United Kingdom's Foreign Trade and UK Government's&Special Corporation's Financing Supports

1. UK’S FOREIGN TRADE AND UK GOVERNMENT’S
AND SPECIAL CORPORATION’S FINANCING
SUPPORTS

2.  General Information About the UK
 Foreign Trade Statistics and Datas of the UK
 Exports and Imports of the UK
 Government Help for Exporters
 Sources of Support
TOPICS

3. General Information About the UK
 England is a country that is part of the United Kingdom. It shares
land borders with Scotland to the north andWales to the
west.The Irish Sea lies north west of England, whilst the Celtic
Sea lies to the south west.
 The metropolitan, non-metropolitan counties and unitary
authorities of England, colour-coded to show population.
 With over 53 million inhabitants,England is by far the most
populous country of the United Kingdom, accounting for 84% of
the combined total.

4. The UK is the 7th leading importer and the 12th leading
exporter in the world. Accordingly, the UK holds a massive
trade deficit with the rest of the world, second only to the US.
In 2012, UK imports were worth $646 billion with exports
valued at only $481 billion.
Foreign Trade Statistics and Datas of the UK

5. Total Monthly UK Trade with non-EU Countries
Graph

6. Key Points of this Total Monthly UK Trade with non-EU Countries
Graph
 The UK’s non-EU exports for August 2013 are £11.6 billion. This is a decrease of £0.6
billion compared to July 2013. It is also a decrease of £0.3 billion compared to August
2012.
 The UK’s non-EU imports for August 2013 are £16.5 billion. This is an increase of £0.3
billion compared to July 2013. However it is a decrease of £0.5 billion compared to August
2012.The UK remains a net importer.The size of the difference between imports and
exports is £4.8 million.
 The value of UK trade decreased for both EU imports and exports, with imports falling by
£2.9 billion,and exports by £1.6 billion against July 2013 totals.This is a seasonal decrease,
and the changes were much smaller for both flows when compared to August 2012,with
imports falling by £0.1 billion and exports rising by £0.1 billion.

7. Total Monthly UK Trade with EU Member States

8. Key Points of the Total Monthly Trade with EU Member
States
 The UK’s EU exports for August 2013 are £11.5 billion. This is a decrease of £1.6 billion
(12.4 per cent) compared to July 2013. However, it is an increase of £0.1 billion (0.6 per
cent) compared to August 2012.
 The UK’s EU imports for August 2013 are £16.3 billion. This is a decrease of £2.9 billion
(15.0 per cent) compared to July 2013. It is also a decrease of £0.1 billion (0.9 per cent)
compared to August 2012.

9.  Both imports and exports are at their lowest levels since December 2012.
 The UK remains a net importer (imports are greater than exports). The size of the
difference between imports and exports is £4.8 billion. This is a decrease of £1.3 billion
compared to July 2013.
 The value of imports increased while exports decreased in August 2013 compared with the
previous month. Consequently the difference between non-EU imports and exports has
increased by 23.3 per cent. The trade gap is the largest since January 2013. The export
values are at the lowest level since February 2013.

10. Government Help for Exporters
 Export finance and insurance
 UK Export Finance (also known as the Export Credits Guarantee Department) is the UK’s
official export credit agency.
 It helps UK exporters by ‘underwriting’ bank loans offered to overseas buyers of UK
products and services. This means it takes on the risk of the loan from the bank, so that the
bank is more likely to offer it.
 It can also help exporters to:
 raise tender and contract bonds
 access working capital finance
 secure confirmations of letters of credit

11.  Export insurance
 UK Export Finance offers insurance to UK exporters against the risk of non-
payment by overseas buyers.
 Eligibility
 UK Export Finance looks at applications on a case-by-case basis.
However, to be eligible:
 you must be in business in the UK
 the buyer must be overseas
 Organisations in the private sector also offer export insurance.

12. Overseas investment insurance
 UK Export Finance offers overseas investment insurance to UK
companies that invest abroad. This covers your company against loss
resulting from some political events (eg war, nationalisation of business
contrary to international law) in a country you’ve invested in.

13. SOURCES OF SUPPORT
 UKTI is one place and there are many organisations that can help such as the
British Chamber of Commerce or your local chamber of commerce; business
councils like the China-Britain Business Council; and government departments.
Business support is also available through most major banks, law firms and other
private sector service providers.
 The Export Credits Guarantee Department is another government department
that provides specialist assistance to exporters in the form of insurance to
exporters and guarantees to banks, for example insuring UK exporters against
non-payment by their overseas buyers.

14.  Market Introduction Service (OMIS): This service enables you to grow your business globally through the
provision of bespoke market research and in-market assistance.
 UKTI Services
 Whether you are setting foot overseas for the first time or are an established exporter, there are
a large variety of ways UKTI can help you increase your export success. Independent research
found that 14% more firms reported that overseas trade has helped them achieve a level of
growth otherwise not possible if they received UKTI support.
 UKTI offers the following programmes and services as part of the UK Government support
product ‘helping your business grow internationally’:
 Only 59% of UKTI-supported firms exported due to reactive circumstances, i.e. because they
received an approach; compared to 65% of other firms.

15. How does it work?

16. The diagram shows how UK Export Finance provides a loan to a buyer that
is purchasing capital or semi-capital goods/services from a UK exporter

17. UNITED KINGDOM EXPORTS
 Exports in the United Kingdom decreased to 41348 Million in October of 2013 from
41945 Million in September of 2013.
 Exports in the United Kingdom is reported by the Office for National Statistics.
Exports in the United Kingdom averaged 20455.29 Million from 1955 until 2013,
reaching an all time high of 43276 Million in June of 2013 and a record low of 962
Million in June of 1955.
 85 percent of U.K. exports are manufactured products. Within this category the most
important are: Transport Equipment (16 percent); Chemical Products;Machinery and
Equipment;Computer,Electronic and Optical Products.
 Main export partners are United States and Euro Area countries with Germany,
Netherlands, France, Ireland, Belgium, Italy and Spain accounting for more than 40
percent of total exports.

18. Exports of the UK
 The share of exporting businesses reporting higher exporting
activity was an estimated,+15% in Quarter 2,2013 results, the
highest since the series began22 and 7 percentage points higher on
the same period the previous.
 All regions reported a positive export balance estimates with the
strongest results in the South West and North East.The North West
and East of England which were the strongest performers in the
previous quarter reported the weakest performance this
quarter,Quarter 2,2013.

19. UNITED KINGDOM IMPORTS
 Imports in the United Kingdom decreased to 43967 Million in October of 2013 from
44589 Million in September of 2013. Imports in the United Kingdom is reported by
the Office for National Statistics. Imports in the United Kingdom averaged 21681.02
Million from 1955 until 2013, reaching an all time high of 45263 Million in March of
2013 and a record low of 1031 Million in June of 1955.
 United Kingdom imports mostly manufactured products and raw metals and fuels.
The most important manufactured products are Computer, Electronic and Optical
Products;Transports Equipment;Chemical Products; Food and Beverages; Chemical
products; Apparel, Textiles and Leather; Basics Metals and Refined Petroleum
Products. U.K. main import partners are China,United States,Norway and European
Union countries with Germany,Netherlands,France,Belgium,Italy and Ireland being
the most important.

20. THANK YOU 