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Language: english
Created: Mon Aug 11 13:01:29 2008
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A-1
INFORMATION ON GOODS AND SERVICES
GOODS U.S./CANADA DATA EXCHANGE AND
SUBSTITUTION
CENSUS BASIS
The data for U.S. exports to Canada are derived from import
The Census basis goods data are compiled from the documents data compiled by Canada. The use of Canada's import data to
collected by the U.S. Customs and Border Protection and produce U.S. export data requires several alignments in order to
reflect the movement of goods between foreign countries and compare the two series.
the 50 states, the District of Columbia, Puerto Rico, the U.S.
Virgin Islands, and U.S. Foreign Trade Zones. They include 1. Coverage -- Canadian imports are based on country of
government and non-government shipments of goods, and origin. U.S. goods shipped from a third country are
exclude shipments between the United States and its territories included. U.S. exports exclude these foreign shipments.
and possessions, transactions with U.S. military, diplomatic For June 2008, these shipments totaled $78.2 million. U.S.
and consular installations abroad, U.S. goods returned to the export coverage also excludes certain Canadian postal
United States by its Armed Forces, personal and household shipments. For June 2008, these shipments totaled $25.2
effects of travelers, and in-transit shipments. The General million.
Imports value reflects the total arrival of merchandise from
foreign countries that immediately enters consumption U.S. import coverage includes shipments of railcars and
channels, warehouses, or Foreign Trade Zones. locomotives from Canada. Effective with January 2004
statistics, Canada excludes these shipments from its goods
For imports, the value reported is the U.S. Customs and exports to the United States, therefore creating coverage
Border Protection appraised value of merchandise; generally, differences between the two countries for these goods.
the price paid for merchandise for export to the United States.
Import duties, freight, insurance, and other charges incurred in 2. Valuation -- Canadian imports are valued at the point of
bringing merchandise to the United States are excluded. origin in the United States. However, U.S. exports are
valued at the port of exit in the United States and include
Exports are valued at the f.a.s.- free alongside ship value of inland freight charges, making the U.S. export value
merchandise at the U.S. port of export, based on the slightly larger. Canada requires inland freight to be
transaction price including inland freight, insurance, and other reported. Inland freight charges for June 2008 accounted
charges incurred in placing the merchandise alongside the for 2.2 percent of the value of U.S. exports to Canada.
carrier at the U.S. port of exportation.
3. Reexports -- U.S. exports include reexports of foreign
Monthly data include actual month's transactions as well as a goods. Again, the aggregate U.S. export figure is slightly
small number of transactions for previous months. Each larger. For June 2008, reexports to Canada were $3,266.4
month we revise the aggregate seasonally adjusted (current million.
and chain-weighted dollar) and unadjusted export, import and
trade balance figures, as well as the end-use totals for the prior 4. Exchange Rate -- Average monthly exchange rates are
month. SITC and country detail data are not revised monthly. applied to convert the published data to U.S. currency. For
The timing adjustment shown in Exhibit 14 is the difference June 2008, the average exchange rate was 1.0166 Canadian
between monthly data as originally reported and as dollars per U.S. dollar.
recompiled. Quarterly revisions are made to the chain-
weighted dollar series. In the last month of each quarter, the 5. Other -- There are other minor differences, which are
current and previous quarter are revised to incorporate the statistically insignificant, such as rounding error.
Bureau of Labor Statistics' monthly revisions and align
Census and the U.S. Bureau of Economic Analysis' quarterly
data. Annual revisions for the months are made in June to
reflect corrections received subsequent to the monthly
revisions. These revisions are reflected in totals, end-use,
SITC, and country summary data. The monthly end-use,
commodity, and country area data presented in this release are
on a Census basis. This refers to Exhibits 6 - 18.
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Canadian Estimates AREA GROUPINGS (See Exhibits 14 and 14A)
Effective with January 2001 statistics, the current month data North America - Canada, Mexico
for exports to Canada contain an estimate for late arrivals and
corrections. The following month, this estimate is replaced, in Europe - Albania, Andorra, Armenia, Austria, Azerbijan,
the press release tables only, with the actual value of late Belarus, Belgium, Bosnia-Hercegovina, Bulgaria, Croatia,
receipts and corrections. This estimate improves the current Cyprus, Czech Republic, Denmark, Estonia, Faroe Islands,
month data for exports to Canada and treats late receipts for Finland, France, Georgia, Germany, Gibraltar, Greece,
exports to Canada in a manner more consistent with the Hungary, Iceland, Ireland, Italy, Kazakhstan, Kosovo,
treatment of late receipts for exports to other countries. Kyrgyzstan, Latvia, Liechtenstein, Lithuania, Luxembourg,
Macedonia, Malta, Moldova, Monaco, Montenegro,
Nonsampling errors Netherlands, Norway, Poland, Portugal, Romania, Russia, San
Marino, Serbia, Slovakia, Slovenia, Spain, Svalbard-Jan Mayen
The goods data are a complete enumeration of documents Island, Sweden, Switzerland, Tajikistan, Turkey, Turkmenistan,
collected by the U.S. Customs and Border Protection and are Ukraine, United Kingdom, Uzbekistan, Vatican City.
not subject to sampling errors; but they are subject to several
types of nonsampling errors. Quality assurance procedures are European Union - Austria, Belgium, Bulgaria, Cyprus, Czech
performed at every stage of collection, processing and Republic, Denmark, Estonia, Finland, France, Germany,
tabulation; however the data are still subject to several types Greece, Hungary, Ireland, Italy, Latvia, Lithuania,
of nonsampling errors. The most significant of these include Luxembourg, Malta, Netherlands, Poland, Portugal, Romania,
reporting errors, undocumented shipments, timeliness, data Slovakia, Slovenia, Spain, Sweden, United Kingdom.
capture errors, and errors in the estimation of low-valued
transactions. Euro Area - Austria, Belgium, Cyprus, Finland, France,
Germany, Greece, Ireland, Italy, Luxembourg, Malta,
Reporting Errors: Reporting errors are mistakes or omissions Netherlands, Portugal, Slovenia, Spain.
made by importers, exporters or their agents in their import or
export declarations. Most errors involve missing or invalid Pacific Rim - Australia, Brunei, China, Hong Kong, Indonesia,
commodity classification codes and missing or incorrect Japan, Korea, Macao, Malaysia, New Zealand, Papua New
quantities or shipping weights. They have a negligible effect Guinea, Philippines, Singapore, Taiwan.
on import, export and balance of trade statistics. However,
they can affect the detailed commodity statistics. South/Central America - Anguilla, Antigua and Barbuda,
Argentina, Aruba, Bahamas, Barbados, Belize, Bermuda,
Undocumented Shipments: Federal regulations require Bolivia, Brazil, British Virgin Islands, Cayman Islands, Chile,
importers, exporters or their agents to report all merchandise Colombia, Costa Rica, Cuba, Dominica, Dominican Republic,
shipments above established exemption levels. The U.S. Ecuador, El Salvador, Falkland Islands, French Guiana,
Census Bureau has determined that not all required documents Grenada, Guadeloupe, Guatemala, Guyana, Haiti, Honduras,
are filed, particularly for exports. Jamaica, Martinique, Montserrat, Netherlands Antilles,
Nicaragua, Panama, Paraguay, Peru, St. Kitts and Nevis, St.
Timeliness and Data Capture Errors: The U.S. Census Lucia, St. Vincent and the Grenadines, Suriname, Trinidad and
Bureau captures import and export information from Tobago, Turks and Caicos Islands, Uruguay, Venezuela.
administrative documents and through various automated
collection programs. Documents may be lost, and data may be OPEC - Algeria, Angola, Ecuador, Indonesia, Iran, Iraq,
incorrectly keyed, coded or recorded. Transactions may be Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, United Arab
included in a subsequent month's statistics if received late. Emirates, Venezuela.
Low-valued Transactions: The total values of transactions Africa - Algeria, Angola, Benin, Botswana, British Indian
valued as much as or below $2,500 for exports and $2,000 Ocean Territories, Burkina, Burundi, Cameroon, Cape Verde,
($250 for certain quota items) for imports are estimated for Central African Republic, Chad, Comoros, Congo
each country, using factors based on the ratios of low-valued (Brazzaville), Congo (Kinshasa), Djibouti, Egypt, Equatorial
shipments to individual country totals for past periods. Guinea, Eritrea, Ethiopia, French Southern and Antarctic
Lands, Gabon, Gambia, Ghana, Guinea, Guinea-Bissau, Ivory
The U.S. Census Bureau recommends that data users Coast, Kenya, Lesotho, Liberia, Libya, Madagascar, Malawi,
incorporate this information into their analyses, as Mali, Mauritania, Mauritius, Mayotte, Morocco, Mozambique,
nonsampling errors could impact the conclusion drawn from Namibia, Niger, Nigeria, Reunion, Rwanda, St. Helena, Sao
the results. For a detailed discussion of errors affecting the Tome and Principe, Senegal, Seychelles, Sierra Leone,
goods data, see "U.S. Merchandise Trade Statistics: A Quality Somalia, South Africa, Sudan, Swaziland, Tanzania, Togo,
Profile" available on the internet at www.census.gov/foreign- Tunisia, Uganda, Western Sahara, Zambia, Zimbabwe.
trade/aip/index.html#infopapers or from the Foreign Trade
Division, U.S. Census Bureau.
A-3
Adjustments for Seasonal and Working-Day Variations Advanced Technology Products (ATP)
Goods are initially classified under the Harmonized System About 500 of some 22,000 commodity classification codes
(HS) which describes and measures the characteristics of used in reporting U.S. merchandise trade are identified as
goods traded. Combining trade into approximately 140 export "advanced technology" codes and they meet the following
and 140 import end-use categories makes it possible to criteria:
examine goods according to their principal uses (See Exhibits
7 and 8). These categories are used as the basis for computing 1. The code contains products whose technology is from a
the seasonal and working-day adjusted data. These adjusted recognized high technology field (e.g., biotechnology).
data are then summed to the six end-use aggregates for
publication (Exhibit 6). These data are provided to the U.S. 2. These products represent leading edge technology in that
Bureau of Economic Analysis, from the U.S. Census Bureau, field.
for use in the Balance of Payments and the National Income
and Product Accounts. 3. Such products constitute a significant part of all items
covered in the selected classification code.
The seasonal adjustment procedure is based on a model that
estimates the monthly movements as percentages above or The aggregation of the goods results in a measure of advanced
below the general level of each end-use commodity series technology trade which appears in Exhibits 16 and 16A. This
(unlike other methods that redistribute the actual series values product and commodity-based measure of advanced technology
over the calendar year). Because of the extremely variable differs from broader NAICS industry-based measures which
movements of the data series for aircraft, users studying data include all goods produced by a particular industry group,
trends may wish to analyze aircraft separately from other regardless of the level of technology embodied in the goods.
trade.
BALANCE OF PAYMENTS (BOP) BASIS
Adjustments for Price Change
Goods on a Census basis are adjusted by the U.S. Bureau of
Data adjusted for seasonal variation on a chained-dollar basis Economic Analysis to goods on a BOP basis to bring the data
(2000 base year) are presented in Exhibits 10 and 11. This in line with the concepts and definitions used to prepare the
adjustment for price change is done using the Fisher chain- international and national accounts. Broadly, the adjustments
weighted methodology. The deflators are primarily based include changes in ownership that occur without goods passing
upon the monthly price indexes published by the Bureau of into or out of the customs territory of the United States. These
Labor Statistics using techniques developed for the National adjustments are necessary to supplement coverage of the
Income and Product Accounts by the U.S. Bureau of Census basis data, to eliminate duplication of transactions
Economic Analysis. recorded elsewhere in the international accounts, and to value
transactions according to a standard definition.
SITC Data
The export adjustments include:
Goods data appearing in Exhibit 15 are classified in terms of
the Standard International Trade Classification (SITC) U.S. military sales contracts - This deduction of U.S.
Revision 3. Agricultural goods consist of non-marine food military sales contracts is made because the U.S. Census
products and other products of agriculture which have not Bureau has included these contracts in the goods data, but
passed through complex processes of manufacture, such as BEA includes them in the service category "Transfers Under
raw hides and skins, fats and oils, and wine. A few goods such U.S. Military Sales Contracts." BEA's source material for
as essential oils, starches, casein, and albumin, considered to these contracts is more comprehensive, but has no distinction
be agricultural by the U.S. Department of Agriculture, have between goods and services.
been excluded from agricultural goods and are included in
manufactured goods where they are classified in the SITC. Private gift parcels - This addition is made for parcels
mailed to foreigners by individuals through the U.S. Postal
Manufactured goods conform to the SITC sections that Service. (Only commercial shipments are covered in Census
include chemicals and related products; manufactured goods goods exports.)
classified chiefly by material; machinery and transport
equipment; miscellaneous manufactured articles; and goods Gold exports, nonmonetary - This addition is made for gold
and transactions not classified elsewhere. that is purchased by foreign official agencies from private
dealers in the United States and held at the Federal Reserve
Reexports are foreign merchandise entering the country as Bank of New York. The Census data only include gold that
imports, and at the time of exportation are in substantially the leaves the customs territory.
same condition as when imported. Reexports, included in
overall export totals, appear as separate line items in Exhibit
15.
A-4
Some smaller adjustments are also made to exports: is "Direct Defense Expenditures." The following is a brief
Deductions for repairs of goods, developed motion picture description of the types of services included in each category:
film, and military grant-aid. Additions for sales of fish in
U.S. territorial waters, exports of electricity to Mexico, and Travel - Purchases of services and goods by U.S. travelers
vessels and oil rigs that change ownership for which no abroad and by foreign visitors to the United States. A
export document is filed. traveler is defined as a person who stays for a period of
less than 1 year in a country of which the person is not a
The import adjustments include: resident. Includes expenditures for food, lodging,
recreation, gifts, and other items incidental to a foreign
Inland freight in Canada - An addition is made for inland visit.
freight in Canada. Imports of goods from all countries are
valued at the foreign port of export, including inland freight Passenger Fares - Fares paid by residents of one country
charges ("customs value"). In the case of Canada, this to residents of other countries. Receipts consist of fares
should be the cost of the goods at the U.S. border. received by U.S. carriers from foreign residents for travel
However, the customs value for imports for certain between the United States and foreign countries and
Canadian goods is the point of origin in Canada. The BEA between two foreign points. Payments consist of fares paid
makes an addition for the inland freight charges of by U.S. residents to foreign carriers for travel between the
transporting these Canadian goods to the U.S. border to United States and foreign countries.
make the value comparable to the customs value as reported
by all other countries. Insurance and freight charges for Other Transportation - Charges for the transportation of
transporting goods to the United States from all other goods by ocean, air, waterway, pipeline, and rail carriers to
countries to the U.S. border are included in services by the and from the United States. Includes freight charges,
BEA. (The same procedure is used for Mexico as an Other operating expenses that transportation companies incur in
Adjustment, but is much smaller.) foreign ports, and payments for vessel charter and aircraft
rentals with crew.
Gold imports, nonmonetary - This addition is made for
gold sold by foreign official agencies to private purchasers Royalties and License Fees - Transactions with affiliated
out of stock held at the Federal Reserve Bank of New York. and unaffiliated foreign residents. (The term "affiliated"
The Census data only include gold that enters the customs refers to a direct investment relationship, which exists
territory. when a U.S. person has ownership or control, directly or
indirectly, of 10 percent or more of a foreign business
Imports by U.S. military agencies - This deduction of U.S. enterprise's voting securities or the equivalent, or when a
military sales contracts is made because the U.S. Census foreign person has a similar interest in a U.S. enterprise.)
Bureau has included these contracts in the goods data, but Transactions involve intangible assets and proprietary
BEA includes them in the service category "Direct Defense rights such as the use of patents, techniques, processes,
Expenditures." BEA's source material is more formulas, designs, know-how, trademarks, copyrights,
comprehensive, but has no distinction between goods and franchises, and manufacturing rights. The term "royalties"
services. generally refers to payments for the utilization of
copyrights or trademarks, and the term "license fees"
Some smaller adjustments are also made to imports: generally refers to payments for the use of patents or
Deductions for repairs of goods and developed motion industrial processes.
picture film. Additions for imported electricity from
Mexico, conversion of vessels for commercial use, repairs Other Private Services - Transactions with affiliated and
to U.S. vessels abroad, and valuation of prepackaged unaffiliated foreign residents. (The term "affiliated" refers
software imports at market value. to a direct investment relationship, which exists when a
U.S. person has ownership or control, directly or indirectly,
SERVICES of 10 percent or more of a foreign business enterprise's
voting securities or the equivalent, or when a foreign
The statistics are estimates of services transactions between person has a similar interest in a U.S. enterprise.)
foreign countries and the 50 states, the District of Columbia, Transactions consist of education services; financial
Puerto Rico, the U.S. Virgin Islands, and other U.S. territories services (includes commissions and other transactions fees
and possessions. Transactions with U.S. military, diplomatic, associated with the purchase and sale of securities and
and consular installations abroad are excluded because they noninterest income of banks, and excludes investment
are considered to be part of the U.S. economy. income); insurance services; telecommunications services
(includes transmission services and value-added services);
Services are shown in seven broad categories. Types of and business, professional, and technical services. Included
services for imports and exports are the same for six of the in the last group are advertising services; computer and
seven categories. For the seventh, exports is "Transfers Under data processing services; database and other information
U.S. Military Sales Contracts" while for imports the category services; research, development, and testing services;
A-5
management, consulting, and public relations services; Quarterly and annual
legal services; construction, engineering, architectural, estimates of services are MONTHLY RELEASE
and mining services; industrial engineering services; included as part of the U.S. SCHEDULE
installation, maintenance, and repair of equipment; and international transactions
other services, including medical services and film and accounts, published in the Mon Date Day
h
tape rentals. January, April, July, and Jan 03-11-08 Tuesday
October issues of the Survey Feb 04-10-08 Thursday
Transfers Under U.S. Military Sales Contracts of Current Business. The Mar 05-09-08 Friday
(Exports only) - Exports of goods and services in which next release of the U.S. Apr 06-10-08 Tuesday
U.S. Government military agencies participate. Includes international transactions May 07-11-08 Friday
both goods, such as equipment, and services, such as accounts is scheduled for Jun 08-12-08 Tuesday
repair services and training, that cannot be separately September 17, 2008. The Jul 09-11-08 Thursday
identified. Survey is available from the Aug 10-10-08 Friday
Superintendent of Sep 11-13-08 Thursday
Direct Defense Expenditures (Imports only) - Documents, U.S. Oct 12-11-08 Thursday
Expenditures incurred by U.S. military agencies abroad, Government Printing Office,
Washington, D.C. 20402, or online at
including expenditures by U.S. personnel, payments of
wages to foreign residents, construction expenditures, www.bea.gov/scb/index.htm.
payments for foreign contractual services, and
procurement of foreign goods. Includes both goods and ELECTRONIC AVAILABILITY
services that cannot be separately identified.
The FT-900 and supplement are available on the following:
U.S. Government Miscellaneous Services - Transactions
INTERNET The U.S. International Trade in Goods and
of U.S. Government nonmilitary agencies with foreign
Services reports are available at: www.census.gov/ft900 or
residents. Most of these transactions involve the
www.bea.gov/newsreleases/international/trade/tradnewsrelease.htm.
provision of services to, or purchases of services from,
foreigners; transfers of some goods are also included.
STAT-USA The U.S. Department of Commerce's electronic
information facility. Call 1 800 STAT-USA for product
Services estimates are based on quarterly, annual, and
information.
benchmark surveys and partial information generated from
monthly reports. Service transactions are estimated at market
Additional data and information on goods are obtainable from:
prices. Estimates are seasonally adjusted when statistically
Foreign Trade Division, U.S. Census Bureau, Washington,
significant seasonal patterns are present. No country or area
D.C. 20233
detail is available due to the lack of adequate source data upon
which to base estimates.
Additional data and information on services are obtainable
from: Balance of Payments Division, U.S. Bureau of
The revision policy is as follows: Each month, a preliminary
Economic Analysis, Washington, D.C. 20230
estimate for the current month and a revised estimate for the
immediately preceding month are released. After a revised
month is released, no further changes are made to that month
until more complete source data become available in March,
June, September, and December. The releases in March, June,
September, and December contain revised data for the
previous six months. The release in March also contains
revisions for all months of the previous year in order to align
the seasonally adjusted monthly data with annual totals. The
release in June contains annual revisions, which reflect
updated source data and changes in estimating methodologies.