As the administration steps back from trade restrictive policies, the millions of small businesses that account for 94.4% of U.S. imports and exports by volume can now get on with the business of going global. Global trade, it seems, is no longer in the cross-hairs.
Which should be welcome news for SMB importers and exporters who’ve spent the past few months worrying about what could happen to their global trade activity. Talk of crippling tariffs on Chinese imports and the dissolution of NAFTA have certainly not been encouraging. Indeed, Canada, Mexico and China are our first, second and fourth largest trading partners as the 189,000 small businesses in America who trade with them well know.
And while the administration’s backing off of trade restrictive policies is welcome news, from the Veem point of view, now matter what the current or any future administration’s global trade policies are, the globalization train has already left the station and is now making stops worldwide, not just in developed countries. Forty-two percent of developing economies now export merchandise and 53% of developing countries now trade with each other.
And for the SMBs in the U.S. who have yet to dip their toes into the global marketplace, consider that small business exporters are 20% more productive than domestic firms, 8.5% less likely to go out of business, and they grow faster and pay better. If you are thinking of dipping into global trade, check out our white paper 7 Essential SMB Tools for Global Trade for list of services and technologies than can help you do it affordably.
We hope you enjoy the infographic we put together here outlining the statistics around SMBs and global trade. You can also visit the International Trade Association for more statistics, global trade updates and top market reports.