California is one of the 10 largest economies in the world with a gross state product of over $1.9 trillion. According to an International Trade and Investment Study produced by the CA Business, Transportation and Housing Agency, "International trade and investment is a major economic engine for the state of California that broadly benefits businesses, communities, consumers and state government. As has been described at length in other reports, California’s economy is more diversified than ever before, and the state’s prosperity is tied to exports and imports of both goods and services by California-based companies, to exports and imports through California’s transportation gateways, and to inflows and outflows of human and capital resources."
Although trade is a nationally determined policy issue, its impact on California is immense. In 2012, California exported to 225 foreign markets. Trade offers the opportunity to expand the role of California’s exports. In its broadest terms, trade can literally feed the world and raise the living standards of those around us.
2012 Trade Statistics are available through the International Trade Administration's "Trade Stats Express."
In 2012, California exported $161.7.4 billion to 225 foreign economies.
California's top export markets continue to be
Mexico, Canada, China, Japan and South Korea.
Global Trade Facts
WTO RELEASES TRADE AND TARIFF DATA FOR 2011
World Trade Organization, October 23, 2012
WORLD TRADE 2011, PROSPECTS FOR 2012
World Trade Organization, April , 2012
According to the April 2012 World Trade Organization (WTO) report, world gross domestic product (GDP) at market exchange rates expanded in 2011 by 5.0%, a sharp deceleration from the 2010 rebound of 13.8%, and growth will slow further still to 3.7% in 2012. They attributed the slowdown to the global economy losing momentum due to a number of shocks, including the European sovereign debt crisis.
“More than three years have passed since the trade collapse of 2008-09, but the world economy and trade remain fragile. The further slowing of trade expected in 2012 shows that the downside risks remain high. We are not yet out of the woods,” WTO Director General Pascal Lamy said.
“The WTO has so far deterred economic nationalism, but the sluggish pace of recovery raises concerns that a steady trickle of restrictive trade measures could gradually undermine the benefits of trade openness. It is time to do no harm. WTO members should turn their attention to revitalizing the trading system and to ensuring such a scenario does not materialize.”
WTO economists cautioned that preliminary trade figures for 2011 and forecasts for 2012 were difficult to gauge due to the extraordinary levels of volatility in financial markets and in the broader economy for the last few years.
U.S. Trade Facts
According to the International Monetary Fund, the United States is the world’s largest economy with a GDP of $15.1 trillion.
The largest export markets for U.S. goods in 2012 were Canada ($292 billion, up 4 percent), Mexico ($216.3 billion, up 9 percent), China ($111 billion, up 6 percent), and Japan ($70 billion, up 7 percent).
Annual Summary for 2012
Source: Bureau of Economic Analysis http://www.bea.gov/newsreleases/international/trade/tradnewsrelease.htm
California Trade Facts
U.S. Department of Commerce reported that, in 2012, California exports amounted to over $161 billion. This is an increase from the 2011 total of nearly $159 billion. California maintained its perennial position as a top exporting state.
Exports from California accounted for 10 percent of total U.S. exports in 2012. California's top export destinations are Mexico, Canada, China, Japan and South Korea. California trade and exports translate into high-paying jobs for over one million Californians.
Top Export Sectors
California is the number one exporter in the nation of computers, electronic products, and sales of food and kindred products. Computers and electronic products are California's top export, accounting for 28 percent of all the state's exports.
Other top categories included transportation equipment, machinery, except electrical, and misc. manufactured commodities.
Mexico continues to be California’s number one export market. California exports to Mexico totaled $26.3 billion in 2012. Mexico purchases 16 percent of all California exports.
California’s exports to Mexico are driven by computers and electronic products, which account for 31 percent of all California exports to Mexico. Although exports to Mexico decreased in 2009, a full rebound was made by 2010 and continued increasing throughout 2012.
Canada is California's second largest export market, purchasing 11 percent of all California exports. In 2012, California exported over $17.3 billion to Canada.
Computers and electronic products remained California’s largest exports, accounting for 31 percent of all California exports to Canada.
California is the largest exporting state to Asia. In 2012, California exported almost $65 billion in goods to the region.
California exports to Mainland China totaled $14 billion in 2012. Computers and electronic products accounted for nearly 28 percent of exports to China.
Exports to Hong Kong grew in 2012 to 7.8 billion. Hong Kong removed duty off wine in 2008, making it the first duty-free wine port amongst major economies. U.S. wine exports to Hong Kong went from $9 million in 2007 to $42 million in 2009.
California exports to Japan totaled $13.1 billion in 2012. Computers and electronic products accounted for 23 percent of total exports.
California exports to the European Union (27) increased in 2012 to total $26 billion. California is one of the top exporting states to Europe. Computers, electronic products and chemicals are our leading export sectors to the region. European Union countries purchase nearly 16 percent of all California exports.
Export Totals from California (In $ U.S. millions)