There are advantages and also potential challenges for Northern Ireland companies doing business in the USA.

Advantages of exporting to the USA

There are numerous advantages of exporting to the USA including:

• world's largest market
• world's largest private sector
• low regulatory barriers
• minimal language barriers
• access to global supply chains that can lead to exports for other markets
• one of the most innovative consumer markets in the world
• productive and skilled labour force with high mobility
• ease of doing business due to similar business culture
• strong rule of law

You should also be aware of some challenges you could face when exporting to the US. It is a large market to do business in which can lead to some unique challenges.

Challenges of exporting to the USA

You should also be aware that there are a number of challenges of exporting to the USA including:

• The USA has announced that it will impose an additional 10% tariff on imports from the UK in addition to existing US duties, fees, and taxes. Read more about US tariffs.
• vast regional differences between the 50 markets/states
• strong competition, causing saturation of products or services
• high customer service expectations
• high cost of living in major cities
• significant time difference (between five and eight hours behind)
• high cost for business insurance
• litigation is common
• expensive and time consuming process for work visas

The US is the largest economy in the world. There are a number of sectors that could potentially offer some opportunities to Northern Ireland companies:

Food and drink sector

The US is the UK’s second largest market for Food and Drink exports, which totaled £2.2 billion in 2018 (UK Food & Drink Federation, 2018).

Attractive export market

The US is an attractive market due to its large, affluent and diverse population. There is a relatively stable economy and established infrastructure.

Private label growth

Private-label sales grew 125% between 2016 and 2017, providing opportunities for UK brands with expertise working in private label (Nielson, 2018).

High-potential products

English sparkling wines, cheese, and gin are emerging categories in the US with high growth potential. The US also offers great opportunities for high-value, differentiated, niche, and on-trend products.

Technology sector

The US is the largest tech market in the world. It represents 31% of the global market, totalling approximately $1.6 trillion in 2019 (CompTIA IT Industry Outlook, 2019). Rich with early adopters, the size, affluence and sophistication of the US market provides an ideal test bed for innovative products and services.

5G

The US government is encouraging companies to deploy 5G networks and to modernize digital opportunity for all Americans (US Federal Communications Commission, 2019). IoT and Smart Cities are strong focuses at local government levels.

Artificial Intelligence

The US market has appetite across industry, government, and university to build excellence and cross-collaboration in artificial intelligence.

Life Sciences sector

The US is by far the world’s biggest spender on healthcare, medical products, and health research and development (OECD, 2019). In 2017, the US spent $3.5 trillion on healthcare, and spending is projected to almost double in the next decade (Centers for Medicare and Medicaid Services, 2019).

Supply chain opportunities

The US is home to a large number of biotech and pharma companies that offer many opportunities for UK companies to sell into their supply chains. The US pharmaceutical market is the world’s largest (International Trade Administration, 2016).

Technology opportunities

US hospitals and healthcare organisations are keen to deliver healthcare more efficiently with artificial intelligence and other innovative technologies. This growing market is ripe for UK medtech companies that offer data analysis solutions.

There are lots of things to consider before preparing to export to the USA.

Tax

The US tax system is complex. Taxes can be imposed by both the US federal government and individual states, counties and cities. The Internal Revenue Service (IRS) governs federal taxes in the US.

You’ll need to get tailored advice from a certified accountant or tax lawyer if exporting to the US.

There is no Value Added Tax (VAT) in the US. Sales tax varies from state to state.

You can find out more about state tax from the Federation of Tax Administrators.

Standards and technical regulations

You must check your product meets all legal requirements in the US and you have all the required licences.

The National Institute of Standards and Technology has more information on legal standards.

Check the US Food and Drug Administration (FDA) legislation and regulations relating to food and drink, drugs, medical devices and cosmetics.

Packaging and labelling

Labelling requirements for consumer commodities are enforced by the FDA.

There are specific labelling requirements for food, drugs, cosmetics and medical equipment.

Check local labelling regulations with the relevant state business bureau.

Export licensing and restrictions

You’ll need a license to export certain goods and services to the US because the import of some items is restricted or prohibited. Check with the UK’s Export Control Joint Unit (ECJU) to find out whether you need an export license.

Check the US Customs & Border Protection’s (CBP) list of prohibited and restricted items.

Trade barriers

Check for any reported barriers to trading with the US.

Report any trade barriers that are affecting your business so we can help fix them.

Operating in the US

You should always get qualified legal guidance before entering into any agreement to do business in the US. Ideally, your contracts should be reviewed by lawyers who understand both US and UK law. The US Embassy has a list of American attorneys based in the UK.

Intellectual property

As a first step, we advise you to speak to an intellectual property lawyer if you think you need patent protection when exporting to the US.

If you intend to sell goods or services to the US, you should consider applying for US trademark protection and check that your trademark doesn’t infringe any existing trademark.

Read the UK Intellectual Property Office’s (UKIPO) detailed guide to IP in the US.

Find out more from the United States Patent and Trademark Office (USPTO).

Payment terms

Your contract will specify the terms for payment. Any disputes will need to go through the US legal system for resolution. This generally takes place in the US state specified in the contract and follows state laws.

When agreeing terms you should decide on an exchange rate and whether to use sterling or US dollars.

Business culture

Business communications in the US tend to be very direct. Getting straight to the point is appreciated and negotiations are likely to be very focused on closing a deal. The fine detail of the legal aspects of a contract or written agreement are likely to be heavily scrutinised.

Insurance UK

UK Export Finance (UKEF) helps UK companies to get paid by insuring against buyer default.

Product liability law

You should make sure you understand product liability law and implement precautionary measures to reduce risk. These involve an investment of time and money and are an in-built cost of doing business in the US.

Entry requirements

You can visit the US for business for up to 90 days through the US Visa Waiver Program.

This is usually valid for 2 years or until your passport expires.

If you plan to work in the US, you’ll need a non-immigrant visa.

The US Embassy has more visa information.

Developing exports to the USA could be a part of growing your business. But breaking into the market can be challenging. The right support and advice can significantly improve your prospects.

Invest NI offers a range of advice, plus additional support services for businesses trading with the USA.

• Explore international markets – get support with market research and market visits.
• Exhibitions and trade missions - join trade missions and exhibitions to access new opportunities, strengthen relationships, and accelerate your business’s global growth.
• Export and capability development – access export and capability solutions to get the knowledge and skills to structure and build on your export activity.
• Export Health Check - assesses your business's readiness for exporting and get a tailored report sent to you, detailing your journey, next steps, practical tips, templates, and support available.
• Invest NI can advise on how to use digitalisation solutions to support your exports
• Invest NI can advise on financing your export business and may be able to provide financial support directly to businesses.

As well as Invest NI, there are other sources of support to assist with trading with the USA.

• The Northern Ireland Chamber of Commerce (NICC) provides members with a range of opportunities and services to learn, up-skill and connect as they grow locally and internationally.
• Department for Business and Trade (DBT) in-market support - eligible UK businesses can access trade expertise and knowledge on exporting to specific countries from the DBT global network of international market hubs.
• A freight forwarder can organise delivery and customs clearance, minimising the logistical problems you deal with directly.
• Your bank can advise you on the most appropriate form of financing and how to protect yourself against foreign exchange risks and non-payment.

The United States is the largest, most competitive and technologically advanced economy in the world. It is the UK's top export destination. If you are considering the US as an export market - read our top tips to help you get started.

1) Classify your goods: Before you ship items to the US, you'll need to classify your goods using the UK Trade Tariff. You'll also need to determine the duty rates using the US International Trade Commission database.

2) Seek legal advice: You should always get qualified legal guidance before entering into any agreement. Ideally, your contracts should be reviewed by lawyers who understand both US and UK law. Publicly traded companies (PLCs) have to file with the Securities and Exchange Commission (SEC) and make their annual reports available to investors. Privately held companies don't have to make this information available to the public. All corporations have to register with a government body in the state they incorporated in.

3) Establish what insurance you might require: You will need several types of insurance for your US operation. Some examples of commercial insurance are: general and product liability; business property; directors and officers liability; employer's practices liability; intellectual property infringement; professional liability; workers compensation; personal insurance (eg medical, disability and life insurance).

4) Decide whether you need to apply for trademark protection: If you intend to sell goods or services to the US, you should consider applying for US trademark protection. You also need to check that your trademark doesn't infringe any existing trademark. In the US, a company name is not the same as a trademark and will only give limited protection.

5) Seek tax advice: The US tax system is complex. You'll need tailored advice about your tax rates from a certified accountant or tax lawyer. You should note that there is no Value Added Tax (VAT) in the US, each state determines and collects sales tax on an individual basis.

There are advantages and also potential challenges for Northern Ireland companies doing business in the USA.

Advantages of exporting to the USA

There are numerous advantages of exporting to the USA including:

• world's largest market
• world's largest private sector
• low regulatory barriers
• minimal language barriers
• access to global supply chains that can lead to exports for other markets
• one of the most innovative consumer markets in the world
• productive and skilled labour force with high mobility
• ease of doing business due to similar business culture
• strong rule of law

You should also be aware of some challenges you could face when exporting to the US. It is a large market to do business in which can lead to some unique challenges.

Challenges of exporting to the USA

You should also be aware that there are a number of challenges of exporting to the USA including:

• The USA has announced that it will impose an additional 10% tariff on imports from the UK in addition to existing US duties, fees, and taxes. Read more about US tariffs.
• vast regional differences between the 50 markets/states
• strong competition, causing saturation of products or services
• high customer service expectations
• high cost of living in major cities
• significant time difference (between five and eight hours behind)
• high cost for business insurance
• litigation is common
• expensive and time consuming process for work visas

The US is the largest economy in the world. There are a number of sectors that could potentially offer some opportunities to Northern Ireland companies:

Food and drink sector

The US is the UK’s second largest market for Food and Drink exports, which totaled £2.2 billion in 2018 (UK Food & Drink Federation, 2018).

Attractive export market

The US is an attractive market due to its large, affluent and diverse population. There is a relatively stable economy and established infrastructure.

Private label growth

Private-label sales grew 125% between 2016 and 2017, providing opportunities for UK brands with expertise working in private label (Nielson, 2018).

High-potential products

English sparkling wines, cheese, and gin are emerging categories in the US with high growth potential. The US also offers great opportunities for high-value, differentiated, niche, and on-trend products.

Technology sector

The US is the largest tech market in the world. It represents 31% of the global market, totalling approximately $1.6 trillion in 2019 (CompTIA IT Industry Outlook, 2019). Rich with early adopters, the size, affluence and sophistication of the US market provides an ideal test bed for innovative products and services.

5G

The US government is encouraging companies to deploy 5G networks and to modernize digital opportunity for all Americans (US Federal Communications Commission, 2019). IoT and Smart Cities are strong focuses at local government levels.

Artificial Intelligence

The US market has appetite across industry, government, and university to build excellence and cross-collaboration in artificial intelligence.

Life Sciences sector

The US is by far the world’s biggest spender on healthcare, medical products, and health research and development (OECD, 2019). In 2017, the US spent $3.5 trillion on healthcare, and spending is projected to almost double in the next decade (Centers for Medicare and Medicaid Services, 2019).

Supply chain opportunities

The US is home to a large number of biotech and pharma companies that offer many opportunities for UK companies to sell into their supply chains. The US pharmaceutical market is the world’s largest (International Trade Administration, 2016).

Technology opportunities

US hospitals and healthcare organisations are keen to deliver healthcare more efficiently with artificial intelligence and other innovative technologies. This growing market is ripe for UK medtech companies that offer data analysis solutions.

There are lots of things to consider before preparing to export to the USA.

Tax

The US tax system is complex. Taxes can be imposed by both the US federal government and individual states, counties and cities. The Internal Revenue Service (IRS) governs federal taxes in the US.

You’ll need to get tailored advice from a certified accountant or tax lawyer if exporting to the US.

There is no Value Added Tax (VAT) in the US. Sales tax varies from state to state.

You can find out more about state tax from the Federation of Tax Administrators.

Standards and technical regulations

You must check your product meets all legal requirements in the US and you have all the required licences.

The National Institute of Standards and Technology has more information on legal standards.

Check the US Food and Drug Administration (FDA) legislation and regulations relating to food and drink, drugs, medical devices and cosmetics.

Packaging and labelling

Labelling requirements for consumer commodities are enforced by the FDA.

There are specific labelling requirements for food, drugs, cosmetics and medical equipment.

Check local labelling regulations with the relevant state business bureau.

Export licensing and restrictions

You’ll need a license to export certain goods and services to the US because the import of some items is restricted or prohibited. Check with the UK’s Export Control Joint Unit (ECJU) to find out whether you need an export license.

Check the US Customs & Border Protection’s (CBP) list of prohibited and restricted items.

Trade barriers

Check for any reported barriers to trading with the US.

Report any trade barriers that are affecting your business so we can help fix them.

Operating in the US

You should always get qualified legal guidance before entering into any agreement to do business in the US. Ideally, your contracts should be reviewed by lawyers who understand both US and UK law. The US Embassy has a list of American attorneys based in the UK.

Intellectual property

As a first step, we advise you to speak to an intellectual property lawyer if you think you need patent protection when exporting to the US.

If you intend to sell goods or services to the US, you should consider applying for US trademark protection and check that your trademark doesn’t infringe any existing trademark.

Read the UK Intellectual Property Office’s (UKIPO) detailed guide to IP in the US.

Find out more from the United States Patent and Trademark Office (USPTO).

Payment terms

Your contract will specify the terms for payment. Any disputes will need to go through the US legal system for resolution. This generally takes place in the US state specified in the contract and follows state laws.

When agreeing terms you should decide on an exchange rate and whether to use sterling or US dollars.

Business culture

Business communications in the US tend to be very direct. Getting straight to the point is appreciated and negotiations are likely to be very focused on closing a deal. The fine detail of the legal aspects of a contract or written agreement are likely to be heavily scrutinised.

Insurance UK

UK Export Finance (UKEF) helps UK companies to get paid by insuring against buyer default.

Product liability law

You should make sure you understand product liability law and implement precautionary measures to reduce risk. These involve an investment of time and money and are an in-built cost of doing business in the US.

Entry requirements

You can visit the US for business for up to 90 days through the US Visa Waiver Program.

This is usually valid for 2 years or until your passport expires.

If you plan to work in the US, you’ll need a non-immigrant visa.

The US Embassy has more visa information.

Developing exports to the USA could be a part of growing your business. But breaking into the market can be challenging. The right support and advice can significantly improve your prospects.

Invest NI offers a range of advice, plus additional support services for businesses trading with the USA.

• Explore international markets – get support with market research and market visits.
• Exhibitions and trade missions - join trade missions and exhibitions to access new opportunities, strengthen relationships, and accelerate your business’s global growth.
• Export and capability development – access export and capability solutions to get the knowledge and skills to structure and build on your export activity.
• Export Health Check - assesses your business's readiness for exporting and get a tailored report sent to you, detailing your journey, next steps, practical tips, templates, and support available.
• Invest NI can advise on how to use digitalisation solutions to support your exports
• Invest NI can advise on financing your export business and may be able to provide financial support directly to businesses.

As well as Invest NI, there are other sources of support to assist with trading with the USA.

• The Northern Ireland Chamber of Commerce (NICC) provides members with a range of opportunities and services to learn, up-skill and connect as they grow locally and internationally.
• Department for Business and Trade (DBT) in-market support - eligible UK businesses can access trade expertise and knowledge on exporting to specific countries from the DBT global network of international market hubs.
• A freight forwarder can organise delivery and customs clearance, minimising the logistical problems you deal with directly.
• Your bank can advise you on the most appropriate form of financing and how to protect yourself against foreign exchange risks and non-payment.

The United States is the largest, most competitive and technologically advanced economy in the world. It is the UK's top export destination. If you are considering the US as an export market - read our top tips to help you get started.

1) Classify your goods: Before you ship items to the US, you'll need to classify your goods using the UK Trade Tariff. You'll also need to determine the duty rates using the US International Trade Commission database.

2) Seek legal advice: You should always get qualified legal guidance before entering into any agreement. Ideally, your contracts should be reviewed by lawyers who understand both US and UK law. Publicly traded companies (PLCs) have to file with the Securities and Exchange Commission (SEC) and make their annual reports available to investors. Privately held companies don't have to make this information available to the public. All corporations have to register with a government body in the state they incorporated in.

3) Establish what insurance you might require: You will need several types of insurance for your US operation. Some examples of commercial insurance are: general and product liability; business property; directors and officers liability; employer's practices liability; intellectual property infringement; professional liability; workers compensation; personal insurance (eg medical, disability and life insurance).

4) Decide whether you need to apply for trademark protection: If you intend to sell goods or services to the US, you should consider applying for US trademark protection. You also need to check that your trademark doesn't infringe any existing trademark. In the US, a company name is not the same as a trademark and will only give limited protection.

5) Seek tax advice: The US tax system is complex. You'll need tailored advice about your tax rates from a certified accountant or tax lawyer. You should note that there is no Value Added Tax (VAT) in the US, each state determines and collects sales tax on an individual basis.

There are advantages and also potential challenges for Northern Ireland companies doing business in the USA.

Advantages of exporting to the USA

There are numerous advantages of exporting to the USA including:

• world's largest market
• world's largest private sector
• low regulatory barriers
• minimal language barriers
• access to global supply chains that can lead to exports for other markets
• one of the most innovative consumer markets in the world
• productive and skilled labour force with high mobility
• ease of doing business due to similar business culture
• strong rule of law

You should also be aware of some challenges you could face when exporting to the US. It is a large market to do business in which can lead to some unique challenges.

Challenges of exporting to the USA

You should also be aware that there are a number of challenges of exporting to the USA including:

• The USA has announced that it will impose an additional 10% tariff on imports from the UK in addition to existing US duties, fees, and taxes. Read more about US tariffs.
• vast regional differences between the 50 markets/states
• strong competition, causing saturation of products or services
• high customer service expectations
• high cost of living in major cities
• significant time difference (between five and eight hours behind)
• high cost for business insurance
• litigation is common
• expensive and time consuming process for work visas

The US is the largest economy in the world. There are a number of sectors that could potentially offer some opportunities to Northern Ireland companies:

Food and drink sector

The US is the UK’s second largest market for Food and Drink exports, which totaled £2.2 billion in 2018 (UK Food & Drink Federation, 2018).

Attractive export market

The US is an attractive market due to its large, affluent and diverse population. There is a relatively stable economy and established infrastructure.

Private label growth

Private-label sales grew 125% between 2016 and 2017, providing opportunities for UK brands with expertise working in private label (Nielson, 2018).

High-potential products

English sparkling wines, cheese, and gin are emerging categories in the US with high growth potential. The US also offers great opportunities for high-value, differentiated, niche, and on-trend products.

Technology sector

The US is the largest tech market in the world. It represents 31% of the global market, totalling approximately $1.6 trillion in 2019 (CompTIA IT Industry Outlook, 2019). Rich with early adopters, the size, affluence and sophistication of the US market provides an ideal test bed for innovative products and services.

5G

The US government is encouraging companies to deploy 5G networks and to modernize digital opportunity for all Americans (US Federal Communications Commission, 2019). IoT and Smart Cities are strong focuses at local government levels.

Artificial Intelligence

The US market has appetite across industry, government, and university to build excellence and cross-collaboration in artificial intelligence.

Life Sciences sector

The US is by far the world’s biggest spender on healthcare, medical products, and health research and development (OECD, 2019). In 2017, the US spent $3.5 trillion on healthcare, and spending is projected to almost double in the next decade (Centers for Medicare and Medicaid Services, 2019).

Supply chain opportunities

The US is home to a large number of biotech and pharma companies that offer many opportunities for UK companies to sell into their supply chains. The US pharmaceutical market is the world’s largest (International Trade Administration, 2016).

Technology opportunities

US hospitals and healthcare organisations are keen to deliver healthcare more efficiently with artificial intelligence and other innovative technologies. This growing market is ripe for UK medtech companies that offer data analysis solutions.

There are lots of things to consider before preparing to export to the USA.

Tax

The US tax system is complex. Taxes can be imposed by both the US federal government and individual states, counties and cities. The Internal Revenue Service (IRS) governs federal taxes in the US.

You’ll need to get tailored advice from a certified accountant or tax lawyer if exporting to the US.

There is no Value Added Tax (VAT) in the US. Sales tax varies from state to state.

You can find out more about state tax from the Federation of Tax Administrators.

Standards and technical regulations

You must check your product meets all legal requirements in the US and you have all the required licences.

The National Institute of Standards and Technology has more information on legal standards.

Check the US Food and Drug Administration (FDA) legislation and regulations relating to food and drink, drugs, medical devices and cosmetics.

Packaging and labelling

Labelling requirements for consumer commodities are enforced by the FDA.

There are specific labelling requirements for food, drugs, cosmetics and medical equipment.

Check local labelling regulations with the relevant state business bureau.

Export licensing and restrictions

You’ll need a license to export certain goods and services to the US because the import of some items is restricted or prohibited. Check with the UK’s Export Control Joint Unit (ECJU) to find out whether you need an export license.

Check the US Customs & Border Protection’s (CBP) list of prohibited and restricted items.

Trade barriers

Check for any reported barriers to trading with the US.

Report any trade barriers that are affecting your business so we can help fix them.

Operating in the US

You should always get qualified legal guidance before entering into any agreement to do business in the US. Ideally, your contracts should be reviewed by lawyers who understand both US and UK law. The US Embassy has a list of American attorneys based in the UK.

Intellectual property

As a first step, we advise you to speak to an intellectual property lawyer if you think you need patent protection when exporting to the US.

If you intend to sell goods or services to the US, you should consider applying for US trademark protection and check that your trademark doesn’t infringe any existing trademark.

Read the UK Intellectual Property Office’s (UKIPO) detailed guide to IP in the US.

Find out more from the United States Patent and Trademark Office (USPTO).

Payment terms

Your contract will specify the terms for payment. Any disputes will need to go through the US legal system for resolution. This generally takes place in the US state specified in the contract and follows state laws.

When agreeing terms you should decide on an exchange rate and whether to use sterling or US dollars.

Business culture

Business communications in the US tend to be very direct. Getting straight to the point is appreciated and negotiations are likely to be very focused on closing a deal. The fine detail of the legal aspects of a contract or written agreement are likely to be heavily scrutinised.

Insurance UK

UK Export Finance (UKEF) helps UK companies to get paid by insuring against buyer default.

Product liability law

You should make sure you understand product liability law and implement precautionary measures to reduce risk. These involve an investment of time and money and are an in-built cost of doing business in the US.

Entry requirements

You can visit the US for business for up to 90 days through the US Visa Waiver Program.

This is usually valid for 2 years or until your passport expires.

If you plan to work in the US, you’ll need a non-immigrant visa.

The US Embassy has more visa information.

Developing exports to the USA could be a part of growing your business. But breaking into the market can be challenging. The right support and advice can significantly improve your prospects.

Invest NI offers a range of advice, plus additional support services for businesses trading with the USA.

• Explore international markets – get support with market research and market visits.
• Exhibitions and trade missions - join trade missions and exhibitions to access new opportunities, strengthen relationships, and accelerate your business’s global growth.
• Export and capability development – access export and capability solutions to get the knowledge and skills to structure and build on your export activity.
• Export Health Check - assesses your business's readiness for exporting and get a tailored report sent to you, detailing your journey, next steps, practical tips, templates, and support available.
• Invest NI can advise on how to use digitalisation solutions to support your exports
• Invest NI can advise on financing your export business and may be able to provide financial support directly to businesses.

As well as Invest NI, there are other sources of support to assist with trading with the USA.

• The Northern Ireland Chamber of Commerce (NICC) provides members with a range of opportunities and services to learn, up-skill and connect as they grow locally and internationally.
• Department for Business and Trade (DBT) in-market support - eligible UK businesses can access trade expertise and knowledge on exporting to specific countries from the DBT global network of international market hubs.
• A freight forwarder can organise delivery and customs clearance, minimising the logistical problems you deal with directly.
• Your bank can advise you on the most appropriate form of financing and how to protect yourself against foreign exchange risks and non-payment.

The United States is the largest, most competitive and technologically advanced economy in the world. It is the UK's top export destination. If you are considering the US as an export market - read our top tips to help you get started.

1) Classify your goods: Before you ship items to the US, you'll need to classify your goods using the UK Trade Tariff. You'll also need to determine the duty rates using the US International Trade Commission database.

2) Seek legal advice: You should always get qualified legal guidance before entering into any agreement. Ideally, your contracts should be reviewed by lawyers who understand both US and UK law. Publicly traded companies (PLCs) have to file with the Securities and Exchange Commission (SEC) and make their annual reports available to investors. Privately held companies don't have to make this information available to the public. All corporations have to register with a government body in the state they incorporated in.

3) Establish what insurance you might require: You will need several types of insurance for your US operation. Some examples of commercial insurance are: general and product liability; business property; directors and officers liability; employer's practices liability; intellectual property infringement; professional liability; workers compensation; personal insurance (eg medical, disability and life insurance).

4) Decide whether you need to apply for trademark protection: If you intend to sell goods or services to the US, you should consider applying for US trademark protection. You also need to check that your trademark doesn't infringe any existing trademark. In the US, a company name is not the same as a trademark and will only give limited protection.

5) Seek tax advice: The US tax system is complex. You'll need tailored advice about your tax rates from a certified accountant or tax lawyer. You should note that there is no Value Added Tax (VAT) in the US, each state determines and collects sales tax on an individual basis.

There are advantages and also potential challenges for Northern Ireland companies doing business in the USA.

Advantages of exporting to the USA

There are numerous advantages of exporting to the USA including:

• world's largest market
• world's largest private sector
• low regulatory barriers
• minimal language barriers
• access to global supply chains that can lead to exports for other markets
• one of the most innovative consumer markets in the world
• productive and skilled labour force with high mobility
• ease of doing business due to similar business culture
• strong rule of law

You should also be aware of some challenges you could face when exporting to the US. It is a large market to do business in which can lead to some unique challenges.

Challenges of exporting to the USA

You should also be aware that there are a number of challenges of exporting to the USA including:

• The USA has announced that it will impose an additional 10% tariff on imports from the UK in addition to existing US duties, fees, and taxes. Read more about US tariffs.
• vast regional differences between the 50 markets/states
• strong competition, causing saturation of products or services
• high customer service expectations
• high cost of living in major cities
• significant time difference (between five and eight hours behind)
• high cost for business insurance
• litigation is common
• expensive and time consuming process for work visas

The US is the largest economy in the world. There are a number of sectors that could potentially offer some opportunities to Northern Ireland companies:

Food and drink sector

The US is the UK’s second largest market for Food and Drink exports, which totaled £2.2 billion in 2018 (UK Food & Drink Federation, 2018).

Attractive export market

The US is an attractive market due to its large, affluent and diverse population. There is a relatively stable economy and established infrastructure.

Private label growth

Private-label sales grew 125% between 2016 and 2017, providing opportunities for UK brands with expertise working in private label (Nielson, 2018).

High-potential products

English sparkling wines, cheese, and gin are emerging categories in the US with high growth potential. The US also offers great opportunities for high-value, differentiated, niche, and on-trend products.

Technology sector

The US is the largest tech market in the world. It represents 31% of the global market, totalling approximately $1.6 trillion in 2019 (CompTIA IT Industry Outlook, 2019). Rich with early adopters, the size, affluence and sophistication of the US market provides an ideal test bed for innovative products and services.

5G

The US government is encouraging companies to deploy 5G networks and to modernize digital opportunity for all Americans (US Federal Communications Commission, 2019). IoT and Smart Cities are strong focuses at local government levels.

Artificial Intelligence

The US market has appetite across industry, government, and university to build excellence and cross-collaboration in artificial intelligence.

Life Sciences sector

The US is by far the world’s biggest spender on healthcare, medical products, and health research and development (OECD, 2019). In 2017, the US spent $3.5 trillion on healthcare, and spending is projected to almost double in the next decade (Centers for Medicare and Medicaid Services, 2019).

Supply chain opportunities

The US is home to a large number of biotech and pharma companies that offer many opportunities for UK companies to sell into their supply chains. The US pharmaceutical market is the world’s largest (International Trade Administration, 2016).

Technology opportunities

US hospitals and healthcare organisations are keen to deliver healthcare more efficiently with artificial intelligence and other innovative technologies. This growing market is ripe for UK medtech companies that offer data analysis solutions.

There are lots of things to consider before preparing to export to the USA.

Tax

The US tax system is complex. Taxes can be imposed by both the US federal government and individual states, counties and cities. The Internal Revenue Service (IRS) governs federal taxes in the US.

You’ll need to get tailored advice from a certified accountant or tax lawyer if exporting to the US.

There is no Value Added Tax (VAT) in the US. Sales tax varies from state to state.

You can find out more about state tax from the Federation of Tax Administrators.

Standards and technical regulations

You must check your product meets all legal requirements in the US and you have all the required licences.

The National Institute of Standards and Technology has more information on legal standards.

Check the US Food and Drug Administration (FDA) legislation and regulations relating to food and drink, drugs, medical devices and cosmetics.

Packaging and labelling

Labelling requirements for consumer commodities are enforced by the FDA.

There are specific labelling requirements for food, drugs, cosmetics and medical equipment.

Check local labelling regulations with the relevant state business bureau.

Export licensing and restrictions

You’ll need a license to export certain goods and services to the US because the import of some items is restricted or prohibited. Check with the UK’s Export Control Joint Unit (ECJU) to find out whether you need an export license.

Check the US Customs & Border Protection’s (CBP) list of prohibited and restricted items.

Trade barriers

Check for any reported barriers to trading with the US.

Report any trade barriers that are affecting your business so we can help fix them.

Operating in the US

You should always get qualified legal guidance before entering into any agreement to do business in the US. Ideally, your contracts should be reviewed by lawyers who understand both US and UK law. The US Embassy has a list of American attorneys based in the UK.

Intellectual property

As a first step, we advise you to speak to an intellectual property lawyer if you think you need patent protection when exporting to the US.

If you intend to sell goods or services to the US, you should consider applying for US trademark protection and check that your trademark doesn’t infringe any existing trademark.

Read the UK Intellectual Property Office’s (UKIPO) detailed guide to IP in the US.

Find out more from the United States Patent and Trademark Office (USPTO).

Payment terms

Your contract will specify the terms for payment. Any disputes will need to go through the US legal system for resolution. This generally takes place in the US state specified in the contract and follows state laws.

When agreeing terms you should decide on an exchange rate and whether to use sterling or US dollars.

Business culture

Business communications in the US tend to be very direct. Getting straight to the point is appreciated and negotiations are likely to be very focused on closing a deal. The fine detail of the legal aspects of a contract or written agreement are likely to be heavily scrutinised.

Insurance UK

UK Export Finance (UKEF) helps UK companies to get paid by insuring against buyer default.

Product liability law

You should make sure you understand product liability law and implement precautionary measures to reduce risk. These involve an investment of time and money and are an in-built cost of doing business in the US.

Entry requirements

You can visit the US for business for up to 90 days through the US Visa Waiver Program.

This is usually valid for 2 years or until your passport expires.

If you plan to work in the US, you’ll need a non-immigrant visa.

The US Embassy has more visa information.

Developing exports to the USA could be a part of growing your business. But breaking into the market can be challenging. The right support and advice can significantly improve your prospects.

Invest NI offers a range of advice, plus additional support services for businesses trading with the USA.

• Explore international markets – get support with market research and market visits.
• Exhibitions and trade missions - join trade missions and exhibitions to access new opportunities, strengthen relationships, and accelerate your business’s global growth.
• Export and capability development – access export and capability solutions to get the knowledge and skills to structure and build on your export activity.
• Export Health Check - assesses your business's readiness for exporting and get a tailored report sent to you, detailing your journey, next steps, practical tips, templates, and support available.
• Invest NI can advise on how to use digitalisation solutions to support your exports
• Invest NI can advise on financing your export business and may be able to provide financial support directly to businesses.

As well as Invest NI, there are other sources of support to assist with trading with the USA.

• The Northern Ireland Chamber of Commerce (NICC) provides members with a range of opportunities and services to learn, up-skill and connect as they grow locally and internationally.
• Department for Business and Trade (DBT) in-market support - eligible UK businesses can access trade expertise and knowledge on exporting to specific countries from the DBT global network of international market hubs.
• A freight forwarder can organise delivery and customs clearance, minimising the logistical problems you deal with directly.
• Your bank can advise you on the most appropriate form of financing and how to protect yourself against foreign exchange risks and non-payment.

The United States is the largest, most competitive and technologically advanced economy in the world. It is the UK's top export destination. If you are considering the US as an export market - read our top tips to help you get started.

1) Classify your goods: Before you ship items to the US, you'll need to classify your goods using the UK Trade Tariff. You'll also need to determine the duty rates using the US International Trade Commission database.

2) Seek legal advice: You should always get qualified legal guidance before entering into any agreement. Ideally, your contracts should be reviewed by lawyers who understand both US and UK law. Publicly traded companies (PLCs) have to file with the Securities and Exchange Commission (SEC) and make their annual reports available to investors. Privately held companies don't have to make this information available to the public. All corporations have to register with a government body in the state they incorporated in.

3) Establish what insurance you might require: You will need several types of insurance for your US operation. Some examples of commercial insurance are: general and product liability; business property; directors and officers liability; employer's practices liability; intellectual property infringement; professional liability; workers compensation; personal insurance (eg medical, disability and life insurance).

4) Decide whether you need to apply for trademark protection: If you intend to sell goods or services to the US, you should consider applying for US trademark protection. You also need to check that your trademark doesn't infringe any existing trademark. In the US, a company name is not the same as a trademark and will only give limited protection.

5) Seek tax advice: The US tax system is complex. You'll need tailored advice about your tax rates from a certified accountant or tax lawyer. You should note that there is no Value Added Tax (VAT) in the US, each state determines and collects sales tax on an individual basis.