The US is the world's largest economy, with a GDP of over $22 trillion. It has a strong consumer market, which makes it an attractive destination for importers. The USA import market is diverse, ranging from electronics and machinery to food and textiles. According to WTO statistics, the US has been the world's largest importing country. The USA imported 3.37 trillion dollars in 2022. This figure is ahead of China in second place and Germany in third place.
The foreign trade deficit was the main reason for the trade wars that the USA started by increasing tariffs during the President Trump period. The USA has a foreign trade deficit with countries such as Mexico, Germany, Korea, and Vietnam, especially China. For example, while imports from China were 575 billion dollars in 2022, exports to China amounted to 153 billion dollars. The trade deficit of 422 billion USD is really high. However, the tariffs applied to China caused price increases in the US market rather than reducing imports. In short, the USA should follow policies that will increase exports instead of trade protection.
Overview of the
USA import market
The USA is the world's second-largest importer of goods, with a total import value of over $2.6 trillion in 2021. The country imports goods from all over the world, with China, Mexico, Canada, Japan, and Germany being the top five trading partners. The USA's major import categories include machinery, electronic equipment, vehicles, oil, and pharmaceuticals.
Top Import Products in the USA
|
HS
Code |
IMPORT
Product label |
2018 |
2019 |
2020 |
2021 |
2022 |
|
TOTAL |
The US Total Import (USD) |
2,60 Trillion |
2,5 |
2,40 |
2,93 |
3,37 Trillion |
|
85 |
Electrical machinery and equipment and parts thereof; sound
recorders and reproducers, television . . . |
366 billion |
351 billion |
343 billion |
415 billion |
477 billion |
|
84 |
Machinery, mechanical appliances, nuclear reactors, boilers;
parts thereof |
384 billion |
377 billion |
361 billion |
427 billion |
475 billion |
|
87 |
Vehicles other than railway or tramway rolling stock, and
parts and accessories thereof |
306 billion |
309 billion |
254 billion |
282 billion |
329 billion |
|
27 |
Mineral fuels, mineral oils and products of their
distillation; bituminous substances; mineral . . . |
241 billion | 209 billion |
130 billion |
225 billion |
322 billion |
|
30 |
Pharmaceutical products |
115 billion |
128 billion |
139 billion |
149 billion |
164 billion |
|
99 |
Commodities not elsewhere specified |
101 billion |
113 billion |
102 billion |
120 billion |
117 billion |
|
90 |
Optical, photographic, cinematographic, measuring, checking,
precision, medical or surgical . . . |
93,3 billion |
96,5 billion |
90,5 billion |
105,9 billion |
115,0 billion |
|
71 |
Natural or cultured pearls, precious or semi-precious stones,
precious metals, metals clad . . . |
60,7 billion | 58,0 billion |
106,9 billion |
95,9 billion |
96,9 billion |
|
39 |
Plastics and articles thereof |
61,7 billion |
60,3 billion |
62,3 billion |
82,3 billion |
89,8 billion |
|
94 |
Furniture; bedding, mattresses, mattress supports, cushions
and similar stuffed furnishings; . . . |
71,8 billion |
66,8 billion |
65,4 billion |
81,3 billion |
86,7 billion |
Unit : US Dollar source:
Trademap.org
1. The US Electronic Equipment Import
Electronic equipment is the most
imported product in the USA, with a total value of over $ 477 billion in 2022.
This category includes computers, phones, and other devices.
Complete category products: Electrical machinery and equipment and parts thereof; sound recorders and reproducers; television image and sound recorders and reproducers; and parts and accessories of such articles.
2. The US Machinery Import
The US industry's supply chain highly depends on imports of machinery and machine parts. Most automotive, white goods, and electronic products from the USA are completed with parts imported from the Far East. $123 billion of this $475 billion import group consists of "automatic data-processing machines and units thereof; magnetic or optical readers, machines" products. The US imports machinery from China, Germany, and Japan.
3. The US Motor Cars and Other Motor Vehicles Import
The USA is one of the largest automotive manufacturers in the world but has a population with a high purchasing power. The USA imported $329 billion worth of motor cars and other motor vehicles in 2022. 168 billion dollars of this consists of the import of automobile-class products. 35 billion dollars consists of engines and parts needed by the automotive industry. Motorcycle imports are over 5 billion dollars, and motorcycle parts imports are nearly 2.5 billion USD. The USA imports vehicles from countries such as Canada, Japan, and Mexico.
4. Mineral Fuels, Mineral Oils, and Products of Their Distillation
Petroleum oils and gasses are the
fourth most imported product in the USA. The total value will be $322.6 billion
in 2022. The USA imports oil from countries such as Canada, Saudi Arabia, and
Mexico.
Petroleum oils and oils obtained from bituminous minerals, crude is this group's main category, which takes 204 billion dollars.
5. The US Pharmaceutical Products Import
Pharmaceuticals are the fifth most
imported product in the USA, with a total value of over $164.9 billion in 2022.
The USA imports pharmaceuticals mostly from Ireland, Germany, Switzerland,
China, and Belgium. $91.9 billion of this is medicaments consisting of mixed or
unmixed products for therapeutic or prophylactic products.
Factors Affecting the USA Import Market
The US import market is affected by several factors, including economic policies, trade agreements, and global supply chain disruptions.
Economic Policies
The economic policies of the US government, such as tariffs and trade restrictions, can impact the import market. For example, the Trump administration's tariffs on Chinese imports significantly impacted the USA's import market, especially for electronic equipment.
Trade Agreements
Trade agreements, such as the North American Free Trade Agreement (NAFTA) and the Trans-Pacific Partnership (TPP), can impact the US import market. The renegotiation of NAFTA, which resulted in the United States-Mexico-Canada Agreement (USMCA), significantly impacted the USA's trade relations with Mexico and Canada.
Global Supply Chain Disruptions
Global supply chain disruptions, such as the pandemic, can impact the US import market. The pandemic decreased imports from China, affecting the USA's electronic equipment supply and other goods.
Challenges faced by importers in the USA
Importers in the USA face several challenges, including tariffs and duties, regulatory compliance, and transportation and logistics.
The US Import Tariffs and Duties
Tariffs and duties can significantly impact the cost of importing goods into the USA. For example, the USA's tariffs on steel and aluminum imports from China and other countries have increased business costs.
The US Import Regulatory Compliance
Importers in the USA must comply with various product safety, labeling, and environmental protection regulations. Failure to comply with these regulations can result in fines and other penalties.
The US Import Transportation and Logistics
Transportation and logistics can be a significant challenge for importers, especially those importing overseas goods. Issues such as delays, customs inspections, and port congestion can impact the delivery of goods.
The Future Outlook for the USA Import Market
The future outlook for the USA import market is positive, with continued growth expected in the coming years. The USA's strong economy and consumer market make it an attractive destination for businesses looking to expand their reach.
Conclusion
The US import market is diverse, with
many products imported worldwide. The top 10 import products in the USA include
electronic equipment, oil, vehicles, pharmaceuticals, machinery, plastics, gems
and precious metals, furniture, organic chemicals, and iron and steel. The US
import market is affected by several factors, including economic policies,
trade agreements, and global supply chain disruptions. Importers in the USA
face several challenges, including tariffs and duties, regulatory compliance,
and transportation and logistics. The future outlook for the USA import market
is positive, with continued growth expected in the coming years.
Written by: Aykut Alan
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