This week, the
American Journal of Transportation reported that economists at California State University, Long Beach released a paper showing that importing creates jobs. They tracked four types of raw materials and semi-finished goods (paper, iron/steel, electronic parts, and organic chemicals) and looked at employment trends.
The researchers reported that manufacturers that imported these products through the Port of Long Beach often completed assembly in the United States and then exported the finished products. They documented nearly a quarter million jobs created and maintained for the industries studied. These are not minimum wage jobs either, ranging from an average salary of $92,000 in the chemical industry to $59,000 for wholesale trade.
It is often argued that the trade deficit, amount of imports to the U.S., and lack of exports are major factors in our current recession. To see how imports' impact on the economy is often discounted, try asking a politician about promoting imports along with exports. Here in Minnesota, our state government has an economic development agency completely dedicated to helping companies export, but rarely mentions or assists with importing.
While imports have gotten a bad reputation, rightly in some industries for outsourcing jobs, many companies would not exist without low price commodities sourced from around the world. Some may turn around and sell imported products directly to consumers, like many retailers, but there are a significant number of importers that take these goods and further refine them into finished products, exporting them at a higher price by adding value. In addition, the transportation sector and other industries are built on international trade, as we now live in a global economy; these sectors employ millions and could not exist on exports alone.
To take a look at the study, click this link.
Zepol supports both import and export trade and we provide the information needed to build companies through intelligent decision making. Our U.S. government trade data shows how trade functions for specific industry sectors and even companies. The companies taking advantage of our trade data tools are the same forward thinking organizations that use both imports and exports to their advantage in order to create jobs, grow shareholder value, and earn profits.