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Foreign Direct Investment

Foreign Direct Investment in the U.S.: Part I - Employment

Many foreigners find that it is a good investment to set up shop in the United States. They make investments by acquiring company equities, reinvesting earnings, and issuing intercompany debts. The spending is referred to as foreign direct investment (FDI), and it creates millions of American jobs and boosts U.S. economic growth. Our colleagues at the Bureau of Economic Analysis (BEA) collect and publish quarterly estimates of both foreign multinationals’ inward investment and U.S. multinationals’ outward investment.

New Commerce Department Report Shows Foreign Direct Investment:Since 2000, FDI has Supported More Than 5 Million Jobs at 30% Higher Wages

WASHINGTON, D.C. – The U.S. Department of Commerce’s Economics and Statistics Administration (ESA) today reported that foreign direct investment (FDI) in the United States over the past decade has supported more than 5 million U.S. jobs that, on average, paid 30 percent more than other jobs. The findings, presented in a new ESA report entitled “Foreign Direct Investment in the United States,” point the way toward policies that could expand the number of foreign partners investing in the United States and, in so doing, create more high-paying U.S. jobs.

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