United States Country profile

united_states_country_profile.jpg

The United States was Australia's 2nd largest trading partner in 2016. The two parties signed a free trade agreement in 2004, which allows most Australian exports favourable entry into the US and encourages greater bilateral investment. Total merchandise trade (Exports + Imports) with the United States was A$42b in 2016.

Major Australian exports include beef, meat, aircraft/spacecraft parts and pharmaceutical products. Major imports from the US include motor vehicles, aircraft/spacecraft parts, medical instruments and measuring/analysing instruments. There has been a significant increase in Australian-US trade within the aeronautical engineering sector in recent years—for example Ferra Engineering, which is an SME based in Queensland exports aerospace structures and sub-systems to the US.

Figure

Student enrolments from the US are significant, comparable with Singapore, Saudi Arabia and the Philippines. Most of these enrolments are likely university students on exchange. US enrollments appear sensitive to movements in the currency; a stronger AUD has lead to fewer enrollments, but the recent weakness over the last few years has spured a minor recovery.Tourism is also a significant earner; the US is Australia’s fourth largest source of arrivals after New Zealand, China and the United Kingdom

Figure
Figure

Bilateral investment has trended higher over much of the last decade reaching A$1.5 trillion in 2016, close to Australia’s annual GDP. Australia’s total investment into the US was A$618b in 2016, with over A$119b from foreign direct investment.

Figure
Figure