TAZEEM PASHA MANAGER, BUSINESS RETENTION AND EXPANSION SELECTUSA U.S. DEPARTMENT OF COMMERCE Tazeem Pasha serves as Manager, Business Retention and Expansion at SelectUSA. Established by Executive Order of the President, SelectUSA is a government-wide initiative housed at the U.S. Department of Commerce to attract, retain and grow business investment in the United States by foreign and domestic firms. In this role, she is responsible for managing outreach to U.S. government offices engaged in business investment, U.S. state, regional and local economic development agencies, foreign governments and investors to promote investment in the United States. She also consults with businesses seeking information about the U.S. investment climate or working through federal rules and regulations to complete ongoing investment project. In addition, Ms. Pasha informs ongoing federal policy dialogues to foster U.S. competitiveness to attract, retain and grow business investment. Prior to joining the U.S. Department of Commerce, Ms. Pasha served as the Global Markets Investment Manager at the Ohio Department of Development for three years. In this role, Ms. Pasha managed the foreign direct investment attraction efforts of Ohio s overseas offices in Canada, China, Europe, Israel, India, Japan and Mexico. Her responsibilities included implementing a worldwide FDI attraction strategy, evaluating overseas companies that are poised to make investments in Ohio and serving as their liaison to State agencies. She also served as the China and Europe market expert for the automotive and renewable energy manufacturing sectors. Previously, Ms. Pasha served as Special Assistant for Economic Development for Lt. Governor Lee Fisher. In this capacity, Tazeem coordinated economic development projects that required the Governor s and Lt. Governor s direct involvement and managed the Department s initiative to create its Strategic Plan. As a Hansard Scholar at the London School of Economics and Political Science (LSE) in 2003, she served as legislative aide to the Labor Party in the English Parliament at Westminster Palace and assisted in the administration s defense and foreign policy. Ms. Pasha holds a Master s Degree in Business Administration (MBA) at the Fisher College of Business, The Ohio State University and a Bachelor s degree from Wells College. Ms. Pasha has spent 10 years in Islamabad, Pakistan with her parents and three sisters. While a native of New York, Ms. Pasha considers Columbus, Ohio among her hometowns and resides in Washington, DC.
9/25/2012 Investment Process and SelectUSA Services Promoting Business Investment in the United States: SelectUSA Services for U.S. State and Local Economic Development Organizations Tazeem Pasha Manager, Global Business Attraction SelectUSA, U.S. Department of Commerce Friday, September 28, 2012 Maintaining success in the United States Establishing the business Deciding where, how, and with whom to invest Understanding the U.S. investment climate Help firms locate federal programs and incentives for business retention and expansion Identify and work to remove barriers to success in cooperation with federal agencies Provide information on U.S. policies and help firms comply with regulations in setting up and operating their business Work directly with firms to resolve any problems on a caseby-case basis Connect firms with local or state resources for investment opportunities and incentives Connect firms to industry associations for industry-specific information and potential business partners Help firms learn about The ease and benefits of doing business in the U.S. The profiles of different U.S. industries Foreign direct investment statistics About SelectUSA Information Clearinghouse SelectUSA was created by the Executive Order of the President of the United States in June 2011. The Executive Order outlines: 1. The Administration s policy on business investment 2. The establishment and functions of the SelectUSA initiative 3. The Interagency Investment Working Group SelectUSA provides actionable information to firms to help them Incorporate a business in the U.S. Understand basic U.S. tax and legal concepts Learn about incentives available to businesses in the U.S. Connect with U.S. state, city, or regional economic development offices to learn about investment opportunities Apply for a business-related visa Foreign investors can communicate with SelectUSA by phone or email in Washington, DC, or meet with members of the U.S. Foreign Commercial Service around the world. About SelectUSA Ombudsman Assistance SelectUSA works across the federal government on a case-bycase basis to: SelectUSA was in the Office of the Secretary until Nov. 3 when it came into the Commercial Service Primary U.S. Government Effort to Support Business Investment in the United States Geographically neutral in the United States What We Do: 1. Act as Information Clearinghouse 2. Act as Ombudsman 3. Act as Advocate 4. Connect Investors with U.S. States 5. Provide Policy Guidance 6. Educate Investors 7. Provide Guidance to U.S. Economic Development Organizations 8. Co-chair the Interagency Investment Working Group Address investor concerns and issues Connect with a federal agency/ office to seek insight into a specific case Offer direct communication between the relevant federal agency and the client Identify federal regulations or processes to U.S. policy makers, that may negatively impact the U.S. business climate The SelectUSA Ombudsman function is considered business sensitive and administered strictly by the SelectUSA HQ: SelectUSA does not share company information SelectUSA may report on the types of federal regulations, countries, industry sectors and other aggregate information about cases to determine the efficacy of its ombudsman function Federal Agency Client 1
9/25/2012 Services for EDOs SelectUSA has the expertise to help state and local economic development organizations: Develop a data-driven FDI attraction strategy Collaborate within their region Invest in an information-rich website Ensure foreign operations productivity through the use of meaningful metrics Secure organizational funding tied to multi-year performance Explore additional measures, including retention and expansion or company partnerships with local universities 7 Outreach and Engagement SelectUSA Memoranda of Intent with China, India, Russia and Turkey October 2009: China Investment Promotion Agency (CIPA) The U.S. and China agreed to pursue strengthened bilateral investment ties, expanded business cooperation between U.S. and Chinese enterprises, and enhanced economic growth opportunities. November 2009: Invest India Today s agreement will enhance promotion of FDI that leads to increased exports, playinganintegralroleingettingamericansback towork. (MichelleO Neill, ActingUnderSecretaryofCommerceforInternationalTrade) April 2010: Russian Ministry of Economic Development The U.S. and Russia agreed to pursue strengthened bilateral investment ties, expanded business cooperation between U.S. and Russian enterprises, and enhanced economic growth opportunities. January 2011: Republic of Turkey Prime Ministry Investment Support and Promotion Agency (ISPAT) The U.S. and Turkey agreed to be the central point of contact for existing and potential foreign investors seeking information and opportunities and to provide mutual assistance to investors in contacting investment and industry experts in the other country Help U.S. EDOs in FDI Promotion Single Location Promotion (SLP) Tailor-made events developed collaboratively, promoting individual U.S. jurisdictions as FDI destinations. For example: SHANGHAI FDI and the U.S. Economy 5.3 million $41 billion $163 billion Workers Employed by U.S. Affiliates of Foreign Firms in the U.S. in 2010 Amount U.S. Affiliates of Foreign Firms spent on R&D in the U.S. in 2010 Amount U.S. Affiliates of Foreign Firms Spent on Capital Investments in 2010 Promotion event for State of Louisiana (e.g. presentation by FDI practitioners or a match-making reception) One-on-one meetings between Louisiana and Chinese government representatives Meetings with Chinese companies that Louisiana has identified $227 billion $408 billion 18% 33% Size of FDI Flows into the U.S. in 2011 Amount of Wages Paid to Employees of U.S. Affiliates of Foreign Firms in 2010 Percent of all U.S. exports come from U.S. subsidiaries of foreign firms in 2010 U.S. Affiliates of Foreign Firms On average Pay 33% More than the economy-wide average in 2009 Source: Bureau of Economic Analysis Outreach and Engagement Domestic and International Outreach: Raise awareness about the U.S. investment climate by leveraging platforms that maximize impact upon clients. Outreach channels include: Integrated media campaign including earned press coverage, publishing articles to highlight the U.S. climate, targeted advertising and other initiatives Introducing investment promotion opportunities to U.S. EDOs like trade missions, in-market visits, single location promotion programs and other initiatives Extending the SelectUSA expertise to targeted programs that maximize its exposure to its clients through speaking opportunities, seminars and conferences Training programs for multipliers like U.S. EDOs, USG agencies and others that interface with SelectUSA clients through their own organizations Example: Global FDI Trends Amount in $ Millions Global Inbound FDI Stock (1980-2010) Figures available on market value basis Source: UN Conference on Trade and Development 2
9/25/2012 Example: U.S. FDI Trends Example: U.S. FDI Trends Top Export Markets, 2010 50.00% 45.00% 40.00% Share of Global FDI Flows Captured by the United States Canada: $249.1 UK: $48.4 Germany: $48.2 Netherlands: $34.9 France: $26.9 Belgium: $25.5 China: $91.9 Japan: $60.5 S. Korea: $38.8 35.00% 30.00% Mexico: $163.3 India: $19.2 Singapore: $29.0 Hong Kong: $26.5 25.00% 20.00% 15.00% 10.00% Brazil: $35.4 Australia: $21.8 5.00% 0.00% Top U.S. Export Markets are also among the top sources of FDI Source: UN Conference on Trade and Development (UNCTAD) Figures in USD Billions Source: Bureau of Economic Analysis U.S. FDI Trends Top 10 FDI Stock Positions, 2011 Rank 2011 FDI Position in the United States 10% $244.6b Billion USD 1 United Kingdom 527.8 2 Japan 293.8 3 Germany 265.4 4 Canada 244.6 5 France 201.9 6 Netherlands 132.5 7 Switzerland 126.1 8 Ireland 98.2 9 Australia 58.6 10 Belgium 53.1 5% $132.5b 4% $98.2b 5% $126.1b 2% $53.1b 21% $527.8b 10% $265.4b 8% $201.9b 2% $58.6b Source: Department of Commerce, Bureau of Economic Analysis FDI by Ultimate Beneficiary Owner 12% $293.8b U.S. FDI Trends Industry breakdown of total U.S. FDI stock ($2.5 trillion) food, 5.1% professional other, scientific, industries, total and 21.0% manufacturi technical ng, 32.9% services, other chemicals, 3.5% manufacturing 24.1% finance &, 35.0% insurance, real estate, 14.8% 1.9% retail trade, 2.0% depository information, institutions, 5.8% 6.0% machinery, transportation 8.9% equipment, electrical 11.0% equipment, appliances, computers & and electronic components, products, 7.8% 0.9% Source: Department of Commerce, Bureau of Economic Analysis primary & fabricated metals, 5.3% U.S. FDI Trends Top 10 FDI Growth Markets, 2011 Fastest Growing Sources of FDI in the United States, by Compound Annual Growth Rate (2006-2011) Rank Country Growth Rate Billion USD 1 Israel 78.59% 26.8 2 China 71.25% 9.5 3 New Zealand 56.14% 6.0 4 India 40.81% 9.8 5 Ireland 38.58% 98.1 6 Belgium 33.40% 53.1 7 Singapore 28.84% 22.4 8 Spain 25.57% 48.0 9 United Arab 23.38% Emirates 17.4 10 Norway 22.40 29.1 38.6% $98.1b 33.4% $53.1b 25.8% $48.0b 23.4% $17.4b 26% $9.8b 28.8% $22.4b Note: Numbers denote 5 year compound annual growth rate (2007-2011) of the stock FDI position and the total stock of FDI in the United States Source: Department of Commerce, Bureau of Economic Analysis FDI by Ultimate Beneficiary Owner 22.4% $29.1b 78.6% $26.8b 71.3% $9.5b 56.1% $6.0b FDI and the U.S. Economy Top 10 FDI Growth Sectors in the United States (Compound annual growth rate in FDI position between 2006 and 2011 on a historical cost basis) professional, scientific, and technical services machinery *other manufacturing retail trade other industries chemicals total manufacturing transportation equipment computers & electronic products finance & insurance 0% 2% 4% 6% 8% 10% 12% 14% * Other Manufacturing does not include food, chemicals, primary and fabricated metals, machinery, computers and electronic products, electrical equipment, appliances and components, and transportation equipment. Source: Department of Commerce, Bureau of Economic Analysis 3
9/25/2012 What SelectUSA does NOT do (and why not) SelectUSA does NOT Generate investor leads Because - Violates geographic neutrality - Domain of state/local U.S. EDOs Promote one U.S. location over another -Violates geographic neutrality Providedirect assistance to foreign firms -U.S.government does not offer direct assistance to any firms Match- making -Violates geographic neutrality Invitation Letters for Visas - Outside of SelectUSA scope Thank You Tazeem Pasha Manager, Global Business Attraction SelectUSA U.S. Department of Commerce Tel: 202-482-0648 Email: tazeem.pasha@trade.gov 20 4
SESSION NOTES REFLECTION QUESTIONS Think of three specific examples of how the information that you just heard can be relevant and valuable to an existing customer. Think of three specific examples of how your agency can work with the agency/offering previously presented for the benefit of your customers. How will this value translate to the customer s customer?