The Promise of FDI

Foreign Direct Investment (FDI) has become one of the major sources of manufacturing jobs in the U.S. As American manufacturers have moved manufacturing jobs to China and Mexico, European manufactures have stepped into the void and created millions of well-paid jobs in local communities all over the United States. FDI is so important and valuable because these companies have already proven that their products can compete on the world market for decades and are looking for long-term investments.

Direct Investments

The leading source of these investments is the European Union, a diverse group of independent nations with distinguished legal and tax systems, over 25 different languages and home to many of the most advanced manufacturing companies in the world. In 2015, the cumulative European FDI in the U.S. reached a value of $2.16 tn which makes Europe the by far most important foreign Investor in the U.S. Seven European countries ranked among the ten most important foreign investors in the U.S, including the Netherlands, Switzerland, Germany, France and Great Britain.

Iconic companies, such as Airbus, BMW, Volvo, Rolls-Royce, Siemens, Bayer, Valeo, Fiat, Faurecia, Gestamp, Vestas, Schaeffler and scores of suppliers have lifted the economic fortunes of countless communities across the United States. In 2015, cumulative FDI from Europe in the U.S. reached $1.97 tn (see chart below), having almost doubled within the last decade. Even during the financial crisis around 2008, the cumulative European FDI continued to grow.

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