 48 42 -6 -12.1

Imports .............................. 320 373 53 16.6

Trade balance ......................... -271 -330 -59 -21.7

CH049S Other wearing apparel:

Exports .............................. 1,417 1,438 21 1.5

Imports .............................. 2,833 3,539 706 24.9

Trade balance ......................... -1,416 -2,102 -685 -48.4

CH050 Miscellaneous textile products:

Exports .............................. 1,589 1,774 185 11.7

Imports .............................. 2,696 3,005 309 11.5

Trade balance ......................... -1,106 -1,231 -124 -11.2
Table 8-4--Continued

Textiles, apparel, and footwear sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

8-11

CH051 Footwear:

Exports .............................. 693 664 -30 -4.3

Imports .............................. 14,074 14,856 782 5.6

Trade balance ......................... -13,380 -14,192 -812 -6.1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

2This coding system is used by the U.S. International Trade Commission to identify major groupings and

subgroupings of HTS import and export items for trade-monitoring purposes

3Not meaningful for purposes of comparison.

4Less than $500,000.

5Less than 0.05 percent.

Note.—Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

 

1

 Because many steel mill products are the subject of a Commission investigation under section 201 of the Trade

Act of 1974 (19 U.S.C. 2251), the Commission has not included an analysis for the steel trade shift in this report.

9-1

,,,,,,,,,,,,,,,,

CHAPTER 9

Minerals and Metals1

Vincent DeSapio, Coordinator

(202) 205-3435

desapio@usitc.gov

Change in 2000 from 1999:

U.S. trade deficit: Increased by $5.9 billion (14 percent) to $47.7 billion

U.S. exports: Increased by $7.4 billion (19 percent) to $47.3 billion

U.S. imports: Increased by $13.3 billion (16 percent) to $95.0 billion

The increase in the U.S. trade deficit in minerals and metals products occurred as both U.S.

imports and exports showed strong growth, reflecting sustained U.S. and global economic growth in 2000,

particularly in key end-use sectors such as the automotive, construction, and appliance industries. The

larger trade deficit in minerals and metals during 2000 follows an increase in the deficit in 1999 by $1.6

billion (1 percent) to $41.8 billion. Canada and Mexico were the leading destinations for U.S. exports in

2000, while Canada and China were the leading sources of imports. Additional statistical detail on major

import suppliers and export markets is provided in table 9-1.

In 2000, trade increased in most industry/commodity groups and these increases far outweighed

year-to-year decreases in trade in other groups (table 9-2). The same group of items tended to account for

the major increases in exports and imports. For copper and related articles, the export increase resulted

from U.S. shipments of fabricated copper alloy products to Canada whereas increased U.S. imports of

refined copper occurred as a result of the shutdown of relatively high-cost U.S. primary and secondary

facilities. Also contributing to these increases was a substantial upsurge in the world price of copper, which

rose by more than 15 percent during 2000 as a result of sustained demand and declining inventories. The

growth in U.S. shipments of precious metals and nonnumismatic coins was largely attributable to increased

exports of precious metals to major trading and consumer centers in Japan, the United Kingdom, and

Switzerland for eventual use in industrial and jewelry applications, while rising imports in this product

group principally reflected increasing world prices for platinum-group metals. Natural and synthetic

gemstone imports increased due to the relative strength of the U.S. economy and higher prices for

diamonds, caused by continued record demand and relatively tight supply.

The commodity write-ups that follow for precious metals and nonnumismatic coins, and for natural

and synthetic gemstones, provide more specific information on these trade shifts. Trade statistics for all

industry/commodity groups in this sector are presented in table 9-5 at the end of the chapter.
9-2

Table 9-1

Minerals and metals: U.S. exports of domestic merchandise, imports for consumption, and merchandise

trade balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

Canada ..................................... 13,578 15,421 1,843 13.6

Mexico ...................................... 6,528 8,210 1,682 25.8

China ....................................... 713 1,333 620 87.0

Japan ....................................... 1,890 2,344 454 24.0

United Kingdom ............................... 3,079 3,347 268 8.7

Israel ....................................... 225 573 348 154.8

Germany .................................... 1,194 1,380 186 15.5

Switzerland .................................. 2,787 3,753 966 34.6

Russia ...................................... 31 54 23 76.1

Belgium ..................................... 657 979 322 49.0

All other ..................................... 9,209 9,886 678 7.4

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 39,890 47,280 7,390 18.5

EU-15 ...................................... 7,135 8,015 880 12.3

OPEC ...................................... 728 751 23 3.2

Latin America ................................. 8,619 10,368 1,749 20.3

CBERA ..................................... 708 770 62 8.8

Asia ........................................ 5,783 7,596 1,812 31.3

Sub-Saharan Africa ............................ 222 219 -3 -1.2

Central and Eastern Europe ...................... 87 133 47 53.6

U.S. imports for consumption:

Canada ..................................... 17,285 19,215 1,930 11.2

Mexico ...................................... 5,997 6,767 770 12.8

China ....................................... 5,520 6,947 1,427 25.9

Japan ....................................... 5,159 5,339 179 3.5

United Kingdom ............................... 2,584 3,086 502 19.4

Israel ....................................... 4,588 5,693 1,105 24.1

Germany .................................... 3,444 3,998 554 16.1

Switzerland .................................. 992 1,013 21 2.1

Russia ...................................... 3,397 4,643 1,246 36.7

Belgium ..................................... 2,626 3,517 891 33.9

All other ..................................... 30,124 34,797 4,672 15.5

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 81,717 95,015 13,298 16.3

EU-15 ...................................... 16,248 18,827 2,579 15.9

OPEC ...................................... 1,306 1,422 115 8.8

Latin America ................................. 11,629 13,361 1,733 14.9

CBERA ..................................... 536 628 92 17.2

Asia ........................................ 21,447 24,558 3,111 14.5

Sub-Saharan Africa ............................ 2,637 3,201 563 21.4

Central and Eastern Europe ...................... 693 878 185 26.7

U.S. merchandise trade balance:

Canada ..................................... -3,708 -3,795 -87 -2.3

Mexico ...................................... 531 1,443 912 171.9

China ....................................... -4,807 -5,614 -807 -16.8

Japan ....................................... -3,270 -2,995 275 8.4

United Kingdom ............................... 495 261 -234 -47.3

Israel ....................................... -4,363 -5,121 -757 -17.4

Germany .................................... -2,250 -2,618 -368 -16.4

Switzerland .................................. 1,795 2,740 945 52.6

Russia ...................................... -3,366 -4,589 -1,223 -36.3

Belgium ..................................... -1,969 -2,538 -569 -28.9

All other ..................................... -20,916 -24,911 -3,995 -19.1

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... -41,827 -47,735 -5,908 -14.1

EU-15 ...................................... -9,113 -10,812 -1,700 -18.7

OPEC ...................................... -578 -670 -92 -16.0

Latin America ................................. -3,010 -2,993 16 0.5

CBERA ..................................... 172 142 -30 -17.5

Asia ........................................ -15,663 -16,962 -1,299 -8.3

Sub-Saharan Africa ............................ -2,416 -2,982 -566 -23.4

Central and Eastern Europe ...................... -606 -744 -138 -22.8

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
9-3

Table 9-2

Leading changes in U.S. exports and imports of minerals and metals, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Copper and related articles (MM036) ............. 1,668 3,109 1,441 86.4

Precious metals and non-numismatic coins (MM020) . 6,510 7,685 1,176 18.1

Natural and synthetic gemstones (MM019) ......... 447 1,466 1,019 228.2

Steel mill products (MM025) .................... 4,291 4,911 621 14.5

Decreases:

Metal construction components (MM028) .......... 579 533 -45 -7.8

Zinc ores and concentrates (MM006A) ............ 346 308 -38 -11.0

All other .................................... 26,050 29,267 3,217 12.3

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 39,890 47,280 7,390 18.5

U.S. IMPORTS:

Increases:

Precious metals and non-numismatic coins (MM020) . 7,708 10,082 2,374 30.8

Steel mill products (MM025)1................... 12,749 15,026 2,277 17.9

Natural and synthetic gemstones (MM019) ......... 11,021 13,234 2,212 20.1

Copper and related articles (MM036) ............. 3,726 4,881 1,155 31.0

Decreases:

Unrefined and refined gold (MM020A) ............ 2,519 2,262 -256 -10.2

Copper ores and concentrates (MM004) ........... 82 (

2

) -82 -100.0

All other .................................... 43,911 49,530 5,618 12.8

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 81,717 95,015 13,298 16.3

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1Because many steel mill products are the subject of a Commission investigation under section 201 of the Trade

Act of 1974 (19 U.S.C. 2251), the Commission has not included an analysis for the steel trade shift in this report.

 

2Less than $500,000.

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

U.S. BILATERAL TRADE

Largest trade balance shifts in 2000 from 1999:

Russia: U.S. deficit increased by $1.2 billion (36 percent) to $4.6 billion

Switzerland: U.S. surplus increased by $945 million (53 percent) to $2.7 billion

Mexico: U.S. surplus increased by $912 million (172 percent) to $1.4 billion

The growing sector trade deficit with Russia in 2000 was principally due to increased U.S. imports

of precious metals, reflecting increased world prices for palladium, platinum, and rhodium. The greater

U.S. trade surplus with Switzerland was largely attributable to increased exports of precious metals and

non-numismatic coins to Switzerland, a major precious metals trading center. An increase in U.S. exports

of miscellaneous products of base metal (including iron and steel chain and springs) to supply Mexico's

growing automotive production was a key factor in the increased U.S. trade surplus with Mexico. In

addition, U.S. exports of copper and related articles to Mexico reflect strong economic growth in Mexico

and sustained demand in Mexico's industrial sector for a wide variety of copper and copper alloy

semifabricated products.
 

2

 This industry/commodity includes gold, silver, and platinum-group metals (platinum, palladium, rhodium,

iridium, ruthenium, and osmium) in unwrought or semimanufactured forms; precious-metals waste and scrap; and

precious-metal non-numismatic coins. Monetary gold held as official reserves by central banks is excluded from

this group. For added explanation of the trade shifts, see “Canada” in ch. 3 and the sector overview of this chapter.

 

3

 Not adjusted for certain imports from Canada in 2000 that were reportedly misclassified as nonlegal tender

precious-metal (other than gold) coins. Adjusted 2000 imports of precious metals and nonnumismatic coins, and

the corresponding adjusted change in 2000 imports from 1999 imports in both absolute and percent terms, would

be lower than the values shown.

 

4

 Platinum increased to $549.31 per troy ounce in 2000 compared to $378.94 per troy ounce in 1999, palladium

rose even more sharply to $691.84 per troy ounce from $363.20 per troy ounce, and rhodium more than doubled to

$1,988.57 per troy ounce from $904.35 per troy ounce. All the foregoing prices are based on Engelhard Industries,

average annual prices. Earle B. Amey and Henry E. Hilliard, “Precious Metals,” Mineral Industry Surveys, U.S.

Geological Survey (USGS), Dec. 2000; and Henry E. Hilliard, USGS, interview with USITC staff, Apr. 20, 2001.

 

5

 The annual average of the London Final fix for gold was relatively unchanged at $279.04 per troy ounce in

2000 compared to $278.77 per troy ounce in 1999. Amey and Hilliard, “Precious Metals.”

 

6

 “Gold, Silver Ring Out the Year with a Clank,” American Metals Market, Dec. 29, 2000, found at

http://www.amm.com/SUBSCRIB/2000/Dec/inside4/1229pm01.htm, retrieved Apr. 18, 2001; and World Gold

Council, “2000 Highlights, Full Year and Fourth Quarter,” Gold Demand Trends, Feb. 2001.

 

7

 The corresponding annual average London Final fix for silver declined to $4.95 per troy ounce in 2000 from

$5.22 per troy ounce during the previous year. Amey and Hilliard, “Precious Metals.”

 

8

 “Gold, Silver Ring Out the Year with a Clank;” and The Silver Institute, “GFMS Says Industrial Demand

Jumped in 2000,” Silver News, Dec. 2000/Jan. 2001, p. 3.

9-4

During 2000, there were also significant shifts in imports from China and exports to Canada. U.S.

imports from China increased largely due to greater imports of steel mill products and miscellaneous

products of base metal, principally steel-containing items. U.S. exports to Canada increased as a result of

shipments of copper alloy semifabricated products for further fabrication in Canada and increased

shipments of steel mill products to U.S.- and Canadian-owned fabrication facilities in Canada.

COMMODITY ANALYSIS

Precious Metals and Nonnumismatic Coins2

Change in 2000 from 1999:

U.S. trade deficit: Increased by $1.2 billion (100 percent) to $2.4 billion

U.S. exports: Increased by $1.2 billion (18 percent) to $7.7 billion

U.S. imports: Increased by $2.4 billion (31 percent) to $10.1 billion3

The trade deficit for precious metals and nonnumismatic coins widened primarily as a result of

significantly higher prices for imports of platinum-group metals (PGMs), which were boosted for a third

straight year by steadily rising demand in the automotive, electronics, chemicals, and jewelry sectors; and

by uncertainties about erratic supplies from Russia.4 In contrast, the price of gold remained relatively

unchanged from the previous year level,5 due to continued sales by central banks, along with relatively

steady jewelry and investment demand.6 The price of silver weakened from the 1999 level7 as increased

worldwide mine output and dishoarding from India augmented supplies, as otherwise stronger industrial

demand was dampened by reduced commitments for future photographic silver needs, and as several

prominent hedge funds and commodity advisors pulled out from silver trading due to low profitability.8 For

the export shift, higher PGM prices and increased export quantities of nearly all forms and types of

precious metals overshadowed relatively flat gold and lower silver prices.
 

9

 See ch. 2 for a general discussion about U.S. and international macroeconomic conditions that influenced U.S.

merchandise trade performance in 2000.

 

10 A $644-million increase was recorded for imports of nonlegal tender precious-metal (other than gold) coins

from Canada, although a sizeable portion was reportedly misclassified. The adjusted increase in nonnumismatic

coins from Canada in 2000 from the 1999 level would be significantly lower.

 

11 Imports as a share of apparent consumption in 2000 was estimated at 83 percent for platinum and 89 percent

for palladium. Henry E. Hilliard, “Platinum-Group Metals,” Mineral Commodity Summaries, USGS, Jan. 2001,

pp. 122-123.

 

12 Ibid. Russia was the world’s largest producer of palladium, providing 49 percent of the total in 2000, and was

the second-largest producer of platinum, providing 15 percent of the total in that year. 

 

13 Ibid. South Africa was the world’s largest producer of platinum, supplying 79 percent of the total in 2000,

and was the second-largest producer of palladium, supplying 37 percent of the total in that year. 

 

14 Harriet Foster, “Russia May Issue Early Platinum Quotas,” American Metal Market, Nov. 17, 2000, found at

http//:www.amm.com/subscrib/2000/nov/inside3/1117pm01.htm, retrieved Apr. 18, 2001.

 

15 The amendment returned Almazjuvelirexport (Almaz), the country’s sole precious-metals exporting agency,

to the PGM market, but Almaz must also secure export licenses from the Ministry of Trade to sell PGMs abroad. 

Glenn Minnis, “Putin Signs Platinum Law Amendment,” American Metal Market, Jan. 4, 2000, found at

http//:www.amm.com/SUBSCRIB/2000/Jan/inside/0104pm.htm, retrieved Apr. 18, 2001.

 

16 Although Norilsk holds a permanent export license for palladium, it ostensibly exports the metal through

Almaz. The other three entities that export palladium also need to obtain annual quotas and licenses. However,

needing to obtain annual quotas and licenses to export other PGMs, Norilsk has recently requested a 5-year quota

for platinum and rhodium. “Norilsk Says No Change in PGM Sales Rules,” American Metal Market, Nov. 16,

2000, found at http//:www.amm.com/SUBSCRIB/2000/Nov/inside3/1116pma1.htm, retrieved Apr. 18, 2001; Foster,

“Russia May Issue Early Platinum Quotas;” and “Russia Seen Signing Norilsk PGM Quotas,” American Metal

Market, Feb. 8, 2001, found at http//:www.amm.com/SUBSCRIB/2001/feb/inside2/0208pma1.htm, retrieved Apr.

(continued...)

9-5

U.S. imports

Although the United States is a major global producer of gold and silver, as well as a world center

for refining, fabricating, and trading of all precious metals, imports must be relied on extensively to meet

domestic consumption needs. U.S. demand for precious metals and nonnumismatic coins in 2000 was less

robust than in the previous year, as consumer confidence was negatively affected by the fourth quarter

economic slowdown, higher energy costs, and rising personal debt levels.9 Overall, increased U.S. imports

of precious metals and nonnumismatic coins were primarily attributable to increased imports of PGMs

(table 9-3), primarily from Russia and South Africa. The top three import sources for precious metals and

non-numismatic coins continued to be Canada ($2.7 billion, or 27 percent of U.S. imports)10, Russia ($2.3

billion, or 22 percent), and South Africa ($1.5 billion, or 15 percent), which together accounted for nearly

65 percent of the value of U.S. imports of these products.

The United States is almost totally dependent on foreign sources of PGMs, having only one

domestically producing mine.11 PGM imports rose for a seventh consecutive year in 2000, driven primarily

by the sustained demand of the automotive and electronics industries, as there are few suitable substitutes

that can match the unique catalytic and electrical properties of PGMs. As the world’s largest producers,

Russia12 and South Africa13 continued to be the largest suppliers to the United States, providing 40 percent

($2.2 billion) and 27 percent ($1.5 billion), respectively, of all U.S. PGM imports in 2000 despite certain

supply disruptions. For example, shipments of most PGMs from Russia were forestalled until the second

half of 2000, due to delays in official issuances of export quotas and licenses,14 despite an early-January

2000 amendment to a 1998 law that had impeded exports in 1999 of all PGMs except palladium.15

However, to avoid licensing delays, the United States received shipments of palladium throughout 2000

from RAO Norilsk Nickel (Norilsk), Russia’s predominant palladium producer, which had a 10-year

export quota and a permanent export license for the metal.16 At the beginning of the year, South African
 

16 (...continued)

18, 2001.

 

17 “S. Africa PGM Mines Pushing Limits,” American Metal Market, Jan. 28, 2000, found at

http//:www.amm.com/SUBSCRIB/2000/Jan/inside/0128pm.htm, retrieved Apr. 18, 2001.

 

18 “Palladium Increase Boosts Impala’s Net,” American Metal Market, Feb. 9, 2001, found at

http//:www.amm.com/subscrib/2001/feb/inside2/0209pm01.htm, retrieved Apr. 18, 2001; and “Angloplat Profit

Surges, Shares Decline,” American Metal Market, Feb. 12, 2001, found at

http//:www.amm.com/subscrib/2001/feb/inside3/0212pm03.htm, retrieved Apr. 18, 2001.

9-6

producers asserted that rising demand could not be readily met because their mines were operating at full

capacity, all production was already contracted for, and inventories were lacking.17 Moreover, due to

underground flooding at some mines in the spring and protracted labor unrest in the fall, output did not rise

as much in 2000 as planned.18

Karl Tsuji

(202) 205-3434

tsuji@usitc.gov

Table 9-3

Changes in U.S. imports of precious metals and non-numismatic coins, 1999-2000

Change, 2000 from 1999

Item 1999 2000 Absolute Percent

––––––––––– Million dollars –––––––––

Platinum-group metals .......................... 3,498 5,688 2,189 63

Non-numismatic coins .......................... 378 1 741 1 363 1 96

Silver ....................................... 629 775 145 23

Waste and scrap .............................. 262 291 29 11

Non-monetary gold ............................ 2,940 2,588 -352 -12

Total .................................... 7,708 2 10,082 2 2,374 2 31

1

 Certain imports from Canada in 2000 were reportedly misclassified as non-numismatic coins. Hence, 2000

imports of non-numismatic coins and the corresponding change in 2000 imports from 1999 imports in both

absolute and percent terms would be significantly lower than the values shown.

2

 Adjusted 2000 imports of precious metals and non-numismatic coins, and the corresponding change in 2000

imports from 1999 imports in both absolute and percent terms would be lower than the values shown.

Note.–Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

19 Although the United States does not have major diamond-mining operations, it does have a significant

diamond cutting industry. Most of the recorded increase in domestic diamond exports likely would have been

drawn from inventory. 

 

20 Cut diamonds over a half-carat were the dominant items, registering an increased import value of $1.8 billion

(29 percent) to $8.1 billion. At the same time, the quantity increased by 814,000 carats (19 percent) to 5 million

carats, thereby increasing the trade weighted average unit import price by $119 (8 percent) to $1,613 per carat.

 

21 Anthony DeMarco, “The Bloom is Off the Boom,” Jewelers’ Circular Keystone, Mar. 2001, p. 84.

 

22 Rob Bates, “If De Beers is Down, Why is the Market Up?,” Jewelers’ Circular Keystone, June 2000, p. 224.

 

23 Rob Bates, “Diamond Notes: De Beers Sets Sales Records,” Jewelers’ Circular Keystone, Mar. 2001, p. 44.

9-7

Natural and Synthetic Gemstones

Change in 2000 from 1999:

U.S. trade deficit: Increased by $1.2 billion (11 percent) to $11.8 billion

U.S. exports: Increased by $1.0 billion (228 percent) to $1.5 billion

U.S. imports: Increased by $2.2 billion (20 percent) to $13.2 billion

The increase in the U.S. trade deficit is the result of a large increase in the price of imported

diamonds. As the world’s largest consumer market for gemstones with little or no natural resources of its

own, the United States relies on imports to supply most of its requirements. Although domestic diamond

exports continued to increase for the third year since the Asian financial crisis in 1997-98, the significant

increase in the value of domestic exports is an anomaly for this product group, which is primarily

accounted for by cut diamonds of more than a half carat.19

U.S. imports

The strength of the U.S. economy and higher global diamond prices contributed to the increase in

imports of gemstones,20 as diamond dealers and the jewelry industry reportedly anticipated a third straight

year of record sales at a time when the diamond supply market was relatively tight.21 This, in turn, put

upward price pressures on all product size and quality categories, including large, better quality stones

favored by U.S. jewelry manufacturers.22

The strong U.S. diamond market has been estimated to account for half of world retail sales in

2000.23 Although the import value of all gemstone commodities increased, diamonds accounted for 91

percent of overall gemstone imports (table 9-4). The combined value of U.S. diamond imports from Israel,

Belgium, and India–major diamond-cutting and-trading centers–increased by $1.6 billion (19 percent) to

$10.1 billion. U.S. diamond imports from these countries alone accounted for about 77 percent of all

gemstone imports in 2000. 

Linda White

(202) 205-3427

white@usitc.gov
9-8

Table 9-4

Changes in U.S. imports of natural and synthetic gemstones, 1999-2000

Change, 2000 from 1999

Item 1999 2000 Absolute Percent

––––––––––– Million dollars –––––––––

Diamonds ................................... 9,901 12,060 2,158 22

Natural and colored gemstones ................... 667 711 45 7

Pearls ...................................... 385 391 6 2

Synthetic and reconstructed gemstones ............. 68 71 3 4

Total .................................... 11,021 13,234 2,212 20

Note.–Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
Table 9-5

Minerals and metals sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

9-9

MM001 Clays and related mineral products:

Exports .............................. 952 1,040 88 9.3

Imports .............................. 168 195 27 16.0

Trade balance ......................... 783 845 61 7.8

MM002 Fluorspar and miscellaneous mineral substances:

Exports .............................. 74 71 -3 -4.0

Imports .............................. 146 145 -1 -0.5

Trade balance ......................... -72 -74 -2 -3.1

MM003 Iron ores and concentrates:

Exports .............................. 243 246 3 1.2

Imports .............................. 399 420 22 5.4

Trade balance ......................... -156 -174 -19 -11.9

MM004 Copper ores and concentrates:

Exports .............................. 81 173 93 115.0

Imports .............................. 82 (

3

) -82 -100.0

Trade balance ......................... -2 173 175 (

4

)

MM005 Lead ores, concentrates, and residues:

Exports .............................. 43 73 29 68.1

Imports .............................. 3 8 4 124.9

Trade balance ......................... 40 65 25 63.1

MM005A Lead ores and concentrates:

Exports .............................. 41 54 13 31.5

Imports .............................. 3 8 4 124.7

Trade balance ......................... 38 46 9 23.0

MM006 Zinc ores, concentrates, and residues:

Exports .............................. 352 317 -35 -10.0

Imports .............................. 53 38 -15 -28.4

Trade balance ......................... 299 279 -20 -6.8

MM006A Zinc ores and concentrates:

Exports .............................. 346 308 -38 -11.0

Imports .............................. 40 27 -13 -33.4

Trade balance ......................... 306 281 -25 -8.1

MM007 Certain ores, concentrates, ash, and residues:

Exports .............................. 237 232 -4 -1.9

Imports .............................. 732 790 59 8.0

Trade balance ......................... -495 -558 -63 -12.7

MM007A Molybdenum ores and concentrates:

Exports .............................. 129 104 -26 -19.8

Imports .............................. 35 35 (

3

) -0.6

Trade balance ......................... 94 68 -25 -27.1

MM008 Precious metal ores and concentrates:

Exports .............................. 40 34 -6 -15.4

Imports .............................. 4 10 6 167.8

Trade balance ......................... 37 25 -12 -33.4

MM008A Gold ores and concentrates:

Exports .............................. 2 10 9 556.1

Imports .............................. 1 1 -1 -45.2

Trade balance ......................... (

3

) 10 9 2,460.4

MM008B Silver ores and concentrates:

Exports .............................. 37 21 -16 -42.6

Imports .............................. 2 (

3

) -2 -88.9

Trade balance ......................... 35 21 -14 -39.9
Table 9-5--Continued

Minerals and metals sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

9-10

MM009 Cement, stone, and related products:

Exports .............................. 1,184 1,307 124 10.5

Imports .............................. 4,103 4,408 305 7.4

Trade balance ......................... -2,919 -3,101 -182 -6.2

MM009A Cement:

Exports .............................. 55 64 9 16.3

Imports .............................. 1,145 1,074 -71 -6.2

Trade balance ......................... -1,089 -1,010 80 7.3

MM010 Industrial ceramics:

Exports .............................. 663 748 85 12.8

Imports .............................. 648 827 179 27.6

Trade balance ......................... 14 -80 -94 (

4

)

MM011 Ceramic bricks and similar articles:

Exports .............................. 20 23 3 17.4

Imports .............................. 24 35 10 41.2

Trade balance ......................... -5 -11 -7 -142.2

MM012 Ceramic floor and wall tiles:

Exports .............................. 24 26 2 8.4

Imports .............................. 1,019 1,118 99 9.7

Trade balance ......................... -995 -1,092 -97 -9.7

MM013 Ceramic household articles:

Exports .............................. 109 115 6 5.4

Imports .............................. 1,671 1,797 126 7.5

Trade balance ......................... -1,563 -1,683 -120 -7.7

MM014 Flat glass:

Exports .............................. 1,506 1,825 319 21.2

Imports .............................. 1,268 1,510 242 19.1

Trade balance ......................... 238 315 77 32.4

MM015 Glass containers:

Exports .............................. 173 174 1 0.8

Imports .............................. 526 585 59 11.3

Trade balance ......................... -353 -411 -58 -16.4

MM016 Household glassware:

Exports .............................. 183 195 12 6.3

Imports .............................. 937 930 -7 -0.7

Trade balance ......................... -754 -735 18 2.5

MM017 Miscellaneous glass products:

Exports .............................. 674 844 170 25.2

Imports .............................. 805 818 13 1.7

Trade balance ......................... -131 25 157 (

4

)

MM018 Fiberglass insulation products:

Exports .............................. 71 59 -12 -16.8

Imports .............................. 139 137 -2 -1.4

Trade balance ......................... -69 -78 -10 -14.3

MM019 Natural and synthetic gemstones:

Exports .............................. 447 1,466 1,019 228.2

Imports .............................. 11,021 13,234 2,212 20.1

Trade balance ......................... -10,575 -11,768 -1,193 -11.3

MM020 Precious metals and non-numismatic coins:

Exports .............................. 6,510 7,685 1,176 18.1

Imports .............................. 7,708 10,082 2,374 30.8

Trade balance ......................... -1,198 -2,397 -1,198 -100.0
Table 9-5--Continued

Minerals and metals sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

9-11

MM020A Unrefined and refined gold:

Exports .............................. 4,795 5,099 304 6.3

Imports .............................. 2,519 2,262 -256 -10.2

Trade balance ......................... 2,276 2,836 560 24.6

MM021 Primary iron products:

Exports .............................. 14 13 -1 -6.2

Imports .............................. 643 759 116 18.0

Trade balance ......................... -629 -746 -117 -18.6

MM022 Ferroalloys:

Exports .............................. 80 96 16 19.4

Imports .............................. 960 1,104 144 15.0

Trade balance ......................... -880 -1,008 -128 -14.6

MM023 Iron and steel waste and scrap:

Exports .............................. 750 1,030 280 37.3

Imports .............................. 390 393 3 0.8

Trade balance ......................... 360 637 277 76.8

MM024 Abrasive and ferrous products:

Exports .............................. 518 565 48 9.2

Imports .............................. 765 854 89 11.7

Trade balance ......................... -247 -289 -42 -16.8

MM024A Abrasive products:

Exports .............................. 298 315 17 5.6

Imports .............................. 480 552 71 14.8

Trade balance ......................... -182 -237 -55 -30.0

MM025 Steel mill products:

Exports .............................. 4,291 4,911 621 14.5

Imports .............................. 12,749 15,026 2,277 17.9

Trade balance ......................... -8,458 -10,114 -1,656 -19.6

MM026 Steel pipe and tube fittings and certain cast

 products:

Exports .............................. 662 767 105 15.9

Imports .............................. 584 706 122 20.9

Trade balance ......................... 78 61 -17 -21.4

MM027 Fabricated structurals:

Exports .............................. 186 204 18 9.8

Imports .............................. 432 534 102 23.7

Trade balance ......................... -245 -329 -84 -34.2

MM028 Metal construction components:

Exports .............................. 579 533 -45 -7.8

Imports .............................. 693 922 228 33.0

Trade balance ......................... -115 -388 -274 -238.7

MM029 Metallic containers:

Exports .............................. 690 697 7 1.1

Imports .............................. 527 549 21 4.1

Trade balance ......................... 162 148 -14 -8.7

MM030 Wire products of base metal:

Exports .............................. 674 826 153 22.7

Imports .............................. 1,354 1,419 65 4.8

Trade balance ......................... -681 -593 88 12.9

MM031 Miscellaneous products of base metal:

Exports .............................. 5,369 5,814 445 8.3

Imports .............................. 6,639 7,324 685 10.3

Trade balance ......................... -1,270 -1,510 -240 -18.9
Table 9-5--Continued

Minerals and metals sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

9-12

MM032 Industrial fasteners of base metal:

Exports .............................. 1,535 1,663 128 8.3

Imports .............................. 2,019 2,325 306 15.2

Trade balance ......................... -484 -663 -179 -37.0

MM033 Cooking and kitchen ware:

Exports .............................. 214 271 57 26.7

Imports .............................. 1,585 1,798 213 13.5

Trade balance ......................... -1,371 -1,527 -156 -11.4

MM034 Metal and ceramic sanitary ware:

Exports .............................. 132 141 9 6.7

Imports .............................. 473 533 60 12.7

Trade balance ......................... -341 -393 -51 -15.0

MM035 Construction castings and other cast-iron articles:

Exports .............................. 27 32 5 17.8

Imports .............................. 120 123 4 3.0

Trade balance ......................... -92 -91 1 1.5

MM036 Copper and related articles:

Exports .............................. 1,668 3,109 1,441 86.4

Imports .............................. 3,726 4,881 1,155 31.0

Trade balance ......................... -2,058 -1,772 286 13.9

MM036A Unrefined and refined copper:

Exports .............................. 89 202 112 125.7

Imports .............................. 1,667 2,223 555 33.3

Trade balance ......................... -1,578 -2,021 -443 -28.1

MM036B Copper alloy plate, sheet, and strip:

Exports .............................. 156 208 52 33.4

Imports .............................. 116 182 66 57.2

Trade balance ......................... 40 26 -14 -35.9

MM037 Unwrought aluminum:

Exports .............................. 980 1,130 150 15.3

Imports .............................. 4,744 5,085 341 7.2

Trade balance ......................... -3,764 -3,955 -191 -5.1

MM037A Primary and secondary aluminum:

Exports .............................. 613 636 24 3.9

Imports .............................. 3,969 4,297 328 8.3

Trade balance ......................... -3,356 -3,660 -304 -9.1

MM038 Aluminum mill products:

Exports .............................. 2,943 3,130 187 6.3

Imports .............................. 2,283 2,674 391 17.1

Trade balance ......................... 660 456 -204 -30.9

MM038A Aluminum bars, rods, and profiles:

Exports .............................. 226 252 26 11.6

Imports .............................. 349 449 100 28.5

Trade balance ......................... -124 -197 -73 -59.4

MM038B Aluminum wire:

Exports .............................. 127 122 -5 -4.0

Imports .............................. 172 231 59 34.5

Trade balance ......................... -44 -109 -64 -145.0

MM038C Aluminum plate, sheet, and strip:

Exports .............................. 2,059 2,129 70 3.4

Imports .............................. 1,255 1,425 171 13.6

Trade balance ......................... 804 703 -101 -12.5
Table 9-5--Continued

Minerals and metals sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

9-13

MM038D Aluminum foil:

Exports .............................. 325 331 7 2.1

Imports .............................. 400 446 46 11.6

Trade balance ......................... -75 -114 -39 -52.6

MM038E Aluminum tubes, pipes, and fittings:

Exports .............................. 171 248 77 45.2

Imports .............................. 98 109 11 11.4

Trade balance ......................... 73 139 66 90.6

MM039 Lead and related articles:

Exports .............................. 154 170 16 10.1

Imports .............................. 201 215 14 7.0

Trade balance ......................... -46 -45 2 3.4

MM039A Refined lead:

Exports .............................. 11 16 5 48.7

Imports .............................. 113 117 5 4.1

Trade balance ......................... -102 -101 1 0.8

MM040 Zinc and related articles:

Exports .............................. 107 103 -4 -3.9

Imports .............................. 1,252 1,298 46 3.7

Trade balance ......................... -1,145 -1,195 -50 -4.4

MM040A Unwrought zinc:

Exports .............................. 2 3 1 52.3

Imports .............................. 1,066 1,104 38 3.6

Trade balance ......................... -1,063 -1,101 -37 -3.5

MM041 Certain base metals and chemical elements:

Exports .............................. 1,272 1,503 231 18.2

Imports .............................. 2,226 2,873 647 29.1

Trade balance ......................... -955 -1,371 -416 -43.6

MM041A Titanium ingot:

Exports .............................. 13 12 -1 -5.4

Imports .............................. 14 17 3 18.3

Trade balance ......................... -2 -5 -3 -214.9

MM042 Nonpowered handtools:

Exports .............................. 2,031 2,263 232 11.4

Imports .............................. 2,917 3,163 246 8.4

Trade balance ......................... -887 -901 -14 -1.6

MM043 Certain cutlery, sewing implements, and related

 products:

Exports .............................. 583 546 -37 -6.3

Imports .............................. 856 888 32 3.8

Trade balance ......................... -273 -342 -69 -25.4

MM044 Table flatware and related products:

Exports .............................. 26 25 -1 -4.2

Imports .............................. 425 507 82 19.2

Trade balance ......................... -399 -481 -83 -20.7
Table 9-5--Continued

Minerals and metals sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

9-14

MM045 Certain builders' hardware:

Exports .............................. 823 1,084 261 31.8

Imports .............................. 1,696 1,973 278 16.4

Trade balance ......................... -873 -889 -16 -1.9

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

2This coding system is used by the U.S. International Trade Commission to identify major groupings and

subgroupings of HTS import and export items for trade-monitoring purposes

3Less than $500,000.

4Not meaningful for purposes of comparison.

Note.—Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

1

 Imports of low-voltage transformers from Mexico were classified under HTS subheadings 8504.23.00 and

8504.31.40.

 

2

 Static converters are power supplies for a wide range of consumer electronic equipment.

 

3

 These products were imported under HTS subheading 8504.31.20.

10-1

,,,,,,,,,,,,,,,,

CHAPTER 10

Machinery

William Greene, Coordinator

(202) 205-3405

greene@usitc.gov

Change in 2000 from 1999:

U.S. trade deficit : Decreased by $2.1 billion (17 percent) to $10.2 billion

U.S. exports: Increased by $12.2 billion (18 percent) to $79.1 billion

U.S. imports: Increased by $10.2 billion (13 percent) to $89.3 billion

The trade deficit in the machinery sector was due largely to a robust U.S. economy that continued

to attract imports. North American trade partners remained the primary markets for U.S. exports and the

leading sources for imports of machinery. Additional statistical detail on major import suppliers and export

markets is provided in table 10-1. The industry/commodity groups with the largest import and export shifts

are shown in table 10-2. An analysis of these shifts for semiconductor manufacturing equipment is

presented later in the chapter.

Despite the decline in the trade deficit, U.S. imports of electrical transformers, static converters,

and inductors increased by 24 percent to $6.2 billion in 2000 compared with 1999. Import growth was

most pronounced with respect to articles from Mexico (up $263 million, or 17 percent, to $1.8 billion);

China (up $262 million, or 30 percent, to $1.1 billion); and Japan (up $159 million, or 37 percent, to $591

million). The largest rise in imports from Mexico centered on static converters and low-voltage

transformers1 (power supplies for personal computers and portable electronic equipment, including cell

phones2). Demand for these products in the United States has paralleled growth in the U.S. personal

computer and consumer electronics markets. Nonetheless, imports of large power transformers (over

10,000 kVA) also rose by $41 million, owing largely to expanded U.S. demand for power generation and

transmission equipment. Increased entries from China were concentrated in the low-voltage static

converters and inductors3 ($108 million) and transformers under 1 kVA ($90 million). As with the imports

from Mexico, this import growth reflected the substantial increase in U.S. demand for portable consumer

electronic equipment. Static converters also accounted for the bulk of the rise in imports from Japan ($96

million), Canada ($62 million), Taiwan ($42 million) and the Dominican Republic ($28 million). Notably,

U.S. imports of transformers (under 1 kVA) from these countries also increased by $27 million, likely

attributable to newly established assembly operations in the Dominican Republic
10-2

Table 10-1

Machinery: U.S. exports of domestic merchandise, imports for consumption, and merchandise trade

balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

Canada ..................................... 16,274 17,150 876 5.4

Mexico ...................................... 10,558 11,575 1,017 9.6

Japan ....................................... 3,591 5,169 1,578 43.9

Germany .................................... 2,675 3,459 784 29.3

China ....................................... 1,623 1,896 272 16.8

Taiwan ...................................... 3,503 6,005 2,502 71.4

United Kingdom ............................... 3,039 3,437 398 13.1

Korea ....................................... 2,225 3,675 1,450 65.2

Italy ........................................ 1,006 1,176 170 16.9

France ...................................... 1,893 2,542 649 34.3

All other ..................................... 20,499 23,057 2,558 12.5

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 66,886 79,140 12,254 18.3

EU-15 ...................................... 12,907 15,601 2,694 20.9

OPEC ...................................... 2,346 2,456 110 4.7

Latin America ................................. 16,016 17,087 1,071 6.7

CBERA ..................................... 1,730 1,638 -92 -5.3

Asia ........................................ 15,676 23,392 7,716 49.2

Sub-Saharan Africa ............................ 522 555 33 6.3

Central and Eastern Europe ...................... 363 374 10 2.8

U.S. imports for consumption:

Canada ..................................... 9,633 10,414 781 8.1

Mexico ...................................... 13,875 15,474 1,599 11.5

Japan ....................................... 13,219 16,523 3,304 25.0

Germany .................................... 9,670 9,849 179 1.8

China ....................................... 6,283 7,740 1,456 23.2

Taiwan ...................................... 3,028 3,332 305 10.1

United Kingdom ............................... 3,443 3,600 157 4.6

Korea ....................................... 1,967 2,294 327 16.6

Italy ........................................ 3,551 3,658 107 3.0

France ...................................... 2,100 2,096 -4 -0.2

All other ..................................... 12,374 14,313 1,940 15.7

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 79,143 89,293 10,150 12.8

EU-15 ...................................... 24,376 25,489 1,113 4.6

OPEC ...................................... 211 248 37 17.7

Latin America ................................. 14,805 16,622 1,816 12.3

CBERA ..................................... 190 279 89 46.7

Asia ........................................ 26,925 32,732 5,808 21.6

Sub-Saharan Africa ............................ 128 178 51 39.7

Central and Eastern Europe ...................... 543 713 171 31.4

U.S. merchandise trade balance:

Canada ..................................... 6,642 6,736 95 1.4

Mexico ...................................... -3,318 -3,899 -582 -17.5

Japan ....................................... -9,628 -11,354 -1,726 -17.9

Germany .................................... -6,995 -6,389 605 8.7

China ....................................... -4,660 -5,844 -1,184 -25.4

Taiwan ...................................... 476 2,673 2,197 461.6

United Kingdom ............................... -404 -163 241 59.6

Korea ....................................... 258 1,380 1,122 435.1

Italy ........................................ -2,545 -2,482 63 2.5

France ...................................... -207 446 653 (

2

)

All other ..................................... 8,125 8,743 618 7.6

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... -12,257 -10,153 2,103 17.2

EU-15 ...................................... -11,470 -9,889 1,581 13.8

OPEC ...................................... 2,135 2,208 73 3.4

Latin America ................................. 1,210 465 -745 -61.6

CBERA ..................................... 1,540 1,359 -181 -11.7

Asia ........................................ -11,249 -9,341 1,908 17.0

Sub-Saharan Africa ............................ 394 376 -18 -4.5

Central and Eastern Europe ...................... -180 -340 -160 -89.2

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

 

2Not meaningful for purposes of comparison.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

4

 Most goods assembled in the Dominican Republic entirely of U.S.-origin parts and materials are eligible for

duty-free entry into the United States under the Caribbean Basin Trade Partnership Act and the U.S. productionsharing tariff provisions.

 

5

 For additional explanation, see Ruben Mata, “Manufacturing Strategies of the North American Major

Household Appliance Industry,” Industry Trade and Technology Review, U.S. International Trade Commission,

publication 3390, Jan. 2001.

10-3

Table 10-2

Leading changes in U.S. exports and imports of machinery, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Semiconductor manufacturing equipment 

and robotics (MM087) ....................... 7,986 14,353 6,367 79.7

Miscellaneous machinery (MM098) .............. 6,843 7,976 1,133 16.6

Nonautomotive insulated electrical wire and related

products (MM097) ......................... 3,102 4,040 938 30.3

Metal cutting machine tools and machine tool

accessories (MM084) ....................... 1,773 2,264 491 27.7

Decreases:

Boilers, turbines, and related machinery (MM090) ... 1,290 1,117 -173 -13.4

Metal forming machine tools (MM085) ............ 947 890 -57 -6.0

Wiring harnesses for motor vehicles (MM068) ...... 993 938 -55 -5.5

Portable electric handtools (MM093) ............. 392 359 -34 -8.5

All other .................................... 43,560 47,203 3,643 8.4

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 66,886 79,140 12,254 18.3

U.S. IMPORTS:

Increases:

Semiconductor manufacturing equipment 

and robotics (MM087) ....................... 3,123 5,167 2,044 65.4

Electrical transformers, static converters, and

inductors (MM092) ......................... 4,950 6,156 1,206 24.4

Miscellaneous machinery (MM098) .............. 6,220 7,241 1,020 16.4

Household appliances, including commercial

applications (MM073) ....................... 7,302 8,273 971 13.3

Air-conditioning equipment and parts (MM071) ..... 5,604 6,332 728 13.0

Decreases:

Textile machinery (MM082) .................... 1,490 1,289 -201 -13.5

Printing and related machinery (MM081) .......... 2,304 2,157 -148 -6.4

Molds and molding machinery (MM099) ........... 3,723 3,613 -110 -2.9

Industrial food-processing and related 

machinery (MM079) ........................ 621 543 -77 -12.5

All other .................................... 43,806 48,522 4,716 10.8

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 79,143 89,293 10,150 12.8

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

by U.S. suppliers to take advantage of low-cost labor, well equipped industrial parks in free-trade zones,

and relatively low shipping costs and short delivery times to reach U.S. ports.4

The further integration of the North American household appliance industry in 2000 resulted in

Mexico’s emergence as a major supplier of low-cost, entry-level kitchen ranges, stoves, refrigerators, and

washing machines in the U.S. market.5 The trade deficit trend in household appliances (table 10-3), has
 

6

 Compressors account for approximately 65 percent of the value of a typical air-conditioning unit.

 

7

 Overall employment in the maquiladora industry grew by 10 percent between November 1999 and November

2000 to 1.3 million, according to INEGI, Mexico’s census bureau. These data do not include employment in

PITEX operations (Program for Temporary Importation of Manufactured Goods for Export). PITEX operations are

estimated to account for another 800,000 employees. Most companies that assemble motor vehicles, appliances,

computer equipment, and office machines are registered under PITEX. Principal products in the machinery sector

assembled under the Maquiladora program include wiring harnesses for motor vehicles; nonautomotive motors,

generators, and transformers; electric hand tools; and fuel pumps. Maquiladoras accounted for 51 percent of

Mexico’s exports to the United States in 1998, and PITEX operations, for 36 percent. 

 

8

 Some wire harnesses assembled in Mexico from U.S.-origin insulated wire are returned to the United States

for distribution to U.S. and foreign vehicle assembly plants, while the remainder are shipped to vehicle and other

final goods assembly plants in Mexico.

10-4

been largely attributable to the liberalization of investment regulations, the rationalization and consolidation

of production facilities in North America, and the elimination of cross-border duties on household

appliances and parts under the North American Free Trade Agreement.

A strong U.S. economy, lower interest rates, and new housing starts spurred consumption of

residential and commercial air-conditioning equipment and parts. Approximately 90 percent of all the

refrigeration compressors6 (rotary and scroll) used in these units were imported from Korea and Japan. In

recent years, major U.S. air-conditioning equipment and parts producers have located production facilities

for ceiling fans and room air-conditioning equipment in China and Mexico to benefit from lower wages and

duty-free entry of these products, respectively. Also, a record growth in demand for automobiles, trucks,

and recreational vehicles in 2000 led to an increase in consumption of refrigeration compressors (primarily

domestic production and Japanese imports) for automotive air-conditioning units.

The top three foreign markets for U.S. exports of nonautomotive insulated electrical wire and

related products were Mexico (up by $389 million, or 23 percent, to $1.8 billion); the Netherlands (up by

$177 million, or 370 percent, to $225 million); and Canada (up by $99 million, or 18 percent, to $643

million). The rise in exports to Mexico was concentrated in lower voltage communication and electrical

wire and cord sets used in the assembly of products such as ignition wiring harnesses, household

appliances, and consumer electronic goods. The expanding maquiladora industry7 continues to rely heavily

on imports of U.S. components and the products assembled in Mexico often are exported to the United

States.8 U.S. shipments to the Netherlands of insulated coaxial wire and cable (a subset of non-automotive

insulated electrical wire) increased nearly 16-fold to $180.7 million in 2000 and likely reflected a strategic

decision by a U.S.-based company to source more of its telecommunications cable in the United States, and

to use Rotterdam as a distribution center for its European operations. Expanded U.S. shipments to Canada

were largely confined to low-voltage wire and cable and copper magnet wire used in assembly operations

by Canadian subsidiaries of U.S. manufacturers to make automotive equipment, electric motors and related

equipment, and various consumer electrical and electronic apparatus typically destined to the U.S. market.

Trade statistics for all commodity/industry groups in the machinery sector are presented in table 10-3 at the

end of this chapter.
 

9

 U.S. State Department telegram No. 3623, “Taiwan: Third Quarter Trade Performance,” prepared by AIT,

Taipei, Nov. 16, 2000.

10-5

U.S. BILATERAL TRADE

Largest trade balance shifts in 2000 from 1999:

Japan: U.S. deficit increased by $1.7 billion (18 percent) to $11.4 billion

China: U.S. deficit increased by $1.2 billion (25 percent) to $5.8 billion

Taiwan: U.S. surplus increased by $2.2 billion (462 percent) to $2.7 billion

Although Canada and Mexico were the leading U.S. trading partners for the machinery sector,

accounting for 32 percent of total U.S. trade in these products in 2000 (table 10-3), the strong U.S.

economy also continued to attract imports from Japan, Taiwan, and China. A growing demand for

imported machinery in the United States, combined with Japan’s stagnant economy, increased the U.S.

trade deficit with Japan in the machinery sector in 2000. The growth in U.S. machinery imports from Japan

consisted principally of semiconductor manufacturing equipment and robotics, metal cutting machine tools

and machine tool accessories, miscellaneous machinery, and electric motors, generators, and related

equipment. These machinery categories accounted for 47 percent of U.S. imports from Japan in 2000. 

The growth in U.S. imports of machinery from China in 2000 consisted principally of household

appliances (including commercial appliances), electrical transformers, static converters and inductors; airconditioning equipment and parts; and nonautomotive insulated electrical wire and related products. In

2000, these products accounted for 66 percent of U.S. imports of machinery products from China. The

trade deficit with China was fueled by a growing U.S. economy that sustained a demand for Chinese

exports.

In 2000, the growth in U.S. machinery imports from Taiwan consisted principally of non-powered

hand tools; nonmetalworking machine tools; taps, cocks, valves; and air-conditioning equipment, which

accounted for 51 percent of U.S. machinery imports from Taiwan in that year. Whereas U.S. imports of

these products increased by 10 percent during 1999-2000, U.S. exports of these products to Taiwan

increased by 71 percent. The resulting U.S. trade surplus for these products to Taiwan was driven by the

expansion of Taiwan’s manufacturing capacity to ease heavy delivery pressures and by strong Taiwan

demand for investment in capital equipment and production inputs needed for export production.9 Demand

for U.S. exports also increased because Taiwan serves as a valuable OEM production base for the United

States and because of the high degree of production and manufacturing integration between the two

countries. 
 

10 “Semiconductor Sales Reach $222 Billion,” Printed Circuit Design, Vol. 18, No. 2, Feb. 2001, p. 6. See ch. 3

for more information on long-term trends in semiconductor trade over a 10-year period (1990 through 2000).

 

11 “No Stopping Semiconductors in 2000: Strong Chip Sales Will Keep Driving IC, Equipment Markets,”

Semiconductor Magazine, July 2000, p. 182.

 

12 Jill Jusko, “Semiconductor Sales Double in 2000,” Industry Week Headlines, email message received Mar. 7,

2001.

 

13 A foundry is a semiconductor fabricator that receives a design from a semiconductor company and then

manufactures the chips, (i.e., it is a manufacturing contractor that is not involved in the design of new chips). 

 

14 Dan Nystedt, “Chinese Growth Seen as No Threat to Taiwan Chips,” dated Jan. 8, 2001, found at

http://www.ft.com, retrieved Mar. 16, 2001.

 

15 Semiconductor manufacturing facilities are often referred to as “fabs.” The term fabrication is also used to

mean manufacturing of semiconductors.

 

16 Thomas Zizzo, “Equipment Makers Make It Big,” Electronic Business, Vol. 26, No. 10, Oct. 2000, p. 50 and

Bill Arnold, “300 mm Fabs Now in Season: Those Who Can Afford to Spend Hope They Can Afford to Save,”

Semiconductor Magazine, June 2000, pp. 32-33, 128-131.

10-6

COMMODITY ANALYSIS OF SEMICONDUCTOR 

MANUFACTURING MACHINERY

Change in 2000 from 1999:

U.S. trade surplus: Increased by $4.0 billion (81 percent) to $8.9 billion

U.S. exports: Increased by $6.0 billion (76 percent) to $13.8 billion

U.S. imports: Increased by $2.0 billion (68 percent) to $4.9 billion

Overall trade in semiconductor equipment expanded largely because of increased sales in 2000;

worldwide semiconductor sales increased by 31 percent to reach $222 billion.10 This growth in

semiconductors was fueled by relative worldwide economic stability and the expansion of various Asian

economies.11 The semiconductor industry’s subsequent need for additional production capacity to meet

demand led to increased purchases of capital equipment. According to SEMI (Semiconductor Equipment

and Materials International), worldwide sales of equipment nearly doubled, reaching $48.4 billion in

2000,12 enabling the U.S. semiconductor equipment industry to almost double its trade surplus with the rest

of the world; the largest gains were made with the Asian countries of Taiwan, Korea, and Singapore, which

had a combined surplus of $6.5 billion. 

U.S. exports

The major markets for U.S. exports of semiconductor-manufacturing equipment in 2000 were

Taiwan, Japan, Korea, and Singapore, which together accounted for 64 percent of total U.S. exports of

these products. Taiwan accounted for $3.8 billion alone (43 percent of the U.S. exports among the four

countries). Much of this growth in Taiwan was due to the expansion of the foundry13 industry, which is

primarily in Asia. Taiwan accounted for over 25 percent of all semiconductor equipment and materials

sales in Asia.14 

In 2000, new manufacturing facilities (fabs)15 were under construction in Taiwan, Japan, and

France as well as in the planning stage in Germany, Taiwan, and Japan.16 The semiconductor industry is in

the process of preparing for the next major upgrade, which will require the purchase of new manufacturing
 

17 There are three major changes that are taking place in the semiconductor manufacturing industry: (1)

movement to 300 mm wafers, (2) the use of 0.13-micron lithography and low-capacitance dielectric insulators, and

(3) the use of copper for interconnectors. All of these changes will improve performance and will most likely occur

at the same time. Some of the bigger companies, such as IBM and Intel, have already made some of the transition. 

Doug Bartholomew, “Chip Challenges,” Industry Week, Vol. 249, Issue 15, Sep. 18, 2000, pp. 33-36; Bill Arnold,

“Future Of Copper Shines Through Fog Of Transition: The Transition to Copper May Be Happening Faster Than

Some Had Predicted, But There is No Doubt That It Is Happening Now,” Semiconductor Magazine, Jun. 2000, pp.

34-36, 138-140; and Tom Foremski, “Survey - FT-IT: Deliveries of Faster Chips Could Be Delayed,” The

Financial Times, Dec. 6, 2000, found at http://www.ft.com, retrieved Mar. 16, 2001.

 

18 Front-end semiconductor manufacturing equipment is the machinery used to process the chips. The back-end

equipment is used to package and test the semiconductors. These two distinct processes are most often performed

in different locations and by different companies. The front-end equipment is much higher in value and adds more

value to the final product.

 

19 This equipment consists mainly of photolithography equipment. For certain types of this equipment, Japanese

companies are the world leaders in production and there are no competitive U.S. producers.

10-7

equipment.17 The largest growth in U.S. exports was in the front-end equipment area with the majority of

the largest producers of this type of equipment in the United States.18

U.S. imports

The most significant exporter of semiconductor-manufacturing equipment to the U.S. market in

2000 was Japan, which accounted for 59 percent of total U.S. imports of such equipment.19 Although

many foundries are operating in Asia, there are also a significant number of semiconductor manufacturing

plants in the United States (e.g., Intel operates fabs in the United States) similarly affected by the

worldwide industry expansion and movement to upgrade capital equipment to improve semiconductor

processing. Along with the United States, Japan is a leading producer of semiconductor manufacturing

equipment, and most of the value of U.S. imports from Japan was in front-end equipment. 

Melani Schultz

 Heather Sykes

(202) 205-3436

hsykes@usitc.gov
Table 10-3

Machinery sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

10-8

MM068 Wiring harnesses for motor vehicles:

Exports .............................. 993 938 -55 -5.5

Imports .............................. 4,868 5,132 264 5.4

Trade balance ......................... -3,875 -4,194 -319 -8.2

MM069 Pumps for motor vehicles:

Exports .............................. 546 680 134 24.6

Imports .............................. 776 863 87 11.2

Trade balance ......................... -230 -183 48 20.7

MM070 Pumps for liquids:

Exports .............................. 2,325 2,461 136 5.8

Imports .............................. 1,643 1,809 166 10.1

Trade balance ......................... 683 652 -30 -4.4

MM071 Air-conditioning equipment and parts:

Exports .............................. 5,641 5,884 243 4.3

Imports .............................. 5,604 6,332 728 13.0

Trade balance ......................... 37 -449 -486 (

3

)

MM072 Industrial thermal-processing equipment and

 furnaces:

Exports .............................. 2,292 2,631 339 14.8

Imports .............................. 1,483 1,663 180 12.2

Trade balance ......................... 809 968 159 19.6

MM073 Household appliances, including commercial

 applications:

Exports .............................. 5,524 5,832 308 5.6

Imports .............................. 7,302 8,273 971 13.3

Trade balance ......................... -1,778 -2,441 -663 -37.3

MM073A Major household appliances and parts:

Exports .............................. 1,652 1,717 65 3.9

Imports .............................. 1,477 1,642 166 11.2

Trade balance ......................... 176 75 -101 -57.3

MM074 Centrifuges and filtering and purifying equipment:

Exports .............................. 2,564 3,031 467 18.2

Imports .............................. 1,783 2,010 227 12.7

Trade balance ......................... 781 1,021 240 30.7

MM075 Wrapping, packaging, and can-sealing

 machinery:

Exports .............................. 766 804 38 5.0

Imports .............................. 1,117 1,246 129 11.5

Trade balance ......................... -351 -442 -91 -25.8

MM076 Scales and weighing machinery:

Exports .............................. 145 163 18 12.7

Imports .............................. 265 294 28 10.7

Trade balance ......................... -121 -131 -10 -8.3

MM077 Mineral processing machinery:

Exports .............................. 590 582 -8 -1.4

Imports .............................. 667 723 56 8.4

Trade balance ......................... -78 -142 -64 -82.9

MM078 Farm and garden machinery and equipment:

Exports .............................. 4,536 4,697 161 3.6

Imports .............................. 3,294 3,627 333 10.1

Trade balance ......................... 1,242 1,070 -171 -13.8
Table 10-3--Continued

Machinery sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

10-9

MM079 Industrial food-processing and related machinery:

Exports .............................. 611 627 15 2.5

Imports .............................. 621 543 -77 -12.5

Trade balance ......................... -9 83 93 (

3

)

MM080 Pulp, paper, and paperboard machinery:

Exports .............................. 738 775 36 4.9

Imports .............................. 1,003 1,127 124 12.4

Trade balance ......................... -264 -352 -88 -33.2

MM081 Printing and related machinery:

Exports .............................. 1,347 1,583 236 17.5

Imports .............................. 2,304 2,157 -148 -6.4

Trade balance ......................... -958 -574 384 40.1

MM082 Textile machinery:

Exports .............................. 682 727 45 6.6

Imports .............................. 1,490 1,289 -201 -13.5

Trade balance ......................... -808 -562 246 30.4

MM083 Metal rolling mills:

Exports .............................. 153 164 10 6.7

Imports .............................. 321 261 -60 -18.6

Trade balance ......................... -168 -97 70 41.9

MM084 Metal cutting machine tools and machine tool

 accessories:

Exports .............................. 1,773 2,264 491 27.7

Imports .............................. 3,921 4,240 319 8.1

Trade balance ......................... -2,148 -1,977 172 8.0

MM085 Metal forming machine tools:

Exports .............................. 947 890 -57 -6.0

Imports .............................. 1,312 1,474 162 12.4

Trade balance ......................... -365 -584 -219 -60.1

MM086 Non-metalworking machine tools:

Exports .............................. 792 1,112 320 40.4

Imports .............................. 1,318 1,524 206 15.6

Trade balance ......................... -526 -412 114 21.7

MM087 Semiconductor manufacturing equipment and

 robotics:

Exports .............................. 7,986 14,353 6,367 79.7

Imports .............................. 3,123 5,167 2,044 65.4

Trade balance ......................... 4,862 9,186 4,324 88.9

MM087A Semiconductor manufacturing machinery:

Exports .............................. 7,850 13,825 5,975 76.1

Imports .............................. 2,919 4,892 1,973 67.6

Trade balance ......................... 4,931 8,933 4,001 81.1

MM088 Taps, cocks, valves, and similar devices:

Exports .............................. 2,959 3,284 325 11.0

Imports .............................. 4,335 5,021 686 15.8

Trade balance ......................... -1,376 -1,737 -362 -26.3

MM089 Mechanical power transmission equipment:

Exports .............................. 942 1,029 86 9.2

Imports .............................. 2,008 2,134 125 6.2

Trade balance ......................... -1,066 -1,105 -39 -3.7
Table 10-3--Continued

Machinery sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

10-10

MM090 Boilers, turbines, and related machinery:

Exports .............................. 1,290 1,117 -173 -13.4

Imports .............................. 484 833 349 72.0

Trade balance ......................... 806 284 -522 -64.8

MM091 Electric motors, generators, and related

 equipment:

Exports .............................. 3,728 3,748 20 0.5

Imports .............................. 6,089 6,494 404 6.6

Trade balance ......................... -2,362 -2,746 -384 -16.3

MM092 Electrical transformers, static converters, and

 inductors:

Exports .............................. 2,379 2,752 373 15.7

Imports .............................. 4,950 6,156 1,206 24.4

Trade balance ......................... -2,571 -3,404 -833 -32.4

MM093 Portable electric handtools:

Exports .............................. 392 359 -34 -8.5

Imports .............................. 992 1,166 174 17.5

Trade balance ......................... -600 -808 -207 -34.6

MM094 Nonelectrically powered handtools and parts

 thereof:

Exports .............................. 537 563 25 4.7

Imports .............................. 890 933 43 4.8

Trade balance ......................... -353 -370 -17 -5.0

MM095 Electric lamps (bulbs) and portable electric lights:

Exports .............................. 894 897 3 0.4

Imports .............................. 1,454 1,579 125 8.6

Trade balance ......................... -561 -682 -121 -21.6

MM096 Welding and soldering equipment:

Exports .............................. 989 1,050 60 6.1

Imports .............................. 702 803 100 14.3

Trade balance ......................... 287 247 -40 -14.0

MM097 Nonautomotive insulated electrical wire and

 related products:

Exports .............................. 3,102 4,040 938 30.3

Imports .............................. 3,078 3,566 488 15.8

Trade balance ......................... 24 474 451 1,891.4

MM098 Miscellaneous machinery:

Exports .............................. 6,843 7,976 1,133 16.6

Imports .............................. 6,220 7,241 1,020 16.4

Trade balance ......................... 623 736 113 18.1

MM099 Molds and molding machinery:

Exports .............................. 1,879 2,129 250 13.3

Imports .............................. 3,723 3,613 -110 -2.9

Trade balance ......................... -1,844 -1,484 359 19.5

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

2This coding system is used by the U.S. International Trade Commission to identify major groupings and

subgroupings of HTS import and export items for trade-monitoring purposes

3Not meaningful for purposes of comparison.

Note.—Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
11-1

,,,,,,,,,,,,,,,,

CHAPTER 11

Transportation Equipment

James M. Brandon, Coordinator

(202) 205-3433

brandon@usitc.gov

Change in 2000 from 1999:

 U.S. trade deficit: Increased by $22.0 billion (38 percent) to $79.7 billion

U.S. exports: Decreased by $2.3 billion (2 percent) to $143.6 billion

U.S. imports: Increased by $19.7 billion (10 percent) to $223.4 billion

The expanding trade deficit in the transportation equipment sector during 2000 continued to 

 reflect negative movements in trade balances of motor vehicles and aircraft, spacecraft, and related

equipment, the sector’s two largest product categories (see the analyses for these product sectors later in

this chapter for more information). U.S. trade and the merchandise trade balance of transportation

equipment are presented in table 11-1. 

Increasing imports had the most significant impact on the expanding sector deficit during 2000. 

Imports of motor vehicles maintained upward momentum from implementation of the fully integrated

automotive operations in North America, the effects of NAFTA, and the growing preference for foreign

automotive vehicles among U.S. consumers. The popularity of foreign vehicles in the U.S. market was

reflected in sales of lightweight cars and trucks, which reached an all time high during 2000. In addition,

the historical growth in imports of motor vehicles enhanced demand for imports of certain motor-vehicle

parts used in both new and used vehicles (see the analysis for Certain Motor-Vehicle Parts for more

information). The leading changes in U.S. exports and imports are shown in table 11-2. 

The decline in sector exports of aircraft, spacecraft, and related equipment during 2000 was

primarily a reflection of U.S. manufacturers’ deliveries going mostly to domestic customers. U.S. exports

were also dampened by a slowdown of orders for aircraft and aircraft engines in Asia and other

international markets. The largest increase in sector exports was attributed to certain motor-vehicle parts,

which were shipped to Mexico to meet the demand of U.S. affiliated automotive operations in that country. 

Trade statistics for all commodity/industry groups in the transportation equipment sector are presented in

table 11-3.
11-2

Table 11-1

Transportation equipment: U.S. exports of domestic merchandise, imports for consumption, and

merchandise trade balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

Canada ..................................... 48,147 48,405 258 0.5

Japan ....................................... 8,469 7,830 -639 -7.5

Mexico ...................................... 11,574 15,311 3,737 32.3

Germany .................................... 6,553 6,956 403 6.2

United Kingdom ............................... 10,313 8,965 -1,348 -13.1

France ...................................... 5,740 5,201 -538 -9.4

Korea ....................................... 2,666 2,971 306 11.5

Brazil ....................................... 2,510 2,648 138 5.5

Sweden ..................................... 1,639 1,661 21 1.3

China ....................................... 2,889 2,369 -520 -18.0

All other ..................................... 45,438 41,323 -4,114 -9.1

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 145,937 143,641 -2,296 -1.6

EU-15 ...................................... 36,909 34,253 -2,656 -7.2

OPEC ...................................... 7,516 5,756 -1,760 -23.4

Latin America ................................. 20,012 23,525 3,513 17.6

CBERA ..................................... 1,715 1,921 206 12.0

Asia ........................................ 22,956 20,739 -2,217 -9.7

Sub-Saharan Africa ............................ 1,700 1,801 101 5.9

Central and Eastern Europe ...................... 434 455 20 4.7

U.S. imports for consumption:

Canada ..................................... 68,522 69,302 780 1.1

Japan ....................................... 49,436 54,240 4,804 9.7

Mexico ...................................... 24,822 31,386 6,563 26.4

Germany .................................... 21,234 22,982 1,748 8.2

United Kingdom ............................... 9,687 9,414 -273 -2.8

France ...................................... 7,801 9,696 1,896 24.3

Korea ....................................... 4,094 6,159 2,065 50.4

Brazil ....................................... 2,477 2,729 252 10.2

Sweden ..................................... 2,928 2,969 40 1.4

China ....................................... 1,222 1,993 771 63.1

All other ..................................... 11,437 12,487 1,049 9.2

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 203,661 223,355 19,694 9.7

EU-15 ...................................... 47,913 51,558 3,644 7.6

OPEC ...................................... 351 356 5 1.5

Latin America ................................. 27,629 34,479 6,851 24.8

CBERA ..................................... 50 58 8 15.7

Asia ........................................ 57,115 64,976 7,860 13.8

Sub-Saharan Africa ............................ 201 185 -16 -7.7

Central and Eastern Europe ...................... 397 609 212 53.5

U.S. merchandise trade balance:

Canada ..................................... -20,375 -20,896 -522 -2.6

Japan ....................................... -40,967 -46,410 -5,443 -13.3

Mexico ...................................... -13,248 -16,075 -2,826 -21.3

Germany .................................... -14,682 -16,026 -1,344 -9.2

United Kingdom ............................... 626 -449 -1,075 (

2

)

France ...................................... -2,061 -4,495 -2,434 -118.1

Korea ....................................... -1,429 -3,188 -1,759 -123.1

Brazil ....................................... 33 -80 -114 (

2

)

Sweden ..................................... -1,289 -1,308 -19 -1.5

China ....................................... 1,667 376 -1,291 -77.5

All other ..................................... 34,000 28,837 -5,164 -15.2

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... -57,724 -79,714 -21,990 -38.1

EU-15 ...................................... -11,004 -17,305 -6,301 -57.3

OPEC ...................................... 7,165 5,400 -1,765 -24.6

Latin America ................................. -7,617 -10,955 -3,338 -43.8

CBERA ..................................... 1,665 1,863 198 11.9

Asia ........................................ -34,159 -44,236 -10,077 -29.5

Sub-Saharan Africa ............................ 1,500 1,616 117 7.8

Central and Eastern Europe ...................... 37 -155 -192 (

2

)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

 

2Not meaningful for purposes of comparison.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
11-3

Table 11-2

Leading changes in U.S. exports and imports of transportation equipment, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Certain motor-vehicle parts (ET010) .............. 27,281 29,199 1,918 7.0

Internal combustion piston engines, other than for

aircraft (ET002) ........................... 12,522 13,808 1,286 10.3

Decreases:

Aircraft, spacecraft, and related equipment (ET013) . . 47,762 39,696 -8,066 -16.9

Ships, tugs, pleasure boats, and similar 

vessels (ET014) ........................... 1,682 1,083 -599 -35.6

All other .................................... 56,689 59,855 3,165 5.6

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 145,937 143,641 -2,296 -1.6

U.S. IMPORTS:

Increases:

Motor vehicles (ET009) ....................... 119,663 129,553 9,890 8.3

Aircraft, spacecraft, and related equipment (ET013) . . 14,592 18,019 3,428 23.5

Decreases:

Rail locomotive and rolling stock (ET008) ......... 2,307 1,828 -479 -20.8

Construction and mining equipment (ET004) ....... 5,919 5,643 -275 -4.7

All other .................................... 61,180 68,311 7,131 11.7

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 203,661 223,355 19,694 9.7

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

U.S. BILATERAL TRADE

Largest trade balance shifts in 2000 from 1999:

Japan: U.S. deficit increased by $5.4 billion (13 percent) to $46.4 billion

Mexico: U.S. deficit increased by $2.8 billion (21 percent) to $16.1 billion

France: U.S. deficit increased by $2.4 billion (118 percent) to $4.5 billion

The deficit increases recorded with the principal trading partners resulted primarily from a rise in

U.S. imports of motor vehicles and certain motor-vehicle parts, which surged to meet strong demand for

automobiles and trucks during 2000. Aggregated U.S. imports of those products from Canada, Japan, and

Mexico (which represented 54 percent of sector imports) reached an all-time high during the period,

increasing by 8 percent to $120.5 billion. U.S. modernization programs for large civil aircraft and growing

demand for jet-aircraft services precipitated a significant rise in U.S. imports of aircraft, spacecraft, and

related equipment. Canada and France continued as the major foreign suppliers of those products, with each

country accounting for slightly more than one-fourth of imports. 

 U.S. trading partners’ deficit increases also resulted from declining U.S. exports of aircraft,

spacecraft, and related equipment, which fell in reaction to dampened demand in Asia and other international

markets. Canada continued as the largest export market for transportation equipment, accounting for 34

percent of all exports in 2000 (table 11-1). Mexico, the second-largest market, received 11 percent of sector

exports. The United Kingdom, Japan, Germany, and Canada were the principal markets for aircraft,
 

1

 U.S. Civil Jet Transport Aircraft Shipments, Calendar Years 1990-2000, Aerospace Industries Association of

America, Inc., Statistics 01-11, Series 21-01, received Mar. 2001.

11-4

spacecraft, and related products. In the aggregate, those countries accounted for 32 percent of all exports of

those products.

COMMODITY ANALYSIS

Aircraft, Spacecraft, and Related Equipment

Change in 2000 from 1999:

U.S. trade surplus: Decreased by $11.5 billion (35 percent) to $21.7 billion

U.S. exports: Decreased by $8.1 billion (17 percent) to $39.7 billion

U.S. imports: Increased by $3.4 billion (24 percent) to $18.0 billion

The U.S. trade surplus for aircraft, spacecraft, and related equipment decreased for the second time

in the preceding four years. Foreign large civil aircraft (LCA), principally manufactured by Airbus, are

making significant inroads at both domestic and non-U.S. airlines, diminishing U.S. LCA producers’ global

market share. At the same time, smaller turbofan (i.e., jet) aircraft have been imported to meet the demand

of regional airlines. The global need to replace aging LCA, the world airlines’ need to bolster a second

(non-U.S.) producer, and a strong demand for additional passenger service in the United States and Western

Europe have continued to fuel high numbers of LCA shipments around the world.

U.S. exports

U.S. exports of new nonmilitary passenger transports over 15,000 kg (e.g., Boeing civil aircraft),

which declined by $7.2 billion (19 percent) to $30.9 billion, accounted for the largest dollar decrease in

2000. The Asian financial difficulties contributed to the overall decline in U.S. LCA exports. Total

shipments of Boeing’s largest aircraft (their 747s, 767s, and 777s) declined from 174 to 121 aircraft (30

percent), of which exports declined from 106 to 64 aircraft (40 percent) in 2000. These aircraft are

primarily used to fly to and from Asia, as they typically have both the range and/or seating capacity

necessary for this market. Exports to Asian airlines declined by 34 units (37 percent) in 2000, from 91 to 57

units. In addition, 57 percent of Boeing’s LCA deliveries went to U.S. airlines in 2000, the highest

percentage of such shipments during the decade.1

U.S. exports of airplanes over 2,000 kg but less than 15,000 kg decreased by $1.3 billion (31

percent) to $2.9 billion, the largest percentage decrease in this product grouping. Nearly all of this decline

was accounted for by significant drops in military aircraft exports.

U.S. imports

A $2.1-billion (71 percent) increase in U.S. imports of new nonmilitary passenger transport aircraft

(e.g., Airbus aircraft) exceeding 15,000 kg, to $5.1 billion, accounted for two-thirds of the increase in U.S.

imports of aircraft, spacecraft, and related items in 2000. The growth in these imports was a direct result of

the need to modernize the aging U.S. fleet of LCA, airlines’ desire to bolster Airbus as a viable alternate

competitor to Boeing, and the strong and growing demand for regional jet aircraft service.
 

2

 Routes that have a small but consistent customer base separated by a great distance. Such a market will not

support the use of large, long-range aircraft, but can be profitable with smaller, long-range aircraft. As these

markets are not the predominant ones served by airlines, airframe manufacturers have not given them equal

attention with the more established airline markets.

 

3

 The largest increase in U.S. exports of motor vehicles was to Mexico, where car and truck sales reached record

highs in 2000. U.S. exports to Mexico rose by 41 percent to $3.2 billion. Exports to Canada, the leading export

market, increased by a modest 0.4 percent to $14.5 billion, while exports to the third-leading export market, Japan,

decreased by 4 percent to $772 million.

 

4

 “U.S. Light-Vehicle Sales Hit New High Despite December, 4Q Downturns,” Ward’s Automotive Reports,

Jan. 8, 2001, p. 1.

 

5

 Oles Gadacz, “Korea’s Juggernaut vs. Hard Market Reality,” Automotive News, Jan. 29, 2001, p. 44.

 

6

 Katherine Zachary, “Japan Bloodied But Up Off the Mat,” Ward’s Auto World, Nov. 2000, p. 48.

 

7

 For added information, see Deborah McNay and Laura Polly, “Mexico’s Emergence as a Global Automotive

(continued...)

11-5

The regional jet phenomena continued to gain momentum in 2000. Originally conceived as a

marketing tool to calm passenger concerns regarding turboprop aircraft, regional jets are increasingly being

used for new service on “long-thin” routes,2 or to increase carriers’ departure frequency between two

airports, thus increasing service. The United States does not produce regional jet aircraft; hence, all such

aircraft were of foreign manufacture, typically from either Canada or Brazil.

Peder Andersen

205-3388

andersen@usitc.gov

Motor Vehicles

Change in 2000 from 1999:

U.S. trade deficit: Increased by $9.1 billion (9 percent) to $106.7 billion

U.S. exports: Increased by $777 million (4 percent) to $22.8 billion

U.S. imports: Increased by $9.9 billion (8 percent) to $129.6 billion

The increase in the motor vehicle trade deficit is largely attributable to the rise in imports, which

was only slightly offset by a more modest increase in exports.3 The growth in imports reflects the strong

demand for passenger vehicles in the United States; passenger vehicle sales reached an all-time high of

17.4 million units in 2000.4 Most notable increases in the motor vehicles trade deficit in 2000 were with

Japan, Mexico, and Korea. The deficit with Japan grew by 8 percent to $3.7 billion; the deficit with Mexico

increased by 32 percent to $17.8 billion; and the deficit with Korea rose by 66 percent to $4.8 billion.

Improved sales of Korean-made vehicles in 2000 were due to the combination of their low price and a strong

U.S. economy, which has allowed more lower income buyers to purchase vehicles.5

U.S. imports

In 2000, U.S. imports of motor vehicles continued their years-long trend of registering an increase. 

The second- and third-leading sources of U.S. sector imports - Japan and Mexico - accounted for most of

this rise. Combined imports from these sources accounted for 77 percent of the total increase in motor

vehicle imports in 2000. U.S. imports from Japan increased by 7 percent to $34.5 billion. As was the case

in 1999, the weak domestic market in Japan combined with a robust U.S. market and sustained popularity of

certain Japanese models in the U.S. market contributed to the surge in Japanese exports to the United

States.6 U.S. imports from Mexico grew by 33 percent to $21.0 billion. This rise is attributable to the

increasing integration, interdependence, and rationalization of the U.S. and Mexican automotive industries;7
 

7

 (...continued)

Production Center Drives Trade and Investment,” Industry Trade and Technology Review, USITC publication

3363, Oct. 2000, p. 19, posted on USITC Internet server at www.usitc.gov(“Publications”).

 

8

 Lindsay Chappell, “Mexico Splinters Mark for New-Car, Truck Sales,” Automotive News, Jan. 29, 2000, p.

42.

 

9

 Products contained in this group include body stampings, bumpers, brakes and parts, gear boxes, axles,

wheels, shock absorbers, radiators, exhaust systems, clutches, steering wheels, and miscellaneous parts and

accessories.

11-6

expanded production of cars and trucks in Mexico, which was up by 26 percent in 2000 to 1.9 million

units;8 and continued strong motor vehicle demand in the United States. Canada, the leading import source,

registered a decrease of 2 percent to $45.7 billion, and the fourth-leading source, Germany, registered a rise

of 2 percent to $15.4 billion.

Laura Polly

(202) 205-3408

polly@usitc.gov

Certain Motor-Vehicle Parts9

Change in 2000 from 1999:

U.S. trade surplus: Decreased by $492 million (11 percent) to $4.1 billion

U.S. exports: Increased by $1.9 billion (7 percent) to $29.2 billion

U.S. imports: Increased by $2.4 billion (11 percent) to $25.1 billion

The U.S. trade surplus in certain motor-vehicle parts continued its decline as U.S. imports from

leading trade partners--Canada, Mexico, and Japan--outpaced U.S. exports to these markets. As part of the

larger automotive industry, trade shifts in the motor-vehicle parts sector generally reflect global

production/sourcing strategies, increased outsourcing, intracompany shipments, and increased globalization

of U.S. and foreign automotive firms. The implementation of NAFTA accelerated the integration of the

North American automotive industry and facilitated automotive parts trade between NAFTA partner

countries. Producers in Canada and Mexico manufacture a wide variety of automotive components that not

only incorporate significant U.S. content, but are often used in the assembly of U.S.-made vehicles,

contributing to large bilateral trade flows with the United States. Japan remains a leading trade partner in

automotive components in part because of the numerous Japanese transplants in the United States that

incorporate Japanese auto parts in their motor vehicles.

U.S. exports

NAFTA partners Canada and Mexico accounted for 77 percent of total U.S. exports of motorvehicle parts, reflecting their critical role in the increasingly integrated North American automotive industry. 

Despite a 2-percent decline in auto parts exports, Canada remained the leading U.S. export market,

accounting for 54 percent of such exports in 2000. Principal exports included miscellaneous parts and

accessories of motor vehicles ($4.2 billion), miscellaneous parts and accessories of motor vehicle bodies

($3.9 billion), and gear boxes and parts thereof for passenger cars ($1.7 billion). Exports to Mexico, which

rose by 31 percent to $6.7 billion and accounted for 23 percent of total U.S. exports, were led by

miscellaneous parts and accessories of motor vehicle bodies ($2.5 billion), miscellaneous motor vehicle parts

and accessories ($1.4 billion), and drive axles with differentials for motor vehicles ($530 million).
 

10 The agreement expired at the end of 2000. Despite numerous discussions between the U.S. and Japanese

Governments, the agreement has not been renewed.

 

11 Carlos Gomes, “Canadian Auto Parts Industry--Preparing for the Downturn,” Canadian Auto Report, Scotia

Economics, Feb. 2, 2001.

 

12 Investment in the Mexican auto parts industry averaged $1.2 billion during the last 3 years, and an additional

$1.4 billion is expected to be invested during 2000-2003. Industry Sector Analysis – Auto Parts Industry, Aug.

2000, U.S. Department of State.

 

13 Joel Millman, “Mexico Becomes a Leader in Car Parts,” Wall Street Journal, Mar. 30, 1999, p. A21.

 

14 Industry Sector Analysis – Auto Parts Industry.

11-7

Japan accounted for another 5 percent ($1.3 billion) of total U.S. exports in 2000, as exports rose

by $320 million (32 percent). During the last 5 years, the U.S. Government has encouraged its Japanese

counterpart to support increased purchases of U.S. automotive parts by Japanese auto makers and

aftermarket parts outlets, as outlined in the U.S.-Japan Agreement on Autos and Auto Parts.10 Leading

export categories included miscellaneous motor vehicle parts and accessories ($794 million), miscellaneous

parts and accessories of motor vehicle bodies ($230 million), and motor vehicle airbags ($87 million).

U.S. imports

Canada and Mexico accounted for 55 percent of U.S. imports of automotive parts in 2000. U.S.

imports from Canada, the leading U.S. supplier, grew by 4 percent to $9.3 billion in 2000, accounting for

37 percent of such imports. Canadian suppliers’ lower cost structure, increased outsourcing by motor

vehicle manufacturers, and an investment boom that focused on improved productivity have benefitted the

Canadian components industry.11 Leading components imported from Canada include miscellaneous vehicle

body parts and accessories, such as truck caps and sunroofs ($2.6 billion), other miscellaneous parts and

accessories of motor vehicles ($1.8 billion), and gear boxes for passenger vehicles

($1.0 billion).

Japan remained the second-leading source of U.S. automotive parts imports, as imports rose by

$812 million to account for 21 percent of total imports in 2000. Japan’s continued economic doldrums and

weakened currency contributed to the growth in U.S. imports of automotive parts from Japan in 2000. 

Leading import categories included gear boxes for passenger vehicles ($1.0 billion), miscellaneous power

train components ($653 million), and miscellaneous motor vehicle parts and accessories ($622 million).

Imports from Mexico, the third-leading import source, increased by 24 percent to $4.6 billion, in

response to continued integration of the North American motor vehicle community and extensive investment

in the Mexican industry.12 Although the Mexican automotive parts industry is becoming increasingly

sophisticated, taking on such responsibilities as component design and engineering,13 the industry still lags in

the production of high-technology components.14 Leading import categories focused on miscellaneous

vehicle body parts and accessories, such as truck caps and sunroofs ($1.2 billion), miscellaneous motor

vehicle parts and accessories ($822 million), and safety seat belts ($659 million), which together accounted

for 58 percent of U.S. auto parts imports from Mexico in 2000.

Deborah A. McNay

(202) 205-3425

mcnay@usitc.gov
Table 11-3

Transportation equipment sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

11-8

ET001 Aircraft engines and gas turbines:

Exports .............................. 14,218 15,011 794 5.6

Imports .............................. 10,328 10,939 610 5.9

Trade balance ......................... 3,889 4,072 183 4.7

ET002 Internal combustion piston engines, other than for

 aircraft:

Exports .............................. 12,522 13,808 1,286 10.3

Imports .............................. 14,052 15,532 1,481 10.5

Trade balance ......................... -1,530 -1,724 -194 -12.7

ET003 Forklift trucks and similar industrial vehicles:

Exports .............................. 1,243 1,332 89 7.2

Imports .............................. 1,527 1,668 142 9.3

Trade balance ......................... -284 -337 -53 -18.6

ET004 Construction and mining equipment:

Exports .............................. 8,646 9,507 861 10.0

Imports .............................. 5,919 5,643 -275 -4.7

Trade balance ......................... 2,727 3,864 1,137 41.7

ET005 Ball and rollers bearings:

Exports .............................. 1,098 1,242 144 13.1

Imports .............................. 1,622 1,804 182 11.2

Trade balance ......................... -524 -562 -38 -7.3

ET006 Primary cells and batteries and electric storage

 batteries:

Exports .............................. 2,307 2,655 348 15.1

Imports .............................. 2,392 2,656 265 11.1

Trade balance ......................... -84 -1 83 98.3

ET007 Ignition, starting, lighting, and other electrical

 equipment:

Exports .............................. 1,947 1,986 39 2.0

Imports .............................. 2,817 3,076 259 9.2

Trade balance ......................... -870 -1,090 -220 -25.3

ET008 Rail locomotive and rolling stock:

Exports .............................. 1,558 1,336 -222 -14.3

Imports .............................. 2,307 1,828 -479 -20.8

Trade balance ......................... -749 -492 257 34.3

ET009 Motor vehicles:

Exports .............................. 22,049 22,827 777 3.5

Imports .............................. 119,663 129,553 9,890 8.3

Trade balance ......................... -97,614 -106,727 -9,113 -9.3

ET010 Certain motor-vehicle parts:

Exports .............................. 27,281 29,199 1,918 7.0

Imports .............................. 22,725 25,135 2,410 10.6

Trade balance ......................... 4,557 4,065 -492 -10.8

ET011 Motorcycles, mopeds, and parts:

Exports .............................. 468 563 96 20.4

Imports .............................. 1,755 2,519 765 43.6

Trade balance ......................... -1,287 -1,956 -669 -52.0

ET012 Miscellaneous vehicles and transportation-related

 equipment:

Exports .............................. 2,762 2,944 181 6.6

Imports .............................. 2,060 2,986 926 45.0

Trade balance ......................... 702 -43 -745 (

3

)
Table 11-3--Continued

Transportation equipment sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

11-9

ET013 Aircraft, spacecraft, and related equipment:

Exports .............................. 47,762 39,696 -8,066 -16.9

Imports .............................. 14,592 18,019 3,428 23.5

Trade balance ......................... 33,171 21,677 -11,494 -34.6

ET014 Ships, tugs, pleasure boats, and similar vessels:

Exports .............................. 1,682 1,083 -599 -35.6

Imports .............................. 1,246 1,223 -23 -1.8

Trade balance ......................... 437 -140 -577 (

3

)

ET015 Motors and engines, except internal combustion,

 aircraft, or electric:

Exports .............................. 394 453 59 15.0

Imports .............................. 658 772 114 17.4

Trade balance ......................... -264 -319 -55 -20.9

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

2This coding system is used by the U.S. International Trade Commission to identify major groupings and

subgroupings of HTS import and export items for trade-monitoring purposes

3Not meaningful for purposes of comparison.

Note.—Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

12-1

,,,,,,,,,,,,,,,,

CHAPTER 12

Electronic Products

John Kitzmiller, Coordinator

(202) 205-3387

kitzmiller@usitc.gov

Change in 2000 from 1999:

U.S. trade deficit: Increased by $22.5 billion (34 percent) to $88.7 billion

U.S. exports: Increased by $26.9 billion (17 percent) to $189.1 billion

U.S. imports: Increased by $49.4 billion (22 percent) to $277.9 billion

The trade deficit in electronic technology products increased primarily as a result of increased

imports of telephone and telegraph equipment, semiconductors and integrated circuits, and computers,

peripherals, and parts (see the analyses of these product sectors for more information). These three

industries accounted for 61 percent of sector imports and 63 percent of the increase in sector imports in

2000. These same industries also accounted for 58 percent of U.S. sector exports in 2000 and 62 percent

of the increase in sector exports.

The major markets for U.S. goods continued to be Canada, Mexico, and Japan, which together

accounted for 36 percent of U.S. exports in 1999 and 2000. The major sources of U.S. imports, Japan,

Mexico, and China, together accounted for 41 percent of U.S. imports in both 1999 and 2000. Additional

statistical detail on major import suppliers and export markets, as well as trade balances, is shown in table

12-1.

Historically the United States has maintained a trade deficit in electronic products. Production

sharing is a major factor in the trade deficit as U.S.-made components are exported for finishing and

incorporation into finished goods, which are then imported (in particular, semiconductor trade with East

Asia and sector trade with Mexico).

The industry/commodity groups with the largest import and export shifts are shown in table

12-2. Further analyses for many of these shifts are included in this chapter. Trade statistics for all

industry/commodity groups in this sector are presented in table 12-3 at the end of this chapter.
12-2

Table 12-1

Electronic products: U.S. exports of domestic merchandise, imports for consumption, and merchandise

trade balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

Japan ....................................... 14,921 17,811 2,890 19.4

Mexico ...................................... 19,564 24,647 5,083 26.0

Canada ..................................... 22,057 25,019 2,962 13.4

Korea ....................................... 9,193 10,568 1,375 15.0

China ....................................... 2,943 3,927 984 33.4

Taiwan ...................................... 5,253 7,214 1,961 37.3

Malaysia ..................................... 5,802 6,852 1,050 18.1

Singapore .................................... 6,712 7,326 614 9.2

United Kingdom ............................... 10,056 11,995 1,938 19.3

Germany .................................... 8,100 8,662 562 6.9

All other ..................................... 57,638 65,088 7,450 12.9

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 162,240 189,109 26,869 16.6

EU-15 ...................................... 40,864 46,471 5,607 13.7

OPEC ...................................... 2,209 2,207 -2 -0.1

Latin America ................................. 31,222 37,188 5,965 19.1

CBERA ..................................... 2,360 2,406 46 1.9

Asia ........................................ 57,306 69,267 11,962 20.9

Sub-Saharan Africa ............................ 768 703 -65 -8.4

Central and Eastern Europe ...................... 841 867 26 3.0

U.S. imports for consumption:

Japan ....................................... 44,018 49,888 5,869 13.3

Mexico ...................................... 28,793 37,207 8,414 29.2

Canada ..................................... 14,609 21,200 6,592 45.1

Korea ....................................... 16,100 21,400 5,300 32.9

China ....................................... 20,917 27,588 6,671 31.9

Taiwan ...................................... 18,399 22,429 4,030 21.9

Malaysia ..................................... 16,953 20,550 3,597 21.2

Singapore .................................... 14,916 15,362 446 3.0

United Kingdom ............................... 5,970 7,097 1,127 18.9

Germany .................................... 6,572 7,399 826 12.6

All other ..................................... 41,221 47,734 6,512 15.8

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 228,469 277,854 49,384 21.6

EU-15 ...................................... 24,822 28,630 3,808 15.3

OPEC ...................................... 2,094 2,386 292 14.0

Latin America ................................. 31,867 40,277 8,410 26.4

CBERA ..................................... 2,496 2,091 -405 -16.2

Asia ........................................ 150,028 178,245 28,217 18.8

Sub-Saharan Africa ............................ 56 58 2 3.5

Central and Eastern Europe ...................... 1,449 1,816 368 25.4

U.S. merchandise trade balance:

Japan ....................................... -29,097 -32,076 -2,979 -10.2

Mexico ...................................... -9,229 -12,560 -3,331 -36.1

Canada ..................................... 7,448 3,818 -3,630 -48.7

Korea ....................................... -6,907 -10,832 -3,925 -56.8

China ....................................... -17,974 -23,660 -5,687 -31.6

Taiwan ...................................... -13,146 -15,215 -2,069 -15.7

Malaysia ..................................... -11,151 -13,698 -2,547 -22.8

Singapore .................................... -8,204 -8,036 168 2.1

United Kingdom ............................... 4,086 4,897 811 19.9

Germany .................................... 1,528 1,263 -264 -17.3

All other ..................................... 16,417 17,354 938 5.7

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... -66,230 -88,745 -22,516 -34.0

EU-15 ...................................... 16,042 17,841 1,799 11.2

OPEC ...................................... 116 -178 -294 (

2

)

Latin America ................................. -644 -3,089 -2,445 -379.4

CBERA ..................................... -136 314 451 (

2

)

Asia ........................................ -92,722 -108,978 -16,256 -17.5

Sub-Saharan Africa ............................ 712 645 -67 -9.4

Central and Eastern Europe ...................... -608 -950 -342 -56.3

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

 

2Not meaningful for purposes of comparison.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
12-3

Table 12-2

Leading changes in U.S. exports and imports of electronic products, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Semiconductors and integrated circuits (ET033) ..... 36,615 44,828 8,213 22.4

Computers, peripherals, and parts (ET035) ........ 39,230 45,299 6,069 15.5

Telephone and telegraph apparatus (ET017) ....... 17,717 20,147 2,430 13.7

Measuring, testing, and controlling 

instruments (ET043) ........................ 14,575 16,749 2,175 14.9

Decreases:

Blank media (ET019) ......................... 1,692 1,420 -272 -16.1

All other .................................... 52,410 60,664 8,254 15.7

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 162,240 189,109 26,869 16.6

U.S. IMPORTS:

Increases:

Telephone and telegraph apparatus (ET017) ....... 20,147 32,130 11,983 59.5

Semiconductors and integrated circuits (ET033) ..... 37,158 47,448 10,290 27.7

Computers, peripherals, and parts (ET035) ........ 81,662 90,384 8,722 10.7

Consumer electronics (except televisions) (ET018) ... 18,282 21,974 3,692 20.2

Radio and television broadcasting 

equipment (ET023) ......................... 4,948 7,178 2,230 45.1

Measuring, testing, and controlling instruments

(ET043) ................................. 9,656 11,743 2,087 21.6

Electrical capacitors and resistors (ET025) ......... 2,435 4,177 1,742 71.5

Optical goods, including ophthalmic goods (ET038) . . 4,225 5,881 1,656 39.2

Decreases:

Photographic cameras and equipment (ET039) ..... 5,843 5,299 -543 -9.3

Drawing, drafting, and calculating 

instruments (ET042) ........................ 431 234 -196 -45.6

All other .................................... 43,683 51,406 7,723 17.7

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 228,469 277,854 49,384 21.6

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

U.S. BILATERAL TRADE

Largest trade balance shifts in 2000 from 1999:

China: U.S. deficit increased by $5.7 billion (32 percent) to $23.7 billion

Korea: U.S. deficit increased by $3.9 billion (57 percent) to $10.8 billion

Canada: U.S. surplus decreased by $3.6 billion (49 percent) to $3.8 billion

The growth in the trade deficit with China resulted from increased imports, which grew at the same

rate as exports, but to almost seven times the value. Imports of computers and peripherals and telephone

and telegraph equipment grew in 2000 as a result of increased outsourcing in response to shrinking margins

in the U.S. market and the increased popularity of certain consumer items such as DVD players and set top

boxes. A significant level of bilateral trade with China occurs in computers, computer peripherals, and

telephone and telegraph equipment, due to global competitive factors noted in the product analyses that

follow.

The growth in the trade deficit with Korea was caused by U.S. imports growing at double the rate

of exports, largely attributable to the increasing use of outsourcing to meet demand. Computers and
 

1

 The telecommunications equipment market, as defined by the Telecommunications Industry Association

(TIA), is primarily comprised of the products in this industry/commodity group.

 

2

2001 MultiMedia Telecommunications Market Review and Forecast, Telecommunications Industry

Association (Arlington, VA, 2001), p. 5.

12-4

peripherals, telephone and telegraph equipment, and semiconductors and integrated circuits accounted for

most of the increase in imports. Two-way trade with Korea also occurred in computers, computer

peripherals, and telephone and telegraph equipment because of globalization trends and other factors

discussed in the product analyses that follow.

The surplus with Canada decreased because of the increased competitiveness of a major Canadian

telecom company that was able to capture a large share of the U.S. market. Among its top 10 trading

partners, the United States maintained trade surpluses with only the United Kingdom, Canada, and

Germany. Of these three, only the surplus with the United Kingdom grew.

COMMODITY ANALYSIS

Telephone and Telegraph Apparatus

Change in 2000 from 1999:

U.S. trade deficit: Increased by $9.6 billion (393 percent) to $12.0 billion

U.S. exports: Increased by $2.4 billion (14 percent) to $20.1 billion

U.S. imports: Increased by $12.0 billion (60 percent) to $32.1 billion

The large increase in the U.S. trade deficit largely resulted from growing U.S. demand for

telephone and telegraph products, particularly greater reliance on foreign manufacturers to supply cellular

telephones, modems, parts, and other network equipment. The U.S. market for telecommunications

equipment1 increased by 13 percent during 1999-2000.2 Increased demand for imports is primarily driven

by declining prices for certain products, such as cellular telephones, which have prompted U.S.

manufacturers to outsource these products in order to concentrate on higher value-added sector apparatus. 

Four of the five largest export markets for these products are also the four largest sources of 

imports, namely Canada, Mexico, Japan, and Korea. For the most part, U. S. bilateral trade with these

countries consists largely of the same products in both directions, i.e., cellular telephones, modems, parts,

and other network equipment. This trade pattern is generally the result of product differentiation, the

presence of globally competitive producers in each country, and a rapidly expanding global market for

telecommunications products. Products such as modems and cellular telephones are differentiated by a wide

range of capacities, standards, and features within each HTS category. The two-way trade flow of

apparatus also results from globally competitive firms in the United States, Canada, Japan, and Korea that

produce similar types of products and compete for customers in all major markets. This global

competitiveness is facilitated by the low weight-to-value ratio for most sector equipment that minimizes

shipping costs, thereby reducing the competitive advantage of domestic producers.

U.S. exports

U.S. exports of telephone and telegraph equipment increased significantly to each of its five largest

markets: Canada, Mexico, Japan, the United Kingdom, and Korea. The United Kingdom replaced Brazil as

the fourth-largest market for exports in 2000 and the share of exports accounted for by the top five markets
 

3

 Communications equipment as defined by the U.S. Census Bureau is primarily comprised of the products in

this industry/commodity group. Although most products identified by the U.S. Census Bureau as communications

equipment are also classified as telecommunications equipment by the TIA, the two product groupings are not

identical.

 

4

 U.S. Census Bureau: Manufacturing, Mining, and Construction Statistics found at

http://www.census.gov/indicator/www/m3/hist/m3bendoc.htm, retrieved Apr. 6, 2001.

 

5

2001 MultiMedia Telecommunications Market Review and Forecast, Telecommunications Industry

Association (Arlington, VA: 2001), p. 4.

 

6

 Lucent Technologies Inc. and Nortel Networks SEC 10-K filings for 2000. Found at http://www.SEC.gov/cgibin/srch-edgar, retrieved Apr, 5, 2001.

 

7

 Donaldson, Luftkin, and Jenrette, The Wireless Communications Industry (New York: Donaldson, Luftkin,

and Jenrette, Winter 2000/2001), p. 18.

12-5

increased from 46 percent to 49 percent. The increase in exports reflects the overall health of the U.S.

telephone and telegraph apparatus industry as evidenced by the steady growth and the strong global

demand for its products. The U.S. industry encompasses many firms that are world leaders, such as

Lucent Technologies, Motorola, and Cisco Systems. The value of U.S. shipments of communication

equipment3 increased by 21 percent in 20004 while global spending on telecommunications equipment,

excluding the United States, increased by 18 percent.5

 Similar forces are driving increases in both U.S. and global demand for these products, and in

turn, have contributed to strong U.S. import and export growth. The continued expansion and upgrade of

the digital wireless infrastructure and increased use of cellular telephones have boosted sales of both U.S.-

and foreign-sourced equipment in all markets. Similarly, the need for greater data-carrying-capacity

associated with increased Internet usage and new services has prompted telecommunications carriers, the

primary customers for these products, to increase spending on new equipment. Growing competition in the

telecommunications services sector has also contributed to market expansion. New telecommunications

service providers are increasingly competing with established carriers and creating alternative networks

which, in turn, cause the established carriers to upgrade to prevent the loss of market share.

U.S. imports

U.S. imports of these products from each of its five largest sources of telephone and telegraph

apparatus--Canada, Mexico, Japan, Korea, and China--increased substantially and collectively accounted

for 75 percent of U.S. sector imports in 2000. Cellular telephones accounted for the largest share of this

increase, $4.2 billion. The value of U.S. imports from Canada, the largest source of such imports, doubled

during 2000 reaching $9.2 billion. U.S. imports from Canada consist of a wide variety of

telecommunications products of which parts for telephone and telegraph apparatus and cellular telephones

comprise the largest shares. The increase in imports from Canada can largely be attributed to the rapid

growth of Nortel Networks (Nortel), the dominant Canadian telecommunications equipment manufacturer,

which substantially increased its U.S. market share at the expense of its principal U.S. competitor, Lucent

Technologies (Lucent). Nortel’s sales to customers in the United States increased 42 percent during 2000

while Lucent’s U.S. sales grew by only 11 percent.6

U.S. imports of cellular telephones from Korea and Mexico increased by $1.3 billion and $1.0

billion, respectively. Mexico replaced Japan as the second largest supplier of telecommunications 

products to the United States in 2000 as imports from Mexico increased by 74 percent while imports from

Japan increased 21 percent. Much of the increase of imports from Mexico consisted of cellular telephones

for which Mexico supplies an increasing share of the growing U.S. market. The number of U.S. cellular

telephone subscribers increased by 25 percent in 20007 and the share of U.S. cellular telephone imports
 

8

 Stephen Shankland, “High Tech Manufacturers Add Brains to Brawn,” Cnet News.Com, Aug. 18, 2000, found

at http://news.cnet.com, retrieved on Apr. 4, 2001.

12-6

supplied by Mexico increased from 16 percent to 21 percent. Although more than one-half of U.S. imports

from China consists of telephone sets, China is also increasingly becoming a major source of cellular

telephones.

John Davitt

(202) 205-3407

jdavitt@usitc.gov

Computers, Peripherals, and Parts

Change in 2000 from 1999

U.S. trade deficit: Increased by $2.7 billion (6 percent) to $45.1 billion

U.S. exports: Increased by $6.1 billion (16 percent) to $45.3 billion

U.S. imports: Increased by $8.7 billion (11 percent) to $90.4 billion

The trade deficit for computers, peripherals, and parts posted a smaller increase in 2000 than in

previous years. This was due in part to growing demand for U.S. products in Asia as recovery from the

crisis of 1997-98 continued. In addition, globalization and outsourcing trends in the computer industry

have increased U.S. exports of peripherals and parts.

U.S. exports

The pattern in U.S. exports reflects the trend toward globalization of production, the advanced

technology of the U.S. industry, and the interdependence of the North American producers. These factors,

together with duty-free treatment that was fully implemented in 2000 for the 43 Information Technology

Agreement signatories, helped to boost U.S. exports. More computer companies are using contract

manufacturers, such as Jabil, Solectron, SCI Systems, Celestica, and Flextronics, which have

manufacturing facilities in countries such as China, Malaysia, and Mexico where the labor costs are as

much as 85 percent lower than in the United States and 75 percent lower than in Singapore.8 Companies

are also outsourcing to original design manufacturers, such as Acer, Quanta, and Mitac, who not only

manufacture the product but design it as well. 

Computer parts, most of which were destined for foreign affiliates or contract manufacturers,

accounted for the largest portion of exports at $19.5 billion in 2000 and were also the fastest growing

products, posting a 16.6-percent gain over 1999. Parts exports to Canada, Brazil, and several Asian

economies, particularly Korea, China, Thailand, Taiwan, and Singapore, climbed more than 25 percent and

accounted for half of the increase in exports of parts. Computer control and adapter units and other

computer networking equipment showed a similar trend, with exports to Japan, the United Kingdom,

Canada, China, and Korea growing by more than 25 percent. Much of this increase was due to the growth 

of computer networks in Europe and Asia. Within NAFTA, as the integration of the industry progresses,

U.S. exports to Mexico and Canada are growing faster than total exports and accounted for more than

$1.0 billion of the increase in exports in 2000.
 

9

 Global Sources Computer Products, “Taiwan Makers Offer Rich Selection,” Sourcing Report: Notebook

Computers, Jan. 23, 2001, found at http://www.computerproducts.globalsources.com, retrieved Mar. 29, 2001. 

 

10 Joe Wilcox, “Compaq Reports Drop in Revenue,” Cnet News.Com, Jan. 25, 2000, found at 

http://news.cnet.com, retrieved on Mar. 19, 2001.

 

11 Global Sources Computer Products, “Taiwan Makers Offer Rich Selection.”

12-7

U.S. imports

The top six sources–Japan, Taiwan, China, Singapore, Mexico, and Malaysia--accounted for

70 percent of total imports of computers, peripherals, and parts in both 1999 and 2000. Taiwan and China

expanded their import market share significantly in 2000 as foreign investment and outsourcing increased

partly in response to shrinking margins in the U.S. market for computers and peripherals. Singapore,

because it is a higher cost producer, saw its share of the U.S. import market fall in 2000. U.S. imports

from NAFTA partners increased by 22 percent, more rapidly than total imports, which only grew by 11

percent in 2000. This is largely a result of the ongoing integration of the computer industry in North

America.

Increased demand for notebook computers, principally from Taiwan, Mexico, Japan, and Korea,

accounted for $1.8 billion of the increase in imports of computers, peripherals and parts in 2000. Taiwan is

the leading producer of notebook computers in the world, supplying more than 50 percent of the market.

Manufacturers in Taiwan produce notebook computers for Compaq, Dell, IBM, NEC, Sony, and Toshiba

as well as under their own brands (e.g., Acer).9 Imports of other computers, mainly personal computers,

from China increased rapidly accounting for $1.0 billion of the $1.5 billion increase in this category. 

Counter to this trend was a decline in computer imports from Singapore, due in part to the closing of a

Compaq manufacturing facility in early 2000.10

Printed circuit assemblies, including memory modules and processor assemblies--by far the largest

import product grouping–increased by 6 percent to $19.3 billion in 2000. This increase was largely the

result of imports from Korea and China, the bulk of which were most likely memory modules, and was

partially offset by declines in imports, presumably of processor assemblies, from Costa Rica, Malaysia,

and the Philippines. It is likely that many of the processor assemblies, previously destined for the U.S.

market, were consumed in computer assembly facilities in Asia, especially Taiwan, and in Mexico. Intel

assembles processors in Costa Rica, Malaysia, and the Philippines, and Intel’s Pentium III was the main

processor used in the assembly of notebook computers in Taiwan and Mexico in 2000.11

Imports of computer control or adapter units, mainly network interface cards or similar networking

equipment, grew 40 percent to $5.3 billion in 2000 as computer and telecommunications network providers

built network infrastructure and increased outsourcing to meet demand. The principal sources of these

imports were Singapore, Taiwan, Canada, and Mexico.

LCD monitors and CD-ROM drives are displacing cathode-ray tube (CRT) monitors and magnetic

disk drives. Imports of CRT monitors are shifting from Korea and Taiwan to China and Mexico and

magnetic disk drives are shifting from Japan and Singapore to Malaysia and the Philippines. At the same

time, Korea and Taiwan have doubled their exports of flat panel displays to the United States, and

China, Korea, and Malaysia have increased exports of CD-ROM drives to the U.S. by more than

90 percent.

Sylvia McDonough

(202) 205-3393

mcdonough@usitc.gov
 

12 This industry/commodity group includes table, clock, and portable radios; home, portable, and vehicle audio

systems; audio components; and video recording and reproducing equipment, including VCRs, DVD players,

camcorders, and still image video cameras.

12-8

Consumer Electronics (Except Televisions)12

Change in 2000 from 1999:

U.S. trade deficit: Increased by $3.4 billion (22 percent) to $19.0 billion

U.S. exports: Increased by $291.0 million (11 percent) to $3.0 billion

U.S. imports: Increased by $3.7 billion (20 percent) to $22.0 billion

The increase in the trade deficit for consumer electronics except televisions (hereafter consumer

electronics) is attributable to the rise in imports, resulting from growing demand for new products that

more than offset declining average values.

U.S. imports

U.S. imports increased primarily as a result of tremendous growth in U.S. sales of digital, stillimage video cameras (digital cameras) and of video recording or reproducing apparatus other than

magnetic tape-type, primarily DVD (digital versatile disc) players, virtually all of which are made offshore. 

Increased imports of these two products accounted for over half of the increase in consumer electronics

imports. China supplied 28 percent by value of imports of consumer electronics, just overtaking Japan,

which had previously been the largest supplier. China, Japan, Mexico, and Malaysia continued as the

largest suppliers, accounting for 80 percent of imports from 1999-2000.

Imports of digital cameras doubled for the third consecutive year to $2.2 billion in 2000,

accounting for 10 percent of imports in 2000. Japan continued as the largest source for digital cameras,

supplying two-thirds of U.S. imports in 2000. Imports from China more than quintupled, almost matching

those from Taiwan, while each country supplied only about 8 percent of imports. The average value

decreased slightly as production has begun to move to countries with lower production costs.

Imports of DVD players increased by 77 percent to $1.9 billion in 2000. Although unit imports

more than doubled, the average value dropped by 23 percent, as production moved to countries offering

lower production costs. Japan dropped to second in the ranking of U.S. sources of DVD players in terms

of value, as its share of U.S. imports declined from 56 percent to 27 percent in 2000, while China’s share

rose from 8 percent to 32 percent for the same period.

John Kitzmiller

(202) 205-3387

kitzmiller@usitc.gov
 

13 This industry/commodity group includes equipment for radio and television cable, satellite, and broadcast

distribution, television cameras, and parts of the foregoing.

12-9

Radio and Television Broadcasting Equipment13

Change in 2000 from 1999:

U.S. trade deficit: Increased by $2.0 billion (74 percent) to $4.6 billion

U.S. exports: Increased by $278.9 million (12 percent) to $2.6 billion

U.S. imports: Increased by $2.2 billion (45 percent) to $7.2 billion

The increase in the trade deficit for radio and television broadcasting equipment is attributable to

the rise in imports caused primarily by the continuing and expanding demand for consumer satellite

television equipment.

U.S. imports

U.S. imports increased primarily as a result of the tremendous growth in sales of DBS (direct

broadcast satellite) equipment, including set top boxes with communications function. Imports of set top

boxes increased by 85 percent to $2.2 billion in 2000, while imports of apparatus for the reception of

television signals relayed by television satellite increased by two-thirds to $1.2 billion. Combined, the two

products accounted for 67 percent of the increase in imports of radio and television broadcasting equipment

in 2000. With a long history of maquiladora operations for consumer electronics, Mexico continued as the

principal supplier, accounting for 46 percent of imports in 2000, up from 40 percent in 1999.

Demand for DBS equipment has increased because it uses digital broadcast technology, leading to

higher resolution video images and higher quality audio. A DBS system is easier and much less expensive

to install than a traditional satellite television system, and is less likely to be prohibited by homeowners’

association covenants. Also, DBS subscribers that have been exposed to the variety of programming

available via cable are able to view most of the same programming via DBS at a lower annual cost and

without the annual increases in subscriber fees experienced by most cable subscribers.

John Kitzmiller

(202) 205-3387

kitzmiller@usitc.gov

Measuring, Testing, and Controlling Instruments

Change in 2000 from 1999:

U.S. trade surplus: Increased by $88 million (2 percent) to $5.0 billion

U.S. exports: Increased by $2.2 billion (15 percent) to $16.7 billion

U.S. imports: Increased by $2.1 billion (22 percent) to $11.7 billion

The U.S. trade surplus in measuring, testing, and controlling instruments (hereafter measuring 

instruments) improved slightly during 2000. The mild growth in the surplus reflected an almost equal trade

shift in both exports and imports during the period. With respect to the principal trading partners, the U.S.

trade surplus with Canada rose by 4 percent to $2.1 billion in 2000, while the trade deficit with Mexico fell
 

14 Capacitors and resistors are passive electrical and electronic components. They are integral elements in a

wide variety of products such as electronics equipment, industrial equipment, and automobiles. 

 

15 Hailey Lynne McKeefry, “Capacitors and Resistors,” Electronic Buyers’ News, found at

http://www.ebnonline.com/story/OEG2000913S0045, retrieved Mar. 19, 2001.

 

16 In 2000, exports to Mexico and Canada, the largest markets for U.S. products, grew by 35 percent, or $550

million, as a result of strong pricing and the expansion of the two countries’ respective electronics industries. 

Mexico alone accounted for over half of U.S. exports in 2000. In recent years, Mexico has developed a burgeoning

(continued...)

12-10

by 1 percent to $998 million. Those trade shifts reflected the relative competitiveness of U.S. producers

with firms in those countries. 

U.S. exports

Demand for U.S. exports of measuring instruments remained relatively strong in Canada, Japan,

and the United Kingdom during 2000, largely because of the proliferation of telecommunication systems

and sustained industrial activity in those countries. Canada continued as the United States’ principal

foreign market for measuring instruments, accounting for 19 percent of all exports. Exports to that country

rose by 8 percent to $3.2 billion. Japan, the second-largest market, increased its share of exports by 28

percent to $1.9 billion.

U.S. imports

Mexico continued to be the largest foreign supplier of U.S. imports of measuring instruments

during 2000, accounting for 22 percent of all imports. Increased industrial activity in the United States,

coupled with a strong economy, stimulated demand for certain automotive, aerospace, and industrial

products. Demand for speedometers, tachometers, process control instruments, and other measuring and

testing instruments from U.S.-affiliated operations in Mexico rose significantly. Imports from that country

grew by 14 percent to $2.6 billion. Spurred on by positive U.S. economic conditions, imports from Japan,

which accounted for 20 percent of total imports, increased by 31 percent to $2.3 billion. 

James M. Brandon

(202) 205-3433

brandon@usitc.gov

Electrical Capacitors and Resistors14

Change in 2000 from 1999:

U.S. trade deficit: Increased by $724 million(1,708 percent) to $767 million

U.S. exports: Increased by $1.0 billion (43 percent) to $3.4 billion

U.S. imports: Increased by $1.7 billion (72 percent) to $4.2 billion

The year 2000 was exceptionally strong for the U.S. and global capacitor and resistor markets.

Leading consumers such as the telecommunications, networking, and computer equipment industries all

experienced significant production growth and, as a result, drove up the demand for capacitors and

resistors. Throughout much of the year, the demand for capacitors and resistors far outstripped supply,

leading to product shortages and expanded lead times for purchasers.15 As a result, prices for capacitors

and resistors rose and an existing U.S. trade deficit expanded significantly as imports outpaced exports.16
 

16 (...continued)

electronics assembly industry, while Canada is an established and growing producer of telecommunications and

networking equipment.

 

17 Claire Serant, “AVX Taps Asia’s Resurgent Market,” Electronic Buyers’ News, found at

http://www.ebnews,com/story/OEG20000825S0052, retrieved Mar. 19, 2001, and “Vishay Rethinks $480 Mln

Israel Investment Plan,” Reuters, found at http://biz.yahoo.com/rf/010321/121338245.html, retrieved Mar. 27,

2001. 

 

18 U.S. industry officials, telephone interviews by USITC staff, Mar. 15-23, 2001.

 

19 Ibid.

 

20 Company Internet website information, and SEC 10-K filings and other financial reports of Nortel, Networks,

Lucent Technologies, Corning, Inc., Ciena Corp., Corvis Corp., Optical Communication Products Inc., and Tyco

Inc., found at www.sec.gov, retrieved Apr. 2, 2001. 

12-11

U.S. imports

U.S. imports of ceramic and tantalum capacitors experienced a 79-percent increase in 2000 to $2.0

billion, accounting for over half of the total growth in imports. These capacitor types are primarily

consumed in electronics equipment, and the rise in imports reflects the strong growth in U.S. electronics

production. Japan continued to be the largest U.S. supplier of capacitors and resistors in 2000, but a

number of other producing countries such as Israel, Taiwan, the Czech Republic, and Korea, had much

larger relative growth in their exports to the United States. Although Taiwan and Korea have developed

largely indigenous industries in recent years, growth in U.S. imports from Israel and the Czech Republic

was chiefly related to recent plant investment in those countries by U.S.-headquartered producers.17 In

addition to increased U.S. demand, exports to the United States of capacitors and resistors also benefitted

in 2000 from the final phase-out of U.S. tariffs on these products as a result of the 1997 Information

Technology Agreement. 

Robert Carr

(202) 205-3402

rcarr@usitc.gov

Optical Goods, Including Opthalmic Goods

Change in 2000 from 1999:

U.S. trade deficit: Increased by $343 million (22 percent) to $1.9 billion

U.S. exports: Increased by $1.3 billion (49 percent) to $4.0 billion

U.S. imports: Increased by $1.7 billion (39 percent) to $5.9 billion

Despite significant growth in U.S. exports, the U.S. trade deficit in optical goods continued to

increase largely because of growing demand for imported optical components used in advanced optoelectronic and fiber-optic voice, video, and data communications systems.18 This, in turn, was due to

continued rapid growth and popularity of data-intensive applications, such as Internet access, real-time data

backup, e-mail, video conferencing, multimedia file transfers, movement of large blocks of stored data

across networks, and digital cable television systems.19 To meet this demand, U.S. telecommunications,

networking, and related equipment manufacturers increased their imports of specialized optical components

and subsystems that enabled them to increase the bandwidth, or information carrying capacity, of U.S.

networking and communications systems.20 Other imported optical products contributing to the U.S. trade

deficit included lenses, filters, prisms, flat panel displays, and certain ophthalmic goods.
 

21 U.S. Government and industry officials, e-mail and telephone communications by USITC staff, Mar. 15-23,

2001.

 

22 Company websites, annual reports, SEC 10-K filings and other financial information, Sharp Electronics

Corp, Motorola Inc., PCS Technology, and Agilent Technologies; and U.S. industry officials, interviews by USITC

staff, Mar. 15-23, 2001. Also see Ross Young, Sam Matsuno, Mark Finn, and Barry Young, “A Special Report on

the Status of the Flat Panel Display Industries,” FPD Market Update, published by Semiconductor Equipment and

Materials International, Dec. 2000, pp. 1-8, for highlights of recent trends in the flat panel display market.

 

23 Stephen G. Anderson, “Review and Forecast of the Laser Markets,” Laser Focus World, Jan. 2001, p. 98.

 

24 Bausch and Lomb SEC 10-K filing, filed 2001; and Luxottica, “A Short Profile,” A Short Strategic Future,

2000, p. 1, found at http://www.luxottica.com, retrieved Mar. 29, 2001.

 

25 Access Media Group, “Luxottica’s Purchase of the Hut is Cleared,” OPTISTOCK, April 1, 2001, p. 1, found 

at http://www.optistock.com, retrieved Apr. 2, 2001. Also see Luxottica SEC filings, forms SC TO-T/A, SC TO-T,

and SC TO-C, filed 2001, found at http://www.sec.gov, retrieved Mar. 29, 2001. 

12-12

U.S. imports

U.S. imports of optical devices and components for use in advanced data communications systems

more than tripled from Canada, primarily as a result of increased shipments to the United States by major

Canadian producers of such goods, including Nortel Networks and JDS Uniphase Corp, as well as smaller

Canadian network component suppliers.21 Other countries demonstrating significant growth in supply of

such optical goods included Germany and the United Kingdom. Although Japanese exports to the United

States of optical components and devices for use in voice, video, and data communications systems actually

declined during 2000, significant increases in U.S. imports from Japan of photographic and nonphotographic lenses, filters, and prisms enabled Japan to retain its position as the leading supplier of total

U.S. imports of optical goods. Japan also benefitted from increased demand for flat panel displays by U.S.

manufacturers of personal digital assistants, notebook computers, cellular telephones, liquid crystal display

monitors, industrial equipment, and other products to increase its exports of such optical displays to the

United States.22

Laser producers in Japan, Germany, and the United Kingdom also benefitted from increased

demand for such devices by U.S. manufacturers of medical and ophthalmic laser systems as consumer

demand for laser hair removal and vision correction procedures continued to grow rapidly in the United

States.23 Japan and Germany also remained the leading suppliers of electron and other high-end

microscopes to the United States. Although U.S. imports of Chinese optical products grew more slowly

than those of Canada, Japan, Germany, and the United Kingdom, continued growth in Chinese exports of

lower end telescopes, binoculars, microscopes, and ophthalmic products enabled China to remain the thirdleading supplier of U.S. imports of optical goods in 2000.

Italy continued to increase its share of U.S. imports of both sunglasses and eyeglass frames. The

Italian ophthalmic company, Luxottica, acquired the popular Ray Ban line of sunglasses from U.S.-based

Bausch & Lomb in 1999, and moved its production to Italy, which contributed to increases in its exports of

eyewear to the United States.24 Luxottica also continued to benefit from its ownership of one of the leading

distributors of eyeglasses and prescription sunglasses in the United States, Lenscrafters, which has become

an important purchaser of eyeglass and sunglass frames from its parent company in the past several years. 

Luxottica is currently in the process of acquiring Sunglass Hut, a leading distributor of sunglasses in the

United States.25 
 

26 “CIBA Vision’s Indonesian contact lens plant receives FDA approval,” Feb. 2, 1996, p. 1, found at 

http://www.infonovartis.com, retrieved Mar. 15, 2001; and other information found on both Novartis and

CIBAVision websites (http://www.cibavision.com); Bausch & Lomb Inc., SEC 10-K filing, filed 2001; and SOLA

International Inc., SEC 10-K filing, filed 2000.

12-13

 Some U.S.-based companies have increased the production of nonspecialty, lower end disposable

contact lenses in low-wage countries as prices of such lenses decline to commodity levels in the United

States.26 For example, Indonesia has become the leading foreign supplier of contact lenses to

the United States as a result of this trend. Indonesia also exhibited growth as a supplier of U.S. imports of

spherical eyeglass lenses in 2000. 

Christopher Johnson

(202) 205-3488

cjohnson@usitc.gov
Table 12-3

Electronic products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

12-14

ET016 Office machines:

Exports .............................. 1,037 1,127 90 8.6

Imports .............................. 1,784 1,892 108 6.1

Trade balance ......................... -747 -766 -19 -2.5

ET017 Telephone and telegraph apparatus:

Exports .............................. 17,717 20,147 2,430 13.7

Imports .............................. 20,147 32,130 11,983 59.5

Trade balance ......................... -2,430 -11,982 -9,553 -393.2

ET018 Consumer electronics (except televisions):

Exports .............................. 2,678 2,969 291 10.9

Imports .............................. 18,282 21,974 3,692 20.2

Trade balance ......................... -15,604 -19,005 -3,401 -21.8

ET019 Blank media:

Exports .............................. 1,692 1,420 -272 -16.1

Imports .............................. 2,225 2,415 190 8.5

Trade balance ......................... -533 -995 -462 -86.6

ET020 Prerecorded media:

Exports .............................. 3,707 3,636 -71 -1.9

Imports .............................. 1,252 1,389 137 11.0

Trade balance ......................... 2,455 2,247 -209 -8.5

ET021 Navigational instruments and remote control

 apparatus:

Exports .............................. 2,530 2,626 96 3.8

Imports .............................. 1,361 1,702 341 25.1

Trade balance ......................... 1,169 924 -245 -21.0

ET022 Television receivers and video monitors:

Exports .............................. 1,104 1,164 60 5.4

Imports .............................. 6,652 7,713 1,061 15.9

Trade balance ......................... -5,548 -6,549 -1,001 -18.0

ET023 Radio and television broadcasting equipment:

Exports .............................. 2,323 2,602 279 12.0

Imports .............................. 4,948 7,178 2,230 45.1

Trade balance ......................... -2,624 -4,576 -1,951 -74.3

ET024 Electric sound and visual signaling apparatus:

Exports .............................. 858 851 -8 -0.9

Imports .............................. 2,053 2,334 280 13.6

Trade balance ......................... -1,195 -1,483 -288 -24.1

ET025 Electrical capacitors and resistors:

Exports .............................. 2,393 3,410 1,017 42.5

Imports .............................. 2,435 4,177 1,742 71.5

Trade balance ......................... -42 -767 -724 -1,708.4

ET026 Printed circuits:

Exports .............................. 2,386 2,865 479 20.1

Imports .............................. 2,236 2,988 752 33.6

Trade balance ......................... 150 -123 -273 (

3

)

ET027 Circuit apparatus exceeding 1000V:

Exports .............................. 590 701 112 18.9

Imports .............................. 287 386 99 34.5

Trade balance ......................... 302 315 13 4.2

ET028 Circuit apparatus not exceeding 1000V:

Exports .............................. 4,991 6,101 1,110 22.2

Imports .............................. 5,606 6,872 1,266 22.6

Trade balance ......................... -615 -771 -156 -25.4
Table 12-3--Continued

Electronic products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

12-15

ET029 Circuit apparatus assemblies:

Exports .............................. 1,078 1,340 262 24.3

Imports .............................. 2,141 2,593 452 21.1

Trade balance ......................... -1,063 -1,253 -190 -17.9

ET030 Parts of circuit apparatus:

Exports .............................. 1,809 1,914 105 5.8

Imports .............................. 999 1,202 202 20.3

Trade balance ......................... 809 712 -97 -12.0

ET031 Cathode-ray tubes:

Exports .............................. 2,174 2,435 261 12.0

Imports .............................. 732 634 -98 -13.4

Trade balance ......................... 1,442 1,801 359 24.9

ET032 Electron tubes other than CRTs:

Exports .............................. 215 209 -6 -2.8

Imports .............................. 190 213 23 12.0

Trade balance ......................... 25 -4 -29 (

3

)

ET033 Semiconductors and integrated circuits:

Exports .............................. 36,615 44,828 8,213 22.4

Imports .............................. 37,158 47,448 10,290 27.7

Trade balance ......................... -542 -2,619 -2,077 -383.0

ET034 Miscellaneous electrical equipment:

Exports .............................. 1,590 2,153 563 35.4

Imports .............................. 2,358 2,937 578 24.5

Trade balance ......................... -769 -784 -15 -1.9

ET035 Computers, peripherals, and parts:

Exports .............................. 39,230 45,299 6,069 15.5

Imports .............................. 81,662 90,384 8,722 10.7

Trade balance ......................... -42,432 -45,085 -2,653 -6.3

ET036 Photographic film and paper:

Exports .............................. 2,154 2,755 600 27.9

Imports .............................. 2,009 2,205 196 9.8

Trade balance ......................... 146 550 404 277.8

ET037 Optical fibers, optical fiber bundles and cables:

Exports .............................. 1,081 1,888 807 74.6

Imports .............................. 729 1,399 671 92.1

Trade balance ......................... 352 488 136 38.6

ET038 Optical goods, including ophthalmic goods:

Exports .............................. 2,682 3,995 1,313 49.0

Imports .............................. 4,225 5,881 1,656 39.2

Trade balance ......................... -1,543 -1,887 -343 -22.2

ET039 Photographic cameras and equipment:

Exports .............................. 1,825 1,800 -25 -1.4

Imports .............................. 5,843 5,299 -543 -9.3

Trade balance ......................... -4,018 -3,499 518 12.9

ET040 Medical goods:

Exports .............................. 12,455 13,411 956 7.7

Imports .............................. 7,932 9,178 1,246 15.7

Trade balance ......................... 4,522 4,232 -290 -6.4

ET041 Watches and clocks:

Exports .............................. 335 348 13 4.0

Imports .............................. 3,136 3,354 218 7.0

Trade balance ......................... -2,801 -3,006 -205 -7.3
Table 12-3--Continued

Electronic products sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

12-16

ET042 Drawing, drafting, and calculating instruments:

Exports .............................. 415 366 -50 -11.9

Imports .............................. 431 234 -196 -45.6

Trade balance ......................... -15 132 147 (

3

)

ET043 Measuring, testing, and controlling instruments:

Exports .............................. 14,575 16,749 2,175 14.9

Imports .............................. 9,656 11,743 2,087 21.6

Trade balance ......................... 4,919 5,006 88 1.8

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

2This coding system is used by the U.S. International Trade Commission to identify major groupings and

subgroupings of HTS import and export items for trade-monitoring purposes

3Not meaningful for purposes of comparison.

Note.—Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
13-1

,,,,,,,,,,,,,,,,

CHAPTER 13

Miscellaneous Manufactures

Josephine Spalding, Coordinator

(202) 205-3498

spalding@usitc.gov

Change in 2000 from 1999:

U.S. trade deficit: Increased by $5.4 billion (12 percent) to $50.5 billion

U.S. exports: Increased by $1.6 billion (11 percent) to $16.9 billion

U.S. imports: Increased by $7.0 billion (12 percent) to $67.3 billion

The expansion of the U.S. trade deficit in miscellaneous manufactures in 2000 was led by increases

in U.S. imports from China, Canada, the EU, and Mexico (table 13-1) of furniture, works of art, and

miscellaneous manufactured goods (table 13-2). Although growth in imports of precious jewelry and

related articles, lamps and lighting fittings, sporting goods, and toys also contributed to the higher U.S.

trade deficit in sector products (table 13-2), this trend was moderated by significant increases in U.S.

exports in some of these same categories: precious jewelry and related articles, furniture, works of art, and

miscellaneous manufactured goods.

Production processes for goods classified in the miscellaneous manufacturers sector tend to be

labor-intensive and the production technology is readily transferable to developing or newly industrialized

countries. Numerous sector imports are produced in Asia under license from U.S. companies and Asian

countries were the source of 60 percent (table 13-1) of U.S. imports in 2000. Imports tend to be

concentrated in products for which there is no competing U.S. industry (e.g., certain works of art), for

which there is no remaining U.S. production (e.g., home video games and certain Christmas decorations),

that require semiskilled assembly (e.g., jewelry, furniture, lamps, and lighting fittings), or that require

sewing (e.g., luggage, automobile seat covers, and baseballs) or low-technology injection molding (e.g.,

toys and dolls). Less import-sensitive product groups are characterized by products with high

transportation costs (e.g., upholstered furniture and fairground amusement rides); low raw-material cost in

the United States relative to those of foreign producers (e.g., baseball bats and silverware); or for which

U.S. manufacturers have superior design and production technology, or copyright protection (e.g., water

skis and board games). Trade statistics for all commodity/industry groups in the miscellaneous

manufactures sector are presented in table 13-3.
13-2

Table 13-1

Miscellaneous manufactures: U.S. exports of domestic merchandise, imports for consumption, and

merchandise trade balance, by selected countries and country groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Item 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. exports of domestic merchandise:

China ....................................... 113 132 19 16.5

Canada ..................................... 3,883 4,174 291 7.5

Mexico ...................................... 1,717 1,977 259 15.1

Japan ....................................... 1,598 2,057 459 28.7

Italy ........................................ 251 165 -86 -34.4

United Kingdom ............................... 1,382 1,506 124 9.0

France ...................................... 345 418 73 21.2

Taiwan ...................................... 227 349 122 54.0

Germany .................................... 493 590 97 19.6

Thailand ..................................... 55 76 21 39.1

All other ..................................... 5,206 5,429 223 4.3

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 15,270 16,872 1,602 10.5

EU-15 ...................................... 3,502 3,987 484 13.8

OPEC ...................................... 641 401 -240 -37.4

Latin America ................................. 2,913 3,244 331 11.4

CBERA ..................................... 579 674 95 16.4

Asia ........................................ 2,945 3,662 717 24.4

Sub-Saharan Africa ............................ 69 73 4 6.0

Central and Eastern Europe ...................... 39 39 (

2

) -0.2

U.S. imports for consumption:

China ....................................... 21,733 25,365 3,633 16.7

Canada ..................................... 5,740 6,452 712 12.4

Mexico ...................................... 4,697 5,160 463 9.9

Japan ....................................... 4,179 3,946 -232 -5.6

Italy ........................................ 3,689 3,971 282 7.7

United Kingdom ............................... 1,804 1,923 119 6.6

France ...................................... 2,446 2,989 543 22.2

Taiwan ...................................... 2,969 3,052 83 2.8

Germany .................................... 1,073 1,164 90 8.4

Thailand ..................................... 1,435 1,665 230 16.0

All other ..................................... 10,547 11,636 1,088 10.3

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... 60,312 67,322 7,011 11.6

EU-15 ...................................... 10,845 11,745 900 8.3

OPEC ...................................... 952 1,119 167 17.5

Latin America ................................. 5,863 6,393 530 9.0

CBERA ..................................... 475 408 -67 -14.1

Asia ........................................ 35,972 40,365 4,393 12.2

Sub-Saharan Africa ............................ 99 97 -2 -2.1

Central and Eastern Europe ...................... 372 468 96 25.9

U.S. merchandise trade balance:

China ....................................... -21,620 -25,233 -3,614 -16.7

Canada ..................................... -1,858 -2,278 -420 -22.6

Mexico ...................................... -2,980 -3,184 -204 -6.8

Japan ....................................... -2,581 -1,890 691 26.8

Italy ........................................ -3,438 -3,806 -369 -10.7

United Kingdom ............................... -422 -417 5 1.2

France ...................................... -2,101 -2,571 -470 -22.4

Taiwan ...................................... -2,742 -2,704 39 1.4

Germany .................................... -580 -573 6 1.1

Thailand ..................................... -1,380 -1,588 -208 -15.1

All other ..................................... -5,342 -6,207 -865 -16.2

–––––––––––––––––––––––––––––––––––––––––––– Total ..................................... -45,042 -50,450 -5,408 -12.0

EU-15 ...................................... -7,343 -7,759 -416 -5.7

OPEC ...................................... -312 -718 -407 -130.4

Latin America ................................. -2,950 -3,149 -199 -6.7

CBERA ..................................... 104 266 162 156.3

Asia ........................................ -33,027 -36,703 -3,675 -11.1

Sub-Saharan Africa ............................ -30 -24 6 20.5

Central and Eastern Europe ...................... -332 -429 -96 -28.9

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

 

2Less than $500,000.

Note.—Calculations based on unrounded data. The countries shown are those with the largest total U.S. trade (U.S.

imports plus exports) in these products in 2000.

Source: Compiled from official statistics of the U.S. Department of Commerce.
 

1

 Japan is the world’s leading producer of latest technology video games. Production of less profitable, older

technology video games is usually shifted from Japan to China. Despite a 5-percent reduction in U.S. imports of

games in 2000, this commodity group remains one of the leading import categories within the miscellaneous

(continued...)

13-3

Table 13-2

Leading changes in U.S. exports and imports of miscellaneous manufactures, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from 1999

,,,,,,,,,,,,,,,,,,,,,,,,,,

Sector/commodity 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

––––––– Million dollars ––––––––

U.S. EXPORTS:

Increases:

Precious jewelry and related articles (MM051) ...... 822 1,272 450 54.7

Furniture (MM054) ........................... 2,597 3,026 429 16.5

Works of art and miscellaneous manufactured 

goods (MM064) ........................... 1,731 2,142 411 23.8

Decreases:

Writing instruments and related articles (MM055) .... 333 288 -44 -13.4

Bicycles and certain parts (MM053) .............. 271 235 -35 -13.1

All other .................................... 9,515 9,907 392 4.1

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 15,270 16,872 1,602 10.5

U.S. IMPORTS:

Increases:

Furniture (MM054) ........................... 12,775 15,159 2,384 18.7

Works of art and miscellaneous manufactured 

goods (MM064) ........................... 8,463 9,641 1,178 13.9

Precious jewelry and related articles (MM051) ...... 5,063 5,737 674 13.3

Lamps and lighting fittings (MM056) .............. 3,858 4,496 639 16.6

Sporting goods (MM061) ...................... 3,027 3,565 537 17.7

Toys (MM059) .............................. 7,978 8,462 484 6.1

Luggage, handbags, and flat goods (MM046) ....... 4,073 4,381 307 7.5

Seats for motor vehicles and aircraft (MM067) ...... 3,024 3,209 184 6.1

Writing instruments and related articles (MM055) .... 965 1,146 181 18.7

Musical instruments and accessories (MM048) ..... 1,256 1,413 157 12.5

Bicycles and certain parts (MM053) .............. 1,199 1,348 150 12.5

Decreases:

Games (MM060) ............................ 4,086 3,879 -207 -5.1

All other .................................... 4,544 4,888 344 7.6

––––––––––––––––––––––––––––––––––––––––––––

TOTAL .................................. 60,312 67,322 7,011 11.6

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.-Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

U.S. BILATERAL TRADE

Largest trade balance shifts in 2000 from 1999:

China: U.S. deficit increased by $3.6 billion (17 percent) to $25.2 billion

Japan: U.S. deficit decreased by $691 million (27 percent) to $1.9 billion

France: U.S. deficit increased by $470 million (22 percent) to $2.6 billion

Five factors characterized U.S. bilateral trade in the miscellaneous manufactures sector: 

predominance of labor-intensive articles imported from China; consistently high imports of video games

from Japan;1 rationalized production and intercompany trade between the United States and Canada; the
 

1

 (...continued)

manufactures sector. The decrease in imports of video games was due, in part, to the surge in popularity of

scooters, which contributed to the 18-percent increase in imports of sporting goods in 2000.

The growth in the popularity of scooters and home exercise equipment in the United States has boosted

U.S. imports from China. Much of Taiwan’s production of scooters and exercise equipment has shifted to China as

labor costs in Taiwan have risen. The production of both products is labor-intensive and uses relatively low

manufacturing technology.

 

2

 Part of this ongoing trend reflects consumer demand for labor intensive, intricately carved articles of wood

household furniture made in China. These articles include wood-posted bed frames, highly styled wooden chest of

drawers, and wood-claw dining room tables and chairs. Accordingly, the share of apparent U.S. consumption of

furniture accounted for by imports rose from 13 percent to 19 percent during 1996-2000. 

 

3

 Furniture is defined as moveable, utilitarian articles that are generally placed on the floor (e.g., sofas,

bookcases, desks, chairs, tables, chests, cabinets, and bed frames). Household and office furniture are the principal

product categories.

13-4

presence of two-way trade in high-end manufactured goods and trade in works of art between the United

States and the EU; and increased reliance on assembly plants in Mexico by foreign manufacturers,

particularly for motor vehicle seat covers.

Strong domestic demand for furniture, toys, lamps and lighting fittings, and sporting goods resulted

in a combined increase in imports from China of $2.4 billion (19 percent) to $15.3 billion in 2000.2 U.S.

imports of video games from Japan declined by $345 million (13 percent) in 2000 to $2.2 billion. Weak

sales of the Sony Playstation II accounted for a significant portion of the decline in sector trade with Japan

in 2000.

U.S. imports of works of art and antiques from France rose by $490 million (27 percent) to reach

$2.3 billion in 2000. A large portion of these imports consist of items purchased at overseas auctions. In

 addition, works of art on tour, such as Degas at the Races, are considered to be an import while on tour

and an export when returned to the home museum.

COMMODITY ANALYSIS OF FURNITURE3

Change in 2000 from 1999:

U.S. trade deficit: Increased by $2.0 billion (19 percent) to $12.1 billion

U.S. exports: Increased by $429 million (17 percent) to $3.0 billion

U.S. imports: Increased by $2.4 billion (19 percent) to $15.2 billion

The expansion of the U.S. trade deficit in furniture in 2000 was the result of strong growth in U.S.

imports from China, Canada, Italy, and Mexico. Low-cost producers in China have emerged as world

leaders in top-quality wood household and bedroom furniture. Producers in Canada are highly skilled and

benefit from close proximity to the U.S. market. Furniture producers in Italy are rationalizing production

in order to remain competitive with producers in East Asia. Manufacturers in Mexico have enhanced their

competitiveness by significantly improving the finishes on their furniture. Nonetheless, U.S. manufacturers

remain in a strong competitive position in fully assembled wood household furniture that does not require

labor intensive wood carving, upholstered furniture, ready-to-assemble (RTA) household and office
 

4

 For a more detailed assessment of the domestic and global furniture industry, see USITC, Industry and Trade

Summary on Furniture and Motor Vehicle Seats, USITC publication 3382, Jan. 2001.

 

5

 Powell Slaughter, “Bedroom Imports Mean Changes on Domestic Scene,” Furniture Today, Jan. 15, 2001, p.

8.

 

6

 For example, the North Carolina furniture industry cut 2,200 jobs in 2000. During the last 10 years, a total of

6,600 furniture jobs have been lost. Furniture Brands International reportedly plans to cut 1,000 U.S. jobs and

eliminate 500,000 square feet of U.S. manufacturing operations. Brian Carrol, “Furniture Production Exodus Gains

Steam,” Mar. 5, 2001, p. 1, found at http://www.furnituretoday.com/news, retrieved Mar. 5, 2001.

 

7

 Joan Gunin, “Natuzzi Leather Leader Raises the Bar,” Furniture Today, Nov. 13, 2000, p. 8.

 

8

 As used in the tariff nomenclature of the Harmonized System, the term “seats” includes both chairs and sofas.

 

9

 Joan Gunin, “Natuzzi Leather Leader Raises the Bar,” p. 8.

13-5

furniture with highly automated methods of production (e.g., for home entertainment centers), systems

office furniture, mattresses, and kitchen cabinets.4

U.S. imports

China accounted for the largest growth in U.S. imports of furniture, rising by $1.0 billion (17

percent) in 2000 to $4.1 billion. Wood household furniture accounted for the bulk of the increase, as such

imports rose by $701 million (33 percent) to $2.8 billion. China’s strong inroads into the U.S. market have

been particularly successful in the high-end segment of the wood household furniture market which is

characterized by detailed woodwork involving intricate carving and hand-polished finish. Producers of

household furniture in China have access to a highly skilled, lower cost labor force. China’s success

reportedly has caused a number of U.S. producers to exit the high-end, wood household furniture market

and import from China instead.5 Increasingly, producers in both the United States and the EU are shifting

the labor-intensive production of bedroom and dining room furniture to foreign locations with lower labor

costs.6 For example, Italian producers are beginning to manufacture leather upholstered sofas in China.7

Canadian furniture producers are successful in the U.S. market owing to geographic proximity,

access to low-cost lumber, similar consumer preferences in furniture design, comparable methods of

manufacture, and similar channels of distribution. Accordingly, U.S. imports of Canadian household

furniture rose by $286 million (18 percent) in 2000 to $1.8 billion while U.S. imports of office furniture

rose by $212 million (19 percent) to $1.3 billion. The cost of transporting high weight-to-value fully

assembled household furniture provides Canadian producers an advantage over other foreign suppliers to

the U.S. market. Hence, the leading North American producers of office furniture are located close to the

U.S.-Canada border (Michigan and Ontario), which contributes to strong two-way trade between the

United States and Canada. Because manufacturing methods for the production of office furniture are

relatively capital intensive and transportation costs are high, the United States and Canada supply most of

each other’s import demand for office furniture.

U.S. imports of furniture from the EU rose by $307 million (16 percent) in 2000 to $2.2 billion. 

Italy, the dominant EU supplier, accounted for by far the greatest share of the increase as U.S. imports of

furniture from Italy rose by $225 million (21 percent) in 2000 to $1.3 billion. Almost all U.S. imports

from Italy in that year were of household furniture, particularly upholstered leather sofas. Industries

Natuzzi, Italy’s leading leather sofa manufacturer, currently supplies world markets from its plants in Italy,

which have a combined production capacity of 11,500 seats8 per day.9 In order to reduce backlogs at

Italian plants, and to respond effectively to cost competition from upholstered leather sofa producers in

Brazil and China, Natuzzi is establishing production facilities in each of these countries. Its plant in Brazil

will produce 600 seats each day dedicated to U.S. east coast delivery. Likewise, its plant in China will
 

10 Ibid., p. 12.

 

11 Furniture/Today Latin America, Fall 2000, p.8.

 

12 Valspar (headquarted in Minneapolis, MN) has two plants and Akzo Nobel Chemicals (Netherlands) has one

facility in Mexico.

 

13 Powell Slaughter, “Mexico’s Famsa in U.S.,” Furniture Today, Feb. 19, 2001, p.1.

13-6

produce 400 seats per day for delivery to the west coast of the United States. Moreover, production

capacity in Italy will be expanded by an additional 1,500 seat per day.10

Household furniture accounted for the bulk of U.S. imports from Mexico, which rose by $54

million (9 percent) in 2000 to reach $685 million. The Mexican furniture industry’s competitive strength

lies in its highly skilled, low-cost labor force; proximity to the United States; and access to domestically

milled lumber. However, poor finishes and weak distribution outlets in the United States reportedly have

somewhat hindered Mexico’s penetration of the U.S. market.11 To address the need for improved finishes,

two world-class manufacturers of furniture finishes recently established operations in Mexico.12 Moreover,

to improve distribution, Grupo Famsa, a major furniture distributor headquartered in Mexico, plans to open

15 stores in Southern California.13

Josephine Spalding

(202) 205-3498

spalding@usitc.gov
Table 13-3

Miscellaneous manufactures sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

13-7

MM046 Luggage, handbags, and flat goods:

Exports .............................. 329 351 22 6.8

Imports .............................. 4,073 4,381 307 7.5

Trade balance ......................... -3,744 -4,029 -285 -7.6

MM046A Luggage:

Exports .............................. 250 253 3 1.2

Imports .............................. 2,619 2,741 122 4.7

Trade balance ......................... -2,369 -2,489 -119 -5.0

MM046B Handbags:

Exports .............................. 42 63 21 49.6

Imports .............................. 1,004 1,179 174 17.3

Trade balance ......................... -963 -1,116 -153 -15.9

MM046C Flat goods:

Exports .............................. 32 30 -2 -5.0

Imports .............................. 428 435 7 1.5

Trade balance ......................... -396 -404 -8 -2.1

MM047 Certain other leather goods:

Exports .............................. 123 173 50 41.2

Imports .............................. 209 242 33 15.7

Trade balance ......................... -86 -69 18 20.5

MM048 Musical instruments and accessories:

Exports .............................. 360 371 12 3.3

Imports .............................. 1,256 1,413 157 12.5

Trade balance ......................... -896 -1,042 -145 -16.2

MM049 Umbrellas, whips, riding crops, and canes:

Exports .............................. 11 11 (

3

) (

4

)

Imports .............................. 248 284 35 14.2

Trade balance ......................... -237 -273 -35 -14.9

MM050 Silverware and related articles of precious metal:

Exports .............................. 123 165 43 34.7

Imports .............................. 57 68 11 18.5

Trade balance ......................... 66 98 32 48.8

MM051 Precious jewelry and related articles:

Exports .............................. 822 1,272 450 54.7

Imports .............................. 5,063 5,737 674 13.3

Trade balance ......................... -4,241 -4,464 -224 -5.3

MM052 Costume jewelry and related articles:

Exports .............................. 133 127 -6 -4.5

Imports .............................. 546 619 72 13.2

Trade balance ......................... -413 -492 -78 -19.0

MM053 Bicycles and certain parts:

Exports .............................. 271 235 -35 -13.1

Imports .............................. 1,199 1,348 150 12.5

Trade balance ......................... -928 -1,113 -185 -19.9

MM054 Furniture:

Exports .............................. 2,597 3,026 429 16.5

Imports .............................. 12,775 15,159 2,384 18.7

Trade balance ......................... -10,178 -12,132 -1,954 -19.2

MM055 Writing instruments and related articles:

Exports .............................. 333 288 -44 -13.4

Imports .............................. 965 1,146 181 18.7

Trade balance ......................... -632 -857 -225 -35.7
Table 13-3--Continued

Miscellaneous manufactures sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

See footnote(s) at end of table.

13-8

MM056 Lamps and lighting fittings:

Exports .............................. 585 678 93 15.9

Imports .............................. 3,858 4,496 639 16.6

Trade balance ......................... -3,272 -3,818 -546 -16.7

MM057 Prefabricated buildings:

Exports .............................. 327 331 4 1.2

Imports .............................. 221 281 60 27.4

Trade balance ......................... 107 50 -57 -53.0

MM058 Dolls:

Exports .............................. 25 30 5 20.0

Imports .............................. 1,374 1,475 101 7.3

Trade balance ......................... -1,349 -1,445 -96 -7.1

MM059 Toys:

Exports .............................. 497 532 36 7.2

Imports .............................. 7,978 8,462 484 6.1

Trade balance ......................... -7,481 -7,930 -448 -6.0

MM060 Games:

Exports .............................. 936 944 8 0.9

Imports .............................. 4,086 3,879 -207 -5.1

Trade balance ......................... -3,150 -2,935 215 6.8

MM061 Sporting goods:

Exports .............................. 1,621 1,679 58 3.6

Imports .............................. 3,027 3,565 537 17.7

Trade balance ......................... -1,407 -1,886 -479 -34.1

MM062 Smokers' articles:

Exports .............................. 71 77 6 9.1

Imports .............................. 134 140 7 4.9

Trade balance ......................... -63 -63 (

3

) -0.1

MM063 Brooms, brushes, and hair grooming articles:

Exports .............................. 206 243 37 18.1

Imports .............................. 955 859 -97 -10.1

Trade balance ......................... -750 -616 134 17.9

MM063A Brooms and brushes:

Exports .............................. 179 214 35 19.8

Imports .............................. 614 625 11 1.7

Trade balance ......................... -435 -410 25 5.7

MM063B Hair grooming articles, non-electric (except

 brushes):

Exports .............................. 27 28 2 6.8

Imports .............................. 341 234 -107 -31.5

Trade balance ......................... -315 -205 109 34.7

MM064 Works of art and miscellaneous manufactured

 goods:

Exports .............................. 1,731 2,142 411 23.8

Imports .............................. 8,463 9,641 1,178 13.9

Trade balance ......................... -6,732 -7,499 -766 -11.4

MM065 Apparel fasteners:

Exports .............................. 140 183 43 30.5

Imports .............................. 89 85 -4 -4.2

Trade balance ......................... 51 98 46 90.8
Table 13-3--Continued

Miscellaneous manufactures sector: U.S. trade for selected industry/commodity groups, 1999 and 20001

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Change, 2000 from1999 USITC ,,,,,,,,,,,,,,,,,,,,,,,,,,

code2Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

13-9

MM066 Arms and ammunition:

Exports .............................. 2,152 2,151 -2 -0.1

Imports .............................. 711 836 126 17.7

Trade balance ......................... 1,442 1,314 -128 -8.9

MM067 Seats for motor vehicles and aircraft:

Exports .............................. 1,878 1,861 -17 -0.9

Imports .............................. 3,024 3,209 184 6.1

Trade balance ......................... -1,146 -1,348 -202 -17.6

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

1

Import values are based on customs value; export values are based on f.a.s. value, U.S. port of export.

2This coding system is used by the U.S. International Trade Commission to identify major groupings and

subgroupings of HTS import and export items for trade-monitoring purposes

3Less than $500,000.

4Less than 0.05 percent.

Note.—Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.

,,,,,,,,,,,,,,,,

APPENDIX A

Industry/Commodity Groups

and Subgroups in This Report

Industry/commodity groups have been revised to provide for the creation of narrow product subgroups

within the present industry/commodity structure. Subgroups will show trade data for narrower product

groups that serve analytical purposes, and provide for more meaningful profile data. Subgroups are

designated by alphabetical suffix to the USITC industry/commodity group.

A-3

Agricultural products sector1

(HTS chapters2 1-24, 35, 41, 43, 51, 52)

AG001 Certain miscellaneous animals and

meats

AG002 Cattle and beef

AG003 Swine and pork

AG004 Sheep and meat of sheep

AG005 Poultry

AG006 Fresh or frozen fish

AG007 Canned fish

AG008 Cured and other fish

AG009 Shellfish

AG010 Dairy produce

AG011 Eggs

AG012 Sugar and other sweeteners

AG012A Sugar

AG012B High fructose corn sweetener

AG013 Animal feeds

AG014 Live plants

AG015 Seeds

AG016 Cut flowers

AG017 Miscellaneous vegetable substances

AG018 Fresh, chilled, or frozen vegetables

AG019 Prepared or preserved vegetables,

mushrooms, and olives

AG020 Edible nuts

AG021 Tropical fruit

AG022 Citrus fruit

AG023 Deciduous fruit

AG024 Other fresh fruit

AG025 Dried fruit other than tropical

AG026 Frozen fruit

AG027 Prepared or preserved fruit

AG028 Coffee and tea

AG029 Spices

AG030 Cereals

AG031 Milled grains, malts, and starches

AG032 Oilseeds

AG033 Animal or vegetable fats and oils

AG034 Pasta, cereals, and other bakery goods

AG035 Sauces, condiments, and soups

AG036 Infant formulas, malt extracts, and other

edible preparations

AG037 Cocoa, chocolate, and confectionery

AG038 Fruit and vegetable juices

AG039 Nonalcoholic beverages, excluding fruit

and vegetable juices

AG040 Malt beverages

AG041 Wine and certain other fermented

beverages

AG042 Distilled spirits

AG043 Unmanufactured tobacco

AG044 Cigars and certain other manufactured

tobacco

AG045 Cigarettes

AG046 Hides, skins, and leather

AG047 Furskins

AG048 Wool and other animal hair

AG049 Cotton, not carded or combed

AG050 Ethyl alcohol for nonbeverage purposes

Forest products sector

(HTS chapters 14, 44-49)

AG051 Logs and rough wood products

AG052 Lumber

AG053 Moldings, millwork, and joinery

AG054 Wood veneer and wood panels

AG055 Wooden containers

AG056 Tools and tool handles of wood

AG057 Miscellaneous articles of wood

AG058 Cork and rattan

AG059 Wood pulp and wastepaper

AG060 Paper boxes and bags

AG061 Industrial papers and paperboards

AG062 Newsprint

AG063 Printing and writing papers

AG064 Certain specialty papers

AG065 Miscellaneous paper products

AG066 Printed matter

Chemicals and related products sector

(HTS chapters 13-15, 22, 25, 27-40)

CH007 Major primary olefins

CH008 Other olefins

CH009 Primary aromatics

CH010 Organic commodity chemicals

CH011 Organic specialty chemicals

CH012 Certain organic chemicals

CH013 Miscellaneous inorganic chemicals

CH014 Inorganic acids

CH015 Chlor-alkali chemicals

CH016 Fertilizers

CH017 Paints, inks, and related items, and

certain components thereof
A-4

Chemicals and related products

sector–Continued

CH018 Synthetic organic pigments

CH019 Synthetic dyes and azoic couplers

CH020 Synthetic tanning agents

CH021 Natural tanning and dyeing materials

CH022 Photographic chemicals and

preparations

CH023 Pesticide products and formulations

CH024 Adhesives and glues

CH025 Medicinal chemicals

CH026 Essential oils and other flavoring

materials

CH027 Perfumes, cosmetics, and toiletries

CH028 Soaps, detergents, and surface-active

agents

CH029 Miscellaneous chemicals and specialties

CH030 Explosives, propellant powders, and

related items

CH031 Polyethylene resins in primary forms

CH032 Polypropylene resins in primary forms

CH033 Polyvinyl chloride resins in primary

forms

CH034 Styrene polymers in primary forms

CH035 Saturated polyester resins

CH036 Other plastics in primary forms

CH037 Styrene-butadiene rubber in primary

forms

CH038 Other synthetic rubber

CH039 Pneumatic tires and tubes (new)

CH040 Other tires

CH041 Miscellaneous plastic products

CH042 Miscellaneous rubber products

CH043 Gelatin

CH044 Natural rubber

Energy-related products sector

(HTS chapters 27-29, 34, 36, 38)

CH001 Electrical energy

CH002 Nuclear materials

CH003 Coal, coke, and related chemical

products

CH004 Crude petroleum

CH005 Petroleum products

CH006 Natural gas and components

Textiles, apparel, and footwear sector

(HTS chapters 39, 40, 42, 43, 50-65)

CH045 Fibers and yarns, except raw cotton and

raw wool

CH046 Fabrics

CH046A Broadwoven fabrics

CH046B Knit fabrics

CH046C Specialty fabrics

CH046D Coated and other fabrics

CH046E Glass fiber fabrics

CH046F Other fabrics

CH047 Carpets and rugs

CH048 Home furnishings

CH048A Blankets

CH048B Pillowcases and sheets

CH048C Table/kitchen linens and towels

CH048D Curtains

CH048E Bedspreads and other furnishing

articles

CH048F Pillows, cushions, and sleeping bags

CH048G Tapestries and other wall hangings

CH049 Apparel

CH049A Men's and boys' suits and sports

coats

CH049B Men's and boys' coats and jackets

CH049C Men's and boys' trousers

CH049D Women's and girls' trousers

CH049E Shirts and blouses

CH049F Sweaters

CH049G Women's and girls' suits, skirts, and

coats

CH049H Women's and girls' dresses

CH049I Robes, nightwear, and underwear

CH049J Hosiery

CH049K Body-supporting garments

CH049L Neckwear, handkerchiefs, and

scarves

CH049M Gloves, including gloves for sports

CH049N Headwear

CH049O Leather apparel and accessories

CH049P Fur apparel and other fur articles

CH049Q Rubber, plastic, and coated-fabric

apparel

CH049R Nonwoven apparel

CH049S Other wearing apparel

CH050 Miscellaneous textile products

CH051 Footwear
A-5

Minerals and metals sector

(HTS chapters 25, 26, 68-76, 78-84)

MM001 Clays and related mineral products

MM002 Fluorspar and miscellaneous mineral

substances

MM003 Iron ores and concentrates

MM004 Copper ores and concentrates

MM005 Lead ores, concentrates, and residues

MM005A Lead ores and concentrates

MM006 Zinc ores, concentrates, and residues

MM006A Zinc ores and concentrates

MM007 Certain ores, concentrates, ash, and

residues

MM007A Molybdenum ores and concentrates

MM008 Precious metal ores and concentrates

MM008A Gold ores and concentrates

MM008B Silver ores and concentrates

MM009 Cement, stone, and related products

MM009A Cement

MM010 Industrial ceramics

MM011 Ceramic bricks and similar articles

MM012 Ceramic floor and wall tiles

MM013 Ceramic household articles

MM014 Flat glass

MM015 Glass containers

MM016 Household glassware

MM017 Miscellaneous glass products

MM018 Fiberglass insulation products

MM019 Natural and synthetic gemstones

MM020 Precious metals and non-numismatic

coins

MM020A Unrefined and refined gold

MM021 Primary iron products

MM022 Ferroalloys

MM023 Iron and steel waste and scrap

MM024 Abrasive and ferrous products

MM024A Abrasive products

MM025 Steel mill products

MM026 Steel pipe and tube fittings and certain

cast products

MM027 Fabricated structurals

MM028 Metal construction components

MM029 Metallic containers

MM030 Wire products of base metal

MM031 Miscellaneous products of base metal

MM032 Industrial fasteners of base metal

MM033 Cooking and kitchen ware

MM034 Metal and ceramic sanitary ware

MM035 Construction castings and other

cast-iron articles

MM036 Copper and related articles

MM036A Unrefined and refined copper

MM036B Copper alloy plate, sheet, and strip

MM037 Unwrought aluminum

MM037A Primary and secondary aluminum

MM038 Aluminum mill products

MM038A Aluminum bars, rods, and profiles

MM038B Aluminum wire

MM038C Aluminum plate, sheet, and strip

MM038D Aluminum foil

MM038E Aluminum tubes, pipes, and fittings

MM039 Lead and related articles

MM039A Refined lead

MM040 Zinc and related articles

MM040A Unwrought zinc

MM041 Certain base metals and chemical

elements

MM041A Titanium ingot

MM042 Nonpowered handtools

MM043 Certain cutlery, sewing implements, and

related products

MM044 Table flatware and related products

MM045 Certain builders' hardware

Machinery sector

(HTS chapters 84, 85, 87)

MM068 Wiring harnesses for motor vehicles

MM069 Pumps for motor vehicles

MM070 Pumps for liquids

MM071 Air-conditioning equipment and parts

MM072 Industrial thermal-processing equipment

and furnaces

MM073 Household appliances, including

commercial applications

MM073A Major household appliances and

parts

MM074 Centrifuges and filtering and purifying

equipment

MM075 Wrapping, packaging, and can-sealing

machinery

MM076 Scales and weighing machinery

MM077 Mineral processing machinery

MM078 Farm and garden machinery and

equipment
A-6

Machinery sector–Continued

MM079 Industrial food-processing and related

machinery

MM080 Pulp, paper, and paperboard machinery

MM081 Printing and related machinery

MM082 Textile machinery

MM083 Metal rolling mills

MM084 Metal cutting machine tools and

machine tool accessories

MM085 Metal forming machine tools

MM086 Non-metalworking machine tools

MM087 Semiconductor manufacturing

equipment and robotics

MM087A Semiconductor manufacturing

machinery

MM088 Taps, cocks, valves, and similar devices

MM089 Mechanical power transmission

equipment

MM090 Boilers, turbines, and related machinery

MM091 Electric motors, generators, and related

equipment

MM092 Electrical transformers, static

converters, and inductors

MM093 Portable electric handtools

MM094 Nonelectrically powered handtools and

parts thereof

MM095 Electric lamps (bulbs) and portable

electric lights

MM096 Welding and soldering equipment

MM097 Nonautomotive insulated electrical wire

and related products

MM098 Miscellaneous machinery

MM099 Molds and molding machinery

Transportation equipment sector

(HTS chapters 84-89)

ET001 Aircraft engines and gas turbines

ET002 Internal combustion piston engines,

other than for aircraft

ET003 Forklift trucks and similar industrial

vehicles

ET004 Construction and mining equipment

ET005 Ball and rollers bearings

ET006 Primary cells and batteries and electric

storage batteries

ET007 Ignition, starting, lighting, and other

electrical equipment

ET008 Rail locomotive and rolling stock

ET009 Motor vehicles

ET010 Certain motor-vehicle parts

ET011 Motorcycles, mopeds, and parts

ET012 Miscellaneous vehicles and

transportation-related equipment

ET013 Aircraft, spacecraft, and related

equipment

ET014 Ships, tugs, pleasure boats, and similar

vessels

ET015 Motors and engines, except internal

combustion, aircraft, or electric

Electronic products sector

(HTS chapters 37, 84, 85, 88, 90, 91)

ET016 Office machines

ET017 Telephone and telegraph apparatus

ET018 Consumer electronics (except

televisions)

ET019 Blank media

ET020 Prerecorded media

ET021 Navigational instruments and remote

control apparatus

ET022 Television receivers and video monitors

ET023 Radio and television broadcasting

equipment

ET024 Electric sound and visual signaling

apparatus

ET025 Electrical capacitors and resistors

ET026 Printed circuits

ET027 Circuit apparatus exceeding 1000V

ET028 Circuit apparatus not exceeding 1000V

ET029 Circuit apparatus assemblies

ET030 Parts of circuit apparatus

ET031 Cathode-ray tubes

ET032 Electron tubes other than CRTs

ET033 Semiconductors and integrated circuits

ET034 Miscellaneous electrical equipment

ET035 Computers, peripherals, and parts

ET036 Photographic film and paper

ET037 Optical fibers, optical fiber bundles and

cables

ET038 Optical goods, including ophthalmic

goods

ET039 Photographic cameras and equipment
A-7

Electronic products sector–Continued

ET040 Medical goods

ET041 Watches and clocks

ET042 Drawing, drafting, and calculating

instruments

ET043 Measuring, testing, and controlling

instruments

Miscellaneous manufactures sector

(HTS chapters 14, 44-49)

MM046 Luggage, handbags, and flat goods

MM046A Luggage

MM046B Handbags

MM046C Flat goods

MM047 Certain other leather goods

MM048 Musical instruments and accessories

MM049 Umbrellas, whips, riding crops, and

canes

MM050 Silverware and related articles of

precious metal

MM051 Precious jewelry and related articles

MM052 Costume jewelry and related articles

MM053 Bicycles and certain parts

MM054 Furniture

MM055 Writing instruments and related articles

MM056 Lamps and lighting fittings

MM057 Prefabricated buildings

MM058 Dolls

MM059 Toys

MM060 Games

MM061 Sporting goods

MM062 Smokers' articles

MM063 Brooms, brushes, and hair grooming

articles

MM063A Brooms and brushes

—————————

1

 This coding system (e.g., AG0012, AG012A) is used by the USITC to identify major groupings and

subgroupings of U.S. Harmonized Tariff Schedule headings/subheadings and corresponding export categories for

trade monitoring purposes. See app. C for industry and trade data for certain groupings and subgroupings.

2

 Products in some HTS chapters are divided between sectors monitored by the Commission; however, no

products are in more than one sector. Chapter 77 of the HTS is not used and is reserved for possible future use.

Chapters 98-99 of the HTS are for special classification provisions.

,,,,,,,,,,,,,,,,

APPENDIX B

HTS 8-Digit Subheading Ranges

Included in Industry/Commodity Groups

and Subgroups, by Sector

Table B-1

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-3

Agricultural products sector:

AG001 Certain miscellaneous animals and meats .......................... 0101.11.00 - 0102.10.00

0103.10.00 - 0103.10.00

0104.20.00 - 0104.20.00

0106.00.10 - 0106.00.50

0204.50.00 - 0206.90.00

0208.10.00 - 0208.90.40

0210.11.00 - 0210.90.40

0410.00.00 - 0511.10.00

0511.99.20 - 0511.99.40

1601.00.20 - 1602.10.00

1602.41.10 - 1603.00.90

3502.90.00 - 3502.90.00

AG002 Cattle and beef .............................................. 0102.90.20 - 0102.90.40

0201.10.05 - 0202.30.80

AG003 Swine and pork .............................................. 0103.91.00 - 0103.92.00

0203.11.00 - 0203.29.40

AG004 Sheep and meat of sheep ...................................... 0104.10.00 - 0104.10.00

0204.10.00 - 0204.43.40

AG005 Poultry .................................................... 0105.11.00 - 0105.99.00

0207.11.00 - 0207.36.00

1602.20.20 - 1602.39.00

AG006 Fresh or frozen fish ........................................... 0302.11.00 - 0304.90.90

AG007 Canned fish ................................................. 1604.11.20 - 1604.19.80

AG008 Cured and other fish .......................................... 0301.10.00 - 0301.99.00

0305.10.20 - 0305.69.60

0511.91.00 - 0511.91.00

1604.20.05 - 1604.30.40

AG009 Shellfish ................................................... 0306.11.00 - 0307.99.00

1605.10.05 - 1605.90.60

AG010 Dairy produce ............................................... 0401.10.00 - 0406.90.99

2105.00.05 - 2105.00.50

3501.10.10 - 3501.10.50

3501.90.60 - 3501.90.60

3502.20.00 - 3502.20.00

AG011 Eggs ...................................................... 0407.00.00 - 0408.99.00

3502.11.00 - 3502.19.00

AG012 Sugar and other sweeteners .................................... 0409.00.00 - 0409.00.00

1212.91.00 - 1212.92.00

1701.11.05 - 1703.90.50

AG012A Sugar ..................................................... 1701.11.05 - 1701.99.50

1702.90.05 - 1702.90.90

AG012B High fructose corn sweetener ................................... 1702.40.22 - 1702.40.40

1702.60.22 - 1702.60.40

AG013 Animal feeds ................................................ 1208.10.00 - 1208.90.00

1213.00.00 - 1214.90.00

2301.10.00 - 2309.90.95

AG014 Live plants .................................................. 0601.10.15 - 0602.90.40

0602.90.60 - 0602.90.90

AG015 Seeds ..................................................... 0602.90.50 - 0602.90.50

0713.10.10 - 0713.10.10

0713.20.10 - 0713.20.10

0713.31.10 - 0713.31.10

0713.32.10 - 0713.32.10
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-4

0713.33.10 - 0713.33.10

0713.39.10 - 0713.39.10

0713.40.10 - 0713.40.10

0713.50.10 - 0713.50.10

0713.90.10 - 0713.90.10

1001.10.00 - 1001.10.00

1001.90.10 - 1001.90.10

1004.00.00 - 1004.00.00

1005.10.00 - 1005.10.00

1007.00.00 - 1007.00.00

1008.20.00 - 1008.20.00

1209.11.00 - 1209.99.40

AG016 Cut flowers ................................................. 0603.10.30 - 0603.90.00

AG017 Miscellaneous vegetable substances .............................. 0604.10.00 - 0604.99.60

1108.20.00 - 1108.20.00

1210.10.00 - 1212.30.00

1212.99.00 - 1212.99.00

1301.10.00 - 1301.90.90

1302.12.00 - 1302.39.00

1402.10.00 - 1403.90.40

1404.90.00 - 1404.90.00

AG018 Fresh, chilled, or frozen vegetables ............................... 0701.10.00 - 0710.90.90

AG019 Prepared or preserved vegetables, mushrooms, and olives ............. 0711.10.00 - 0712.90.80

0713.10.20 - 0713.10.40

0713.20.20 - 0713.20.20

0713.31.20 - 0713.31.40

0713.32.20 - 0713.32.20

0713.33.20 - 0713.33.40

0713.39.15 - 0713.39.40

0713.40.20 - 0713.40.20

0713.50.20 - 0713.50.20

0713.90.50 - 0714.90.60

1105.10.00 - 1106.20.00

2001.10.00 - 2005.90.97

2008.91.00 - 2008.91.00

2008.99.61 - 2008.99.61

2008.99.65 - 2008.99.65

AG020 Edible nuts ................................................. 0801.11.00 - 0802.90.98

0813.50.00 - 0813.50.00

1202.10.05 - 1202.20.80

2008.11.02 - 2008.19.90

AG021 Tropical fruit ................................................ 0803.00.20 - 0804.50.80

0807.20.00 - 0807.20.00

0810.90.25 - 0810.90.25

0813.40.10 - 0813.40.10

0813.40.80 - 0813.40.80

AG022 Citrus fruit .................................................. 0805.10.00 - 0805.90.00

0812.90.20 - 0812.90.20

0814.00.10 - 0814.00.80

2008.30.10 - 2008.30.95

AG023 Deciduous fruit .............................................. 0808.10.00 - 0809.40.40

AG024 Other fresh fruit .............................................. 0806.10.20 - 0806.10.60

0807.11.30 - 0807.19.80

0810.10.20 - 0810.90.20
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-5

0810.90.25 - 0810.90.40

AG025 Dried fruit other than tropical .................................... 0806.20.10 - 0806.20.90

0813.10.00 - 0813.30.00

0813.40.15 - 0813.40.40

0813.40.90 - 0813.40.90

0813.50.00 - 0813.50.00

AG026 Frozen fruit ................................................. 0811.10.00 - 0811.90.80

AG027 Prepared or preserved fruit ..................................... 0812.10.00 - 0812.90.10

0812.90.30 - 0812.90.90

1106.30.20 - 1106.30.40

2006.00.20 - 2007.99.75

2008.20.00 - 2008.20.00

2008.40.00 - 2008.80.00

2008.92.10 - 2008.99.60

2008.99.63 - 2008.99.63

2008.99.80 - 2008.99.90

AG028 Coffee and tea ............................................... 0901.11.00 - 0903.00.00

2101.11.21 - 2101.30.00

AG029 Spices ..................................................... 0904.11.00 - 0910.99.60

1207.50.00 - 1207.50.00

2103.30.20 - 2103.30.40

AG030 Cereals .................................................... 1001.10.00 - 1001.10.00

1001.90.20 - 1003.00.40

1004.00.00 - 1004.00.00

1005.90.20 - 1006.40.00

1007.00.00 - 1008.10.00

1008.30.00 - 1008.90.00

AG031 Milled grains, malts, and starches ................................ 1101.00.00 - 1104.30.00

1107.10.00 - 1108.19.00

1109.00.10 - 1109.00.90

1903.00.20 - 1903.00.40

AG032 Oilseeds ................................................... 1201.00.00 - 1201.00.00

1203.00.00 - 1207.40.00

1207.60.00 - 1207.99.00

AG033 Animal or vegetable fats and oils ................................. 0209.00.00 - 0209.00.00

1501.00.00 - 1518.00.40

1522.00.00 - 1522.00.00

AG034 Pasta, cereals, and other bakery goods ............................ 1901.20.02 - 1901.20.80

1902.11.20 - 1902.40.00

1904.10.00 - 1905.90.90

2102.10.00 - 2102.30.00

AG035 Sauces, condiments, and soups ................................. 2103.10.00 - 2103.20.40

2103.90.20 - 2104.20.00

2209.00.00 - 2209.00.00

AG036 Infant formulas, malt extracts, and other edible preparations ............ 1704.10.00 - 1704.10.00

1901.10.05 - 1901.10.95

1901.90.10 - 1901.90.90

2106.10.00 - 2106.90.09

2106.90.22 - 2106.90.46

2106.90.58 - 2106.90.99

3504.00.10 - 3504.00.50

AG037 Cocoa, chocolate, and confectionery .............................. 1704.90.10 - 1806.90.90

AG038 Fruit and vegetable juices ...................................... 2009.11.00 - 2009.90.40

2106.90.48 - 2106.90.54
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-6

AG039 Nonalcoholic beverages, excluding fruit and vegetable juices ............ 2201.10.00 - 2202.90.90

AG040 Malt beverages .............................................. 2203.00.00 - 2203.00.00

AG041 Wine and certain other fermented beverages ........................ 2204.10.00 - 2206.00.90

AG042 Distilled spirits ............................................... 2106.90.12 - 2106.90.18

2207.10.30 - 2207.10.30

2208.20.10 - 2208.90.80

AG043 Unmanufactured tobacco ...................................... 2401.10.21 - 2401.30.70

AG044 Cigars and certain other manufactured tobacco ...................... 2402.10.30 - 2402.10.80

2402.90.00 - 2403.99.90

AG045 Cigarettes .................................................. 2402.20.10 - 2402.20.90

AG046 Hides, skins, and leather ....................................... 4101.10.00 - 4111.00.00

AG047 Furskins ................................................... 4301.10.00 - 4302.30.00

AG048 Wool and other animal hair ..................................... 5101.11.10 - 5102.20.00

AG049 Cotton, not carded or combed ................................... 5201.00.05 - 5201.00.80

AG050 Ethyl alcohol for nonbeverage purposes ........................... 2207.10.60 - 2207.20.00

Forest products sector:

AG051 Logs and rough wood products .................................. 4401.10.00 - 4405.00.00

4418.50.00 - 4418.50.00

AG052 Lumber .................................................... 4406.10.00 - 4407.99.00

AG053 Moldings, millwork, and joinery .................................. 4409.10.10 - 4409.20.90

4414.00.00 - 4414.00.00

4418.10.00 - 4418.30.00

4418.90.20 - 4418.90.40

AG054 Wood veneer and wood panels .................................. 4408.10.00 - 4408.90.00

4410.11.00 - 4412.99.95

AG055 Wooden containers ........................................... 4415.10.30 - 4416.00.90

4420.90.20 - 4420.90.80

AG056 Tools and tool handles of wood .................................. 4417.00.20 - 4417.00.80

4419.00.40 - 4419.00.80

AG057 Miscellaneous articles of wood .................................. 4413.00.00 - 4413.00.00

4418.40.00 - 4418.40.00

4420.10.00 - 4420.10.00

4421.10.00 - 4421.90.98

AG058 Cork and rattan .............................................. 1401.10.00 - 1401.90.40

4501.10.00 - 4602.90.00

AG059 Wood pulp and wastepaper ..................................... 1404.20.00 - 1404.20.00

4701.00.00 - 4707.90.00

AG060 Paper boxes and bags ......................................... 4819.10.00 - 4819.60.00

AG061 Industrial papers and paperboards ............................... 4803.00.20 - 4808.90.60

4810.31.00 - 4811.10.00

4811.31.20 - 4811.31.40

4811.40.00 - 4812.00.00

4818.10.00 - 4818.90.00

4823.20.10 - 4823.20.90

AG062 Newsprint .................................................. 4801.00.00 - 4801.00.00

AG063 Printing and writing papers ..................................... 4802.30.20 - 4802.30.40

4802.51.10 - 4802.60.90

4810.11.20 - 4810.29.00

4811.39.20 - 4811.39.40

AG064 Certain specialty papers ....................................... 4802.10.00 - 4802.20.00

4802.40.00 - 4802.40.00

4809.10.20 - 4809.90.80

4813.10.00 - 4814.90.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-7

4816.10.00 - 4816.20.00

4816.90.00 - 4817.30.00

4823.51.00 - 4823.59.40

AG065 Miscellaneous paper products ................................... 4811.21.00 - 4811.29.00

4815.00.00 - 4815.00.00

4816.30.00 - 4816.30.00

4820.10.20 - 4823.19.00

4823.30.00 - 4823.40.00

4823.60.00 - 4823.90.85

AG066 Printed matter ............................................... 4901.10.00 - 4911.99.80

Chemicals and related products sector:

CH007 Major primary olefins .......................................... 2711.14.00 - 2711.14.00

2901.21.00 - 2901.24.10

CH008 Other olefins ................................................ 2901.24.20 - 2901.29.50

CH009 Primary aromatics ............................................ 2902.20.00 - 2902.30.00

2902.44.00 - 2902.44.00

CH010 Organic commodity chemicals .................................. 2902.11.00 - 2902.19.00

2902.41.00 - 2902.43.00

2902.50.00 - 2902.90.90

2906.12.00 - 2906.12.00

2907.11.00 - 2907.11.00

2917.35.00 - 2917.37.00

2921.41.10 - 2921.41.20

2933.71.00 - 2933.71.00

CH011 Organic specialty chemicals .................................... 2903.51.00 - 2903.59.05

2903.59.15 - 2903.69.27

2903.69.70 - 2904.20.20

2904.20.35 - 2904.90.50

2905.22.20 - 2905.29.90

2906.19.10 - 2906.21.00

2906.29.30 - 2906.29.60

2907.12.00 - 2907.21.00

2907.22.50 - 2908.10.10

2908.10.25 - 2908.90.50

2909.20.00 - 2909.30.09

2909.30.40 - 2909.30.60

2909.49.10 - 2909.49.60

2909.50.45 - 2909.60.50

2910.90.20 - 2910.90.20

2912.21.00 - 2912.30.10

2912.50.10 - 2913.00.50

2914.22.10 - 2914.22.20

2914.29.10 - 2914.61.00

2914.69.60 - 2914.70.90

2915.13.10 - 2915.13.10

2915.39.30 - 2915.39.35

2915.39.90 - 2915.39.90

2915.40.20 - 2915.40.50

2915.50.20 - 2915.60.50

2915.90.20 - 2915.90.50

2916.12.10 - 2916.12.10

2916.20.10 - 2916.31.15

2916.31.30 - 2916.32.20
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-8

2916.34.25 - 2916.34.55

2916.35.25 - 2916.39.12

2916.39.17 - 2916.39.17

2916.39.45 - 2916.39.75

2917.12.10 - 2917.12.50

2917.14.10 - 2917.14.50

2917.19.15 - 2917.34.00

2917.39.04 - 2917.39.70

2918.19.10 - 2918.19.90

2918.21.50 - 2918.21.50

2918.22.50 - 2918.22.50

2918.23.30 - 2918.90.05

2918.90.43 - 2919.00.50

2920.10.30 - 2920.10.50

2920.90.20 - 2921.30.50

2921.42.10 - 2921.42.36

2921.42.65 - 2921.49.15

2921.49.45 - 2921.51.10

2921.51.30 - 2921.59.80

2922.19.20 - 2922.29.20

2922.29.60 - 2922.30.50

2922.43.10 - 2922.49.10

2922.49.30 - 2922.49.37

2922.50.07 - 2922.50.11

2922.50.35 - 2922.50.50

2924.21.18 - 2924.29.05

2924.29.20 - 2924.29.36

2924.29.65 - 2924.29.90

2925.19.10 - 2925.19.90

2925.20.18 - 2925.20.18

2925.20.60 - 2925.20.90

2926.90.01 - 2926.90.19

2926.90.44 - 2927.00.18

2928.00.15 - 2928.00.25

2929.10.10 - 2929.90.50

2930.20.20 - 2930.20.70

2930.90.24 - 2930.90.29

2931.00.05 - 2931.00.15

2931.00.27 - 2932.19.50

2932.29.25 - 2932.29.50

2932.99.32 - 2932.99.90

2933.19.04 - 2933.19.18

2933.19.37 - 2933.19.43

2933.19.70 - 2933.19.90

2933.29.05 - 2933.29.10

2933.29.35 - 2933.29.43

2933.29.60 - 2933.39.20

2933.39.61 - 2933.40.17

2933.40.60 - 2933.40.70

2933.59.70 - 2933.59.95

2933.79.04 - 2933.90.13

2933.90.79 - 2933.90.89

2933.90.97 - 2934.20.30

2934.20.40 - 2934.30.18
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-9

2934.30.43 - 2934.30.50

2934.90.05 - 2934.90.06

2934.90.08 - 2934.90.08

2934.90.39 - 2934.90.44

2934.90.70 - 2935.00.15

2935.00.75 - 2935.00.95

2942.00.03 - 2942.00.03

2942.00.10 - 2942.00.50

3810.90.10 - 3810.90.10

3812.10.10 - 3812.30.90

3814.00.10 - 3814.00.50

3817.10.10 - 3817.20.00

3824.40.10 - 3824.40.10

3824.40.21 - 3824.40.50

3824.90.21 - 3824.90.22

3824.90.26 - 3824.90.28

CH012 Certain organic chemicals ...................................... 2903.11.00 - 2903.49.90

2905.11.10 - 2905.19.60

2905.31.00 - 2905.50.60

2909.11.00 - 2909.19.60

2909.41.00 - 2909.44.00

2910.10.00 - 2910.90.10

2910.90.50 - 2912.13.00

2912.19.40 - 2912.19.50

2914.11.10 - 2914.19.00

2915.11.00 - 2915.12.00

2915.13.50 - 2915.35.00

2915.39.47 - 2915.39.60

2915.40.10 - 2915.40.10

2915.50.10 - 2915.50.10

2916.11.00 - 2916.11.00

2916.12.50 - 2916.14.20

2916.19.10 - 2916.19.50

2917.11.00 - 2917.11.00

2917.13.00 - 2917.13.00

2918.11.10 - 2918.16.50

2922.11.00 - 2922.13.00

2922.41.00 - 2922.41.00

2922.42.50 - 2922.42.50

2922.49.40 - 2922.49.80

2924.10.10 - 2924.10.80

2926.10.00 - 2926.20.00

2927.00.40 - 2928.00.10

2928.00.50 - 2928.00.50

2930.10.00 - 2930.10.00

2930.30.30 - 2930.30.60

2933.61.00 - 2933.69.60

3507.10.00 - 3507.90.70

3822.00.10 - 3822.00.10

3824.10.00 - 3824.20.00

3824.71.00 - 3824.79.00

3824.90.40 - 3824.90.90

CH013 Miscellaneous inorganic chemicals ............................... 2501.00.00 - 2502.00.00

2509.00.10 - 2509.00.20
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-10

2511.10.10 - 2511.20.00

2528.10.00 - 2528.90.00

2801.20.00 - 2801.30.20

2804.50.00 - 2804.69.50

2804.80.00 - 2805.40.00

2811.22.10 - 2813.90.50

2815.30.00 - 2816.30.00

2818.10.10 - 2820.90.00

2822.00.00 - 2822.00.00

2825.10.00 - 2830.10.00

2830.20.20 - 2834.10.50

2834.22.00 - 2834.22.00

2834.29.20 - 2836.10.00

2836.50.00 - 2836.60.00

2836.91.00 - 2843.90.00

2846.10.00 - 2851.00.00

3810.90.20 - 3810.90.20

3813.00.10 - 3813.00.50

3815.11.00 - 3816.00.00

3818.00.00 - 3818.00.00

3824.30.00 - 3824.30.00

3824.40.20 - 3824.40.20

3824.50.00 - 3824.50.00

3824.90.11 - 3824.90.19

3824.90.31 - 3824.90.39

CH014 Inorganic acids .............................................. 2806.10.00 - 2811.19.60

CH015 Chlor-alkali chemicals ......................................... 2801.10.00 - 2801.10.00

2815.11.00 - 2815.20.00

2836.20.00 - 2836.40.20

CH016 Fertilizers .................................................. 2503.00.00 - 2503.00.00

2510.10.00 - 2510.20.00

2802.00.00 - 2802.00.00

2804.70.00 - 2804.70.00

2814.10.00 - 2814.20.00

2834.21.00 - 2834.21.00

2834.29.10 - 2834.29.10

3100.00.00 - 3105.90.00

CH017 Paints, inks, and related items, and certain components thereof ......... 2803.00.00 - 2803.00.00

2817.00.00 - 2817.00.00

2821.10.00 - 2821.20.00

2823.00.00 - 2824.90.50

2830.20.10 - 2830.20.10

2836.70.00 - 2836.70.00

3206.11.00 - 3215.90.50

CH018 Synthetic organic pigments ..................................... 3204.17.04 - 3204.17.90

3205.00.05 - 3205.00.50

CH019 Synthetic dyes and azoic couplers ................................ 2921.42.55 - 2921.42.55

2921.49.32 - 2921.49.32

2922.29.26 - 2922.29.26

2924.29.52 - 2924.29.52

2927.00.30 - 2927.00.30

2935.00.20 - 2935.00.20

3204.11.10 - 3204.16.50

3204.19.06 - 3204.90.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-11

3809.10.00 - 3809.10.00

CH020 Synthetic tanning agents ....................................... 3202.10.10 - 3202.90.50

CH021 Natural tanning and dyeing materials .............................. 1404.10.00 - 1404.10.00

3201.10.00 - 3201.90.50

3203.00.10 - 3203.00.80

CH022 Photographic chemicals and preparations .......................... 2907.22.10 - 2907.22.10

2914.69.10 - 2914.69.10

2921.51.20 - 2921.51.20

2922.29.29 - 2922.29.29

2927.00.25 - 2927.00.25

2933.19.24 - 2933.19.30

2933.90.24 - 2933.90.24

2934.90.20 - 2934.90.20

3707.90.31 - 3707.90.60

CH023 Pesticide products and formulations .............................. 2903.59.10 - 2903.59.10

2903.69.30 - 2903.69.30

2908.10.15 - 2908.10.20

2909.30.30 - 2909.30.30

2918.90.06 - 2918.90.20

2920.10.10 - 2920.10.10

2920.90.10 - 2920.90.10

2924.21.04 - 2924.21.16

2924.29.41 - 2924.29.47

2926.90.21 - 2926.90.30

2930.20.10 - 2930.20.10

2930.20.90 - 2930.20.90

2930.90.10 - 2930.90.10

2930.90.30 - 2930.90.44

2931.00.25 - 2931.00.25

2932.29.10 - 2932.29.10

2932.99.04 - 2932.99.20

2933.19.23 - 2933.19.23

2933.39.21 - 2933.39.27

2933.40.30 - 2933.40.30

2933.59.10 - 2933.59.18

2933.90.14 - 2933.90.22

2934.20.35 - 2934.20.35

2934.90.01 - 2934.90.03

2934.90.07 - 2934.90.07

2934.90.09 - 2934.90.18

3808.10.10 - 3808.90.95

CH024 Adhesives and glues .......................................... 3501.90.20 - 3501.90.20

3503.00.10 - 3503.00.40

3505.20.00 - 3506.99.00

CH025 Medicinal chemicals .......................................... 1302.11.00 - 1302.11.00

2906.13.10 - 2906.13.50

2909.49.05 - 2909.49.05

2909.50.10 - 2909.50.20

2912.19.30 - 2912.19.30

2914.69.20 - 2914.69.20

2916.39.15 - 2916.39.16

2917.19.10 - 2917.19.10

2918.17.10 - 2918.17.50

2918.21.10 - 2918.21.10
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-12

2918.22.10 - 2918.22.10

2918.23.10 - 2918.23.10

2918.90.30 - 2918.90.30

2921.49.37 - 2921.49.43

2922.19.12 - 2922.19.18

2922.29.27 - 2922.29.27

2922.49.27 - 2922.49.27

2922.50.13 - 2922.50.25

2923.10.00 - 2923.10.00

2924.29.57 - 2924.29.62

2925.20.10 - 2925.20.10

2925.20.20 - 2925.20.20

2928.00.30 - 2928.00.30

2930.40.00 - 2930.40.00

2931.00.22 - 2931.00.22

2932.29.20 - 2932.29.20

2933.11.00 - 2933.11.00

2933.19.35 - 2933.19.35

2933.19.45 - 2933.19.45

2933.21.00 - 2933.21.00

2933.29.20 - 2933.29.20

2933.29.45 - 2933.29.45

2933.39.30 - 2933.39.41

2933.40.20 - 2933.40.26

2933.51.10 - 2933.51.90

2933.59.21 - 2933.59.59

2933.90.26 - 2933.90.75

2933.90.90 - 2933.90.90

2934.30.23 - 2934.30.27

2934.90.30 - 2934.90.30

2934.90.47 - 2934.90.47

2935.00.29 - 2935.00.60

2936.10.00 - 2939.90.50

2941.10.10 - 2941.90.50

2942.00.05 - 2942.00.05

3001.10.00 - 3004.90.90

3006.20.00 - 3006.30.50

3006.60.00 - 3006.60.00

3822.00.10 - 3822.00.50

CH026 Essential oils and other flavoring materials ......................... 2904.20.30 - 2904.20.30

2905.22.10 - 2905.22.10

2906.11.00 - 2906.11.00

2906.14.00 - 2906.14.00

2906.29.10 - 2906.29.20

2909.30.10 - 2909.30.20

2909.50.40 - 2909.50.40

2912.19.10 - 2912.19.20

2912.30.20 - 2912.49.50

2914.23.00 - 2914.23.00

2915.39.10 - 2915.39.20

2915.39.40 - 2915.39.45

2916.31.20 - 2916.31.20

2916.34.10 - 2916.34.15

2916.35.15 - 2916.35.15
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-13

2916.39.20 - 2916.39.20

2918.23.20 - 2918.23.20

2918.90.35 - 2918.90.35

2922.42.10 - 2922.42.10

2924.29.10 - 2924.29.10

2925.11.00 - 2925.11.00

2932.21.00 - 2932.21.00

2932.91.00 - 2932.94.00

3301.11.00 - 3302.90.20

CH027 Perfumes, cosmetics, and toiletries ............................... 3303.00.10 - 3307.90.00

CH028 Soaps, detergents, and surface-active agents ....................... 2923.20.10 - 2923.90.00

3401.11.10 - 3403.11.50

3403.91.10 - 3403.99.00

3804.00.10 - 3804.00.10

3809.91.00 - 3809.93.50

3912.31.00 - 3912.31.00

CH029 Miscellaneous chemicals and specialties ........................... 1519.11.00 - 1521.90.40

2712.90.10 - 2712.90.20

2804.10.00 - 2804.40.00

2811.21.00 - 2811.21.00

2914.21.10 - 2914.21.20

2915.70.00 - 2915.90.18

2916.15.10 - 2916.15.50

2930.90.45 - 2930.90.90

2940.00.20 - 2940.00.60

3005.10.10 - 3006.10.00

3006.40.00 - 3006.50.00

3404.10.00 - 3407.00.40

3505.10.00 - 3505.10.00

3801.10.10 - 3803.00.00

3804.00.50 - 3807.00.00

3810.10.00 - 3810.10.00

3810.90.50 - 3810.90.50

3820.00.00 - 3821.00.00

3823.11.00 - 3823.70.60

3824.60.00 - 3824.60.00

3824.90.25 - 3824.90.25

CH030 Explosives, propellant powders, and related items .................... 3601.00.00 - 3605.00.00

3606.90.30 - 3606.90.80

CH031 Polyethylene resins in primary forms .............................. 3901.10.00 - 3901.90.90

CH032 Polypropylene resins in primary forms ............................. 3902.10.00 - 3902.10.00

3902.30.00 - 3902.30.00

CH033 Polyvinyl chloride resins in primary forms .......................... 3904.10.00 - 3904.40.00

CH034 Styrene polymers in primary forms ............................... 3903.11.00 - 3903.90.50

CH035 Saturated polyester resins ...................................... 3907.60.00 - 3907.60.00

3907.99.00 - 3907.99.00

CH036 Other plastics in primary forms .................................. 3902.20.10 - 3902.20.50

3902.90.00 - 3902.90.00

3904.50.00 - 3907.50.00

3907.91.20 - 3907.91.50

3908.10.00 - 3911.90.10

3911.90.35 - 3912.20.00

3912.39.00 - 3914.00.60

CH037 Styrene-butadiene rubber in primary forms ......................... 4002.11.00 - 4002.19.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-14

CH038 Other synthetic rubber ......................................... 4002.20.00 - 4002.99.00

4005.10.00 - 4006.90.50

CH039 Pneumatic tires and tubes (new) ................................. 3911.90.15 - 3911.90.25

4011.10.10 - 4011.99.80

4013.10.00 - 4013.90.50

CH040 Other tires .................................................. 4012.10.10 - 4012.90.90

CH041 Miscellaneous plastic products .................................. 3915.10.00 - 3926.10.00

3926.30.10 - 3926.90.98

4009.10.00 - 4009.10.00

CH042 Miscellaneous rubber products .................................. 4003.00.00 - 4004.00.00

4007.00.00 - 4008.29.40

4009.20.00 - 4010.29.90

4014.10.00 - 4014.90.50

4016.10.00 - 4017.00.00

CH043 Gelatin .................................................... 3503.00.55 - 3503.00.55

CH044 Natural rubber ............................................... 4001.10.00 - 4001.30.00

Energy-related products sector:

CH001 Electrical energy ............................................. 2716.00.00 - 2716.00.00

CH002 Nuclear materials ............................................ 2844.10.10 - 2845.90.00

CH003 Coal, coke, and related chemical products .......................... 2701.11.00 - 2708.20.00

CH004 Crude petroleum ............................................. 2709.00.10 - 2709.00.20

CH005 Petroleum products ........................................... 2710.00.05 - 2710.00.60

2712.10.00 - 2712.20.00

2713.11.00 - 2715.00.00

3403.19.10 - 3403.19.50

3606.10.00 - 3606.10.00

3811.11.10 - 3811.90.00

3819.00.00 - 3819.00.00

CH006 Natural gas and components .................................... 2711.11.00 - 2711.13.00

2711.19.00 - 2711.29.00

2901.10.10 - 2901.10.50

Textiles, apparel, and footwear sector:

CH045 Fibers and yarns, except raw cotton and raw wool .................... 5001.00.00 - 5006.00.90

5103.10.00 - 5110.00.00

5202.10.00 - 5207.90.00

5301.10.00 - 5308.90.00

5401.10.00 - 5406.20.00

5501.10.00 - 5511.30.00

5604.10.00 - 5606.00.00

7019.11.00 - 7019.19.90

7019.90.50 - 7019.90.50

CH046 Fabrics .................................................... 5007.10.30 - 5007.90.60

5111.11.20 - 5113.00.00

5208.11.20 - 5212.25.60

5309.11.00 - 5311.00.60

5407.10.00 - 5408.34.90

5512.11.00 - 5516.94.00

5603.11.00 - 5603.94.90

5801.10.00 - 5804.30.00

5806.10.10 - 5806.39.30

5809.00.00 - 5809.00.00

5901.10.10 - 5903.90.30
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-15

5905.00.10 - 5907.00.80

5911.10.10 - 5911.20.30

6001.10.20 - 6002.99.90

7019.40.05 - 7019.90.10

CH046A Broadwoven fabrics ........................................... 5007.10.30 - 5007.90.60

5111.11.20 - 5113.00.00

5208.11.20 - 5212.25.60

5309.11.00 - 5311.00.60

5407.10.00 - 5408.34.90

5512.11.00 - 5516.94.00

CH046B Knit fabrics ................................................. 6001.10.20 - 6002.99.90

CH046C Specialty fabrics ............................................. 5801.10.00 - 5804.30.00

5806.10.10 - 5806.39.30

5809.00.00 - 5809.00.00

CH046D Coated and other fabrics ....................................... 5901.10.10 - 5903.90.30

5905.00.10 - 5907.00.80

5911.10.10 - 5911.20.30

CH046E Glass fiber fabrics ............................................ 7019.40.05 - 7019.90.10

CH046F Other fabrics ................................................ 5603.11.00 - 5603.94.90

CH047 Carpets and rugs ............................................. 5701.10.13 - 5705.00.20

CH048 Home furnishings ............................................ 5805.00.10 - 5805.00.40

6301.10.00 - 6304.99.60

9404.90.10 - 9404.90.95

CH048A Blankets ................................................... 6301.10.00 - 6301.90.00

CH048B Pillowcases and sheets ........................................ 6302.10.00 - 6302.39.00

CH048C Table/kitchen linens and towels .................................. 6302.40.10 - 6302.99.20

CH048D Curtains ................................................... 6303.11.00 - 6303.99.00

CH048E Bedspreads and other furnishing articles ........................... 6304.11.10 - 6304.99.60

9404.90.85 - 9404.90.95

CH048F Pillows, cushions, and sleeping bags .............................. 9404.90.10 - 9404.90.80

CH048G Tapestries and other wall hangings ............................... 5805.00.10 - 5805.00.40

CH049 Apparel .................................................... 3926.20.10 - 3926.20.90

4015.11.00 - 4015.90.00

4203.10.20 - 4203.40.60

4303.10.00 - 4303.90.00

6101.10.00 - 6217.90.90

6501.00.30 - 6507.00.00

CH049A Men's and boys' suits and sports coats ............................ 6103.11.00 - 6103.39.80

6203.11.10 - 6203.21.90

6203.22.30 - 6203.39.90

CH049B Men's and boys' coats and jackets ................................ 6101.10.00 - 6101.90.90

6103.21.00 - 6103.29.20

6112.11.00 - 6112.20.10

6113.00.90 - 6113.00.90

6201.11.00 - 6201.99.90

6203.21.00 - 6203.21.90

6203.22.30 - 6203.29.30

6210.20.50 - 6210.20.50

6210.20.90 - 6210.20.90

6210.40.50 - 6210.40.50

6210.40.90 - 6210.40.90

6211.20.04 - 6211.20.04

6211.20.15 - 6211.20.28

6211.31.00 - 6211.39.90
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-16

6211.49.10 - 6211.49.10

CH049C Men's and boys' trousers ....................................... 6103.21.00 - 6103.29.20

6103.41.10 - 6103.49.80

6112.11.00 - 6112.20.10

6113.00.90 - 6113.00.90

6203.21.00 - 6203.21.90

6203.22.30 - 6203.29.30

6203.41.05 - 6203.49.80

6210.40.50 - 6210.40.50

6210.40.90 - 6210.40.90

6211.20.08 - 6211.20.15

6211.20.34 - 6211.20.48

6211.32.00 - 6211.39.90

6211.49.10 - 6211.49.10

CH049D Women's and girls' trousers .................................... 6104.21.00 - 6104.29.20

6104.61.00 - 6104.69.80

6112.11.00 - 6112.20.10

6113.00.90 - 6113.00.90

6204.21.00 - 6204.21.00

6204.22.30 - 6204.29.40

6204.61.10 - 6204.69.90

6210.50.50 - 6210.50.50

6210.50.90 - 6210.50.90

6211.20.08 - 6211.20.15

6211.20.64 - 6211.31.00

6211.41.00 - 6211.43.00

6211.49.90 - 6211.49.90

CH049E Shirts and blouses ............................................ 6103.21.00 - 6103.29.20

6104.21.00 - 6104.29.20

6105.10.00 - 6106.90.30

6109.10.00 - 6110.90.90

6112.11.00 - 6112.19.80

6114.10.00 - 6114.30.10

6114.30.30 - 6114.90.90

6203.21.00 - 6203.21.00

6203.21.90 - 6203.21.90

6203.22.30 - 6203.29.30

6204.21.00 - 6204.21.00

6204.22.30 - 6204.29.40

6205.10.10 - 6206.90.00

6211.31.00 - 6211.49.90

6217.90.90 - 6217.90.90

CH049F Sweaters ................................................... 6103.21.00 - 6103.29.20

6104.21.00 - 6104.29.20

6110.10.10 - 6110.90.90

CH049G Women's and girls' suits, skirts, and coats ......................... 6102.10.00 - 6102.90.90

6104.11.00 - 6104.29.10

6104.31.00 - 6104.39.20

6104.51.00 - 6104.59.80

6112.11.00 - 6112.20.10

6113.00.90 - 6114.20.00

6114.90.10 - 6114.90.90

6202.11.00 - 6202.99.90

6204.11.00 - 6204.21.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-17

6204.22.30 - 6204.29.20

6204.31.10 - 6204.39.80

6204.51.00 - 6204.59.40

6210.30.50 - 6210.30.50

6210.30.90 - 6210.30.90

6210.50.50 - 6210.50.50

6210.50.90 - 6210.50.90

6211.20.04 - 6211.20.04

6211.20.15 - 6211.20.15

6211.20.54 - 6211.20.58

6211.41.00 - 6211.43.00

6211.49.90 - 6211.49.90

CH049H Women's and girls' dresses ..................................... 6104.41.00 - 6104.49.90

6204.41.10 - 6204.49.50

CH049I Robes, nightwear, and underwear ................................ 6107.11.00 - 6109.10.00

6109.90.15 - 6109.90.15

6207.11.00 - 6208.99.80

CH049J Hosiery .................................................... 6115.11.00 - 6115.99.80

CH049K Body-supporting garments ..................................... 6212.10.30 - 6212.90.00

CH049L Neckwear, handkerchiefs, and scarves ............................ 6117.10.10 - 6117.20.90

6117.90.90 - 6117.90.90

6213.10.10 - 6215.90.00

CH049M Gloves, including gloves for sports ............................... 3926.20.10 - 3926.20.40

4015.11.00 - 4015.19.50

4203.21.20 - 4203.29.50

6116.10.05 - 6116.99.95

6216.00.05 - 6216.00.90

CH049N Headwear .................................................. 6501.00.30 - 6507.00.00

CH049O Leather apparel and accessories ................................. 4203.10.20 - 4203.10.40

4203.30.00 - 4203.40.60

CH049P Fur apparel and other fur articles ................................. 4303.10.00 - 4303.90.00

CH049Q Rubber, plastic, and coated-fabric apparel .......................... 3926.20.60 - 3926.20.90

4015.90.00 - 4015.90.00

6113.00.10 - 6113.00.10

6210.20.30 - 6210.20.30

6210.20.70 - 6210.20.70

6210.30.30 - 6210.30.30

6210.30.70 - 6210.30.70

6210.40.30 - 6210.40.30

6210.40.70 - 6210.40.70

6210.50.30 - 6210.50.30

6210.50.70 - 6210.50.70

CH049R Nonwoven apparel ............................................ 6210.10.20 - 6210.10.90

CH049S Other wearing apparel ......................................... 6103.21.00 - 6103.29.20

6104.21.00 - 6104.29.20

6104.69.40 - 6104.69.80

6110.10.10 - 6110.90.10

6111.10.00 - 6111.90.90

6112.20.20 - 6112.49.00

6113.00.90 - 6114.20.00

6114.30.20 - 6114.90.90

6117.80.10 - 6117.90.90

6203.21.00 - 6203.21.00

6203.21.90 - 6203.29.30
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-18

6204.21.00 - 6204.29.40

6204.62.40 - 6204.62.40

6209.10.00 - 6209.90.90

6210.10.90 - 6210.10.90

6210.40.50 - 6210.40.50

6210.40.90 - 6210.40.90

6210.50.50 - 6210.50.50

6210.50.90 - 6211.12.80

6211.20.15 - 6211.20.15

6211.31.00 - 6211.49.90

6217.10.10 - 6217.90.90

CH050 Miscellaneous textile products ................................... 4304.00.00 - 4304.00.00

5601.10.10 - 5602.90.90

5607.10.00 - 5609.00.40

5806.40.00 - 5808.90.00

5810.10.00 - 5811.00.40

5904.10.00 - 5904.92.00

5908.00.00 - 5910.00.90

5911.31.00 - 5911.90.00

6305.10.00 - 6310.90.20

7019.31.00 - 7019.32.00

7019.39.50 - 7019.39.50

7019.90.50 - 7019.90.50

9404.30.40 - 9404.30.80

CH051 Footwear ................................................... 6401.10.00 - 6406.99.90

Minerals and metals sector:

MM001 Clays and related mineral products ............................... 2507.00.00 - 2508.70.00

2517.20.00 - 2517.20.00

2530.10.00 - 2530.10.00

2618.00.00 - 2618.00.00

6806.20.00 - 6807.10.00

MM002 Fluorspar and miscellaneous mineral substances .................... 2529.21.00 - 2529.22.00

2530.20.10 - 2530.90.00

MM003 Iron ores and concentrates ..................................... 2601.11.00 - 2601.12.00

MM004 Copper ores and concentrates ................................... 2603.00.00 - 2603.00.00

MM005 Lead ores, concentrates, and residues ............................. 2607.00.00 - 2607.00.00

2620.20.00 - 2620.20.00

MM005A Lead ores and concentrates ..................................... 2607.00.00 - 2607.00.00

MM006 Zinc ores, concentrates, and residues ............................. 2608.00.00 - 2608.00.00

2620.11.00 - 2620.19.60

MM006A Zinc ores and concentrates ..................................... 2608.00.00 - 2608.00.00

MM007 Certain ores, concentrates, ash, and residues ....................... 2602.00.00 - 2602.00.00

2604.00.00 - 2605.00.00

2609.00.00 - 2615.90.60

2617.10.00 - 2617.90.00

2620.50.00 - 2621.00.00

MM007A Molybdenum ores and concentrates .............................. 2613.10.00 - 2613.90.00

MM008 Precious metal ores and concentrates ............................. 2616.10.00 - 2616.90.00

MM008A Gold ores and concentrates ..................................... 2616.90.00 - 2616.90.00

MM008B Silver ores and concentrates .................................... 2616.10.00 - 2616.10.00

MM009 Cement, stone, and related products .............................. 2504.10.10 - 2506.29.00

2512.00.00 - 2512.00.00

2514.00.00 - 2517.10.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-19

2517.30.00 - 2527.00.00

2529.10.00 - 2529.10.00

2529.30.00 - 2529.30.00

6801.00.00 - 6803.00.50

6806.10.00 - 6806.10.00

6807.90.00 - 6815.99.40

MM009A Cement .................................................... 2523.10.00 - 2523.90.00

MM010 Industrial ceramics ........................................... 6901.00.00 - 6903.90.00

6909.11.20 - 6909.90.00

6914.10.40 - 6914.90.80

8113.00.00 - 8113.00.00

MM011 Ceramic bricks and similar articles ............................... 6904.10.00 - 6906.00.00

MM012 Ceramic floor and wall tiles ..................................... 6907.10.00 - 6908.90.00

MM013 Ceramic household articles ..................................... 6911.10.10 - 6913.90.50

MM014 Flat glass .................................................. 7003.12.00 - 7009.92.50

7011.20.80 - 7011.20.80

MM015 Glass containers ............................................. 7010.10.00 - 7010.94.50

MM016 Household glassware ......................................... 7013.10.10 - 7013.99.90

MM017 Miscellaneous glass products ................................... 7001.00.10 - 7002.39.00

7011.10.10 - 7011.20.40

7011.20.80 - 7012.00.00

7014.00.10 - 7018.90.50

7020.00.30 - 7020.00.60

MM018 Fiberglass insulation products ................................... 7019.39.10 - 7019.39.10

MM019 Natural and synthetic gemstones ................................. 7101.10.30 - 7102.10.00

7102.31.00 - 7104.90.50

MM020 Precious metals and non-numismatic coins ......................... 7106.10.00 - 7112.90.00

7118.10.00 - 7118.90.00

MM020A Unrefined and refined gold ...................................... 7108.12.10 - 7108.12.50

MM021 Primary iron products ......................................... 2601.20.00 - 2601.20.00

7201.10.00 - 7201.50.60

7203.10.00 - 7203.90.00

MM022 Ferroalloys ................................................. 7202.11.10 - 7202.99.50

MM023 Iron and steel waste and scrap .................................. 2619.00.30 - 2619.00.90

7204.10.00 - 7204.50.00

MM024 Abrasive and ferrous products ................................... 2513.11.00 - 2513.29.00

6804.10.00 - 6805.30.50

7102.21.10 - 7102.29.00

7105.10.00 - 7105.90.00

7205.10.00 - 7205.29.00

MM024A Abrasive products ............................................ 6804.10.00 - 6805.30.50

MM025 Steel mill products ............................................ 7206.10.00 - 7301.10.00

7302.10.10 - 7302.90.00

7304.10.10 - 7306.90.50

MM026 Steel pipe and tube fittings and certain cast products .................. 7303.00.00 - 7303.00.00

7307.11.00 - 7307.99.50

MM027 Fabricated structurals ......................................... 7301.20.10 - 7301.20.50

7308.10.00 - 7308.20.00

7308.40.00 - 7308.90.60

MM028 Metal construction components .................................. 7308.30.10 - 7308.30.50

7308.90.70 - 7308.90.95

7610.10.00 - 7610.90.00

MM029 Metallic containers ........................................... 7309.00.00 - 7311.00.00

7611.00.00 - 7613.00.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-20

MM030 Wire products of base metal .................................... 7312.10.05 - 7314.49.60

7317.00.10 - 7317.00.75

7320.20.50 - 7320.90.50

7413.00.10 - 7415.10.00

7416.00.00 - 7416.00.00

7508.10.00 - 7508.90.50

7614.10.10 - 7614.90.50

7616.10.10 - 7616.10.10

7616.91.00 - 7616.91.00

MM031 Miscellaneous products of base metal ............................. 7314.50.00 - 7316.00.00

7320.10.30 - 7320.20.10

7321.11.10 - 7323.10.00

7325.91.00 - 7326.90.85

7417.00.00 - 7417.00.00

7419.10.00 - 7419.10.00

7616.99.10 - 7616.99.50

8301.20.00 - 8301.20.00

8301.40.30 - 8301.40.30

8302.10.30 - 8302.10.30

8302.20.00 - 8302.30.60

8302.49.20 - 8302.49.80

8303.00.00 - 8311.90.00

MM032 Industrial fasteners of base metal ................................ 7318.11.00 - 7318.29.00

7415.21.00 - 7415.39.00

7616.10.30 - 7616.10.90

MM033 Cooking and kitchen ware ...................................... 7323.91.10 - 7323.99.90

7418.11.20 - 7418.19.50

7615.11.00 - 7615.19.90

7907.00.10 - 7907.00.10

8007.00.10 - 8007.00.10

8007.00.50 - 8007.00.50

MM034 Metal and ceramic sanitary ware ................................. 6910.10.00 - 6910.90.00

7324.10.00 - 7324.90.00

7418.20.10 - 7418.20.50

7615.20.00 - 7615.20.00

8007.00.10 - 8007.00.10

MM035 Construction castings and other cast-iron articles .................... 7325.10.00 - 7325.10.00

MM036 Copper and related articles ..................................... 2620.30.00 - 2620.30.00

7401.10.00 - 7412.20.00

7419.91.00 - 7419.99.50

MM036A Unrefined and refined copper .................................... 7402.00.00 - 7403.11.00

MM036B Copper alloy plate, sheet, and strip ............................... 7409.21.00 - 7409.90.90

MM037 Unwrought aluminum ......................................... 2606.00.00 - 2606.00.00

2620.40.00 - 2620.40.00

7601.10.30 - 7602.00.00

MM037A Primary and secondary aluminum ................................ 7601.10.30 - 7601.20.90

MM038 Aluminum mill products ........................................ 7603.10.00 - 7609.00.00

MM038A Aluminum bars, rods, and profiles ................................ 7604.10.10 - 7604.29.50

MM038B Aluminum wire .............................................. 7605.11.00 - 7605.29.00

MM038C Aluminum plate, sheet, and strip ................................. 7606.11.30 - 7606.92.60

MM038D Aluminum foil ............................................... 7607.11.30 - 7607.20.50

MM038E Aluminum tubes, pipes, and fittings ............................... 7608.10.00 - 7609.00.00

MM039 Lead and related articles ....................................... 7801.10.00 - 7806.00.00

MM039A Refined lead ................................................ 7801.10.00 - 7801.10.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-21

MM040 Zinc and related articles ....................................... 7901.11.00 - 7906.00.00

7907.00.60 - 7907.00.60

MM040A Unwrought zinc .............................................. 7901.11.00 - 7901.12.50

MM041 Certain base metals and chemical elements ........................ 7501.10.00 - 7507.20.00

8001.10.00 - 8006.00.00

8101.10.00 - 8112.99.00

MM041A Titanium ingot ............................................... 8108.10.50 - 8108.10.50

MM042 Nonpowered handtools ........................................ 8201.10.00 - 8207.90.75

8209.00.00 - 8209.00.00

MM043 Certain cutlery, sewing implements, and related products .............. 7319.10.00 - 7319.90.00

8208.10.00 - 8208.90.60

8210.00.00 - 8210.00.00

8211.92.20 - 8214.90.90

MM044 Table flatware and related products ............................... 8211.10.00 - 8211.91.80

8215.10.00 - 8215.99.50

MM045 Certain builders' hardware ...................................... 8301.10.20 - 8301.10.90

8301.30.00 - 8301.30.00

8301.40.60 - 8301.70.00

8302.10.60 - 8302.10.90

8302.41.30 - 8302.42.60

8302.50.00 - 8302.60.90

Machinery sector:

MM068 Wiring harnesses for motor vehicles .............................. 8544.30.00 - 8544.30.00

MM069 Pumps for motor vehicles ...................................... 8413.30.10 - 8413.30.90

8413.91.10 - 8413.91.10

MM070 Pumps for liquids ............................................ 8413.11.00 - 8413.20.00

8413.40.00 - 8413.82.00

8413.91.20 - 8413.92.00

MM071 Air-conditioning equipment and parts .............................. 8414.10.00 - 8415.90.80

MM072 Industrial thermal-processing equipment and furnaces ................ 8416.10.00 - 8417.10.00

8417.80.00 - 8417.90.00

8419.11.00 - 8419.20.00

8419.39.00 - 8419.60.50

8419.89.60 - 8419.90.10

8419.90.30 - 8419.90.80

8514.10.00 - 8514.20.00

8514.30.80 - 8514.90.00

8545.11.00 - 8545.11.00

MM073 Household appliances, including commercial applications .............. 8418.10.00 - 8418.99.80

8419.81.10 - 8419.81.90

8419.90.80 - 8419.90.80

8421.12.00 - 8421.12.00

8421.91.20 - 8421.91.40

8422.11.00 - 8422.19.00

8422.90.02 - 8422.90.06

8450.11.00 - 8451.30.00

8451.90.30 - 8451.90.90

8452.10.00 - 8452.90.00

8476.21.00 - 8476.90.00

8479.89.10 - 8479.89.70

8479.90.40 - 8479.90.85

8509.10.00 - 8510.90.55

8516.10.00 - 8516.90.90
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-22

MM073A Major household appliances and parts ............................. 8418.10.00 - 8418.40.00

8418.99.40 - 8418.99.80

8422.11.00 - 8422.11.00

8422.90.04 - 8422.90.06

8450.11.00 - 8450.20.00

8450.90.60 - 8450.90.60

8516.60.40 - 8516.60.40

8516.90.55 - 8516.90.80

MM074 Centrifuges and filtering and purifying equipment ..................... 8421.19.00 - 8421.19.00

8421.19.90 - 8421.22.00

8421.29.00 - 8421.29.00

8421.39.40 - 8421.39.80

8421.91.60 - 8421.99.00

MM075 Wrapping, packaging, and can-sealing machinery .................... 8422.20.00 - 8422.40.90

8422.90.10 - 8422.90.90

MM076 Scales and weighing machinery .................................. 8423.10.00 - 8423.90.00

MM077 Mineral processing machinery ................................... 8474.10.00 - 8474.90.00

MM078 Farm and garden machinery and equipment ........................ 8419.31.00 - 8419.31.00

8424.81.10 - 8424.81.90

8432.10.00 - 8434.90.00

8436.10.00 - 8436.99.00

8701.10.00 - 8701.10.00

8701.30.10 - 8701.90.50

8706.00.30 - 8706.00.50

8707.90.10 - 8707.90.10

8707.90.50 - 8707.90.50

8708.31.10 - 8708.31.10

8708.39.10 - 8708.39.10

8708.40.30 - 8708.40.30

8708.50.10 - 8708.50.10

8708.60.10 - 8708.60.10

8708.70.05 - 8708.70.15

8708.80.15 - 8708.80.25

8708.91.10 - 8708.91.10

8708.92.10 - 8708.92.10

8708.93.15 - 8708.93.30

8708.94.10 - 8708.94.10

8708.99.03 - 8708.99.24

8716.80.10 - 8716.80.10

8716.90.10 - 8716.90.10

MM079 Industrial food-processing and related machinery .................... 8417.20.00 - 8417.20.00

8421.11.00 - 8421.11.00

8435.10.00 - 8435.90.00

8437.10.00 - 8438.90.90

MM080 Pulp, paper, and paperboard machinery ........................... 8419.32.10 - 8419.32.50

8419.89.10 - 8419.89.10

8419.90.20 - 8419.90.20

8420.10.20 - 8420.10.20

8420.91.20 - 8420.91.20

8420.99.20 - 8420.99.20

8439.10.00 - 8439.99.50

8441.10.00 - 8441.90.00

MM081 Printing and related machinery .................................. 8440.10.00 - 8440.90.00

8442.10.00 - 8443.40.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-23

8443.51.50 - 8443.51.50

8443.59.50 - 8443.60.00

8443.90.50 - 8443.90.50

MM082 Textile machinery ............................................ 8420.10.10 - 8420.10.10

8420.91.10 - 8420.91.10

8420.99.10 - 8420.99.10

8443.50.10 - 8443.51.10

8443.59.10 - 8443.59.10

8443.90.10 - 8443.90.10

8444.00.00 - 8449.00.50

8451.40.00 - 8451.80.00

8451.90.90 - 8451.90.90

MM083 Metal rolling mills ............................................ 8455.10.00 - 8455.90.80

MM084 Metal cutting machine tools and machine tool accessories ............. 8456.10.10 - 8456.10.10

8456.20.10 - 8456.20.10

8456.30.10 - 8456.30.10

8456.99.30 - 8456.99.30

8457.10.00 - 8461.90.80

8466.10.00 - 8466.10.00

8466.10.80 - 8466.20.10

8466.20.80 - 8466.30.10

8466.30.60 - 8466.30.80

8466.93.15 - 8466.93.45

8466.93.53 - 8466.93.75

8466.93.90 - 8466.93.95

MM085 Metal forming machine tools .................................... 8462.10.00 - 8462.21.00

8462.21.80 - 8462.29.00

8462.29.80 - 8463.90.00

8466.94.20 - 8466.94.40

8466.94.60 - 8466.94.65

8466.94.80 - 8466.94.85

MM086 Non-metalworking machine tools ................................. 8456.10.50 - 8456.10.50

8456.10.80 - 8456.10.80

8456.20.50 - 8456.20.50

8456.30.50 - 8456.30.50

8456.99.50 - 8456.99.50

8456.99.90 - 8456.99.90

8464.10.00 - 8464.10.00

8464.20.50 - 8464.20.50

8464.90.90 - 8465.96.00

8465.99.80 - 8465.99.80

8466.91.10 - 8466.92.50

MM087 Semiconductor manufacturing equipment and robotics ................ 8421.19.30 - 8421.19.30

8424.89.30 - 8424.89.50

8428.90.00 - 8428.90.00

8456.10.60 - 8456.10.60

8456.91.00 - 8456.99.10

8456.99.70 - 8456.99.70

8462.21.40 - 8462.21.40

8462.29.40 - 8462.29.40

8464.20.10 - 8464.20.10

8464.90.10 - 8464.90.60

8465.99.40 - 8465.99.40

8466.10.40 - 8466.10.40
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-24

8466.20.40 - 8466.20.40

8466.30.45 - 8466.30.45

8466.93.47 - 8466.93.47

8466.93.85 - 8466.93.85

8466.94.55 - 8466.94.55

8466.94.75 - 8466.94.75

8477.10.70 - 8477.10.70

8477.40.40 - 8477.40.40

8477.59.40 - 8477.59.40

8477.90.15 - 8477.90.15

8477.90.35 - 8477.90.35

8477.90.55 - 8477.90.55

8477.90.75 - 8477.90.75

8479.50.00 - 8479.50.00

8479.89.85 - 8479.89.87

8479.90.95 - 8479.90.95

8480.71.40 - 8480.71.40

8514.30.20 - 8514.30.60

8515.90.10 - 8515.90.10

8543.11.00 - 8543.11.00

9010.41.00 - 9010.49.00

9010.90.70 - 9010.90.70

9030.82.00 - 9030.82.00

9030.90.64 - 9030.90.64

9030.90.84 - 9030.90.84

9031.41.00 - 9031.41.00

9031.49.70 - 9031.49.70

9031.80.40 - 9031.80.40

9031.90.54 - 9031.90.54

9031.90.70 - 9031.90.70

MM087A Semiconductor manufacturing machinery .......................... 8421.19.30 - 8421.19.30

8424.89.30 - 8424.89.50

8456.10.60 - 8456.10.60

8456.91.00 - 8456.99.10

8456.99.70 - 8456.99.70

8462.21.40 - 8462.21.40

8462.29.40 - 8462.29.40

8464.20.10 - 8464.20.10

8464.90.10 - 8464.90.60

8465.99.40 - 8465.99.40

8466.10.40 - 8466.10.40

8466.20.40 - 8466.20.40

8466.30.45 - 8466.30.45

8466.93.47 - 8466.93.47

8466.93.85 - 8466.93.85

8466.94.55 - 8466.94.55

8466.94.75 - 8466.94.75

8477.10.70 - 8477.10.70

8477.40.40 - 8477.40.40

8477.59.40 - 8477.59.40

8477.90.15 - 8477.90.15

8477.90.35 - 8477.90.35

8477.90.55 - 8477.90.55

8477.90.75 - 8477.90.75
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-25

8479.50.00 - 8479.50.00

8479.89.85 - 8479.89.87

8480.71.40 - 8480.71.40

8514.30.20 - 8514.30.60

8515.90.10 - 8515.90.10

8543.11.00 - 8543.11.00

9010.41.00 - 9010.49.00

9010.90.70 - 9010.90.70

9030.82.00 - 9030.82.00

9030.90.64 - 9030.90.64

9030.90.84 - 9030.90.84

9031.41.00 - 9031.41.00

9031.49.70 - 9031.49.70

9031.80.40 - 9031.80.40

9031.90.54 - 9031.90.54

9031.90.70 - 9031.90.70

MM088 Taps, cocks, valves, and similar devices ........................... 8481.10.00 - 8481.90.90

MM089 Mechanical power transmission equipment ......................... 8483.40.10 - 8483.90.80

MM090 Boilers, turbines, and related machinery ........................... 8401.10.00 - 8401.10.00

8401.30.00 - 8404.90.00

8406.10.10 - 8406.90.75

8410.11.00 - 8410.90.00

MM091 Electric motors, generators, and related equipment ................... 8501.10.20 - 8503.00.95

8505.11.00 - 8505.90.80

8545.19.20 - 8545.20.00

8545.90.40 - 8545.90.40

8546.90.00 - 8546.90.00

MM092 Electrical transformers, static converters, and inductors ............... 8504.10.00 - 8504.40.40

8504.40.85 - 8504.40.95

8504.50.80 - 8504.50.80

8504.90.65 - 8504.90.95

8543.40.00 - 8543.40.00

MM093 Portable electric handtools ..................................... 8508.10.00 - 8508.90.80

MM094 Nonelectrically powered handtools and parts thereof .................. 8467.11.10 - 8467.99.00

MM095 Electric lamps (bulbs) and portable electric lights .................... 8513.10.20 - 8513.90.40

8539.10.00 - 8539.90.00

8545.90.20 - 8545.90.20

MM096 Welding and soldering equipment ................................ 8468.10.00 - 8468.90.50

8515.11.00 - 8515.80.00

8515.90.20 - 8515.90.40

MM097 Nonautomotive insulated electrical wire and related products ............ 8544.11.00 - 8544.20.00

8544.41.40 - 8544.60.60

8546.10.00 - 8546.20.00

8547.20.00 - 8547.90.00

MM098 Miscellaneous machinery ...................................... 8401.20.00 - 8401.20.00

8405.10.00 - 8405.90.00

8420.10.90 - 8420.10.90

8420.91.90 - 8420.91.90

8420.99.90 - 8420.99.90

8424.10.00 - 8424.30.90

8424.89.70 - 8425.49.00

8428.10.00 - 8428.60.00

8428.90.00 - 8428.90.00

8431.10.00 - 8431.10.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-26

8431.31.00 - 8431.39.00

8453.10.00 - 8453.90.50

8475.10.00 - 8475.90.90

8478.10.00 - 8478.90.00

8479.20.00 - 8479.40.00

8479.60.00 - 8479.82.00

8479.89.95 - 8479.89.97

8479.90.95 - 8479.90.95

8484.10.00 - 8484.90.00

8485.90.00 - 8485.90.00

MM099 Molds and molding machinery ................................... 8454.10.00 - 8454.90.00

8477.10.30 - 8477.10.40

8477.10.80 - 8477.40.00

8477.40.80 - 8477.59.00

8477.59.80 - 8477.80.00

8477.90.20 - 8477.90.25

8477.90.40 - 8477.90.45

8477.90.60 - 8477.90.65

8477.90.80 - 8477.90.85

8480.10.00 - 8480.71.10

8480.71.80 - 8480.79.90

Transportation equipment sector:

ET001 Aircraft engines and gas turbines ................................. 8407.10.00 - 8407.10.00

8409.10.00 - 8409.10.00

8411.11.40 - 8412.10.00

8412.90.90 - 8412.90.90

ET002 Internal combustion piston engines, other than for aircraft .............. 8407.21.00 - 8408.90.90

8409.91.10 - 8409.99.99

8421.23.00 - 8421.23.00

8421.31.00 - 8421.31.00

8483.10.10 - 8483.10.50

ET003 Forklift trucks and similar industrial vehicles ........................ 8427.10.40 - 8427.90.00

8431.20.00 - 8431.20.00

8709.11.00 - 8709.90.00

ET004 Construction and mining equipment .............................. 8426.11.00 - 8426.99.00

8429.11.00 - 8430.69.00

8431.41.00 - 8431.49.90

8479.10.00 - 8479.10.00

8479.90.95 - 8479.90.95

8704.10.10 - 8704.10.50

ET005 Ball and rollers bearings ....................................... 8482.10.10 - 8482.99.65

8483.20.40 - 8483.30.80

ET006 Primary cells and batteries and electric storage batteries ............... 8506.10.00 - 8507.90.80

8548.10.05 - 8548.90.00

ET007 Ignition, starting, lighting, and other electrical equipment ............... 8511.10.00 - 8512.90.90

8547.10.40 - 8547.10.80

ET008 Rail locomotive and rolling stock ................................. 8601.10.00 - 8609.00.00

ET009 Motor vehicles ............................................... 8701.20.00 - 8701.20.00

8702.10.30 - 8702.90.60

8703.22.00 - 8703.90.00

8704.21.00 - 8704.90.00

8706.00.03 - 8706.00.15

8707.10.00 - 8707.10.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-27

8707.90.50 - 8707.90.50

ET010 Certain motor-vehicle parts ..................................... 8708.10.30 - 8708.29.50

8708.31.50 - 8708.31.50

8708.39.50 - 8708.40.20

8708.40.50 - 8708.40.50

8708.50.30 - 8708.50.80

8708.60.30 - 8708.60.80

8708.70.25 - 8708.70.60

8708.80.30 - 8708.80.45

8708.91.50 - 8708.91.50

8708.92.50 - 8708.92.50

8708.93.60 - 8708.93.75

8708.94.50 - 8708.94.50

8708.99.27 - 8708.99.80

ET011 Motorcycles, mopeds, and parts ................................. 8711.10.00 - 8711.90.00

8714.11.00 - 8714.19.00

ET012 Miscellaneous vehicles and transportation-related equipment ........... 8703.10.10 - 8703.21.00

8705.10.00 - 8705.90.00

8706.00.25 - 8706.00.25

8707.90.50 - 8707.90.50

8710.00.00 - 8710.00.00

8713.10.00 - 8713.90.00

8714.20.00 - 8714.20.00

8716.10.00 - 8716.40.00

8716.80.50 - 8716.80.50

8716.90.30 - 8716.90.50

ET013 Aircraft, spacecraft, and related equipment ......................... 8801.10.00 - 8802.40.00

8802.60.90 - 8803.30.00

8803.90.90 - 8805.20.00

ET014 Ships, tugs, pleasure boats, and similar vessels ..................... 8485.10.00 - 8485.10.00

8901.10.00 - 8908.00.00

ET015 Motors and engines, except internal combustion, aircraft, or electric ...... 8412.21.00 - 8412.90.10

8412.90.90 - 8412.90.90

Electronic products sector:

ET016 Office machines ............................................. 8469.11.00 - 8470.40.00

8470.90.00 - 8470.90.00

8472.10.00 - 8472.30.00

8472.90.20 - 8472.90.60

8472.90.90 - 8473.29.00

8473.40.20 - 8473.40.20

8473.40.90 - 8473.40.95

8520.10.00 - 8520.10.00

ET017 Telephone and telegraph apparatus ............................... 8517.11.00 - 8518.10.40

8518.29.40 - 8518.29.40

8518.30.10 - 8518.30.10

8518.40.10 - 8518.40.10

8518.90.20 - 8518.90.60

8520.20.00 - 8520.20.00

8522.90.45 - 8522.90.55

8525.10.90 - 8525.20.90

8527.31.05 - 8527.31.05

8527.90.40 - 8527.90.40

8527.90.85 - 8527.90.95
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-28

8529.10.70 - 8529.10.70

8529.90.23 - 8529.90.23

8529.90.76 - 8529.90.76

8529.90.99 - 8529.90.99

8531.80.40 - 8531.80.70

8531.90.10 - 8531.90.10

8531.90.70 - 8531.90.70

8543.89.60 - 8543.89.60

8802.60.30 - 8802.60.30

8803.90.30 - 8803.90.30

ET018 Consumer electronics (except televisions) .......................... 8518.10.80 - 8518.22.00

8518.29.80 - 8518.29.80

8518.30.20 - 8518.30.20

8518.40.20 - 8518.50.00

8518.90.80 - 8519.99.00

8520.32.00 - 8522.90.35

8522.90.65 - 8522.90.75

8525.40.40 - 8525.40.80

8527.12.00 - 8527.29.80

8527.31.40 - 8527.39.00

8527.90.50 - 8527.90.50

ET019 Blank media ................................................ 8523.11.00 - 8523.90.00

ET020 Prerecorded media ........................................... 8524.10.00 - 8524.99.40

ET021 Navigational instruments and remote control apparatus ................ 8526.10.00 - 8526.92.00

8529.10.40 - 8529.10.40

8529.90.16 - 8529.90.19

8529.90.26 - 8529.90.26

8529.90.73 - 8529.90.73

8529.90.95 - 8529.90.97

9014.10.10 - 9014.90.60

ET022 Television receivers and video monitors ........................... 8528.12.04 - 8528.30.90

8529.90.01 - 8529.90.06

8529.90.29 - 8529.90.53

8529.90.88 - 8529.90.93

ET023 Radio and television broadcasting equipment ....................... 8525.10.10 - 8525.10.70

8525.30.30 - 8525.30.90

8529.10.20 - 8529.10.20

8529.10.90 - 8529.10.90

8529.90.09 - 8529.90.13

8529.90.63 - 8529.90.69

8529.90.78 - 8529.90.85

ET024 Electric sound and visual signaling apparatus ....................... 8530.10.00 - 8531.20.00

8531.80.90 - 8531.80.90

8531.90.30 - 8531.90.40

8531.90.80 - 8531.90.90

ET025 Electrical capacitors and resistors ................................ 8532.10.00 - 8533.90.80

8543.89.96 - 8543.89.96

ET026 Printed circuits .............................................. 8534.00.00 - 8534.00.00

ET027 Circuit apparatus exceeding 1000V ............................... 8535.10.00 - 8535.90.80

ET028 Circuit apparatus not exceeding 1000V ............................ 8536.10.00 - 8536.90.80

ET029 Circuit apparatus assemblies .................................... 8537.10.30 - 8537.20.00

ET030 Parts of circuit apparatus ....................................... 8538.10.00 - 8538.90.80

ET031 Cathode-ray tubes ............................................ 8540.11.10 - 8540.20.20

8540.40.00 - 8540.60.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-29

8540.91.15 - 8540.91.50

ET032 Electron tubes other than CRTs .................................. 8540.20.40 - 8540.20.40

8540.71.20 - 8540.89.00

8540.99.40 - 8540.99.80

ET033 Semiconductors and integrated circuits ............................ 8541.10.00 - 8541.50.00

8541.90.00 - 8542.90.00

ET034 Miscellaneous electrical equipment ............................... 8541.60.00 - 8541.60.00

8543.19.00 - 8543.30.00

8543.81.00 - 8543.89.40

8543.89.70 - 8543.89.92

8543.89.96 - 8543.90.88

ET035 Computers, peripherals, and parts ................................ 8470.50.00 - 8470.50.00

8471.10.00 - 8471.90.00

8472.90.10 - 8472.90.10

8473.30.10 - 8473.40.10

8473.50.30 - 8473.50.90

8504.40.60 - 8504.40.70

8504.50.40 - 8504.50.40

8504.90.20 - 8504.90.40

ET036 Photographic film and paper .................................... 3701.10.00 - 3707.10.00

ET037 Optical fibers, optical fiber bundles and cables ...................... 8544.70.00 - 8544.70.00

9001.10.00 - 9001.10.00

ET038 Optical goods, including ophthalmic goods ......................... 9001.20.00 - 9005.90.80

9011.10.40 - 9013.90.90

ET039 Photographic cameras and equipment ............................. 8472.90.70 - 8472.90.70

8473.40.60 - 8473.40.60

9006.10.00 - 9010.10.00

9010.50.10 - 9010.90.40

9010.90.80 - 9010.90.90

9027.40.00 - 9027.40.00

9027.90.54 - 9027.90.54

ET040 Medical goods ............................................... 9018.11.30 - 9022.90.95

ET041 Watches and clocks .......................................... 9101.11.40 - 9114.90.50

ET042 Drawing, drafting, and calculating instruments ....................... 9017.10.00 - 9017.90.36

ET043 Measuring, testing, and controlling instruments ...................... 9015.10.40 - 9016.00.60

9023.00.00 - 9027.30.80

9027.50.40 - 9027.90.45

9027.90.54 - 9030.40.00

9030.83.00 - 9030.90.45

9030.90.65 - 9030.90.68

9030.90.85 - 9031.30.00

9031.49.40 - 9031.49.40

9031.49.80 - 9031.49.90

9031.80.80 - 9031.90.45

9031.90.55 - 9031.90.60

9031.90.90 - 9033.00.00

Miscellaneous manufactures sector:

MM046 Luggage, handbags, and flat goods ............................... 4202.11.00 - 4202.99.90

9605.00.00 - 9605.00.00

MM046A Luggage ................................................... 4202.11.00 - 4202.19.00

4202.91.00 - 4202.99.90

MM046B Handbags .................................................. 4202.21.30 - 4202.29.90

MM046C Flat goods .................................................. 4202.31.30 - 4202.39.90
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

See note at end of table.

B-30

MM047 Certain other leather goods ..................................... 4201.00.30 - 4201.00.60

4204.00.30 - 4205.00.80

MM048 Musical instruments and accessories .............................. 9201.10.00 - 9209.99.80

MM049 Umbrellas, whips, riding crops, and canes .......................... 6601.10.00 - 6603.90.80

MM050 Silverware and related articles of precious metal ..................... 7114.11.10 - 7115.90.20

7115.90.50 - 7115.90.50

MM051 Precious jewelry and related articles .............................. 7113.11.10 - 7113.20.50

7115.90.30 - 7115.90.40

7115.90.60 - 7116.20.50

MM052 Costume jewelry and related articles .............................. 7117.11.00 - 7117.90.90

MM053 Bicycles and certain parts ...................................... 8712.00.15 - 8712.00.50

8714.91.20 - 8714.99.80

MM054 Furniture ................................................... 9401.30.40 - 9401.80.60

9401.90.15 - 9403.40.40

9403.40.90 - 9403.50.40

9403.50.90 - 9403.80.60

9403.90.25 - 9404.29.90

MM055 Writing instruments and related articles ............................ 9608.10.00 - 9610.00.00

MM056 Lamps and lighting fittings ...................................... 9405.10.40 - 9405.99.40

MM057 Prefabricated buildings ........................................ 9406.00.40 - 9406.00.80

MM058 Dolls ...................................................... 9502.10.00 - 9502.99.00

MM059 Toys ...................................................... 9501.00.20 - 9501.00.60

9503.10.00 - 9503.10.00

9503.30.00 - 9503.90.00

9505.90.20 - 9505.90.60

MM060 Games .................................................... 9504.10.00 - 9504.90.90

MM061 Sporting goods .............................................. 9506.11.20 - 9507.90.80

MM062 Smokers' articles ............................................. 9613.10.00 - 9614.90.80

MM063 Brooms, brushes, and hair grooming articles ........................ 9603.10.05 - 9603.90.80

9615.11.10 - 9615.90.60

MM063A Brooms and brushes .......................................... 9603.10.05 - 9603.90.80

MM063B Hair grooming articles, non-electric (except brushes) .................. 9615.11.10 - 9615.90.60

MM064 Works of art and miscellaneous manufactured goods ................. 4206.10.30 - 4206.90.00

6701.00.30 - 6704.90.00

8715.00.00 - 8715.00.00

9503.20.00 - 9503.20.00

9505.10.10 - 9505.10.50

9508.00.00 - 9602.00.50

9604.00.00 - 9604.00.00

9611.00.00 - 9612.20.00

9616.10.00 - 9706.00.00

MM065 Apparel fasteners ............................................ 9606.10.40 - 9607.20.00

MM066 Arms and ammunition ......................................... 9301.00.30 - 9307.00.00
Table B-1--Continued

HTS 8-digit subheading ranges included in industry/commodity groups and subgroups, by sector

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

USITC

code Industry/commodity group or subgroup title HTS subheading range

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

,,,,,,,,,, ,

B-31

MM067 Seats for motor vehicles and aircraft .............................. 9401.10.40 - 9401.20.00

9401.90.10 - 9401.90.10

9403.40.60 - 9403.40.60

9403.50.60 - 9403.50.60

9403.90.10 - 9403.90.10

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.–A duplicate listing for an individual 8-digit HTS subheading indicates that the 10-digit categories within that 8-

digit subheading are in more than one industry/commodity group or subgroup.

The above table shows the range of HTS 8-digit items assigned to industry/commodity groups and subgroups, and

should be considered a guideline only because actual industry/commodity group and subgroup assignments are

made on an HTS 10-digit basis. Therefore, any data generated on the basis of the information contained in this

table may not accurately represent trade for these groups. For accurate trade data based on information contained

here, see tables in the commodity chapters or appendix C (Profile of U.S. Industry and Market, by

Industry/Commodity Groups and Subgroups, 1996-2000). In addition, this information represents only a snapshot

of the HTS subheading composition of these groups and subgroups at a point in time. The USITC’s

industry/commodity groupings and subgroupings are subject to frequent revision as dictated by modifications to the

HTS and other factors.

























































,,,,,,,,,,,,,,,,

APPENDIX D

Industry/Commodity Groups with Most

Significant Shifts, 1999 and 2000,

and Additional Statistical Tables

D-3

Table DDomestic export increases: Ranking of top 20 industry/commodity groups, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 U.S. exports Change, 2000 from 1999 USITC ,,,,,,,,,,,,,,,,,,,, ,,,,,,,,,,,,,,,,,,,,,,,,,,

code Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

Rank order based on change in absolute value growth:

ET033 Semiconductors and integrated circuits ......... 36,615 44,828 8,213 22.4

MM087 Semiconductor manufacturing equipment and

 robotics ............................... 7,986 14,353 6,367 79.7

ET035 Computers, peripherals, and parts ............ 39,230 45,299 6,069 15.5

CH005 Petroleum products ....................... 6,599 9,562 2,963 44.9

ET017 Telephone and telegraph apparatus ........... 17,717 20,147 2,430 13.7

ET043 Measuring, testing, and controlling instruments . . 14,575 16,749 2,175 14.9

CH041 Miscellaneous plastic products ............... 11,816 13,904 2,088 17.7

CH025 Medicinal chemicals ....................... 13,681 15,749 2,068 15.1

ET010 Certain motor-vehicle parts .................. 27,281 29,199 1,918 7.0

MM036 Copper and related articles .................. 1,668 3,109 1,441 86.4

CH012 Certain organic chemicals .................. 5,401 6,723 1,322 24.5

ET038 Optical goods, including ophthalmic goods ...... 2,682 3,995 1,313 49.0

ET002 Internal combustion piston engines, other than for

 aircraft ................................ 12,522 13,808 1,286 10.3

MM020 Precious metals and non-numismatic coins ..... 6,510 7,685 1,176 18.1

MM098 Miscellaneous machinery ................... 6,843 7,976 1,133 16.6

ET028 Circuit apparatus not exceeding 1000V ......... 4,991 6,101 1,110 22.2

AG059 Wood pulp and wastepaper ................. 3,540 4,619 1,079 30.5

MM019 Natural and synthetic gemstones ............. 447 1,466 1,019 228.2

ET025 Electrical capacitors and resistors ............. 2,393 3,410 1,017 42.5

CH036 Other plastics in primary forms ............... 6,323 7,305 982 15.5

Rank order based on change in percentage growth:

MM019 Natural and synthetic gemstones ............. 447 1,466 1,019 228.2

MM004 Copper ores and concentrates ............... 81 173 93 115.0

AG049 Cotton, not carded or combed ............... 968 1,883 915 94.5

CH001 Electrical energy .......................... 206 398 191 92.7

MM036 Copper and related articles .................. 1,668 3,109 1,441 86.4

MM087 Semiconductor manufacturing equipment and

 robotics ............................... 7,986 14,353 6,367 79.7

ET037 Optical fibers, optical fiber bundles and cables ... 1,081 1,888 807 74.6

CH006 Natural gas and components ................ 759 1,286 527 69.4

MM005 Lead ores, concentrates, and residues ......... 43 73 29 68.1

CH007 Major primary olefins ...................... 181 299 118 65.0

AG050 Ethyl alcohol for nonbeverage purposes ........ 58 91 34 58.6

MM051 Precious jewelry and related articles ........... 822 1,272 450 54.7

ET038 Optical goods, including ophthalmic goods ...... 2,682 3,995 1,313 49.0

CH010 Organic commodity chemicals ............... 1,474 2,146 673 45.7

CH005 Petroleum products ....................... 6,599 9,562 2,963 44.9

ET025 Electrical capacitors and resistors ............. 2,393 3,410 1,017 42.5

MM047 Certain other leather goods .................. 123 173 50 41.2

MM086 Non-metalworking machine tools ............. 792 1,112 320 40.4

CH020 Synthetic tanning agents ................... 13 18 5 37.7

MM023 Iron and steel waste and scrap ............... 750 1,030 280 37.3

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.––Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
D-4

Table D-2

Domestic export declines: Ranking of top 20 industry/commodity groups, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

U.S. exports Change, 2000 from 1999 USITC ,,,,,,,,,,,,,,,,,,,, ,,,,,,,,,,,,,,,,,,,,,,,,,,

code Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

Rank order based on change in absolute value decline:

ET013 Aircraft, spacecraft, and related equipment ...... 47,762 39,696 -8,066 -16.9

AG030 Cereals ................................. 10,129 9,467 -662 -6.5

CH016 Fertilizers ............................... 3,032 2,381 -651 -21.5

ET014 Ships, tugs, pleasure boats, and similar vessels . . 1,682 1,083 -599 -35.6

AG033 Animal or vegetable fats and oils ............. 1,947 1,450 -497 -25.5

CH004 Crude petroleum .......................... 772 444 -328 -42.5

ET019 Blank media ............................. 1,692 1,420 -272 -16.1

ET008 Rail locomotive and rolling stock ............. 1,558 1,336 -222 -14.3

CH023 Pesticide products and formulations ........... 2,211 2,036 -175 -7.9

MM090 Boilers, turbines, and related machinery ........ 1,290 1,117 -173 -13.4

AG019 Prepared or preserved vegetables, mushrooms,

 and olives ............................. 1,565 1,464 -101 -6.4

AG043 Unmanufactured tobacco ................... 1,294 1,222 -73 -5.6

ET020 Prerecorded media ........................ 3,707 3,636 -71 -1.9

MM085 Metal forming machine tools ................. 947 890 -57 -6.0

MM068 Wiring harnesses for motor vehicles ........... 993 938 -55 -5.5

AG007 Canned fish ............................. 222 170 -52 -23.6

ET042 Drawing, drafting, and calculating instruments ... 415 366 -50 -11.9

MM028 Metal construction components .............. 579 533 -45 -7.8

MM055 Writing instruments and related articles ........ 333 288 -44 -13.4

MM043 Certain cutlery, sewing implements, and related

 products .............................. 583 546 -37 -6.3

Rank order based on change in percentage decline:

CH004 Crude petroleum .......................... 772 444 -328 -42.5

ET014 Ships, tugs, pleasure boats, and similar vessels . . 1,682 1,083 -599 -35.6

AG033 Animal or vegetable fats and oils ............. 1,947 1,450 -497 -25.5

AG007 Canned fish ............................. 222 170 -52 -23.6

CH016 Fertilizers ............................... 3,032 2,381 -651 -21.5

CH040 Other tires .............................. 111 89 -22 -20.0

ET013 Aircraft, spacecraft, and related equipment ...... 47,762 39,696 -8,066 -16.9

MM018 Fiberglass insulation products ............... 71 59 -12 -16.8

AG048 Wool and other animal hair ................. 22 19 -4 -16.5

ET019 Blank media ............................. 1,692 1,420 -272 -16.1

AG040 Malt beverages ........................... 201 169 -32 -15.9

MM008 Precious metal ores and concentrates ......... 40 34 -6 -15.4

ET008 Rail locomotive and rolling stock ............. 1,558 1,336 -222 -14.3

MM090 Boilers, turbines, and related machinery ........ 1,290 1,117 -173 -13.4

MM055 Writing instruments and related articles ........ 333 288 -44 -13.4

MM053 Bicycles and certain parts ................... 271 235 -35 -13.1

ET042 Drawing, drafting, and calculating instruments ... 415 366 -50 -11.9

AG021 Tropical fruit ............................. 64 57 -7 -10.3

MM006 Zinc ores, concentrates, and residues .......... 352 317 -35 -10.0

AG025 Dried fruit other than tropical ................ 379 342 -36 -9.6

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.––Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
D-5

Table D-3

Domestic import increases: Ranking of top 20 industry/commodity groups, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

U.S. imports Change, 2000 from 1999 USITC ,,,,,,,,,,,,,,,,,,,, ,,,,,,,,,,,,,,,,,,,,,,,,,,

code Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

Rank order based on change in absolute value growth:

CH004 Crude petroleum .......................... 31,642 56,546 24,904 78.7

CH005 Petroleum products ....................... 22,079 39,787 17,707 80.2

ET017 Telephone and telegraph apparatus ........... 20,147 32,130 11,983 59.5

ET033 Semiconductors and integrated circuits ......... 37,158 47,448 10,290 27.7

ET009 Motor vehicles ........................... 119,663 129,553 9,890 8.3

ET035 Computers, peripherals, and parts ............ 81,662 90,384 8,722 10.7

CH006 Natural gas and components ................ 11,042 19,157 8,115 73.5

CH049 Apparel ................................ 56,565 64,402 7,837 13.9

CH025 Medicinal chemicals ....................... 23,781 29,110 5,329 22.4

ET018 Consumer electronics (except televisions) ....... 18,282 21,974 3,692 20.2

ET013 Aircraft, spacecraft, and related equipment ...... 14,592 18,019 3,428 23.5

ET010 Certain motor-vehicle parts .................. 22,725 25,135 2,410 10.6

MM054 Furniture ............................... 12,775 15,159 2,384 18.7

MM020 Precious metals and non-numismatic coins ..... 7,708 10,082 2,374 30.8

MM025 Steel mill products ........................ 12,749 15,026 2,277 17.9

ET023 Radio and television broadcasting equipment .... 4,948 7,178 2,230 45.1

MM019 Natural and synthetic gemstones ............. 11,021 13,234 2,212 20.1

ET043 Measuring, testing, and controlling instruments . . 9,656 11,743 2,087 21.6

MM087 Semiconductor manufacturing equipment and

 robotics ............................... 3,123 5,167 2,044 65.4

CH007 Major primary olefins ...................... 1,798 3,552 1,754 97.5

Rank order based on change in percentage growth:

MM008 Precious metal ores and concentrates ......... 4 10 6 167.8

MM005 Lead ores, concentrates, and residues ......... 3 8 4 124.9

CH001 Electrical energy .......................... 1,334 2,711 1,377 103.3

CH007 Major primary olefins ...................... 1,798 3,552 1,754 97.5

ET037 Optical fibers, optical fiber bundles and cables ... 729 1,399 671 92.1

CH009 Primary aromatics ........................ 815 1,563 748 91.8

AG045 Cigarettes ............................... 112 212 100 89.6

CH005 Petroleum products ....................... 22,079 39,787 17,707 80.2

CH004 Crude petroleum .......................... 31,642 56,546 24,904 78.7

CH006 Natural gas and components ................ 11,042 19,157 8,115 73.5

MM090 Boilers, turbines, and related machinery ........ 484 833 349 72.0

ET025 Electrical capacitors and resistors ............. 2,435 4,177 1,742 71.5

CH008 Other olefins ............................. 91 156 65 71.2

MM087 Semiconductor manufacturing equipment and

 robotics ............................... 3,123 5,167 2,044 65.4

ET017 Telephone and telegraph apparatus ........... 20,147 32,130 11,983 59.5

CH010 Organic commodity chemicals ............... 778 1,201 423 54.4

ET023 Radio and television broadcasting equipment .... 4,948 7,178 2,230 45.1

ET012 Miscellaneous vehicles and transportation-related

 equipment ............................. 2,060 2,986 926 45.0

ET011 Motorcycles, mopeds, and parts .............. 1,755 2,519 765 43.6

CH003 Coal, coke, and related chemical products ...... 1,741 2,460 719 41.3

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.––Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
D-6

Table D-4

Domestic import declines: Ranking of top 20 industry/commodity groups, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

U.S. imports Change, 2000 from 1999 USITC ,,,,,,,,,,,,,,,,,,,, ,,,,,,,,,,,,,,,,,,,,,,,,,,

code Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

Rank order based on change in absolute value decline:

AG052 Lumber ................................. 7,820 7,071 -750 -9.6

ET039 Photographic cameras and equipment ......... 5,843 5,299 -543 -9.3

ET008 Rail locomotive and rolling stock ............. 2,307 1,828 -479 -20.8

ET004 Construction and mining equipment ........... 5,919 5,643 -275 -4.7

MM060 Games ................................. 4,086 3,879 -207 -5.1

MM082 Textile machinery ......................... 1,490 1,289 -201 -13.5

ET042 Drawing, drafting, and calculating instruments ... 431 234 -196 -45.6

AG028 Coffee and tea ........................... 3,114 2,921 -193 -6.2

MM081 Printing and related machinery ............... 2,304 2,157 -148 -6.4

AG049 Cotton, not carded or combed ............... 136 21 -115 -84.8

MM099 Molds and molding machinery ............... 3,723 3,613 -110 -2.9

AG054 Wood veneer and wood panels ............... 3,574 3,471 -103 -2.9

ET031 Cathode-ray tubes ........................ 732 634 -98 -13.4

MM063 Brooms, brushes, and hair grooming articles .... 955 859 -97 -10.1

CH023 Pesticide products and formulations ........... 1,183 1,090 -93 -7.8

AG043 Unmanufactured tobacco ................... 711 628 -83 -11.7

MM004 Copper ores and concentrates ............... 82 (

1

) -82 -100.0

MM079 Industrial food-processing and related machinery . 621 543 -77 -12.5

AG012 Sugar and other sweeteners ................. 879 805 -74 -8.5

AG007 Canned fish ............................. 611 538 -73 -11.9

Rank order based on change in percentage decline:

MM004 Copper ores and concentrates ............... 82 (

1

) -82 -100.0

AG049 Cotton, not carded or combed ............... 136 21 -115 -84.8

ET042 Drawing, drafting, and calculating instruments ... 431 234 -196 -45.6

MM006 Zinc ores, concentrates, and residues .......... 53 38 -15 -28.4

ET008 Rail locomotive and rolling stock ............. 2,307 1,828 -479 -20.8

MM083 Metal rolling mills ......................... 321 261 -60 -18.6

AG025 Dried fruit other than tropical ................ 78 63 -14 -18.4

AG011 Eggs .................................. 20 18 -3 -13.7

MM082 Textile machinery ......................... 1,490 1,289 -201 -13.5

ET031 Cathode-ray tubes ........................ 732 634 -98 -13.4

MM079 Industrial food-processing and related machinery . 621 543 -77 -12.5

AG007 Canned fish ............................. 611 538 -73 -11.9

AG043 Unmanufactured tobacco ................... 711 628 -83 -11.7

CH018 Synthetic organic pigments .................. 404 358 -46 -11.4

MM063 Brooms, brushes, and hair grooming articles .... 955 859 -97 -10.1

AG052 Lumber ................................. 7,820 7,071 -750 -9.6

AG030 Cereals ................................. 732 662 -69 -9.5

ET039 Photographic cameras and equipment ......... 5,843 5,299 -543 -9.3

CH019 Synthetic dyes and azoic couplers ............ 527 481 -45 -8.6

AG012 Sugar and other sweeteners ................. 879 805 -74 -8.5

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1Less than $500,000.

Note.––Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
D-7

Table D-5

U.S. trade position increases: Ranking of top 30 industry/commodity groups, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

U.S. balance Change, 2000 from 1999 USITC ,,,,,,,,,,,,,,,,,,,, ,,,,,,,,,,,,,,,,,,,,,,,,,,

code Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

MM087 Semiconductor manufacturing equipment and

 robotics ............................... 4,862 9,186 4,324 88.9

ET004 Construction and mining equipment ........... 2,727 3,864 1,137 41.7

AG049 Cotton, not carded or combed ............... 832 1,862 1,030 123.8

AG052 Lumber ................................. -5,636 -4,860 776 13.8

CH041 Miscellaneous plastic products ............... 828 1,547 719 86.9

AG032 Oilseeds ................................ 4,513 5,228 715 15.8

CH036 Other plastics in primary forms ............... 3,868 4,519 651 16.8

ET039 Photographic cameras and equipment ......... -4,018 -3,499 518 12.9

MM097 Nonautomotive insulated electrical wire and

 related products ......................... 24 474 451 1,891.4

CH046 Fabrics ................................. -393 15 408 (

1

)

ET036 Photographic film and paper ................. 146 550 404 277.8

AG013 Animal feeds ............................ 3,017 3,419 403 13.3

MM081 Printing and related machinery ............... -958 -574 384 40.1

AG046 Hides, skins, and leather ................... 798 1,163 366 45.8

MM099 Molds and molding machinery ............... -1,844 -1,484 359 19.5

ET031 Cathode-ray tubes ........................ 1,442 1,801 359 24.9

CH017 Paints, inks, and related items, and certain

 components thereof ...................... 1,368 1,683 315 23.0

AG059 Wood pulp and wastepaper ................. 936 1,231 295 31.6

MM036 Copper and related articles .................. -2,058 -1,772 286 13.9

MM023 Iron and steel waste and scrap ............... 360 637 277 76.8

ET008 Rail locomotive and rolling stock ............. -749 -492 257 34.3

CH032 Polypropylene resins in primary forms ......... 630 880 250 39.7

CH010 Organic commodity chemicals ............... 696 946 250 35.9

MM082 Textile machinery ......................... -808 -562 246 30.4

MM074 Centrifuges and filtering and purifying equipment . 781 1,021 240 30.7

AG037 Cocoa, chocolate, and confectionery .......... -1,472 -1,248 223 15.2

MM060 Games ................................. -3,150 -2,935 215 6.8

AG028 Coffee and tea ........................... -2,830 -2,623 207 7.3

CH012 Certain organic chemicals .................. 1,806 2,012 206 11.4

ET001 Aircraft engines and gas turbines ............. 3,889 4,072 183 4.7

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1Not meaningful for purposes of comparison.

Note.––Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
D-8

Table D-6

U.S. trade position declines: Ranking of top 30 industry/commodity groups, 1999 and 2000

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

U.S. balance Change, 2000 from 1999 USITC ,,,,,,,,,,,,,,,,,,,, ,,,,,,,,,,,,,,,,,,,,,,,,,,

code Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

CH004 Crude petroleum .......................... -30,870 -56,103 -25,232 -81.7

CH005 Petroleum products ....................... -15,480 -30,224 -14,744 -95.2

ET013 Aircraft, spacecraft, and related equipment ...... 33,171 21,677 -11,494 -34.6

ET017 Telephone and telegraph apparatus ........... -2,430 -11,982 -9,553 -393.2

ET009 Motor vehicles ........................... -97,614 -106,727 -9,113 -9.3

CH049 Apparel ................................ -48,601 -56,225 -7,624 -15.7

CH006 Natural gas and components ................ -10,282 -17,870 -7,588 -73.8

ET018 Consumer electronics (except televisions) ....... -15,604 -19,005 -3,401 -21.8

CH025 Medicinal chemicals ....................... -10,100 -13,361 -3,260 -32.3

ET035 Computers, peripherals, and parts ............ -42,432 -45,085 -2,653 -6.3

ET033 Semiconductors and integrated circuits ......... -542 -2,619 -2,077 -383.0

MM054 Furniture ............................... -10,178 -12,132 -1,954 -19.2

ET023 Radio and television broadcasting equipment .... -2,624 -4,576 -1,951 -74.3

MM025 Steel mill products ........................ -8,458 -10,114 -1,656 -19.6

CH007 Major primary olefins ...................... -1,617 -3,253 -1,636 -101.2

CH016 Fertilizers ............................... 546 -843 -1,389 (

1

)

MM020 Precious metals and non-numismatic coins ..... -1,198 -2,397 -1,198 -100.0

MM019 Natural and synthetic gemstones ............. -10,575 -11,768 -1,193 -11.3

CH001 Electrical energy .......................... -1,127 -2,313 -1,186 -105.2

ET022 Television receivers and video monitors ........ -5,548 -6,549 -1,001 -18.0

AG009 Shellfish ................................ -4,319 -5,208 -888 -20.6

MM092 Electrical transformers, static converters, and

 inductors .............................. -2,571 -3,404 -833 -32.4

CH051 Footwear ............................... -13,380 -14,192 -812 -6.1

MM064 Works of art and miscellaneous manufactured

 goods ................................ -6,732 -7,499 -766 -11.4

ET012 Miscellaneous vehicles and transportation-related

 equipment ............................. 702 -43 -745 (

1

)

CH009 Primary aromatics ........................ -724 -1,459 -734 -101.4

ET025 Electrical capacitors and resistors ............. -42 -767 -724 -1,708.4

CH003 Coal, coke, and related chemical products ...... 930 257 -673 -72.3

ET011 Motorcycles, mopeds, and parts .............. -1,287 -1,956 -669 -52.0

MM073 Household appliances, including commercial

 applications ............................ -1,778 -2,441 -663 -37.3

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1Not meaningful for purposes of comparison.

Note.––Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
D-9

Table D-7

U.S. trade balance deficit: Top 30 industry/commodity groups, ordered by 2000 deficit

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

U.S. balance Change, 2000 from 1999 USITC ,,,,,,,,,,,,,,,,,,,, ,,,,,,,,,,,,,,,,,,,,,,,,,,

code Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

ET009 Motor vehicles ........................... -97,614 -106,727 -9,113 -9.3

CH049 Apparel ................................ -48,601 -56,225 -7,624 -15.7

CH004 Crude petroleum .......................... -30,870 -56,103 -25,232 -81.7

ET035 Computers, peripherals, and parts ............ -42,432 -45,085 -2,653 -6.3

CH005 Petroleum products ....................... -15,480 -30,224 -14,744 -95.2

ET018 Consumer electronics (except televisions) ....... -15,604 -19,005 -3,401 -21.8

CH006 Natural gas and components ................ -10,282 -17,870 -7,588 -73.8

CH051 Footwear ............................... -13,380 -14,192 -812 -6.1

CH025 Medicinal chemicals ....................... -10,100 -13,361 -3,260 -32.3

MM054 Furniture ............................... -10,178 -12,132 -1,954 -19.2

ET017 Telephone and telegraph apparatus ........... -2,430 -11,982 -9,553 -393.2

MM019 Natural and synthetic gemstones ............. -10,575 -11,768 -1,193 -11.3

MM025 Steel mill products ........................ -8,458 -10,114 -1,656 -19.6

MM059 Toys ................................... -7,481 -7,930 -448 -6.0

MM064 Works of art and miscellaneous manufactured

 goods ................................ -6,732 -7,499 -766 -11.4

ET022 Television receivers and video monitors ........ -5,548 -6,549 -1,001 -18.0

AG009 Shellfish ................................ -4,319 -5,208 -888 -20.6

AG052 Lumber ................................. -5,636 -4,860 776 13.8

ET023 Radio and television broadcasting equipment .... -2,624 -4,576 -1,951 -74.3

MM051 Precious jewelry and related articles ........... -4,241 -4,464 -224 -5.3

MM068 Wiring harnesses for motor vehicles ........... -3,875 -4,194 -319 -8.2

MM046 Luggage, handbags, and flat goods ........... -3,744 -4,029 -285 -7.6

MM037 Unwrought aluminum ...................... -3,764 -3,955 -191 -5.1

MM056 Lamps and lighting fittings .................. -3,272 -3,818 -546 -16.7

AG063 Printing and writing papers .................. -3,048 -3,516 -468 -15.3

ET039 Photographic cameras and equipment ......... -4,018 -3,499 518 12.9

MM092 Electrical transformers, static converters, and

 inductors .............................. -2,571 -3,404 -833 -32.4

AG062 Newsprint ............................... -3,094 -3,297 -203 -6.6

CH007 Major primary olefins ...................... -1,617 -3,253 -1,636 -101.2

MM009 Cement, stone, and related products .......... -2,919 -3,101 -182 -6.2

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.––Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
D-10

Table D-8

U.S. trade balance surplus: Top 30 industry/commodity groups, ordered by 2000 surplus

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

U.S. balance Change, 2000 from 1999 USITC ,,,,,,,,,,,,,,,,,,,, ,,,,,,,,,,,,,,,,,,,,,,,,,,

code Industry/commodity group 1999 2000 Absolute Percent

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

–––––––– Million Dollars –––––––

ET013 Aircraft, spacecraft, and related equipment ...... 33,171 21,677 -11,494 -34.6

MM087 Semiconductor manufacturing equipment and

 robotics ............................... 4,862 9,186 4,324 88.9

AG030 Cereals ................................. 9,398 8,805 -592 -6.3

AG032 Oilseeds ................................ 4,513 5,228 715 15.8

ET043 Measuring, testing, and controlling instruments . . 4,919 5,006 88 1.8

CH036 Other plastics in primary forms ............... 3,868 4,519 651 16.8

ET040 Medical goods ........................... 4,522 4,232 -290 -6.4

ET001 Aircraft engines and gas turbines ............. 3,889 4,072 183 4.7

ET010 Certain motor-vehicle parts .................. 4,557 4,065 -492 -10.8

ET004 Construction and mining equipment ........... 2,727 3,864 1,137 41.7

AG013 Animal feeds ............................ 3,017 3,419 403 13.3

AG045 Cigarettes ............................... 3,120 3,096 -24 -0.8

AG061 Industrial papers and paperboards ............ 2,421 2,563 141 5.8

ET020 Prerecorded media ........................ 2,455 2,247 -209 -8.5

CH012 Certain organic chemicals .................. 1,806 2,012 206 11.4

AG005 Poultry ................................. 1,821 1,984 164 9.0

AG049 Cotton, not carded or combed ............... 832 1,862 1,030 123.8

ET031 Cathode-ray tubes ........................ 1,442 1,801 359 24.9

AG036 Infant formulas, malt extracts, and other edible

 preparations ........................... 1,788 1,765 -22 -1.3

CH017 Paints, inks, and related items, and certain

 components thereof ...................... 1,368 1,683 315 23.0

CH041 Miscellaneous plastic products ............... 828 1,547 719 86.9

AG051 Logs and rough wood products ............... 1,390 1,365 -25 -1.8

MM066 Arms and ammunition ..................... 1,442 1,314 -128 -8.9

CH028 Soaps, detergents, and surface-active agents .... 1,190 1,280 90 7.6

AG059 Wood pulp and wastepaper ................. 936 1,231 295 31.6

AG046 Hides, skins, and leather ................... 798 1,163 366 45.8

MM078 Farm and garden machinery and equipment ..... 1,242 1,070 -171 -13.8

CH031 Polyethylene resins in primary forms .......... 920 1,038 118 12.8

MM074 Centrifuges and filtering and purifying equipment . 781 1,021 240 30.7

MM072 Industrial thermal-processing equipment and

 furnaces .............................. 809 968 159 19.6

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Note.––Calculations based on unrounded data.

Source: Compiled from official statistics of the U.S. Department of Commerce.
,,,,,,,,,,,,,,,,

APPENDIX E

Definitions of Selected

Country Groups

E-3

ASEAN (ASSOCIATION OF SOUTHEAST ASIAN NATIONS)

Brunei Malaysia

Burma (Myanmar) Philippines

Cambodia Singapore

Indonesia Thailand

Laos Vietnam

ASIA

Afghanistan Macao

Bangladesh Malaysia

Bhutan Maldive Islands

Brunei Mongolia

Burma (Myanmar) Nepal

Cambodia North Korea

China Pakistan

Hong Kong Philippines

India Singapore

Indonesia Sri Lanka

Japan Taiwan

Korea Thailand

Laos Vietnam

CBERA (CARIBBEAN BASIN ECONOMIC RECOVERY ACT)

BENEFICIARIES

Antigua and Barbuda Guyana

Aruba Haiti

The Bahamas Honduras

Barbados Jamaica

Belize Montserrat

British Virgin Islands Netherlands Antilles

Costa Rica Nicaragua

Dominica Panama

Dominican Republic St. Kitts and Nevis

El Salvador St. Lucia

Grenada St. Vincent and the Grenadines

Guatemala Trinidad and Tobago
E-4

CENTRAL AND EASTERN EUROPE

Albania Macedonia

Bosnia-Hercegovina Poland

Bulgaria Romania

Croatia Slovakia

Czech Republic Slovenia

Hungary Yugoslavia (Serbia and Montenegro)

EU/EU-15 (EUROPEAN UNION)

Austria Italy

Belgium Luxembourg

Denmark Netherlands

Finland Portugal

France Spain

Germany Sweden

Greece United Kingdom

Ireland

LATIN AMERICA

Anguilla Dominican Republic

Antigua and Barbuda Ecuador

Argentina El Salvador

Aruba Falkland Islands

The Bahamas French Guiana

Barbados Grenada 

Belize Guadeloupe

Bermuda Guatemala

Bolivia Guyana

Brazil Haiti

British Virgin Islands Honduras

Cayman Islands Jamaica

Chile Martinique

Colombia Mexico

Costa Rica Montserrat

Cuba Netherlands Antilles

Dominica Island Nicaragua
E-5

LATIN AMERICA–Continued

Panama St. Vincent and the Grenadines

Paraguay Suriname

Peru Trinidad and Tobago

St. Kitts and Nevis Turks and Caicos Islands

St. Lucia Uruguay

St. Pierre and Miquelon Venezuela

NAFTA (NORTH AMERICAN FREE TRADE AGREEMENT) PARTNERS

Canada Mexico

United States

OPEC (ORGANIZATION OF PETROLEUM EXPORTING COUNTRIES)

Algeria Nigeria

Indonesia Qatar

Iran Saudi Arabia

Iraq United Arab Emirates

Kuwait Venezuela

Libya

SUB-SAHARAN AFRICA

Angola Republic of the Congo (Congo-Brazzaville)

Benin Côte d'Ivoire

Botswana Djibouti

Burkina Faso Equatorial Guinea

Burundi Eritrea

Cameroon Ethiopia

Cape Verde Gabon

Central African Republic The Gambia

Chad Ghana

Comoros Guinea

Democratic Republic of the Guinea-Bissau

 Congo (Congo-Kinshasa) Kenya
E-6

SUB-SAHARAN AFRICA–Continued

Lesotho Senegal

Liberia Seychelles 

Madagascar Sierra Leone

Malawi Somalia

Mali South Africa

Mauritania Sudan

Mauritius Swaziland

Mozambique Tanzania

Namibia Togo

Niger Uganda

Nigeria Zambia

Rwanda Zimbabwe

São Tomé and Príncipe
,,,,,,,,,,,,,,,,

APPENDIX F

Status of Antidumping and Countervailing

Duty Order 5-Year (Sunset) Reviews

Table F-1

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

See footnotes at end of table.

F-3

July 1998 Canada Steel Jacks ........................................ R

July 1998 Japan Fish Netting of Manmade Fiber ......................... R

July 1998 France Large Power Transformers ............................ R

July 1998 Italy Large Power Transformers ............................ R

July 1998 Japan Large Power Transformers ............................ R

July 1998 Japan Bicycle Speedometers ............................... R

July 1998 Australia Canned Bartlett Pears ............................... R

July 1998 Japan Roller Chain ....................................... R

August 1998 Sweden Stainless Steel Plate ................................. R

August 1998 Japan Synthetic Methionine ................................ R

August 1998 Japan Polychloroprene Rubber .............................. C

August 1998 Canada Elemental Sulphur .................................. R

August 1998 Canada Racing Plates ...................................... R

August 1998 Japan Acrylic Sheet ...................................... R

August 1998 Japan Melamine ......................................... C

September 1998 Brazil Cotton Yarn ....................................... R

September 1998 Italy Pressure Sensitive Plastic Tape ........................ C

September 1998 Germany Animal Glue ....................................... R

September 1998 Austria Railway Track Maintenance Equipment .................. R

September 1998 Japan Impression Fabric ................................... R

September 1998 Japan Prestressed Concrete Steel Wire Strand .................. C

September 1998 Finland Rayon Staple Fiber .................................. R

September 1998 Sweden Rayon Staple Fiber .................................. R

October 1998 European Union Sugar ............................................ C

October 1998 Belgium Sugar ............................................ C

October 1998 France Sugar ............................................ C

October 1998 Germany Sugar ............................................ C

October 1998 Canada Sugar and Syrups ................................... R

October 1998 Japan Television Receivers ................................. R

October 1998 Korea Color Television Receivers ............................ R

October 1998 Taiwan Color Television Receivers ............................ R

October 1998 Japan Small Electric Motors (SA) ............................ R

October 1998 France Anhydrous Sodium Metasilicate ........................ C

October 1998 France Sorbitol .......................................... C

October 1998 Japan High Power Microwave Amplifiers ....................... R

October 1998 Germany Barium Carbonate .................................. R

October 1998 China Barium Chloride .................................... C

November 1998 China Griege Polyester Cotton Print Cloth ..................... C

November 1998 Argentina2 Carbon Steel Wire Rod (SA) ........................... R

November 1998 Argentina Carbon Steel Wire Rods .............................. R

November 1998 Singapore Refrigeration Compressors (SA) ........................ R

November 1998 Spain Potassium Permanganate ............................ R

November 1998 China Potassium Permanganate ............................ C

November 1998 China Chloropicrin ....................................... C

November 1998 India Iron Metal Castings ................................. R

November 1998 Canada Iron Construction Castings ............................ C

November 1998 Brazil Iron Construction Castings ............................ C

November 1998 China Iron Construction Castings ............................ C

November 1998 Brazil2 Heavy Iron Construction Castings ....................... C

November 1998 Italy Brass Fire Protection Equipment ....................... R
Table F-1--Continued

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

See footnotes at end of table.

F-4

December 1998 Colombia Textiles and Textile Products (SA) ...................... R

December 1998 Thailand Certain Textile Mill Products (SA) ....................... R

December 1998 Brazil2 Frozen Concentrated Orange Juice (SA) .................. R

December 1998 Brazil Frozen Concentrated Orange Juice ...................... C

December 1998 Japan Calcium Hypochlorite ................................ R

December 1998 Brazil Castor Oil Products ................................. R

December 1998 China Sebacic Acid ...................................... C

December 1998 Canada Red Raspberries .................................... R

December 1998 Canada Live Swine ........................................ R

December 1998 Brazil Agricultural Tillage Tools ............................. R

December 1998 Argentina Barbed Wire and Barbless Wire Strand .................. C

January 1999 New Zealand Brazing Copper Wire and Rod ......................... R

January 1999 South Africa Brazing Copper Wire and Rod ......................... R

January 1999 Japan Cellular Mobile Telephones and Subassemblies ............ R

January 1999 China Natural Bristle Paint Brushes .......................... C

January 1999 China Cotton Shop Towels ................................. C

January 1999 Pakistan Cotton Shop Towels ................................. C

January 1999 Peru Cotton Shop Towels (SA) ............................. R

January 1999 Bangladesh Cotton Shop Towels ................................. C

January 1999 China Petroleum Wax Candles .............................. C

January 1999 Japan Steel Wire Rope .................................... R

January 1999 Mexico Carbon Steel Wire Rope .............................. R

January 1999 Korea Carbon Steel Wire Rope .............................. R

January 1999 Brazil Malleable Cast Iron Pipe Fittings ....................... R

January 1999 Korea Malleable Cast Iron Pipe Fittings ....................... C

January 1999 Taiwan Malleable Cast Iron Pipe Fittings ....................... R

January 1999 Japan Malleable Cast Iron Pipe Fittings ....................... C

January 1999 Thailand Malleable Cast Iron Pipe Fittings ....................... R

February 1999 China Porcelain-on-Steel Cooking Ware ....................... C

February 1999 Mexico Porcelain-on-Steel Cooking Ware ....................... C

February 1999 Taiwan Porcelain-on-Steel Cooking Ware ....................... C

February 1999 Mexico2 Porcelain-on-Steel Cooking Ware ....................... R

February 1999 Korea2 Top-of-the-Stove Stainless Steel Cooking Ware ............ C

February 1999 Korea Top-of-the-Stove Stainless Steel Cooking Ware ............ C

February 1999 Taiwan2 Top-of-the-Stove Stainless Steel Cooking Ware ............ C

February 1999 Taiwan Top-of-the-Stove Stainless Steel Cooking Ware ............ C

February 1999 Netherlands Standard Chrysanthemums ........................... R

February 1999 Peru Pompon Chrysanthemums ............................ R

February 1999 Colombia Fresh Cut Flowers .................................. R

February 1999 Ecuador Fresh Cut Flowers .................................. R

February 1999 Mexico Fresh Cut Flowers .................................. R

February 1999 Chile2 Standard Carnations ................................ R

February 1999 Chile Standard Carnations ................................ R

February 1999 Kenya Standard Carnations ................................ R

February 1999 Brazil2 Brass Sheet and Strip ................................ C

February 1999 Brazil Brass Sheet and Strip ................................ C

February 1999 Canada Brass Sheet and Strip ................................ C

February 1999 Korea Brass Sheet and Strip ................................ R

February 1999 France2 Brass Sheet and Strip ................................ C

February 1999 France Brass Sheet and Strip ................................ C

February 1999 Germany Brass Sheet and Strip ................................ C
Table F-1

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Table F-1--Continued

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

See footnotes at end of table.

F-5

February 1999 Italy Brass Sheet and Strip ................................ C

February 1999 Sweden Brass Sheet and Strip ................................ R

February 1999 Japan Brass Sheet and Strip ................................ C

February 1999 Netherlands Brass Sheet and Strip ................................ R

March 1999 Armenia Solid Urea ........................................ R

March 1999 Azerbaijan Solid Urea ........................................ R 

March 1999 Belarus Solid Urea ........................................ C

March 1999 Estonia Solid Urea ........................................ C

March 1999 Georgia Solid Urea ........................................ R

March 1999 Kazakstan Solid Urea ........................................ R

March 1999 Kyrgyzstan Solid Urea ........................................ R

March 1999 Latvia Solid Urea ........................................ R

March 1999 Lithuania Solid Urea ........................................ C

March 1999 Moldova Solid Urea ........................................ R

March 1999 Romania Solid Urea ........................................ C

March 1999 Russia Solid Urea ........................................ C

March 1999 Tajikistan Solid Urea ........................................ C

March 1999 Turkmenistan Solid Urea ........................................ C

March 1999 Ukraine Solid Urea ........................................ C

March 1999 Uzbekistan Solid Urea ........................................ C

March 1999 Israel Industrial Phosphoric Acid ............................ R

March 1999 Israel2Industrial Phosphoric Acid ............................ R

March 1999 Belgium Industrial Phosphoric Acid ............................ R

March 1999 Turkey Aspirin ........................................... C

March 1999 Canada Color Picture Tubes ................................. R

March 1999 Japan Color Picture Tubes ................................. R

March 1999 Korea Color Picture Tubes ................................. R

March 1999 Singapore Color Picture Tubes ................................. R

April 1999 Canada Potassium Chloride (Potash) (SA) ...................... R

April 1999 Japan Tapered Roller Bearings, 4 Inches and Under .............. R

April 1999 China Tapered Roller Bearings .............................. C

April 1999 Hungary Tapered Roller Bearings .............................. R

April 1999 Romania Tapered Roller Bearings .............................. R

April 1999 Japan Tapered Roller Bearings, Over 4 Inches .................. R

April 1999 France Ball Bearings ...................................... C

April 1999 Germany Ball Bearings ...................................... C

April 1999 Italy Ball Bearings ...................................... C

April 1999 Japan Ball Bearings ...................................... C

April 1999 Romania Ball Bearings ...................................... R

April 1999 Singapore Ball Bearings ...................................... C

April 1999 Sweden Ball Bearings ...................................... R

April 1999 United Kingdom Ball Bearings ...................................... C

April 1999 France Spherical Plain Bearings .............................. C

April 1999 Germany Spherical Plain Bearings .............................. R

April 1999 Japan Spherical Plain Bearings .............................. R

April 1999 Germany Cylindrical Roller Bearings ............................ R

April 1999 Italy Cylindrical Roller Bearings ............................ R

April 1999 Japan Cylindrical Roller Bearings ............................ R

April 1999 France Cylindrical Roller Bearings ............................ R

April 1999 Sweden Cylindrical Roller Bearings ............................ R

April 1999 United Kingdom Cylindrical Roller Bearings ............................ R

April 1999 Japan Internal Combustion Industrial Forklift Trucks .............. C
Table F-1

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Table F-1--Continued

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

See footnotes at end of table.

F-6

April 1999 Japan Nitrile Rubber ...................................... R

May 1999 Taiwan Small Diameter Carbon Steel Pipe and Tube .............. C

May 1999 Singapore Small Diameter Standard & Rectangular Pipe and Tube ...... R

May 1999 Turkey2 Welded Carbon Steel Standard Pipe ..................... C

May 1999 Turkey2 Welded Carbon Steel Line Pipe ........................ R

May 1999 Thailand Welded Carbon Steel Pipe and Tube .................... C

May 1999 India Welded Carbon Steel Pipe and Tube .................... C

May 1999 Turkey Welded Carbon Steel Pipe and Tube .................... C

May 1999 Canada Oil Country Tubular Goods ............................ R

May 1999 Taiwan Oil Country Tubular Goods ............................ R

May 1999 Israel2 Oil Country Tubular Goods ............................ R

May 1999 Israel Oil Country Tubular Goods ............................ R

May 1999 Taiwan Light Walled Rectangular Tubing ....................... C

May 1999 Argentina Light Walled Rectangular Tubing ....................... C

May 1999 Brazil Circular-Welded Non-Alloy Steel Pipe .................... C

May 1999 Korea Circular-Welded Non-Alloy Steel Pipe .................... C

May 1999 Mexico Circular-Welded Non-Alloy Steel Pipe .................... C

May 1999 Taiwan Circular-Welded Non-Alloy Pipe ........................ C

May 1999 Venezuela Circular-Welded Non-Alloy Pipe ........................ R

May 1999 Japan Granular Polytetrafluoroetheylene Resin .................. C

May 1999 Italy Granular Polytetraflouroetheylene Resin .................. C

May 1999 Brazil Carbon Steel Butt-Weld Pipe Fittings .................... C

May 1999 Taiwan Carbon Steel Butt-Weld Pipe Fittings .................... C

May 1999 Japan Carbon Steel Butt-Weld Pipe Fittings .................... C

May 1999 China Carbon Steel Butt-Weld Pipe Fittings .................... C

May 1999 Thailand Carbon Steel Butt-Weld Pipe Fittings .................... C

May 1999 Japan 3.5 Inch Micro Disks ................................. R

May 1999 Greece Electrolytic Manganese Dioxide ........................ R

May 1999 Japan Electrolytic Manganese Dioxide ........................ R

June 1999 Germany Industrial Belts Except Synchronous and V-Belts ........... R

June 1999 Italy Industrial Synchronous and V-Belts ..................... R

June 1999 Japan Industrial Belts ..................................... R

June 1999 Singapore Industrial V-Belts ................................... R

June 1999 France Industrial Nitrocellulose .............................. C

June 1999 Brazil Industrial Nitrocellulose .............................. C

June 1999 China Industrial Nitrocellulose .............................. C

June 1999 Germany Industrial Nitrocellulose .............................. C

June 1999 Japan Industrial Nitrocellulose .............................. C

June 1999 Korea Industrial Nitrocellulose .............................. C

June 1999 United Kingdom Industrial Nitrocellulose .............................. C

June 1999 Yugoslavia Industrial Nitrocellulose .............................. R

June 1999 Canada Steel Rail ......................................... C

June 1999 Canada2 Steel Rail ......................................... C

June 1999 Japan Drafting Machines .................................. C

June 1999 Japan Small Business Telephone Systems ..................... R

June 1999 Taiwan Small Business Telephone Systems ..................... R

June 1999 Korea Small Business Telephone Systems ..................... R

June 1999 Japan Mechanical Transfer Presses .......................... C

June 1999 Japan Multiangle Laser Light Scattering Instruments .............. R

June 1999 Japan Benzyl Paraben .................................... R

July 1999 China Bars and Wedges ................................... C
Table F-1

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Table F-1--Continued

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

See footnotes at end of table.

F-7

July 1999 China Axes and Adzes .................................... C

July 1999 China Picks and Mattocks ................................. C

July 1999 China Hammers and Sledges ............................... C

July 1999 China Sulfur Chemicals (Sodium Thiosulfate) ................... C

July 1999 Germany Sulfur Chemicals (Sodium Thiosulfate) ................... C

July 1999 United Kingdom Sulfur Chemicals (Sodium Thiosulfate) ................... C

July 1999 Spain2 Stainless Steel Wire Rod ............................. R

July 1999 India Stainless Steel Wire Rod ............................. C

July 1999 Brazil Stainless Steel Wire Rod ............................. C

July 1999 France Stainless Steel Wire Rod ............................. C

July 1999 Sweden Stainless Steel Hollow Products ........................ R

July 1999 Korea Welded ASTM A-312 Stainless Steel Pipe ................ C

July 1999 Taiwan Welded ASTM A-312 Stainless Steel Pipe ................ C

July 1999 Norway2 Fresh and Chilled Atlantic Salmon ...................... C

July 1999 Norway Fresh and Chilled Atlantic Salmon ...................... C

July 1999 Korea Polyethylene Terephthalate Film ........................ C

July 1999 China Sparklers ......................................... C

July 1999 Japan Stainless Steel Butt-Weld Pipe Fittings ................... C

July 1999 Korea Stainless Steel Butt-Weld Pipe Fittings ................... C

July 1999 Taiwan Stainless Steel Butt-Weld Pipe Fittings ................... C

August 1999 Japan Gray Portland Cement and Clinker ...................... C

August 1999 Mexico Gray Portland Cement and Clinker ...................... C

August 1999 Venezuela Gray Portland Cement and Clinker ...................... R

August 1999 Venezuela2 Gray Portland Cement and Clinker ...................... R

August 1999 Japan Electroluminescent Flat-panel Displays ................... C

August 1999 China Chrome-plated Lug Nuts .............................. R

August 1999 Taiwan Chrome-plated Lug Nuts .............................. R

August 1999 China Tungsten Ore Concentrates ........................... R

August 1999 New Zealand Fresh Kiwifruit ..................................... R

August 1999 Canada Alloy Magnesium ................................... C

August 1999 Canada Pure Magnesium ................................... C

August 1999 Canada2 Pure Magnesium ................................... C

August 1999 Malaysia Extruded Rubber Thread .............................. C

August 1999 Kyrgyzstan Uranium (SA) ...................................... R

August 1999 Russia Uranium (SA) ...................................... C

August 1999 Ukraine Uranium .......................................... R

August 1999 Uzbekistan Uranium (SA) ...................................... R

September 1999 Taiwan Carbon Steel Plate .................................. C

September 1999 Sweden Cold-rolled Carbon Steel Flat Products ................... R

September 1999 Germany2 Cold-rolled Carbon Steel Flat Products ................... R

September 1999 Germany Cold-rolled Carbon Steel Flat Products ................... R

September 1999 Korea2 Cold-rolled Carbon Steel Flat Products ................... R

September 1999 Korea Cold-rolled Carbon Steel Flat Products ................... R

September 1999 Netherlands Cold-rolled Carbon Steel Flat Products ................... R

September 1999 Australia Corrosion-resistant Carbon Steel Flat Products ............ C

September 1999 Canada Corrosion-resistant Carbon Steel Flat Products ............ C

September 1999 France2 Corrosion-resistant Carbon Steel Flat Products ............ C

September 1999 France Corrosion-resistant Carbon Steel Flat Products ............ C

September 1999 Germany2 Corrosion-resistant Carbon Steel Flat Products ............ C

September 1999 Germany Corrosion-resistant Carbon Steel Flat Products ............ C

September 1999 Japan Corrosion-resistant Carbon Steel Flat Products ............ C

September 1999 Korea2 Corrosion-resistant Carbon Steel Flat Products ............ C
Table F-1

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Table F-1--Continued

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

See footnotes at end of table.

F-8

September 1999 Korea Corrosion-resistant Carbon Steel Flat Products ............ C

September 1999 Belgium2 Cut-to-length Carbon Steel Plate ....................... C

September 1999 Belgium Cut-to-length Carbon Steel Plate ....................... C

September 1999 Brazil2 Cut-to-length Carbon Steel Plate ....................... C

September 1999 Brazil Cut-to-length Carbon Steel Plate ....................... C

September 1999 Canada Cut-to-length Carbon Steel Plate ....................... R

September 1999 Finland Cut-to-length Carbon Steel Plate ....................... C

September 1999 Germany2 Cut-to-length Carbon Steel Plate ....................... C

September 1999 Germany Cut-to-length Carbon Steel Plate ....................... C

September 1999 Mexico2 Cut-to-length Carbon Steel Plate ....................... C

September 1999 Mexico Cut-to-length Carbon Steel Plate ....................... C

September 1999 Poland Cut-to-length Carbon Steel Plate ....................... C

September 1999 Romania Cut-to-length Carbon Steel Plate ....................... C

September 1999 Spain2 Cut-to-length Carbon Steel Plate ....................... C

September 1999 Spain Cut-to-length Carbon Steel Plate ....................... C

September 1999 Sweden2 Cut-to-length Carbon Steel Plate ....................... C

September 1999 Sweden Cut-to-length Carbon Steel Plate ....................... C

September 1999 United Kingdom2 Cut-to-length Carbon Steel Plate ....................... C

September 1999 United Kingdom Cut-to-length Carbon Steel Plate ....................... C

October 1999 China Sulfanilic Acid ..................................... C

October 1999 India2 Sulfanilic Acid ..................................... C

October 1999 India Sulfanilic Acid ..................................... C

October 1999 Brazil2 Hot-rolled Lead/bismuth Carbon Steel Products ............ R

October 1999 Brazil Hot-rolled Lead/bismuth Carbon Steel Products ............ R

October 1999 France2 Hot-rolled Lead/bismuth Carbon Steel Products ............ R

October 1999 France Hot-rolled Lead/bismuth Carbon Steel Products ............ R

October 1999 Germany2 Hot-rolled Lead/bismuth Carbon Steel Products ............ R

October 1999 Germany Hot-rolled Lead/bismuth Carbon Steel Products ............ R

October 1999 United Kingdom2 Hot-rolled Lead/bismuth Carbon Steel Products ............ R

October 1999 United Kingdom Hot-rolled Lead/bismuth Carbon Steel Products ............ R

November 1999 China Silicon Metal ....................................... C

November 1999 Brazil Silicon Metal ....................................... C

November 1999 Argentina Silicon Metal ....................................... R

November 1999 Korea DRAMs of 1 Megabit and Above ........................ R

November 1999 Japan Professional Electric Cutting Tools ...................... R

November 1999 Taiwan Helical Spring Lockwashers ........................... C

November 1999 China Helical Spring Lockwashers ........................... C

November 1999 China Compact Ductile Iron Waterworks Fittings ................ R

November 1999 Ukraine2 Silicomanganese ................................... C

November 1999 Brazil Silicomanganese ................................... C

November 1999 China Silicomanganese ................................... C

December 1999 India Forged Stainless Steel Flanges ........................ C

December 1999 Taiwan Forged Stainless Steel Flanges ........................ C

December 1999 Japan Defrost Timers ..................................... R

December 1999 Netherlands Aramid Fiber ...................................... R

December 1999 Italy2 Grain-oriented Silicon Electrical Steel .................... C

December 1999 Italy Grain-oriented Silicon Electrical Steel .................... C

December 1999 Japan Grain-oriented Silicon Electrical Steel .................... C

December 1999 Japan Color Negative Photo Paper and Chemicals (SA) ........... R

December 1999 Netherlands Color Negative Photo Paper and Chemicals (SA) ........... R

December 1999 China Fresh Garlic ....................................... C
Table F-1

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Table F-1--Continued

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

See footnotes at end of table.

F-9

December 1999 China Paper Clips ....................................... C

December 1999 China Cased Pencils ..................................... C

January 2000 China Coumarin ......................................... C

January 2000 Brazil Stainless Steel Bar .................................. C

January 2000 India Stainless Steel Bar .................................. C

January 2000 Japan Stainless Steel Bar .................................. C

January 2000 Spain Stainless Steel Bar .................................. C

February 2000 China Glycine ........................................... C

April 2000 China Pure Magnesium ................................... C

April 2000 Russia Pure Magnesium ................................... R

May 2000 China Furfuryl Alcohol .................................... C

May 2000 Thailand Furfuryl Alcohol .................................... C

June 2000 Thailand Canned Pineapple .................................. C

June 2000 Russia Ferrovanadium and Nitrided Vanadium ................... C

July 2000 China2 Honey (SA) ....................................... R

July 2000 Argentina Oil Country Tubular Goods (other than drill pipe) ........... C

July 2000 Argentina Oil Country Tubular Goods (drill pipe) ................... R

July 2000 Italy Oil Country Tubular Goods ............................ C

July 2000 Italy2 Oil Country Tubular Goods ............................ C

July 2000 Japan Oil Country Tubular Goods ............................ C

July 2000 Korea Oil Country Tubular Goods ............................ C

July 2000 Mexico Oil Country Tubular Goods (other than drill pipe) ........... C

July 2000 Mexico Oil Country Tubular Goods (drill pipe) ................... R

July 2000 Argentina Seamless Pipe ..................................... C

July 2000 Brazil Seamless Pipe ..................................... C

July 2000 Germany Seamless Pipe ..................................... C

July 2000 Italy Seamless Pipe ..................................... R

July 2000 Italy2 Seamless Pipe ..................................... R

January 2001 China Manganese Metal ................................... R

April 2001 China Polyvinyl Alcohol ................................... R

April 2001 Japan Polyvinyl Alcohol ................................... R

April 2001 Taiwan Polyvinyl Alcohol ................................... R

June 2001 Italy Certain Pasta ...................................... I

June 2001 Italy2 Certain Pasta ...................................... I

June 2001 Turkey Certain Pasta ...................................... I
Table F-1--Continued

Status of antidumping and countervailing duty order 5-year (sunset) reviews (as of June 2001)

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

Month and year

of initiation Country Product (Suspension Agreement (SA)) Status1

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

F-10

June 2001 Turkey2 Certain Pasta ...................................... I

June 2001 Japan Clad Steel Plate .................................... I

,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,

 

1

 Status codes:

I ...... Instituted and proceeding to the next decision point

R ..... Order revoked

C ..... Order continued

 

2

 Countervailing duty order review.

Source: Compiled by the U.S. International Trade Commission.










,,,,,,,,,,,,,,,,

APPENDIX H

Background on Exchange

Rate Shifts

 

1

 For a more detailed discussion, see Charles Yost, “Background on Exchange Rate Shifts,” Shifts in U.S.

Merchandise Trade in 1998, Investigation No. 332-340, USITC, publication 3220, Aug. 1999, pp. F-1 through 

F-20.

 

2

 The terms “revaluation” and “devaluation” often are, but should not be, used interchangeably with

“appreciation” and “depreciation,” respectively; economists apply the terms “revaluation” and “devaluation” to

fixed exchange-rate regimes and “appreciation” and “depreciation” to flexible exchange-rate regimes. 

 

3

 Nominal exchange rates, unlike real exchange rates (discussed later), are not adjusted for inflation.

H-3

BACKGROUND ON EXCHANGE RATE SHIFTS

Introduction

This appendix provides a general background on exchange rates and is divided into three sections.

The first section provides a brief overview of exchange rate determinants and the relationship between

exchange rates and merchandise (goods) trade flows. In the second section, exchange rate stability and

convertibility are discussed. The third section shows nominal exchange rates against the dollar on an

annual basis during 1996-2000 for selected individual countries and indexes of nominal and real exchange

rates for the dollar vis a vis selected country groups. Exchange rate movements and policy actions by

monetary authorities in 2000 also are discussed in the section, with an emphasis on the appreciation of the

Japanese yen and the depreciation of the euro.

Exchange Rate Determinants and Trade1

An exchange rate is simply the number of units of a country’s currency exchangeable for one unit

of another country’s currency. A country’s currency “appreciates” when its value increases relative to a

foreign currency; i.e., one unit of its currency purchases more units of the foreign currency. Likewise a

country’s currency “depreciates” when its value decreases relative to a foreign currency; i.e., one unit of its

currency purchases fewer units of the foreign currency.2 For example, if 1 U.S. dollar is worth (can

purchase) 100 Japanese yen at the beginning of a period, but can purchase 150 yen at the end of the period,

the dollar has risen in value (has appreciated) because it can purchase more yen. Alternatively, in dollar

terms, the yen is said to have depreciated from $0.0100 to $0.0067.

Under a system of flexible or floating exchange rates, market or “nominal” exchange rates

(reported in the financial pages of major newspapers)3 of freely convertible currencies are determined by

the supply of and demand for a domestic currency in the foreign exchange market. Supply and demand in

the foreign exchange market depend on international transactions of goods, services, assets, and financial

instruments. The supply of and demand for foreign currencies is influenced by the same forces that

influence the supply of and demand for domestic currency. Foreign demand for U.S. dollars is based on

foreigners’ purchases of U.S. goods and services, investments in the United States, and holdings of dollar

balances. Likewise, the supply of U.S. dollars outside the United States is based on U.S. citizens’

purchases of foreign goods and services, investments abroad, and holdings of balances in foreign

currencies. 

Exchange rate shifts can significantly affect trade flows because they change the relative prices of

goods and services, assuming all other factors remain unchanged. A foreign currency depreciation (U.S.

dollar appreciation) would raise the relative price of U.S. goods in foreign markets, thus discouraging U.S.

exports, and likewise lower the relative price of foreign goods in the U.S. market, thus encouraging U.S.
 

4

 Although this discussion has focused on merchandise trade, exchange rate changes also affect international

capital flows by affecting the present value of cash flows from capital investments and from purchases and sales of

foreign intangible assets. 

 

5

 Council of Economic Advisors (CEA), Economic Report of the President, together with the Annual Report of

the Council of Economic Advisors, Feb. 1999, pp. 299-300.

 

6

 For a definition of exchange convertibility and restrictions on convertibility, by country, see International

Monetary Fund (IMF), Exchange Arrangements and Exchange Restrictions, Annual Report 1999, (Washington,

DC: IMF, Aug. 27, 2000).

 

7

 Foreign exchange market intervention consists of the official purchases and sales of foreign exchange that

nations undertake through their central banks to influence the values of their currencies. Yost, “Background on

Exchange Rate Shifts.”

 

8

 For a description of the five types of arrangements for exchange rates, each of which represents efforts by the

central bank to stabilize the country’s exchange rate against those of its trade partners, see IMF, Exchange

Arrangements and Exchange Restrictions, Annual Report 1999, Appendix 1. Also, for a chart of exchange rate

arrangements, see IMF, International Financial Statistics, monthly series, p. 8. 

H-4

imports. The converse also is true when the dollar depreciates.4 If the value of the U.S. dollar rises

(appreciates), the price competitiveness of U.S. goods deteriorates in foreign markets and the price

competitiveness of foreign goods is enhanced in the U.S. market.

A significant source of uncertainty in conducting international transactions arises from exchange

rate fluctuations as the relative value between the buyer’s and the seller’s currencies may change between

the time a transaction is concluded and the time payment is received, posing a gain to one party and a loss

to the other (absent hedging by either party). There are several ways to reduce or transfer the risk of an

adverse price change. One of the simplest is for an exporter/importer to quote prices and establish payment

terms in one’s own currency, thus placing the burden and risk on the other party. This is a practical

approach when one’s own currency is freely convertible and stable. Hence, U.S. companies derive a

number of benefits from the fact that the U.S. dollar is the premier international currency for both

international trade and financial transactions. Benefits include the convenience factor enabling U.S.

exporters, importers, borrowers, and lenders to deal in their own currency; increased business for U.S.

banks and other financial institutions; and, the ability to borrow in international capital markets in their

home currency.5

Exchange Rate Stability and Convertibility

Exchange rates are dependent on basic economic factors, including domestic monetary and fiscal

policies, independence of the country’s central bank, exchange controls and openness of its capital market,6

and arrangements for payments and receipts. Also important is the government’s intervention policy,

reflecting its desire to maintain exchange rate stability,7 and the country’s exchange rate arrangements, the

mechanisms by which the exchange rate is established, which range from market-determined exchange rates

(freely floating exchange rates or “clean” float) to fixed rate systems.8 The U.S. dollar is a freely floating

currency.

Most governments also periodically intervene in order to stabilize disorderly foreign-exchange

markets, and to ensure that their capital markets are insulated from external exchange-rate crises that may

escalate into banking and general financial crises. U.S. authorities purchase dollars from time to time to

resist downward pressure on the dollar exchange rate and occasionally sell dollars to resist strong upward

pressure. The United States undertook no dollar intervention operations from mid-1995 until mid-1998.

During 1998, U.S. monetary authorities intervened in the foreign exchange markets on one occasion, on
 

9

 The mark and the yen have been the only two currencies in which the United States has conducted its

intervention operations.

 

10 Federal Reserve Bank of New York, Treasury and Federal Reserve Foreign Exchange Operations, Apr.-June

1999, p. 1.

 

11 Those allowing their currency’s exchange value to float freely include Canada, Japan, Korea, Mexico,

Singapore, and Taiwan

 

12 For more information about appreciation of the yen against the dollar in 2000, see discussion below.

 

13 For more information about depreciation of the euro against the dollar in 2000, see discussion below

 

14 A measure of this performance is the real GDP growth rate, estimated to be 4 percent. Board of Governors of

the Federal Reserve System (Federal Reserve Board), Monetary Policy Report, Feb.13, 2001, p. 28.

 

15 The Bank Of Mexico tightened monetary conditions six times during the year, Ibid.

 

16 Major currencies are those that circulate widely outside the issuing economy; see footnote 2 of table H-2.

 

17 Federal Reserve Board, Monetary Policy Report, Feb.13, 2001, p. 26. 

H-5

June 17, selling a total of $833 million and buying Japanese yen.9 The U.S. monetary authorities did not

intervene in the foreign exchange markets during 1999.10 On September 22, 2000, in coordination with the

European Central Bank (ECB) and the monetary authorities of Canada, Japan, and the United Kingdom,

the United States purchased 1.5 billion euros.

Most of the leading U.S. trade partners maintain floating exchange rates, and their central banks

intervene selectively or not at all.11 Several others do not, preferring instead to maintain an organized

floating exchange rate, or managed float. For example, the People’s Bank of China announces a reference

rate against the U.S. dollar, the Hong Kong dollar, and Japanese yen based on the weighted-average price

of foreign exchange transactions of the previous day. This reference rate establishes the current day’s

maximum trading limits in the interbank foreign exchange market. The central banks of several other

countries have announced their intentions to intervene should they consider market conditions disorderly or

if their currency’s foreign exchange value fluctuates beyond a stated range of parity against other

currencies or a basket of currencies.

Changes in the Nominal and Real Value of the Dollar

Annual averages of nominal exchange rates for selected foreign currencies against the U.S. dollar

during 1996-2000 are shown in table H-1. Over this period, the average annual value of the Canadian

dollar, Chinese yuan, and British pound were relatively little changed, although the pound declined 6

percent against the dollar in 2000. Likewise, the dollar was almost unchanged against the yen on an

average annual basis from the beginning to the end of the period, but had appreciated by as much as 20

percent from the beginning to the middle of the period.12 In contrast, the dollar appreciated significantly

against the euro in its second year of existence.13 The Korean won, Malaysian ringgit, and Thai baht all

depreciated more than 40 percent during 1996-2000, as the respective economies were adversely affected

by the Asian financial crisis. In 2000, the Korean won rose slightly against the dollar, the Thai baht

depreciated by 6 percent, while the Malaysian ringgit has been pegged to the dollar since September 2,

1998. After losing more than one-half its value in 1999, the Brazilian real was relatively steady in 2000, a

reflection of improved economic performance.14 The Mexican peso declined slightly, as GDP growth

accelerated, exports boomed, and world oil prices were favorable.15

The annual real (inflation-adjusted) value of the dollar strengthened by more than 6 percent against

other major currencies16 in 2000 (table H-2) due primarily to relatively strong growth of U.S. economic

activity; rising interest rates on dollar assets; and the perception, especially in the first part of the year, that

longer-term prospects for growth and rates of return were better for the United States than for the other

major industrial countries.17 This perception was reversed later in the year when it became
H-6

Table H-1

Nominal exchange rates for selected trade partners, annual averages

Country (currency) 1996 1997 1998 1999 2000

Exchange rate (foreign currency per U.S. dollar, except as noted)

1

Brazil (real) .................. 1.0051 1.0779 1.1605 1.8207 1.8301

Canada (dollar) ............... 1.3638 1.3849 1.4836 1.4858 1.4855

China (yuan) ................. 8.3389 8.3193 8.3008 8.2781 8.2784

European Monetary Union (euro2) (

3

) (

3

) (

3

) 1.0653 0.9232

Germany (deutsche mark) ....... 1.5049 1.7348 1.7597 (

3

) (

3

)

Japan (yen) .................. 108.78 121.06 130.99 113.73 107.80

Korea (won) .................. 805.00 947.65 1,400.40 1,189.84 1,130.90

Malaysia (ringgit) .............. 2.5154 2.8173 3.9254 3.8000 3.8000

Mexico (peso) ................ 7.600 7.918 9.152 9.553 9.459

Thailand (baht) ............... 25.359 31.072 41.262 37.887 40.210

United Kingdom (pound4) ........ 1.5607 1.6376 1.6573 1.6172 1.5156

 Change over the preceding period (percent)

Brazil (real) .................. 9.7 7.2 7.7 56.9 0.5

Canada (dollar) ............... -0.1 1.5 7.1 0.1 (

5

)

China (yuan) ................. -0.4 -0.2 -0.2 -0.3 (

5

)

European Monetary Union (euro2) (

3

) (

3

) (

3

) (

3

) -13.3

Germany (deutsche mark) ....... 1.4 15.3 1.4 (

3

) (

3

)

Japan (yen) .................. 15.8 11.3 8.2 -13.2 -5.2

Korea (won) .................. 4.2 17.7 47.8 -15.0 -5.0

Malaysia (ringgit) .............. 0.3 12.0 39.3 -3.2 0

Mexico (peso) ................ 17.9 4.2 15.6 4.4 -1.0

Thailand (baht) ............... 1.8 22.5 32.8 -8.2 6.1

United Kingdom (pound4) ........ -1.1 4.9 1.2 -2.4 -6.3

 

1

 Each country’s currency is displayed to the number of decimal places as reported in the reference source,

rather than being rounded to a common decimal place, to avoid any loss of significant digits for particular

currencies.

 

2

 U.S. dollars per euro.

 

3

 Not available. .

 

4

 U.S. dollars per pound.

 

5

 Less than 0.05 percent.

Source: Board of Governors of the Federal Reserve System, Federal Reserve Bulletin, (various months) 1999-2000.
H-7

Table H-2

Nominal and real weighted average indexes of foreign exchange value of the U.S. dollar versus currencies

of groups of trade partners, annual averages

Index (base period = 100) 1996 1997 1998 1999 2000

Nominal

Broad1 (Jan. 1997=100) ...................... 97.40 104.44 116.48 116.87 119.93

Major currencies2 (Mar. 1973=100) ............. 84.60 91.24 95.79 94.07 98.34

Other important trading partners3 (Jan. 1997=100) . . 98.26 104.67 126.03 129.94 130.26

 Nominal change over the preceding period (percent)

Broad1 (Jan. 1997=100) ...................... 5.3 7.2 11.5 0.3 2.6

Major currencies2 (Mar. 1973=100) ............. 3.9 7.8 5.0 -1.8 4.5

Other important trading partners3 (Jan. 1997=100) . . 6.2 6.5 20.4 3.1 0.2

Real

Broad1 (Mar. 1973=100) ...................... 86.72 91.33 99.21 98.53 102.19

Major currencies2 (Mar. 1973=100) ............. 84.95 92.25 97.24 96.68 102.86

Other important trading partners3 (Mar. 1973=100) 94.69 95.87 108.10 107.22 107.67

Real change over the preceding period (percent)

Broad1 (Mar. 1973=100) ...................... 3.3 5.3 8.6 -0.7 3.7

Major currencies2 (Mar. 1973=100) ............. 5.2 8.6 5.4 -0.6 6.4

Other important trading partners3 (Mar. 1973=100) -13.8 1.2 12.8 -0.8 0.4

 

1

 Trade-weighted average of the foreign exchange value of the U.S. dollar against the currencies of a broad

group of U.S. trade partners. The weight for each currency is computed as an average of U.S. bilateral import

shares from and export shares to the issuing partner and of a measure of the importance to U.S. exporters of that

partner’s trade in third-party markets. The broad index consists of 26 currencies (35 before the introduction of euro

on Jan. 1, 1999) of both the major currencies index and other important trading partners index.

 

2

 Trade-weighted average of the foreign exchange value of the U.S. dollar against a subset of broad index

currencies that circulate widely outside the issuing partner’s economy. The weight for each currency is its broad

index weight scaled so that the weights of the subset of currencies in the index sum to one. The major currencies

index consists of 7 currencies (16 before the introduction of the euro on Jan. 1, 1999): euro-area countries (Austria,

Belgium-Luxembourg (treated as a single currency), Finland, France, Germany, Ireland, Italy, the Netherlands,

Portugal, and Spain) and Australia, Canada, Japan, Sweden, Switzerland, and the United Kingdom.

 

3

 Trade-weighted average of the foreign exchange value of the U.S. dollar against a subset of broad index

currencies that do not circulate widely outside the issuing partner’s economy. The weight for each currency is its

broad index weight scaled so that the weights of the subset of currencies in the index sum to one. The other

important trading partners index consists of 19 currencies: Argentina, Brazil, Chile, China, Colombia, Hong Kong,

India, Indonesia, Israel, Korea, Malaysia, Mexico, the Philippines, Singapore, Taiwan, Thailand, Russia, Saudi

Arabia, and Venezuela.

Source: Board of Governors of the Federal Reserve System, Federal Reserve Bulletin, (various months) 1999-2000.
 

18 For more information about U.S. macroeconomic performance in 2000, see chapter 2.

 

19 Federal Reserve Board, Monetary Policy Report, Feb. 13, 2001, p. 27. 

 

20 Federal Reserve Board, Federal Reserve Bulletin, (various months) 1999-2000; and compiled from official

statistics of the Federal Reserve found at http://www.federalreserve.gov/releases/H10/hist/dat96_ja.txt.

 

21 Federal Reserve Bank of New York, Treasury and Federal Reserve Foreign Exchange Operations, Jan.-Mar.

2000, p. 4.

H-8

evident that U.S. economic activity was slowing sharply.18 The average annual foreign-exchange value of

the U.S. dollar against a broad group of 26 trade partners' currencies was up slightly in 2000 compared to

the previous year as the U.S. dollar appreciated in both nominal and real terms.

Yen appreciation

In contrast to the significant decline in the average annual value of the Japanese yen against the

dollar during 1996-98, by 20 percent to ¥130.99 in 1998 (table H-1), the yen appreciated 13 percent on

balance against the dollar in 1999. It further appreciated by 5 percent in 2000, due to a combination of real

GDP growth of about 2 percent, an end to the Bank Of Japan’s zero-interest rate policy, and intervention

sales of yen by the Bank of Japan in the foreign exchange markets.19 The following tabulation highlights the

yen-dollar exchange rate during 2000:20

Time frame Exchange rate

(yen per dollar)

Beginning of year .................... 101.70

End of year ........................ 114.35

Low (December 28) .................. 114.62

High (January 3) .................... 101.70

First quarter (average) ................ 107.00

Second quarter (average) .............. 106.69

Third quarter (average) ................ 107.71

Fourth quarter (average) ............... 109.89

The yen weakened in the early part of the first quarter 2000, reflecting concern about growth and a

statement by the Group of Seven (G-7) countries in its January meeting that reduced market expectations of

any increase in Japanese interest rates. Other factors were lack of progress on banking reform, a proposed

tax on Japanese banks located in Tokyo, and announcement that Moody’s Investors Service would review

and possibly downgrade Japan’s domestic currency rating. The yen turned up in the latter part of the first

quarter as reports of stronger-than-expected capital spending and machinery orders led to renewed

optimism for recovery, although Japan’s GDP had fallen previously in fourth quarter 1999 on a year-onyear basis. Portfolio inflows for Japanese stocks of a net ¥800.4 billion for first quarter 2000 also helped

boost the yen, but not enough to regain its value at the beginning of the year.21

In the second quarter, the dollar appreciated slightly against the yen. Although, initially

appreciating by more than 6 percent, the dollar began to slide given weakened expectations for the U.S.

economy and volatility of U.S. equity markets, especially the NASDAQ. Other influences were the

incapacitation of Prime Minister Obuchi early in the period, but the March 2000 Tankan business survey

reported improved business expectations, and Japanese monetary authorities reportedly sold yen against
 

22 Ibid., Apr.-June. 2000, p. 3.

 

23 Ibid., p. 7.

 

24 For information about the performance of the euro in 1999, see Robert Hughes, “Background on Exchange

Rate Shifts,” Shifts in Merchandise Trade in 1999, Investigation No. 332-345, USITC publication 3353, Sep. 2000,

pp. G-1 through G-13.

 

25 Federal Reserve Board, Federal Reserve Bulletin, (various months) 1999-2000; and compiled from official

statistics of the Federal Reserve found at http://www.federalreserve.gov/releases/H10/hist/dat96_eu.txt.

H-9

other currencies.22 Concern about the fiscal soundness of the Japanese corporate sector, several major

corporate bankruptcies, and no pick-up in bank lending may have helped control appreciation of the yen.23

The yen depreciated against the dollar and the euro in the third quarter as signs of Japanese

economic recovery continued and gains were posted in its equity markets. Depreciation of the euro

reportedly prompted Japanese institutional investors to sell euros against the yen to hedge or liquidate eurodenominated debt holdings, which exacerbated movements in the currency markets. Japanese monetary

authorities participated in exchange market interventions in support of the euro, which are described in the

next section.

During the fourth quarter, the dollar appreciated 6 percent against the yen as questions developed

about Japan’s economic recovery. The yen fell 13 percent against the euro in the latter part of the quarter

as speculation about Japan’s economic recovery increasingly turned pessimistic, as well as continued

uncertainty about Prime Minister Mori’s administration. There were reportedly portfolio reallocations

away from Japan’s financial markets as Japanese investors bought ¥1.9 trillion of foreign stocks and

foreign investors sold ¥20.9 billion of Japanese stocks.

Euro depreciation

From its inception at the beginning of 1999,24 the euro has declined on an average annual basis by

more than 13 percent in 2000 (Table H-1). The following tabulation highlights the euro-dollar exchange

rate in 2000:25

Time frame Exchange rate

(dollars per euro)

Beginning of year .................... 1.0155

End of year ........................ 0.9388

Low (October 25) .................... 0.8270

High (January 5) .................... 1.0335

First quarter (average) ................ 0.9869

Second quarter (average) .............. 0.9338

Third quarter (average) ................ 0.9042

Fourth quarter (average) ............... 0.8687
 

26 European Commission, “Official ECU Exchange Rates Calculated and Published by the European

Commission,” found at http://www.europa.eu.int/comm/economy_finance/xecud.htm, retrieved Aug. 4, 2000.

 

27 Institute for International Economics, Hot Topics in International Economics, The Weak Euro, found at

http://www.iie.com/topics/euro/hoteuro.htm 

 

28 Federal Reserve Bank of New York, Treasury and Federal Reserve Foreign Exchange Operations, Jan.-Mar.

2000, p. 3.

 

29 Federal Reserve Board, Monetary Policy Report, Feb. 13, 2001, p. 26. 

 

30 Real GDP in the Euro Area is estimated to have increased about 3% in 2000, or slightly less than in the year

before. Ibid.

 

31 Federal Reserve Bank of New York, Treasury and Federal Reserve Foreign Exchange Operations, Oct.-Dec.

2000, p. 5.

H-10

The value of the euro at its creation was just under $1.1668.26 However, it soon began to weaken against

the dollar amidst indications of slower economic growth in the euro-area.27 The weakening of the euro in

2000 was broad based as investors diversified away from the euro area.28 The euro was particularly weak

against the yen and fell more than 11 percent from late February through March, closing below ¥100 for

the first time. Weakness stemmed from continuing expectations of slower relative growth in the euro area

after a March 9 announcement of 3.1 percent year-on-year GDP growth proved disappointing, possible

perceptions that Europe was slower to adopt new technologies,29 and concerns over exchange-rate policy

and lack of progress in addressing structural reforms involving taxes and labor rigidities.30

In the second quarter, the euro first depreciated, but in late May began to reverse on better-thanexpected economic performance and the expectation that the European Central Bank (ECB) would tighten

monetary policy, which was fulfilled with the June 8 announcement of a 50 basis-point increase. 

Altogether, the ECB raised its interest-rate target six times by a total of 175 basis points over the first 10

months of the year. However, the euro depreciated 5 percent in the second quarter compared to the previous

quarter.

The dollar appreciated 8 percent against the euro in the third quarter, as a continuing net outflow

of capital from the euro area in the early part of the quarter because of merger and acquisition activity

turned into an accelerated decline in the latter part of the quarter with reports of global portfolio

reallocations. On September 22, the ECB intervened in exchange markets to purchase euros in

coordination with the monetary authorities of Canada, Japan, the United Kingdom, and the United States. 

The Federal Reserve Bank of New York purchased E1.5 billion against $1.34 billion. In the days

following, the euro traded in a narrow range against the dollar and the yen.

In the fourth quarter, the dollar depreciated 6 percent against the euro, largely in response to more

favorable market expectations for economic growth in Europe than in the United States. Expectations for

interest-rate tightening in Europe diminished, but net outflows of direct investment and portfolio investment

of E15.7 billion and E1.7 billion from the euro area continued in October. The euro fell to a new low

against the dollar of $0.825 on October 25, but rebounded as the ECB entered the market to buy euros on

three occasions in early November.31 In the latter part of the fourth quarter, the euro recovered

substantially on reports of weaker-than-expected U.S. economic performance, and a narrowing of U.S.-

euro area growth- and interest- rate differentials. 

Robert Hughes

(202) 205-3296

rhughes@usitc.gov