The Beginning of the Passion for Trade
The United States and France have always made themselves comfortable with each other around. Both government officials from each country conduct regular visits in both ways. They have to do this to affirm the foreign trade they have established. It was a means by which they think all things could be done with positivity ending up in a favorable outcome.
Theirs started with the mutual understanding to combat terrorism which has significantly threatened most countries in the world. Their passion to serve their own people and their desire to support each other even grew because of this bond between them. They wanted to make sure that all else function and if attacks could be predicted, they have promised to stand together to become victorious in their battle.
Their global trade is founded on strong grounds. They have established a good relationship on business and economic standings by producing at least an average of $1 billion commercial activities and monetary transactions in just a day's count. Their trading relationships are good enough that United States ranked France as its 8th partner in the international business arena. It is estimated that France put up more than 2,300 business establishments in the United States which increased the employment opportunity to almost 490,000 jobs.
On the part of France, it considers the United States as its number one foreign investor. This gave the French a chance to work for US through almost 620,000 job openings in the nation. The United States ranks number six among France's supplier and consumer as well.
Export and Import Relationships between US and France
Aside from leading the war against terrorism, the United States and France have strengthened their battle ground for world trade. Apparently, there is a continuous flow of prime commodities on both sides as they have belonged to each other's top traders. The US Census in its recent statistics for July 2008, showed a monthly flow of exports to France at $2.36 billion while its imports from France showed a $4.08 billion total. The seven-month total for the exports drew a result indicating the exports to be $17.40 billion and the imports to be $26.13 billion.
As of the year total for 2006, the most traded goods between the two economies posted a very significant increase in their international business. They have consistently showed how transparent their business trades are by pinpointing which among their items grew largely in terms of sales as well. Statistical data for 2006 is provided below:
US-France Trade Agreements
- French Exports to US. Top billing the prime commodities from France to the United States is its medical, dental and pharmaceutical preparations which garnered a total of $4.5 billion at a rating of 12% increase. It was followed by nine more products namely civilian aircraft, civilian aircraft engines, collectibles, other petroleum products, alcoholic beverages other than wine, wine and related products, cosmetics and toiletries, automotive parts and accessories and lastly goods returned to the US then reimported. The last spot gained a total of $965.8 million which posted an increase of 2.6%.
- French Imports from US. Goods from US which entered the French boundaries have a lot to say as well. The top spot belongs to civilian aircraft engines which earned $3.5 billion posting an increase of 14.4%. Other goods found in the top ten are pharmaceutical preparations, civilian aircraft, civilian aircraft parts, medicinal equipment, industrial machines, organic chemicals, computer accessories, measuring and control instruments, and on the last spot are minimum value shipments which totaled to $593.6 million at a rate of 2.5%.
- Fastest-Growing US Imports from France. Sales increases were apparently seen in some French products entering the borders of the United States. On top of the list is cane and beet sugar which showed an impressive increase of $4.4 million at a rate of 627%. It was followed by four more commodities like diamonds, oil field platforms and equipment, civilian aircraft, and marine engines and parts. The last showed a data amounting to $32.5 million with an increase of 32.5%.
- Fastest-Growing US Exports to France. France also grew sales marks for the following US products: Coal topped the list at an increase of 854% amounting to $12.9 million; it was followed by animal feeds, non-metallic minerals, dairy products and eggs, and wine and related products. The wine industry posted a 100% increase totaling to $19.6 million.
The foreign investment for US and France were highly regarded in both areas. In order for a greater relationship to be built, they mainly relied upon their verbal agreements. There was really no known famous agreement between the two countries but nonetheless they adapted to some rules which have governed world trade. To be able to capture the best things yet, they went to as far as giving importance to the following things:
Some Conflicts on Trade
- US-European Industrial Trade. This pact was formulated in order to welcome foreign traders form France, United States and other European Countries. This had helped resolve the conflicts between politics and business for both sides. Monetary transactions, commercial activities and other business-related issues were tackled under this trading system.
- Free Trade Agreements. The trade between these two countries was always open. No known barriers exist thus, a free trade agreement was not found necessary for themselves. They found it better to join hands and provide help to third world countries. They wanted to lift up other nations from their deficit in order for their economies to prosper. They focused mainly on biotech standards for other nations in the world.
Being powerful countries, the United States and France were supposed to be competing with each other. However, they never showed others that there are relatively known differences between the two. The conflicts may be drawn from some aspects which included the following points:
Building a Foundation for the Future
- On Exclusive European Trade. The partnership between France and United States is seemingly hindered by the fact that leaders of the European Nations want to strengthen trade within their boundaries. This being so, France was one of the most affected country in the European continent. As it has established good trade relationship with the United States, it could not leave the latter behind just to give in to some selfish intentions. The dispute could grow even more if France would allow itself to sink inside the boat of the league. A proper explanation should be done to make the other European countries realize the necessity of fostering an active relationship with the United States Government.
- On Biotech Partnership. The brewing disparity on this issue is between the European lot and the United States government under the administration of President Bush. There were issues on labeling of genetically modified seeds. The United States said that labeling of these goods will be costly for Europe but the latter wanted to name it for the sake of implementing the new regulations on biological technology. France, being part of the European nation was caught in the verge of the fight. It was suggested that the battle on this issue should be neglected as it is more important to consider binding the two worlds together. Since they are two of the strongest nations in the world, it is more necessary to set their biological standards together in order for other countries to benefit from the course of the trade.
- On the War against Terrorism. Though both countries battle against terrorism, there were instances wherein the United States were not able to get support from France. As proof to this, France objected on putting a war against the administration of the leader Saddam Hussein. This was merely because other nations may be affected by the war as it will trigger another World War in the history. It went to a point that US blamed France about the fall of the World Trade Organization.
Despite the disparities presented here, the United States and France continued to be allies in the international market. Should they have been affected by the so-called "word wars," there must have been no more opportunities for markets to walk in and out of each borders. The dilemma is a no-show when it comes to building a more fruitful business relationship between the two.
It can be foreseen that in the future, more opportunities will flow for the population of the two countries. They will both continue strengthening each workforce by providing job openings for the people who set in and out of their premises. There are no obstacles to a well-established relationship that could be tracked from more than a hundred years back.
The biotech issues, the war against terrorism and the exclusive European trade are just but spices of their very colorful lives together. It happens in any abundant relationship. It is a fact that any highly-favored camaraderie could be put to any test of time. It is up for the forces and the influences to die down and it is more important to win the battle together rather than stand alone in the midst of the crowd.