Creating Jobs and Supporting the U.S. Economy Swiss Direct Investment

Creating Jobs and
Supporting the
U.S. Economy
Swiss Direct Investment
in the United States
Report 2014
Contents
Ambassador’s Foreword . . . . . . . . . . . . . . . . . . . . . . . . . . 3
Quick Facts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
Guest Forewords . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
Swiss Direct Investment Abroad in 2012 . . . . . . . . . . . . . 6
Switzerland’s Impact on the U.S. Economy . . . . . . . . . . . 7
Company Profiles . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
2
Ambassador‘s Foreword
The people of Switzerland and the United States have
always based their nations on the foundations of
democracy, federalism, and a free-market economy.
They derive their strength from the shared values of
personal freedoms, the rule of law, and solidarity.
Swiss companies and their American affiliates have
been among the leading direct investors in the U.S. for
many years. As borne out by all current statistics, they
remain committed to their endeavors in the U.S. with
cumulative direct investment totaling $204 billion.
In creating our first constitution, Swiss leaders sought
inspiration and guidance from the U.S. Constitution.
From those earliest days to the present, Swiss immigrants and their descendants have contributed to the
American dream of opportunity and success.
Furthermore, Swiss businesses today support nearly
450,000 jobs throughout the U.S. From 2009 to 2011,
they added jobs in 36 states with gains of 100% or
more in Mississippi, North Dakota, Louisiana, New
Mexico, Wyoming and the District of Columbia. U.S.
affiliates of Swiss companies even rank first with regard to two important indicators: expenditures for
research and development (R&D) and average annual
salaries of their employees: just below $100,000.
Some of the most prominent Swiss-Americans include:
›› Albert Gallatin, fourth U.S. Secretary of the Treasury
›› Louis-Joseph Chevrolet, founder of the Chevrolet
Motor Car Company
›› Othmar Ammann, engineer and bridge builder
(George Washington Bridge, N.Y.)
›› Robert Portman, current U.S. Senator and Co-Chair
of the Friends of Switzerland Caucus
›› Amy Klobuchar, current U.S. Senator and Co-Chair
of the Friends of Switzerland Caucus
Swiss businesses have operated in the U.S. for over
a hundred years. Their success is rooted in their firm
belief in entrepreneurship and innovation.
With its small population of 8 million, Switzerland
punches well above its weight in the U.S. economy
and, given its world leadership in competitiveness and
innovation, will continue to be a reliable partner of
the United States in dealing with the economic and
political challenges of our times.
Martin Dahinden
Ambassador of Switzerland to the United States
of America
3
Quick Facts
Punching way above its weight:
Switzerland’s impact on U.S. jobs and the
U.S. economy is very significant.
450,000
DIRECT JOBS
% Of GROWTH
JOB
160% GROWTH in
FINANCE &
INSURANCE—58,000
FooD—55,000
CHEMICAlS—51,000
R&D—23,000
oTHER—263,000
PARTNERS
15 STATES
2009–2011
VENDoRS
SUPPLIERS
1
16%
#
JoBS IN All
50 STATES
1.8 MILLIoN
INDIRECT JOBS
AVERAGE
SAlARy
100,000
SWITZERLAND’S IMPACT
on U.S. Jobs & Economy
8.9 BIllIoN
206
R&D
SPENDING
7
#
BILLIoN
in SAlES
1.4
204
BILLIoN
1
#
62
5
#
BILLIoN
+in VAlUE ADDED+
CUMUlATIVE INVESTMENT
ASSETS
TRILLIoN
TRILLIONS
4
BILLIONS
THOUSANDS
6
#
4
#
HUNDREDS
Guest Forewords
This year’s numbers demonstrate once more the excellent economic ties between Switzerland and the United States. Data on foreign direct investment of Swiss
affiliates in the U.S. tell the great success story of our
business relationships. In the years since the financial
crisis, trade has gone from record to record–in both
directions! Over a two-year period, 2012-2013, Swiss
exports to the USA grew nearly 20% and Swiss imports from the USA grew 25%. And all this in a rather
anemic business environment!
Foreign direct investments, which due to their longterm effects are an even better characterization of our
mutual trust and appreciation, also went from record
levels to new record levels. We take pride in our joint
success. And we need to find even more opportunities
Foreign direct investment (FDI) in the United States
has played an important role throughout our nation’s
history. The United States is proud of its robust entrepreneurial spirit, innovative mindset, and diversity. The
United States is also proud of its investment regime,
which is open, transparent, and nondiscriminatory.
Today, foreign direct investment contributes to the
U.S. economy across industry sectors and business activities in all 50 states. In 2012 alone, the United States
attracted $160.1 billion of foreign direct investment.
The total stock of FDI in the U.S. economy is valued
at nearly $2.7 trillion, making it the largest recipient
of FDI in the world. U.S. operations of foreign-owned
firms support about 5.6 million jobs, and generate
over one-fifth of U.S. annual exports.
to work together on innovation and competitiveness.
It is not by coincidence that Switzerland and the USA
are both ranked the most innovative and most competitive countries in the world.
In the following, you will read the story of a small,
landlocked country in the Alps that has an astonishing footprint in the largest economy in the world and
beats many countries boxing in a much higher weight
class.
Martin Naville
CEO
Swiss-American Chamber of Commerce
Switzerland and the United States have numerous
close ties to one another, including historical, financial, and familial. Not least among these ties are the
robust business relationships that exist between our
two countries. The United States places great value
on our continued engagement and cooperation with
our Swiss counterparts. Switzerland is the eighth largest source of direct investment in the United States
by country of ultimate beneficial owner (UBO) and
the sixth largest investor by country of foreign parent
group.
That is a remarkable position, and one that I am proud
to encourage other potential Swiss investors to explore more closely through this report.
Aaron S. Brickman
Deputy Executive Director, SelectUSA
U.S. Department of Commerce
5
Swiss Direct Investment Abroad in 2012
In 2012, almost one-fifth of all Swiss direct investment
abroad went to the U.S., more than twice as much
as to Luxembourg, the second largest country destination, and more than thirteen times as much as to
China. Overall, Switzerland has the fifth highest rate of
foreign direct investment outflows of all OECD countries, ahead of countries such as France, South Korea,
Norway and Sweden. The main areas of investment
are the financial and insurance sector (39.05%), chemicals and plastics (24.44%), other manufacturing and
construction (10.01%), as well as electronics, energy,
optical equipment and watchmaking (7.05%).
Rest of the World, 14.6%
Germany, 4.8%
France, 2.9%
Italy, 2.4%
Luxembourg, 9.3%
Brazil, 2.1%
Netherlands, 5.7%
Central & South American
Financial Centers**, 12.1%
Australia, 1.7%
Singapore, 1.8%
Japan, 1.3%
China, 1.4%
UK, 7.7%
European Financial Centers*, 3.2%
United States, 18.8%
Rest of EU, 6.7%
Canada, 3.5%
Swiss Direct Investment Abroad in 2012 by country
* Gibraltar, Guernsey, Jersey and the Isle of Man
** Anguilla, Bahamas, Barbados, Bermuda, Virgin Islands (British),
Curaçao, Cayman Islands, Montserrat, Panama, Saint Kitts and Nevis, Saint Martin; as of 2000, including Virgin Islands (U.S.), Antigua
and Barbuda, Belize, Dominica, Grenada, Saint Lucia, Saint Vincent
and the Grenadines, Turks and Caicos Islands; as of 2011, including
Aruba, excluding Bonaire, Saint Eustatius and Saba, Jamaica.
Sources:
Swiss National Bank, Statistics 2012, Swiss Direct Investment
Abroad–by Country and Swiss Direct Investment Abroad-by Economic Activity
OECD, FDI in Figures, April 2014
6
Switzerland’s Impact on the U.S. Economy
The information presented here reveals the presence
and strength of Swiss affiliates operating in the U.S.
through various indicators such as their investments
and job creation. The statistics show that Switzerland
has a notable impact on the U.S. economy and adds
to its growth across a range of sectors.
Swiss Cumulative Direct Investment
Tops $200 Billion
Swiss companies have a long history of investing in
the large and diversified U.S. economy that offers
extraordinary business opportunities. State and local
economic development agencies vie for Swiss investment because it brings skilled, and often highly paid,
jobs to their communities.
Switzerland is the sixth largest investing country in the
United States. By the end of 2012, Switzerland had
invested $204 billion, accounting for eight percent of
the $2.7 trillion in foreign direct investment (FDI) stock
in the United States. Switzerland and seven other
countries make up the overwhelming majority of FDI
in the United States.
1. United Kingdom
$487 B
All Others
$541 B
2. Japan
$308 B
8. Germany
$199 B
7. Luxembourg
$202 B
3. Netherlands
$275 B
6. Switzerland
4. Canada
$204 B 5. France
$225 B
$209 B
Cumulative Foreign Direct Investment in the United States by
Country through 2012
Swiss Direct Investment Flows Peak
in 2008
$45.7 B
$41.4 B
Over the past decade, investment flows from Switzerland were exceptionally robust in 2008 and 2010,
reaching $45.7 billion and $41.4 billion, respectively.
A couple of notable years of disinvestment occurred
in 2003 and 2007.
*Foreign (Swiss in this instance)
direct investment in the United
States measures equity capital
flows, reinvested earnings,
and intercompany debt flows
between U.S. affiliates and their
parents abroad. 2013 investment flows for Switzerland
are estimated because BEA
disclosed data for quarter 3 and
4 only.
Even though the U.S. government only disclosed Swiss
investment data for two quarters in 2013, estimates
indicate that Swiss affiliates invested $10 billion in
the United States for the entire year. Based on that
estimate, Switzerland would rank among the top ten
largest foreign direct investors in the United States in
2013 flows.
$19.9 B
$12.6 B
$10.7 B
$10.0 B
$6.6 B
-$3.1 B
2003
2004
2005
$1.2 B -$4.3B
2006
2008
2007
2009
2010
2011
$0.3 B
2012
2013
(est.)
Swiss Direct Investment in the United States* 2003–2013
7
Swiss Affiliates Rank 5th in Value
Added
$125.1 B
$92.5 B
*Value added measures the
economic contribution of
Swiss affiliates from the goods
and services they sell in the
United States.
Swiss affiliates make a sizable contribution to the U.S.
gross domestic product (GDP), contributing nearly $62
billion in value added to the U.S. economy in 2011.
They accounted for eight percent of the $736 billion in
value added generated by all foreign affiliates in 2011,
placing Switzerland between Canada and France. The
traditionally strong Swiss industries of chemicals, finance and insurance made up nearly half of the total
value added from Swiss affiliates.
1.
United
Kingdom
2.
Japan
$84.8 B
3.
Germany
$64.8 B
$61.9 B
$61.0 B
4.
Canada
5.
Switzerland
6.
France
Top Countries in Value Added* by U.S. Affiliates of Foreign
Companies, 2011
Swiss Affiliates Support Nearly
450,000 American Jobs
Swiss affiliates create hundreds of thousands of American jobs. In 2011, 446,300 people were employed by
Swiss affiliates in the United States, representing eight
percent of the 5.6 million jobs created by all foreign
affiliates. Switzerland ranks behind three European
countries, Japan, and Canada.
Some 450,000 people work directly for Swiss affiliates in the U.S. Through suppliers, vendors, and other
business partners, Swiss affiliates indirectly support
1.8 million jobs in the U.S.
8
All Others
1,511,900
1. United Kingdom
943,500
2. Japan
686,600
7. Netherlands
399,800
3. Germany
581,300
6. Switzerland
446,300 5. France 4. Canada
524,400 546,900
Top Countries in Employment Supported by U.S. Affiliates of
Foreign Companies, 2011
Top States in Employment by Swiss Affiliates, 2011
Employment
1.
California
62,700
2.
Texas
38,500
3.
New York
38,300
4.
New Jersey
34,100
5.
Florida
20,900
6.
Illinois
20,700
7.
Pennsylvania
19,100
8.
North Carolina
18,700
9.
Ohio
17,000
10.
Massachusetts
12,700
11.
Georgia
10,200
12.
Michigan
9,200
13.
Indiana
8,900
14.
Virginia
8,500
15.
Wisconsin
8,000
15.
Missouri
8,000
Employment by Swiss Affiliates, Top States, 2011
Top States in Job Growth by Swiss Affiliates, 2009–2011
Job Growth 2009–2011
1.
Mississippi
160%
2.
North Dakota
133%
3.
District of Columbia
100%
3.
Louisiana
100%
3.
New Mexico
100%
3.
Wyoming
100%
7.
South Dakota
50%
8.
Wisconsin
45%
9.
Oklahoma
44%
10.
Delaware
43%
11.
Kansas
42%
12.
Florida
22%
13.
Texas
21%
14.
Utah
19%
15.
Iowa
16%
100%+ Growth
40%-100% Growth
15%-40% Growth
Job Growth by Swiss Affiliates, Top States, 2009–2011
9
Swiss Affiliates’ Average Salary
Nearly $100,000
$97,800
$89,600
$78,900
$78,400
3.
France
4.
Japan
$74,500
Employees at Swiss affiliates earned an average salary (wages + benefits) of $97,800 in 2011, or about
$40,000 more than the nation’s private sector average
wage of $58,000. Collectively, the payrolls of Swiss
affiliates totaled $44 billion in 2011.
Of the seven largest countries by affiliated employment in the United States, Swiss companies paid the
highest average salary, surpassing affiliates from Germany, France, Japan, and the United Kingdom.
1.
2.
Switzerland Germany
5.
United
Kingdom
Top Countries in Average Salaries by Foreign Affiliates in the
United States, 2011
Swiss Affiliates Rank Sixth in
Manufacturing Employment
312,100
270,100
246,400
Switzerland has always been strong in manufacturing.
Through Swiss direct investment, U.S. manufacturing
benefits from this strength. Swiss affiliates supported
161,900 manufacturing jobs in the United States in
2011, accounting for eight percent of the 2.1 million
U.S. manufacturing jobs from all foreign-affiliated investment.
1.
Japan
2.
Germany
3.
United
Kingdom
178,100
175,200
4.
France
5.
Canada
161,900
6.
Switzerland
Top Countries in Manufacturing Employment Supported by
Foreign Affiliates, 2011
Swiss Affiliates First in Food and
Chemicals Manufacturing
Swiss affiliates have made sizable investments in a
number of manufacturing sectors which support tens
of thousands of well-paying American manufacturing
jobs. Four industrial sectors represented 80 percent of
all jobs related to Swiss investment in U.S. manufacturing in 2011. Food manufacturing was the largest at
nearly 55,000 jobs.
Swiss investment in the U.S. chemicals industry, which
covers pharmaceuticals and medicines, supported
more than 50,000 American jobs in 2011. Swiss affiliates also accounted for 13,000 jobs in computers and
electronic products, which includes semiconductor
manufacturing, and almost 11,000 jobs in machinery
manufacturing.
10
All Others
32,200
Food
54,800
Machinery
10,700
Computers &
Electronics
13,000
Chemicals
51,200
U.S. Manufacturing Jobs Supported by Swiss Affiliates,
2011
Swiss Affiliates Rank Third in
Finance and Insurance Employment
80,500
70,100
58,000
Swiss affiliates invest heavily in the U.S. finance and
insurance sector. In 2011, they employed 58,000 U.S.
workers, trailing only Canada and the United Kingdom.
37,500
32,000
1.
Canada
2.
3.
United Switzerland
Kingdom
4.
France
5.
Germany
Top Countries in Finance & Insurance Employment Supported by Foreign Affiliates, 2011
Swiss Affiliates Outspend All Other
Countries in R&D
Swiss affiliates bolster the U.S. R&D base. They accounted for 20 percent of R&D spending by all foreign
affiliates in 2011. Ranked first, Swiss affiliates were
ahead of affiliates from Japan, the United Kingdom,
Germany, and France. These five countries made up
nearly three-quarters of all foreign-affiliated R&D
spending in 2011.
1. Switzerland
$8.9 B
All Others
$12.5 B
2. Japan
$6.9 B
5. France
$5.1 B
4. Germany
$5.5 B
3. United
Kingdom
$6.4 B
Top Countries in R&D Performed by Foreign Affiliates,
2011
Swiss Affiliates Third in R&D Jobs
25,600
24,500
22,600
Research and development expenditures of Swiss
affiliates yield thousands of U.S. jobs. In 2011, nearly 23,000 people worked in R&D of Swiss affiliates,
placing Switzerland third behind German and British
affiliates. They supported more U.S. jobs in R&D than
French and Japanese affiliates.
20,000
19,200
The pharmaceuticals and medicines sector generated
the greatest number of R&D jobs, employing more
than 10,000 people, the most of any country’s affiliates in the United States.
1.
Germany
2.
3.
United Switzerland
Kingdom
4.
France
5.
Japan
Top Countries in R&D Employment Supported by Foreign
Affiliates, 2011
11
Swiss Affiliates Export $10 Billion in
Goods
Exports to Foreign Parent Group
$20.4 B
$19.3 B
Exports to Other Foreigners
Swiss affiliates bolster U.S. exports. In 2011, their U.S.
goods exports totaled $10 billion, representing three
percent of the $304 billion exported from all foreign
affiliates. U.S. affiliates from seven other countries
each shipped more goods to foreign markets than
Switzerland.
More than 60 percent of exports from Swiss affiliates
were exported back to their affiliate parents in Switzerland. In 2011, Swiss affiliates imported $19 billion,
with most (84 percent) purchased from affiliates’ parents headquartered in Switzerland.
$8.8 B
43%
5.
France
$9.9 B
$9.7 B
$4.9 B
25%
$5.1 B
44%
$6.0 B
61%
$5.7 B
59%
6.
Italy
7.
Canada
8.
Switzerland
9.
South Korea
Top Countries in Goods Exports by Foreign Affiliates, 2011
Swiss Affiliates’ Sales Exceed $200
Billion
Swiss affiliates add to the American economy through
sales. Totaling $206 billion in 2011, their sales made
up six percent of the $3.5 trillion in sales by all foreign
affiliates. Switzerland ranked seventh behind Japan
(with more than one-half trillion dollars in sales), four
other European countries, and Canada.
Combined sales of Swiss manufacturing affiliates totaled $96 billion in 2011, with chemicals at $47 billion.
Finance and insurance, along with wholesale trade,
also represented significant shares of Swiss-affiliated
sales.
All Others
$995 B
1. Japan
$571 B
2. United Kingdom
$494 B
7. Switzerland
$206 B
3. Germany
$386 B
6. Canada
4.
$243 B
5. France Netherlands
$354 B
$262 B
Top Countries in Sales by Foreign Affiliates, 2011
12
Swiss Affiliates Pay Billions in U.S.
Income Taxes
$8.5 B
$7.5 B
$6.4 B
Like all companies in the United States, foreign affiliates pay U.S. income taxes. Swiss affiliates ranked
sixth, paying only slightly less than Canadian affiliates
in 2011, with both hovering around $4.5 billion. Swiss
companies in the chemicals sector paid the most taxes, totaling nearly $2.3 billion.
$5.1 B
$4.6 B
1.
2.
3.
4.
Japan Germany United France
Kingdom
$4.5 B
5.
6.
Canada Switzerland
Top Countries in U.S. Income Taxes Paid by Foreign Affiliates, 2011
Swiss Affiliates Rank Fourth in
Assets
Swiss affiliates boast significant assets in the United
States. Holding $1.4 trillion in assets in 2011, Swiss
affiliates ranked fourth behind the United Kingdom,
Germany, and Canada.
Finance and insurance accounted for nearly 85 percent, or $1.2 trillion, of all Swiss-owned assets in the
United States in 2011.
All Others
$2.3 T
1. United Kingdom
$2.2 T
7. Netherlands
$1.0 T
6. France
$1.2 T
5. Japan
$1.3 T
2. Germany
$1.5 T
3. Canada
$1.5 T
4. Switzerland
$1.4 T
Top Countries in Total Assets from Foreign Affiliates,
2011
13
Employment by State
Every state in the U.S. benefits from Swiss direct investment and therefore from employment opportunities.
In the majority of states, the employment rate of U.S.
workers at Swiss affiliates has seen a gradual increase
over the years. Some significant figures demonstrate
the prosperity of Swiss affiliates by region.
State Employment by Swiss Affiliates, 2009–2011
2009
United States Total
Alabama
Alaska
2010
2011 2009–2011
Change
408,500 445,900 446,300
9%
3,100
3,200
3,200
3%
Montana
300
300
300
0%
300
300
300
0%
Nebraska
1,900
2,100
2,100
11%
Arizona
6,400
6,900
7,200
13%
Nevada
2,500
2,200
2,200
-12%
Arkansas
2,600
2,700
2,800
8%
New Hampshire
2,500
2,400
2,400
-4%
California
59,600
63,100
62,700
5%
New Jersey
31,300
32,100
34,100
9%
Colorado
5,700
6,300
6,400
12%
New Mexico
400
800
800
100%
Connecticut
8,100
8,600
7,700
-5%
New York
35,600
37,600
38,300
8%
Delaware
2,100
2,100
3,000
43%
North Carolina
18,000
17,800
18,700
4%
700
1,300
1,400
100%
North Dakota
300
500
700
133%
Florida
17,100
20,900
20,900
22%
17,500
16,700
17,000
-3%
Georgia
10,200
11,300
10,200
0%
Oklahoma
2,500
3,400
3,600
44%
Hawaii
1,000
900
1,000
0%
Oregon
Idaho
1,300
1,200
1,100
-15%
Pennsylvania
Illinois
19,300
19,300
20,700
7%
Rhode Island
1,100
Indiana
8,800
8,900
8,900
1%
South Carolina
6,100
Iowa
2,500
2,000
2,900
16%
South Dakota
Kansas
4,500
6,700
6,400
42%
Tennessee
Kentucky
5,400
5,900
5,900
9%
Louisiana
2,300
4,300
4,600
100%
Maine
2,300
2,000
2,000
-13%
Maryland
6,500
7,300
7,000
8%
District of Columbia
Massachusetts
Ohio
4,100
4,200
4,300
5%
18,200
19,700
19,100
5%
1,000
1,000
-9%
6,000
5,900
-3%
200
300
300
50%
3,900
4,200
4,200
8%
Texas
31,700
42,900
38,500
21%
Utah
2,700
3,300
3,200
19%
Vermont
1,400
1,400
1,500
7%
Virginia
7,500
8,400
8,500
13%
11,500
12,700
12,700
10%
Washington
3,600
4,000
3,800
6%
Michigan
9,600
9,200
9,200
-4%
West Virginia
1,500
1,800
1,000
-33%
Minnesota
5,200
4,500
4,600
-12%
Wisconsin
5,500
7,800
8,000
45%
Mississippi
500
1,300
1,300
160%
Wyoming
400
700
800
100%
7,700
6,700
8,000
4%
Missouri
14
2011 Ranking*
United States Total Employment
446,300
1.
California
62,700
2.
Texas
38,500
28.
Washington
3,800
3.
New York
38,300
29.
Oklahoma
3,600
4.
New Jersey
34,100
30.
Alabama
3,200
5.
Florida
20,900
30.
Utah
3,200
6.
Illinois
20,700
32.
Delaware
3,000
7.
Pennsylvania
19,100
33.
Iowa
2,900
8.
North Carolina
18,700
34.
Arkansas
2,800
9.
Ohio
17,000
35.
New Hampshire
2,400
10.
Massachusetts
12,700
36.
Nevada
2,200
11.
Georgia
10,200
37.
Nebraska
2,100
12.
Michigan
9,200
38.
Maine
2,000
Vermont
1,500
13.
Indiana
8,900
39.
14.
Virginia
8,500
40.
District of Columbia
1,400
Mississippi
1,300
15.
Wisconsin
8,000
41.
15.
Missouri
8,000
42.
Idaho
1,100
Rhode Island
1,000
17.
Connecticut
7,700
43.
18.
Arizona
7,200
43.
West Virginia
1,000
19.
Maryland
7,000
43.
Hawaii
1,000
20.
Kansas
6,400
46.
New Mexico
800
20.
Colorado
6,400
46.
Wyoming
800
22.
Kentucky
5,900
48.
North Dakota
700
22.
South Carolina
5,900
49.
South Dakota
300
24.
Minnesota
4,600
49.
Alaska
300
24.
Louisiana
4,600
49.
Montana
300
26.
Oregon
4,300
27.
Tennessee
4,200
*tied states receive the same ranking
15
Company Profiles
Highlights of Strategic Investments
by Swiss Affiliates
in the U.S.
The Swiss-American Chamber of Commerce in Zurich,
Switzerland, invited leading Swiss affiliates in the U.S.
to provide complementary case studies. These company profiles highlight significant achievements of
Swiss affiliates and include small businesses with approximately 100 employees up to large multinational
Swiss-affiliated businesses with more than 51,000 employees based in the United States. They reflect a cross
section of industries including finance and insurance,
manufacturing, and pharmaceuticals and medicine.
ABB, with some 140,000 employees worldwide and
more than 19,000 employees across the U.S., is a
leading power and automation technology group.
Its activities include power grid technology, robotics,
energy-efficient motors and drives and solutions for
building automation. With its most recent U.S. acquisition, Power-One, ABB has become a global leader in solar inverters. In the past four years, ABB has
strongly expanded its U.S. operations, investing over
$11 billion, with annual revenues of around $7 billion.
One of its seven global R&D centers is located on the
campus of North Carolina State University in Raleigh
along with its Smart Grid Center of Excellence and the
regional headquarters for ABB’s power-related businesses.
16
Autoneum is the leading supplier to the major light
vehicle and heavy truck manufacturers around the
world, providing innovative solutions for noise reduction and thermal management in vehicles. In 2013,
Autoneum generated over $2.2 billion in sales, around
$970 million of which was earned in the Business
Group North America (USA, Canada and Mexico).
The Business Group North America buys from mainly
U.S. suppliers and has invested around $100 million in
capital expenditures over the past three years. Autoneum’s eight U.S. manufacturing sites provide 2,700
jobs. Its expansion into two new manufacturing sites
in the U.S. has been announced and will create new
investment and jobs.
Bühler is a specialist and technology partner for
plant, equipment and services for processing basic
foods and for manufacturing advanced materials.
The Group holds leading market positions worldwide
in technologies and processes for transforming grain
into flour and feeds, making pasta and chocolate, as
well as in the field of aluminum die casting. In 2012,
Bühler created the first U.S.-based food-grade Food
Innovation Center at its North America headquarters
in Plymouth, Minnesota. That same year, Bühler introduced its Apprenticeship Academy to the U.S. (based
at its North America headquarters), offering apprentices three-year programs that utilize a hands-on approach to developing technical, methodological, and
social skills across a wide range of disciplines. Bühler
Group operates in over 140 countries and 750 of its
10,000 employees worldwide are employed in the
North America Region. The company’s total investment in the U.S. amounted to $150 million over the
last 8 years.
Conzzeta is an industrial holding company specializing in industrial manufacturing as well as in mountaineering and sports equipment. With $92 million of
its capital invested in seven U.S. business units, the
company employs more than 313 people in Illinois,
Colorado, Vermont, South Carolina, Tennessee, and
New Jersey. By purchasing goods and services, the
secondary effects on the U.S. economy are estimated
at $63 million.
GF Georg Fischer AG has a worldwide presence in
32 countries and employs 14,000 people. In the U.S.,
1,177 employees work for GF. GF Piping Systems specializes in plastic piping systems for the safe transport
of water and gas in a variety of industries, including
the utilities and building sectors, providing fittings,
valves, pipes, automation and jointing technology.
GF Machining Solutions provides electrical discharge,
high-speed milling and laser texturing machines along
with automation solutions. The company is the world
leader in the tool and mold making industry and
among manufacturers of precision components and
serves customers in the information and communication technology and aerospace sectors and the automotive industry. U.S. sales exceeded $500 million in
2013. The value of goods and services purchased from
American suppliers in 2013 amounts to $280 million.
Holcim is one of the world’s leading cement manufacturers and has a presence on all continents. Aggregate
Industries US of the Holcim Group is a leading provider of aggregate materials, ready-mix concrete and
asphalt in the U.S. Together, both companies employ
approximately 5,000 people here. Holcim has invested
more than $750 million in the U.S. over the past five
years and will complete a modernization of its plant
in Hagerstown, Maryland, by 2016. A major investment was the construction of the St. Genevieve plant
in Missouri, considered to be one of the most modern
and environmentally friendly cement plants in the U.S.
Kaba Group is a leading global provider of high-quality and innovative keys, cylinders, physical access systems, enterprise data, time recording, and lodging
access systems and also leads the global market in
high-security locks, key blanks, transponder keys and
key manufacturing machines. Kaba’s sales revenue in
the Americas of $320 million per year mainly comes
from the U.S. Kaba employs about 1,400 people in
the Americas, the majority of whom in the U.S. Kaba
Group’s total investments in the U.S. amount to $500
million. Over the past twelve months, the company
has invested $3 million and another $5 million investment is planned. The value of goods and services
purchased from American suppliers in the past twelve
months amounts to $115 million.
Kudelski Group is a world leader in digital security,
offering a wide range of services and applications to
secure the revenues of content owners and service
providers for digital television. Kudelski leads the market in access control and management of people or
vehicles to sites and events such as smart card-based
systems for public access applications at ski resorts,
arenas and parking lots. The company also offers cybersecurity solutions and services focused on helping
clients assess risks and vulnerabilities and protect their
data and systems. Over 3,000 people work for Kudelski worldwide. In the U.S., Kudelski has fourteen companies, employing over 400 people and generating an
annual revenue of more than $150 million in 2013.
Max Daetwyler Corporation is a worldwide leading
supplier of Doctor Blades and other pressroom products for the printing industry. In addition, Daetwyler
Industries, a world-class supplier of precision machinery, offers single-source manufacturing capabilities. In
2009, Micro Waterjet, LLC (MWJ) was formed through
a partnership with Waterjet AG and Max Daetwyler
Corporation to bring micro manufacturing services
utilizing advanced abrasive Waterjet technologies to
North America. Also in 2009, Daetwyler Clean Energy LLC was founded to offer Daetwyler’s engineering,
manufacturing and assembly strengths to the growing
renewable energy industry, including a product line
with commercial ground mount, rooftop and parking
deck solar mounting structures. Daetwyler Corporation employs about 100 people in the U.S., has invested a total of $12 million in the country and on average
purchases $7 million in goods and services from American suppliers every year.
17
Novartis, with 27,071 employees across the U.S., is
a leader in the global healthcare business, providing
medicine, eye care, generic pharmaceuticals, preventative vaccines, diagnostic tools and over-the-counter
and animal health products. The U.S. is a major center
for its R&D, manufacturing, sales and marketing, with
operations in California, Colorado, Florida, Georgia,
Illinois, Iowa, Massachusetts, Nebraska, New Jersey,
New York, North Carolina, Pennsylvania, Puerto Rico,
Texas, Washington, D.C., and West Virginia.
Roche, a leader in research-focused health care with
consistent strength in pharmaceuticals and diagnostics, employs 20,000 people in the U.S. In recent years,
it has acquired several U.S.-based companies such as
Genentech, Anadys Pharmaceuticals, Constitution
Medical and IQuum amounting to U.S. investments of
around $48 billion. U.S. investments in property, plant
and equipment amounted to $3 billion.
Swiss Post Solutions SPS North America, a subsidiary of Swiss Post, is a leading provider of strategic
business process outsourcing and document management services. Services include invoice and forms processing, physical and digital mailroom management,
physical and digital records management, and onsite
office support services, including reception desk operations as well as management of conference rooms,
print services, call centers/switchboards and IT. SPS
employs over 1,500 people in more than 70 cities
throughout the U.S. and Canada.
Tetra Pak® is the world’s leading food processing
and packaging solutions company. Tetra Pak provides
1,200 jobs at facilities in Texas, Washington state,
and Missouri. Since establishing a presence in the
U.S. almost 40 years ago, Tetra Pak has invested approximately $400 million, including over $34 million
invested in the past three years. Approximately 75%
of the Tetra Pak products sold in the U.S. are manufactured in the U.S. This year Tetra Pak will invest in a new
printing press, which will increase its Denton, Texas,
factory’s overall capacity and allow future growth for
safe, innovative and environmentally sound products
which meet the needs of hundreds of millions of people across the globe.
18
UBS is one of the largest global financial services businesses, with about 21,000 employees in 283 locations
in 48 states across the U.S., the District of Columbia,
and Puerto Rico. UBS’s U.S. work force represents
33% of the firm’s global permanent staff. Since 2010,
UBS has recruited at over 50 colleges and provided
1,128 full-time positions and 1,723 internships to U.S.
students. In 2013, UBS conducted more than $3 billion
in business with U.S.-based vendors including Microsoft, Bloomberg, Cigna, Cognizant Technology, IBM
and Hewlett-Packard. UBS also leases more than 10.6
million square feet of commercial space in the U.S.
WICOR is the market leader in electrical insulation of
power and distribution transformers in North America.
WICOR is an important supplier of equipment used to
maintain and improve the electric power transmission
grid. Innovations include contributing to the implementation of the so-called smart grid, which is crucial
to the overall reliability of the North American electric
power transmission system. The company employs
522 people in the U.S. at facilities in Vermont, Ohio
and Alabama. The company also owns R&D laboratories in several states throughout the U.S. To date WICOR has invested over $300 million, over $100 million
of which was invested in Ohio in the past three years.
Additional investment between $10 million and $15
million is in the plans over the coming two to three
years, not including a planned acquisition.
Zurich opened its New York branch in 1912, making
it one of the oldest insurance companies in the U.S.
Zurich serves the U.S. as one of the country’s largest
insurers of vehicles, homes, small and mid-sized businesses, farm businesses, local governments and Fortune 500 companies. Zurich U.S. companies employ
over 8,200 people in offices throughout the country
with major centers of employment in the metropolitan
areas of Chicago, New York City, Kansas City, Omaha,
Baltimore and Orlando. Through Zurich’s affiliation
with Farmers Insurance, an additional 50,000 exclusive and independent agents and nearly 24,000 people have jobs all over the U.S.
19
Published by:
Embassy of Switzerland in the U.S.
2900 Cathedral Ave., N.W., Washington, D.C. 20008
www.swissemb.org
[email protected]
Acknowledgments
The Embassy of Switzerland would like to thank Aaron S. Brickman, Martin Naville
and all the Swiss affiliates that contributed information to this report.
About the Data:
This report presents the most current statistics on the business activities of Swissowned affiliates from the U.S. Bureau of Economic Analysis (BEA) at the time of
publication. The data refer only to commercial activities of Swiss companies that
are unambiguously under Swiss control (those more than 50 percent owned by
Swiss direct investors, or majority-owned affiliates). Annually, BEA requires foreign-owned affiliates to report on their business activities in the United States.
Statistical research and reporting
Content First LLC, Washington, D.C.
Graphs and photos
Federal Department of Foreign Affairs
Clear Sky Creative, LLC, Washington, D.C.
Dent Digital, Washington, D.C.
Printing
Gabro Printing & Graphics, Virginia
More Swiss FDI Online
Visit us on YouTube for a short video about Swiss direct investment in the U.S. featuring interviews with CEOs of Swiss companies and FDI experts.
Download this brochure as a PDF file from our webpage at www.swissemb.org
Washington, D.C., September 2014
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