Australians love American products
Since AUSFTA came into force in 2005, US exports to Australia have grown 130 per cent. Two-way trade between the US and Australia – which is the sum of US exports to, and imports from Australia – has more than doubled to over US$67 billion (2019 figures).
This relationship has generated significant income for US companies, jobs for American workers and stimulus to the US economy. Consumers in both countries enjoy more choice and lower prices, thanks to AUSFTA.
Australian companies (US companies with Australian parent businesses) directly employ over 150,000 people in the United States. These are overwhelmingly high quality, well paid jobs, with average compensation paid by Australian companies to US workers of more than US$92,000 (significantly higher than average compensation in the United States of US$65,158).
In addition, trade with Australia supports approximately 300,000 jobs in the United States, with particular concentration in the manufacturing and tourism sectors. Over 94 percent of US goods exported to Australia are manufactured goods. However, in ordinary times the single biggest export is travel services. Australians love visiting the United States. In 2019, 1.3 million Australian tourists visited the United States – that’s more than 5 percent of the entire population – spending an extraordinary US$7.5 billion on hotels, restaurants, shopping and attractions, and supporting thousands of service jobs across the United States.
Over 94 percent of US goods exports to Australia are manufactured goods.
Australians directly support key US manufacturing sectors, businesses and jobs, including the motor vehicle sector (Ford, Jeep), the aircraft industry (Boeing, United Technologies), telecommunications businesses (Cisco, Qualcomm, Motorola), and pharmaceutical companies (Pfizer, Merck).
However, in ordinary times the single biggest export is travel services. Australians love visiting the United States. In 2019, 1.3 million Australian tourists visited the United States – that’s over 5 percent of the entire population – spending an extraordinary US$7.5 billion on hotels, restaurants, shopping and attractions.
Investment between Australia and the United States has nearly tripled
The United States is without a doubt Australia’s most important investment partner. It is by far the largest destination for Australian foreign investment. In 2018 Australia had over US$537 billion invested in the United States. Great Australian companies, including Bluescope, Rio Tinto, CSL, Atlassian, Brambles, Lendlease, Transurban and Pratt Industries, continue to create US jobs, spur innovation and support communities across the country.
Australian companies directly employed 83,700 American workers at the end of 2017.
In addition, the United States is the largest foreign investor in Australia by a long shot. In 2018, US companies and individuals had invested over US$700 billion in Australia, dwarfing investment made by our second biggest investor, the United Kingdom. Great US companies operating in Australia support Australian and American jobs, provide a flow of innovation and ideas between our borders and generate products and choice that most Australians take for granted.
Since AUSFTA came into force, two way investment between Australia and the US has increased more than 150 per cent. Australians continue to invest significant funds in US businesses and industries, and Americans continue to invest at record levels in Australia.