The North America market comprise the USA, Canada and Mexico, all of which are members of the group of twenty (G20). The region offers diverse opportunities for Queensland companies.

North America is a key Queensland export market and trade partner, as well as the state’s largest foreign investor, and will be a key partner for companies looking to enter regional growth markets in Central and South America. In many ways, North America is the gateway to the Americas.

Its sophisticated capital markets and financial structures provide vital support mechanisms for innovative SMEs to expand into these growth markets.

Economy

North America is currently the world’s largest regional economy.

It will remain a powerful player in the global economy for the foreseeable future, especially for the development of new technologies and the provision of investment capital.

Trade

The Australia-US Free Trade Agreement (AUSFTA) has been in place since 2005. This means that 97% of Australia’s non-agricultural exports (excluding textiles and clothing) are duty-free and two-thirds of agricultural tariffs have been eliminated.

There are no restrictions on moving capital in or out of the USA or on the repatriation of profits. In 2003, a protocol amending the double taxation convention for Australia and the US entered into force, followed by an agreement between the Australian and USA governments to improve international tax compliance and to implement the Foreign Account Tax Compliance Act (FATCA) on 30 June 2014.

Investment

North America remains the largest market for funding and commercialising innovative technologies and already attracts many technology firms from Queensland and other parts of Australia.

Mining trucks hauling rubble in Mexico

North America opportunities

CurrentFuture

Current

  • Specialty food, beverage and nutritional products
  • Technology
  • Mining equipment, technology and services (METS)

Future

  • Agricultural technology
  • Mining and resources technology
  • Biotechnology
  • Innovation
  • Health services

Sector opportunities in North America

Technology

Venture capital priority sectors are:

  • software
  • media and entertainment
  • biotechnology
  • IT services and industrial/energy.

Venture capital investment grew 66% in 2014 compared with 2013. Seed stage investment declined 20%, with investors moving to less risky later stage opportunities.

Natural Products Industry Forecast by New Hope Natural Media and Sterling-Rice Group, NEXT Forecast

Specialty food, beverage and nutritional products

US consumer sales of natural, organic and healthy food products are forecast to expand to over $250 billion. Four-fifths of American families are purchasing organic food.1 Queensland exporters of high-quality, specialty food products have vast and far-reaching opportunities in the US market with the right strategy, as US consumers trend towards natural and organic products.

1New Hope Network

 

Mining and resources, technologies and products

Lower commodity prices for minerals and energy are driving a desire for innovation and technologies that deliver improved productivity and efficiency gains.
Mexico’s significant mining industry is ripe for improvement in productivities and HSE performance and Queensland’s innovative METs companies are well positioned to deliver these services.2

2US Commercial Service (2017)