China, the U.S. and the Silk Road Spirit

In his first few months in office, President Trump has committed to making our nation’s economic and political environment more hospitable for American businesses. From his deregulatory agenda to a bold tax reform plan and intended investment in infrastructure, the president is making America a better place for business. U.S. job growth slowed in May and employment gains in the prior two months were not as strong as previously reported, suggesting the labor market was losing momentum despite the unemployment rate falling to a 16-year low of 4.3 percent.

At the Consumer Technology Association (CTA), we are also trying to do our part to make America an attractive place to work and do business. That’s why we’re headed to Shanghai for the third annual CES Asia(TM). It’s a space for tech companies to showcase to the Asian market the latest in robotics, AI, drones, self-driving technology and more.

This might seem like a counter-intuitive strategy: Why invest time, money and energy into a trade show specifically for companies debuting their products in an Asian market? Why not pour that effort into CES? in Las Vegas?

It’s a complicated answer, but it boils down to one simple principle. If we want to remain at the forefront of global innovation, we need to invest in strong partnerships with countries such as China. More, with over 80 countries, regions and territories at CES Asia 2017, it truly is a global show. With the rise of the digital age and the Internet of Things, it’s easier than ever to share ideas, send information and sell products across borders and oceans. International e-commerce, for example, already comprises 12 percent of the global goods trade and is expected to go even higher. Chinese consumers – tech-savvy and hungry for the latest life-changing tech – say they enjoy the ease and expanded selection of online shopping over in-store shopping. Almost two-thirds (61 percent) of Chinese consumers prefer online shopping over in-store, according to new research from CTA.

And the Chinese government has implemented several programs to power the country’s economy with technology. From the Belt and Road Forum to China’s Five-Year Plan – an effort that includes a significant investment in science and technology – China is using America’s pro-innovation strategy that allowed automobiles and computers to thrive in the market.

Outside of China, Asian markets as a whole are growing. America is the largest producer of digital content for the Asia-Pacific region, hosting 51 percent of the region’s top websites. By investing in this part of the world, we’re creating an opportunity for both global and local companies to expand market shares and increase profits.

At the same time, U.S. jobs tied to tech and trade are growing. There are roughly 41 million U.S. trade-related jobs, and U.S. employment based on trade grew over three times faster than the total U.S. employment from 2004 to 2014. More, the U.S. tech industry makes up seven percent of the country’s GDP. Investing in overseas tech partnerships benefits the U.S. economy and helps create jobs for the tech-savvy, international American work force of the future.

International trade shows give companies an opportunity to build a brand and attract top talent from around the world. They fuel job creation and growth back home. And – most importantly – they capitalize on the increased connectivity and globalization that is the driving trend of our time.