Select LA Recap
Jennifer Grady, Esq. recently participated in the Select LA 2016 Investment Summit. SelectLA is the precursor to SelectUSA, a federal division of the Department of Commerce that seeks to attract international businesses to the United States. An international and domestic audience of more than 350 investors and business people attended the SelectLA summit on June 17, 2016 at the JW Marriott in downtown Los Angeles. Panelists included Los Angeles Mayor Eric Garcetti, President of World Trade Center Los Angeles Stephen Cheung, as well as many other top officials from various Los Angeles organizations such as LA Metro, Los Angeles World Airports, and the Los Angeles Ports.
Summary of FDI Report
At the summit, the World Trade Center Los Angeles released its much anticipated and expansive Foreign Direct Investment report for Southern California.
Foreign Direct Investment (FDI) is a common way for private entities and individuals, both in developed and less developed nations, to increase their wealth and capital by investing beyond their national borders. In 2015, global FDI flows amounted to nearly $1.7 trillion, making it the highest level of international capital flows in the last eight years. The United States is the recipient of more FDI than any other country, and in 2015 received $384 billion in FDI flows, the highest level since 2000.
One way to measure the value of foreign investments in the United States is by looking at the number of employees in foreign owned establishments, known as FOEs. It is estimated that about 4.4% of employees in the United States work at FOEs. While, the nation with the largest number of FOEs in the United States is the United Kingdom, other countries with a significant number of FOEs in the United States include Japan, Germany, France, and Canada.
The state of California has the highest number of FOE employees of all 50 U.S. states, and accounts for 10.3% of all FOE employment in the United States. Japan is the largest source of FOE employment in California at a rate of 19.3%, followed by the United Kingdom at 14.5%. Other countries with a significant FOE presence in California include France, Germany, Switzerland, Canada, and the Netherlands. Not surprisingly, the majority of FOEs in California are located in Los Angeles County, which comprises nearly 48% of FOEs in Southern California.
Based on the report results, US entities and Economic Development Organizations (EDOs) can further target their research towards the countries in the report with the most FDI in the United States. Read the most recent FDI report here for more detailed information on FDI in Southern California by county, region, and source country.
Are You Interested in Foreign Direct Investment?
The Grady Firm, P.C. attorneys specialize in helping businesses grow and succeed through employment, business, and immigration law advising for clients in California. They help foreign entrepreneurs establish a US presence, form a corporate entity, and obtain the appropriate visas for their owners and employees. To learn more about ensuring your business is compliant with state and local laws,schedule a complimentary 15-minute consultation with The Grady Firm’s attorneys; call +1 (323) 450-9010; or fill out a Contact Request Form.
*This article is for informational purposes only, and does not constitute legal advice or create an attorney-client relationship. This article does not make any guarantees as to the outcome of a particular matter, as each matter has its own set of circumstances and must be evaluated individually by a licensed attorney.