Archive for the 'Direct Investment' Category

Value of Both Foreign Investments in the United States and U.S. Investments Abroad Increased in Fourth Quarter 2013

The U.S. net international investment position was -$4,577.5 billion (preliminary) at the end of the fourth quarter of 2013 as the value of foreign investments in the United States exceeded the value of U.S. investments abroad. At the end of the third quarter, the net position was -$4,171.8 billion (revised).

USDIAandFDIUS_4q_2013

• The $405.7 billion decrease in the net position reflected a $777.8 billion increase in the value of foreign-owned assets in the United States that exceeded a $372.1 billion increase in the value of U.S.-owned assets abroad.
• The U.S. net international investment position decreased 9.7 percent in the fourth quarter, compared with a 6.4-percent increase in the third quarter and an average quarterly decrease of 6.3 percent from the first quarter of 2011 through the third quarter of 2013.
• The decrease in the net position in the fourth quarter was attributable to the valuation changes of foreign-owned assets in the United States that were $211.7 billion larger than the valuation changes of U.S.-owned assets abroad, and net inflows of $194.0 billion.
• U.S.-owned assets abroad were $21,963.8 billion at the end of the fourth quarter compared with $21,591.7 billion at the end of the third quarter.
• Foreign-owned assets in the United States were $26,541.3 billion at the end of the fourth quarter compared with $25,763.5 billion at the end of the third quarter.

Read the full report.

Value of Both Foreign Investments in the United States and U.S. Investments Abroad Increased in 2013

The U.S. net international investment position was -$4,577.5 billion (preliminary) at the end of 2013 as the value of foreign investments in the United States exceeded the value of U.S. investments abroad. At the end of 2012, the net position was -$3,863.9 billion.

FDIUSandUSDIA2013

The $713.6 billion decrease in the net position from the end of 2012 to the end of 2013 reflected a $1,039.8 billion increase in the value of foreign-owned assets in the United States that exceeded a $326.1 billion increase in the value of U.S.-owned assets abroad.
• The U.S. net international investment position decreased 18.5 percent from the end of 2012 to the end of 2013, compared with a 3.6-percent decrease from the end of 2011 to the end of 2012.
• The decrease in the net position in 2013 was attributable to the valuation changes of foreign-owned assets in the United States that were $362.4 billion larger than the valuation changes of U.S.-owned assets abroad, and net inflows of $351.2 billion.
• U.S.-owned assets abroad were $21,963.8 billion at the end of 2013 compared with $21,637.6 billion at the end of 2012.
• Foreign-owned assets in the United States were $26,541.3 billion at the end of 2013 compared with $25,501.5 billion at the end of 2012.

Read the full report.

New Detail Available on Direct Investment for 2009–2012

Interested in learning about foreign direct investment in the U.S. advertising industry?  Or in U.S. direct investment in Vietnam?  The U.S. Bureau of Economic Analysis (BEA)  released its most detailed statistics on U.S. direct investment abroad—or “outward direct investment”—and on foreign direct investment in the United States—or “inward direct investment”.  These statistics cover direct investment positions at historical cost (book value) and related financial and income flows.

These statistics provide comprehensive data on direct investment by country and by industry.  For outward investment, the statistics provide information for all countries and industries in which U.S. companies have invested directly and are classified by the country and industry of the foreign affiliate.

For inward investment, the statistics provide information for all countries from which there is direct investment.  These statistics are classified by the country of the foreign parent—that is, the country of the investor with a direct investment in the U.S. affiliate.  Statistics on inward investment classified by the country of the investor who ultimately controls the investment, called the ultimate beneficial owner are also available.

In addition, the statistics provide data on all industries in which there is inward investment, classified by the industry of the U.S. affiliate.  By providing this additional detail, these statistics enhance the international transactions accounts and international investment position statistics released in June 2013.

For 2009–2012, the statistics reflect the incorporation of new or revised data from BEA’s quarterly surveys of transactions between parents (both U.S. and foreign) and their affiliates, along with annual surveys of financial and operating data for U.S. parent companies and their foreign affiliates and for U.S. affiliates of foreign companies.  The U.S. direct investment abroad series also includes the incorporation of the 2009 benchmark survey of U.S. parent companies and their foreign affiliates.

An upcoming article in the September Survey of Current Business will present these statistics as well as additional statistics, such as reinvestment ratios, rates of return, and position and income data for outward investment classified by the industry of the U.S. parent.