Egypt, U.S. Manufacturers, Agriculture and Trade
Unrest in Egypt has an economic impact in Maryland and Baltimore, The Sun reports, “Maryland companies, port anxious about Egypt turmoil“:
Maryland exports more to Egypt than all but three U.S. states — about $400 million in goods last year alone. And the port of Baltimore is a key trading hub with Egypt, shipping vehicles and machinery to that country and receiving liquefied natural gas, minerals and road salt.
From large defense contractors to small equipment firms, Maryland companies have benefited from trade with Egypt. Bethesda-based Lockheed Martin Corp. has sold hundreds of millions of dollars worth of F-16 fighter jets to Egypt’s air force as part of the United States’ strategic military relationship with that country. Ellicott Dredges, a Baltimore dredging equipment company, has been doing business in Egypt for 50 years.
Earlier, Fortune looked across sectors and found many U.S.-based companies potentially affected by political developments in Egypt.
The United States is a major exporter to the country, making up around 10% of Egypt’s total imports. The US supplies wheat, corn and soybeans to Egypt averaging around $2 billion a year. That could hurt the sales of companies like ConAgra (CAG, Fortune 500), ADM (ADM, Fortune 500) and Cargill.
The US also delivers $1.3 billion in military aid to Egypt, much of which is recycled back to US defense contractors like Boeing (BA, Fortune 500), Lockheed Martin (LMT, Fortune 500), Northrup Grumman (NOC, Fortune 500), General Dynamics (GD, Fortune 500) and Raytheon (RTN, Fortune 500). They provide support for older US-made military equipment, like the F-4 and F-16 attack fighters, and also sell Egypt new weapons.
A delegation from the American Chamber of Commerce in Egypt made the chamber’s annual “Door Knock” trip last summer to Washington, D.C., for meetings on the Hill and with corporate representatives. Georgia is a big trade partner with Eygpt.
This year’s mission included members with trade-related ties to companies in 13 US states. The AmCham Egypt delegation met with six members of Congress from Georgia alone. Savannah, Georgia, is a top destination for Egyptian products with $574 million worth of goods arriving in 2009. Georgia receives 30.3 percent of all Egyptian exports to the US, including mineral fuel, apparel products, carpets, cotton and cereal. The state is the United States’ sixth largest exporter of goods and services to Egypt. The AmCham delegation also met with three members of the House of Representatives from North Carolina who wanted to boost trade to complement their state’s exports to Egypt, which include computers and electronics, chemicals and agriculture products.
Hang in there!