Trading Partner Portal: Luxembourg

Overview

Trade Overview

Flags of USA, Luxembourg, California

Luxembourg lies in between France and Germany in Western Europe. With a population of 570,000 people and a gross domestic product (GDP) of $57.79 billion, Luxembourg is classified as a high income country. Luxembourg’s economy is centered on its leading financial sector that accounts for 36% of its GDP. Luxembourg has one of the highest GDP per capita in the world and is the highest in the Eurozone, which results in a prominent high standard of living. Some of Luxembourg’s main trading partners are Belgium and Germany; however, the United States is its fourth largest importer. World Bank, CIA

In 2016, the US exported $1.4 billion worth of goods and products to Luxembourg. Nearly a quarter of those exports were transportation equipment, which had a total value of $361 million. The US also exported $352 million of computer and electronic products and $248 million of used or second hand merchandise. In the same year, the US imported $499 million of goods from Luxembourg. A quarter of the goods imported from Luxembourg were primary metals. Another key imported product category was reimports, which accounted for 17.4% of the total, and textiles and fabrics, which accounted for 13.4% of total imports from Luxembourg into the US. US Department of Commerce

The United States and Luxembourg have healthy flows of investment across their borders. In 2015, the US had $502.9 billion in foreign direct investment California Exports to Luxembourg(FDI) in Luxembourg. Additionally, Luxembourg had $328.4 billion of investment in the United States. BEA 

Luxembourg- California Trade

California is the fourth largest exporting state to Luxembourg in the US. California exported $275 million of goods to Luxembourg in 2016. The top export category from California to Luxembourg was computer and electronic products totaling $225 million and 81.7% of the total exports. Other exports from California were transportation equipment 4.9%, agricultural products 4.5%, and used or second hand merchandise 1.9%. In 2015 California is the top importer of goods from Luxembourg, importing approximately $69 million worth of goods. However in 2016, this number dropped to $31 million of goods. Some of the major imports were primary metals that accounted for $18 million and 60.5% of total imports into California from Luxembourg. US Department of Commerce

Trade Agreements

Trade Agreements and Issues

Transatlantic Trade and Investment Partnership (TTIP)

Luxembourg is one of the nations that is currently involved in negotiations for the Transatlantic Trade and Investment Partnership (TTIP) with the rest of the European Union and the United States. The United States and the European Union have a strong bilateral trade relationship totaling $698.7 billion in 2015. A free trade agreement, such as TTIP, desires to strengthen that relationship by eliminating tariffs, aligning compatible regulations to open trade, and furthering trade in the service sector.

Transatlantic Trade and Investment Partnership

USTR Transatlantic Trade and Investment Partnership