EU-U.S. Economic Ties: Framework, Scope, and Magnitude
Abstract
The United States and the European Union (EU) economic relationship is the largest in the world and it is growing. The modern U.S.-European economic relationship has evolved since World War II, broadening as the six-member European Community expanded into the present 25-member European Union. The ties have also become more complex and interdependent, covering a growing number and type of trade and financial activities. In 2004, $966 billion flowed between the United States and the EU on the current account, the most comprehensive measure of U.S. trade flows. The EU as a unit is the largest merchandise trading partner of the United States. In 2004, the EU accounted for $172.6 billion of total U.S. exports (or 21.1%) and for $282.6 billion of total U.S. imports (or 19.2%) for a U.S. trade deficit of $110.0 billion. The EU is also the largest U.S. trade partner when trade in services is added to trade in merchandise, accounting for $115.6 billion (or 34.0% of the total in U.S. services exports) and $108.7 billion (or 37.3% of total U.S. services imports). In addition, in 2004, a net $83.8 billion flowed from U.S. residents to EU countries into direct investments, while a net $48.2 billion flowed from EU residents to direct investments in the United States.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jan 17, 2006
- Accession Number
- ADA486442
Entities
People
- William H. Cooper
Organizations
- Library of Congress