Exports are extremely important in modern economies because they provide people and businesses with many more markets for their goods. An export is a product or service produced in one country but sold to a buyer in another. Exporting can boost sales and profits by expanding into new markets. They may even present a chance to gain a significant share of the market.
It doesn’t matter if you’re a seasoned exporter or a first-timer navigating international waters. Or you emerge as a seasoned exporter looking to expand your business internationally. Your primary challenge will always be finding buyers for the goods or services you offer. There are two major components to consider if you want to enter the export business with an effective approach.
- Finding a market: To begin, with the help of product analysis and market research, identify foreign markets for your export product.
- Finding a buyer: After identifying and entering the appropriate global market, the next step is to locate buyers within that market. Both online and offline, you can find overseas buyers.
The United States, second only to China, has one of the world’s largest export markets. The US economy, like many others, has experienced ups and downs during the pandemic. The export market in the United States was hit hard at the start of the pandemic. Exports fell by 16% in the first half of 2020 relative to the earlier year.
Top 6 exporting businesses that are profitable in 2022
Exporting businesses that can produce goods to meet rising demand will have an advantage. The US export market consists of a wide range of goods and services. In terms of goods, there are numerous excellent exports that US exporters should consider selling in the coming year. Some of the most important exporting businesses are;
Petroleum refining industry
Petroleum products are among the most popular fossil fuel and natural gas exports from the United States. Crude oil, refined petroleum, and petroleum gas are examples of these products.
The primary input cost for refiners is crude oil. Crude oil is a highly volatile commodity due to its sensitivity to micro economic and macroeconomic factors such as supply and demand and the health of global economies.
Over the five years leading up to 2022, the US oil and gas production index has risen by an annualized 4.0%. During the same time period, it contributes to the global crude oil price rising by an annualized 10.1 percent.
Because the United States is one of the world’s largest vehicle manufacturers, it’s no surprise that vehicles are among the country’s top exports. Cars, planes, helicopters, spacecraft, delivery trucks, and trailers are among the most popular vehicle exports. Parts for automobiles and airplanes are also significant exports.
Companies in the Vehicle and Automobile Manufacturing industry manufacture midsize and large sedans, compact passenger cars, and luxury vehicles. The automotive sector’s overall performance has been strong over the five years to 2022. This is large because key macroeconomic indicators have been trending upward.
In 2022, the automobile industry’s export business will be worth approximately $44.5 billion. In the US industry of Car & Automobile Manufacturing, the major corporations have the largest market share. Toyota Motor Corp, Honda Motor Co Ltd, Ford Motor Co, Mazda Motor Corp, and others are among them.
Pharmaceutical manufacturing industry
Over the last five years, the pharmaceutical industry has introduced a diverse range of drugs. According to the research, the number of new drug launches in 2019 was more than double that of 2016. With many new drug launches focusing on rare diseases and oncology, the pharmaceutical industry is booming.
The company meets 50% of global demand for various vaccines and 40% of generic medicine demand in the United States. This was despite COVID-19 reducing global industry by nearly 2% in 2020. By 2021, nearly all medicines manufactured in the United States were low-cost generics. They account for the majority of the country’s pharmaceutical exports.
Chemical products manufacturing
The Organic Chemical Manufacturing industry manufactures fundamental organic chemicals. In downstream manufacturing industries, the consumption of ethyl alcohol and other intermediates is high as key feed stock. Plastics, paints, adhesives, pharmaceuticals, and gasoline additives manufacturers frequently use industry goods as raw materials in their manufacturing processes.
As a result, demand for industrial goods is linked to the purchasing decisions of manufacturers of durable and non durable goods that use basic organic chemicals. When the economy and consumer purchasing power improve, revenue rises. In anticipation of increased production, downstream manufacturers purchase more raw materials in response to rising demand. Organic Chemical Manufacturing revenue fell at an annualized rate of 0.2 percent to $123.3 billion over the past five years.
Plastic and resin manufacturing
Plastic and products are excellent exports because they travel well and have a long shelf life. Over the five years leading up to 2021, the Plastic and Resin Manufacturing industry has seen its revenue and product demand fluctuate. Upstream markets, on the other hand, are expected to expand through 2021. Despite this increase, revenue is expected to remain flat during the period at $95.6 billion.
Raw plastic sheeting, plastic lids, rubber tires, plastic pipes, and self-adhesive plastics are also popular exports from the United States. The resin and material production will continue at a higher rate throughout the rest of 2022. Product output will increase by about 1.8 percent, and mold production will increase by about 3.4 percent, according to the estimation.
Semiconductors and circuits industry
Semiconductors are an essential component of electronics as well as a vital input into products and services. Computers, televisions, internet service providers, and telecommunications services are among them. One of the top export industries in the United States is Semiconductor and Circuit Manufacturing. The industry’s products are a major input for other technologies, resulting in a diverse economy and high demand for semiconductors for the majority of the time.
In short, the important point of this article is to demonstrate the 6 top profitable businesses exporting in 2022. Exporting a product boosts your economy and gives you a competitive advantage in the global market. Many developing countries have product reserves or are producing various products and exporting them to other countries. For example, the automobile industry is one of the major exports in the US; however, Japanese car exporters are also a dominant player in the global automobile industry. The above exporting businesses are the most successful in the United States.