Those who are not schooled in international business may question why the United States continues to trade with foreign countries, particularly when it comes to finished products assembled overseas. With so many people in this country in need of work, why patronize other nations that presumably benefit more from our importing activities? Look closer at foreign trade situations, however, and you may find there is as much opportunity for us to gain advantage in the overall global economy.

Why does the United States engage in foreign trade? Reasons range from maintaining strong political relationships to the more obvious financial gains. While it is advantageous to support our own economy through purchase of domestic goods and services, there are considerations tied to foreign trade, including:

1) Some products, including particular foodstuffs and natural resources, are not indigenous to the Americas. Parts of Asia, for example, hold a wealth of rare earth metals essential for the production of specific electronics. Retailers and wholesalers of organic supplements may look to South America and the Brazilian rainforests for natural components that do not grow anywhere else. In these situations, when the demand for the finished product is high, trade may be necessary.

2) Consequently, manufacturers in the United States provide goods that are not easily attained overseas. In 2009, the top exports from the United States included industrial supplies like organic chemicals and mechanical parts used for automobiles and aircraft. The longer we are able to provide such materials to our global partners, the stronger our relationships last on friendly terms.

3) When trade ties are civil, this opens the doors to other opportunities where the United States may benefit financially. Tourism to the Americas may see a boost as a result, as well as the possibility of foreign-based businesses setting up headquarters in the US to keep an eye on geographical concerns. As a result, money is brought into the country with the hopes of jobs created.

4) Many economies depend upon the strength of others to succeed. If you follow international stock markets, you know that when the US dollar is worth more, other countries benefit as well. International trade helps maintain overall stability in the global economy through consumption and production of popular goods.

When you shop locally, you assist your local community, even if you do buy a non-domestic item on occasion. Foreign trade is one way we maintain good international relationships and opportunities to help ourselves.