The U.S. Department of Commerce’s International Trade Administration (ITA) publishes market reports on select industries to help exporters determine their next export market. By ranking future export opportunities, these reports are a simple way for U.S. businesses to plan your first or next international sale. In addition to examining the opportunities available, each report details U.S. competitiveness in a sector, as well as any challenges that may face a U.S. business entering a new market.
A big U.S. export remains manufactured products for the Oil and Gas Sector (O&G), including but not limited to field machinery and equipment, field derricks, and pipes and tubes. Since 2002, O&G’s global market share has grown from $36 billion dollars to $168 billion in 2011. The ITA largely attributes this to expanding energy needs worldwide. Total exports of the US-made O&G equipment today is $14 billion, ranking the U.S. as the world’s third largest exporter of O&G related equipment.
The ITA projects that top markets for U.S. exports of O&G equipment in 2016 will be: Canada, Colombia, Brazil, and Mexico. Although U.S. exports are increasingly competing against Korean and Chinese manufacturers, the U.S. remains extremely competitive in the O&G industry. In particular, U.S. exports are more concentrated in specialized high tech exports related to unconventional O&G production (i.e. deepwater exploration). While profitable, the O&G industry is also characterized by risk including exploration, political, and security risks.
Read more about key export markets and trends for the U.S. O&G industry at www.export.gov.
If you are already exporting oil and gas equipment and would like to know more about a specific country reach out to your local Commercial Service representative who can offer free industry and country consultations. Concerned about foreign buyer nonpayment? Call a local representative of the U.S. Export-Import Bank at http://www.exim.gov/contact, who can guide you through different products that can protect against foreign buyer nonpayment, or assist your business finance an international sale.