The Role of Physical Distribution in the Export Activity of US Manufacturing Firms Available to Purchase

Exporting is becoming increasingly important for the US. Although in terms of export value America is the second largest exporter in the world, recent export activities have not been sufficient to compensate for the volume of imports into the US. Over the past few years, the US has been experiencing continuous deficits in its balance of trade. The anticipation of further increases in the price of crude oil imports, without any immediate prospects for a partial fuel substitute or a substantial voluntary reduction in consumption, suggests that the continuance of import pressures is very likely. To reduce the deficits in the balance of trade and limit the negative effects of such deficits, export expansion remains as the main alternative. Such an export expansion, however, must mean an increase of exports by at least 20 per cent in order to eliminate the current deficit. To achieve such an increase, the exporting task of firms must be facilitated, in so far as possible removing current impediments to the exporting effort, in order to make firms' international activities more efficient and competitive.