California has population of 40 million and a Gross State Product of US$2.7 trillion (S$3.6 trillion) in 2017. If it were a country, California would be the fifth largest economy in the world, surpassing that of the United Kingdom and France.
Bank on California’s large consumer market and industry strengths to gain a headstart for your company in the US.
California has a huge and very affluent market made up of cosmopolitan, liberal, trendsetting consumers with diverse tastes and preferences. The San Francisco Bay Area had the nation's highest GDP per capita of US$94,000 (S$126,900) in 2016.
The high spending power of Californians makes the state an ideal launchpad for your consumer or real estate business.
Increasing trade between the US and Asia has developed Southern California into a global gateway for the movement of both domestic and foreign goods. Its trade and logistics industry generated $224.6 billion (S$303.2 billion) of economic output in 2015. All 25 of the largest freight forwarders in the world in 2015 have operations in this region. There is ever-increasing demand for large-scale warehousing operations.
The industry is rapidly adopting new technologies to improve efficiency and productivity, optimise capacity and reduce costs. These include autonomous vehicles, drones, logistics management mobile applications, and virtual reality.
Explore breaking into the US market through supporting the current players in the industry with technological solutions.
California dominates the intellectual property creation landscape in the US. California-based people and companies successfully filed more than 45,600 patents in 2017, accounting for 27.3% of the nation’s patents, more than double its share of the nation’s population.
Consider setting up your technology firm in California to tap the state’s easy access to capital and world-class university research network that support its high-tech dominance.
Silicon Valley is the world’s first and most premier global centre for innovation, social media, technology, and venture capital. It is the biggest high-tech manufacturing centre in the US. It is also home to the headquarters of 39 Fortune 1000 businesses and thousands of startups. One-third of all of venture capital investment in the US goes to Silicon Valley.
On a smaller scale, Silicon Beach hosts over 500 tech startups and branch offices of major technology companies, such as Facebook, Google, Yahoo! and YouTube. It is also the birthplace of several mobile ventures such as Snapchat and Tinder.
Base your startup in Silicon Valley or Silicon Beach and plug into one of the world’s strongest ecosystem of venture capitalists, incubators, workspaces, universities, and colleges.
There are more than 36,000 manufacturing firms in the state and they produce an economic output of US$239 billion (S$323 billion). The headquarter of the US$171 million (S$231 million) Manufacturing Innovation Institute for flexible hybrid electronics (FHE) launched in 2015 is located in Silicon Valley.
Major electronics and semiconductor companies collaborate with partner universities and research centres to innovate manufacturing processes. Together, they continually break new grounds in integrating electronics with high-precision 3D printing to create low-cost, lightweight, and flexible internet-connected products for the aerospace, defence, healthcare technology, medtech, and semiconductor industries.
Consider partnering one of the US firms in California to create new FHE products for the estimated US$30 billion (S$41 billion) market.
Massachusetts had a population of 6.9 million people and Gross State Product of US$527.5 billion (S$712.1 billion) in 2017.
The key drivers of Massachusetts’ economy include biotechnology, higher education, and information technology.
In 2017, Bloomberg ranked Massachusetts as the most innovative state in the US for a second consecutive year. US News and World Report ranked Massachusetts’ higher education system – which includes Harvard University and Massachusetts Institute of Technology – as the best in the US in 2018.
While tech companies flock to Silicon Valley, biotech companies make a beeline for Massachusetts, the world’s life sciences capital.
This is the result of a 10-year Massachusetts Life Sciences Initiative by the state in 2008 to invest US$1 billion (S$1.4 billion) to enhance its life sciences sectors. The sectors include bioinformatics, biotechnology, diagnostics, medical devices, and pharmaceuticals.
Since the launch of the initiative, Massachusetts has overtaken all competitor states in its rate of life sciences job creation. The state’s life science cluster has also created jobs at a faster pace than any other industry sector in the state over the past decade.
Today, this thriving life sciences “supercluster” is made up of hospitals, research institutions, universities, and venture capital firms that fund cutting-edge work in the field, private and nonprofit organisations, including:
In 2018, the supercluster looks set to receive further government support with another US$500 million (S$675 million) funding in life sciences over the next five years.
This presents a great window of opportunity for you to expand or invest in life sciences business in Massachusetts. You can also take advantage of the world’s leading innovation pipeline, world-class academic and medical institutions leading the way in life sciences research, and a talented workforce in the state.
Massachusetts also offers business-friendly infrastructure such as an international airport with 40 airlines, regional rail service, mass transit and five deepwater ports.
New York had a population of about 20 million people in 2017. Its Gross State Product was US$1.5 trillion (S$2.0 trillion) in 2017, making it the third largest economy among the states.
New Yorkers have a GDP per capita of US$64,000 (S$86,400) in 2017. Your business will find a ready market in the large and affluent consumer base, especially if you target the consumer goods and real estate industries.
The state is home to New York City (NYC), US’ principal banking centre and the world’s leading financial centre. NYC houses the world’s top two largest stock exchanges, the New York Stock Exchange and the NASDAQ.
NYC is the largest global centre for trading in public equity and debt capital markets. It also leads in hedge fund management, private equity, and the monetary volume of mergers and acquisitions.
Ride on NYC’s international status and expand your financial services into NYC, your stepping stone to the global market.
Dream of turning your fashion ideas into global trends? Then go to NYC where everything in fashion is happening – and happening first.
Home to world-famous brands such as Coach and DKNY, NYC is where over 75 major fashion trade shows and market weeks take place annually, including the iconic Fashion Week that defines global trends in style.
NYC also has more apparel wholesalers than any other US city, and over 5,000 fashion industry showrooms, more than any other city in the world.
Access the exceptional talent pool found in NYC readily. Leading fashion schools in the city train more than 1,000 students each year.
Need marketing and public relations for your fashion ideas? NYC has you covered, with global marketing agencies and prominent fashion publications and news sources located within the city.
Consider producing your garments in the new garment manufacturing district in NYC. You can take advantage of the US$51.3 million (S$69 million) investment package launched by the city to help grow its garment manufacturing industry.
The creative industries in New York, such as advertising, architecture, design, digital media, film and television production, offer another area of opportunity that you can explore for your US venture.
NYC attracts many of the world's largest media conglomerates and top firms in the creative industries to set up bases in the city.
New York offers the US’ most generous tax incentives annually for filmmaking within the state. You can also attract visual effects talent more easily with higher tax credit for performing post-film production work within the state.
Texas is the second most populous state in the US, with 28.5 million people in 2017. Centrally located in the US, it is well-connected to other parts of North America and the world via domestic and international transportation. It also enjoys easy access to markets.
Texas ranked second in terms of Gross State Product, valued at US$1.7 trillion (S$2.3 trillion) in 2017. If it were a nation, it would be the world’s 10th largest economy, ahead of Australia, Mexico, Russia, Spain, South Korea and many others.
Home to some 50 Fortune 500 companies, Texas is ranked by Ernst & Young as the number one state for capital investments. In 2016, the Chief Executive Magazine named Texas the “Best State for Business” for the 12th running year.
Houston, Texas’ state capital, has a workforce of 13 million workers, making it the nation’s second largest civilian labour force. More than half of them hold a university degree.
A steady inflow of working professionals has led to increasing demand for consumer goods and properties. Explore the wealth of opportunities in the consumer and real estate industries presented by a big ready market as well as a skilled, educated workforce.
There’s a saying that all (oil & gas) pipelines lead to Houston, which is also the global capital of the oil & gas industry.
The Houston metropolitan area comprises the largest concentration of petrochemical manufacturing in the world. It is also the world’s leading centre for oilfield equipment construction.
If you run an oil & gas-related business, consider expanding into Houston. Singapore businesses can seek synergy with more than 3,000 energy-related businesses that have called Houston home, including many of the top oil & gas exploration and production firms, and petroleum pipeline operators.
Virginia had a population of 8.5 million people in 2017. Strategically located in the populous eastern coast of the US and next to Washington D.C., its integrated network of air, rail, road, and sea transportation offer logistical advantage to companies in all industries.
Virginia is today home to the largest data centre market in the US, an emerging unmanned systems industry, and the third highest concentration of tech workers in the country.
In 2017, Virginia’s Gross State Product of US$508.7 billion (S$687 billion) made up 2.7% of the national GDP.
Consider expanding your business in corporate services or IT into Virginia to capitalise on the robust pipeline of professional talent nurtured by its top-ranked higher education system.
For new or existing Singapore businesses in the US, you can also gain competitive edge by relocating your operations in Virginia’s more cost-effective middle market cities and rural locations.
Virginia currently hosts the headquarters of 37 Fortune 1000 companies. It is a top choice for companies seeking to locate a business process outsourcing or shared services operation. It is also at the forefront of high-growth sectors such as cloud computing and cybersecurity.
Washington is the second most populous state on the western coast of the US after California, with a population of 7.4 million people in 2017. Its total Gross State Product was US$506.4 billion (S$684 billion) in 2017.
Significant businesses within the state include the design and manufacture of aircraft, automotive, computer software development, retail, telecommunication, and tourism. You can consider partnering or investing in US companies in these sectors.
Washington is reputed as one of the best states for business and for making a living in US. The accolades it has won include:
Washington dominates aerospace innovation in the world. The state is anchored by Boeing and also hosts a rapidly growing space cluster featuring visionary companies such as Blue Origin and SpaceX.
More than 1,400 aerospace-related companies within the state serve as the supply chain for every major aircraft manufacturer and air carrier in the world. Its 136,000 highly-skilled workers produce 1,400 aircraft and unmanned aerial systems annually, manufacturing nearly 90% of all commercial aircraft in the United States.
If you own an aerospace company and want your business to soar to greater height, put Washington on your business expansion radar so that you can benefit from this dense ecosystem of innovation and invention.
Washington is the birthplace of legendary global tech giants such as Amazon and Microsoft. It is also home to the engineering offices for Apple, Alibaba, eBay, Google, Facebook, Salesforce, and Twitter.
Take your infocomm technology (ICT) business to Washington and you’ll be in good company of more than 14,000 ICT companies, from small startups to the industry’s biggest names. These companies employ nearly 200,000 people in technology-related jobs in augmented/virtual reality, artificial intelligence, blockchain, gaming, and mobile & cloud computing.
Capitalise on the strong ecosystem of innovation and invention, from funding to research institutes. Regardless the size of your company, you will find the cost of doing business and attracting top-tier talent lower in Washington than in California. The state also does not have a corporate or personal income tax.
If you are interested in the US market, take part in the Consumer Electronics Show 2019, the world's leading trade show for consumer technologies.