International companies assign high priorities to establishing, broadening, and deepening their physical presence and innovation activities in the United States and are deeply committed to their U.S. operations.
The data suggest that international companies (especially in the manufacturing sector) are investing heavily—and at a much higher rate of increase than are domestic companies—in fixed capital and research and development initiatives.
This commitment by international companies to producing in the United States now and in the future should be heartening to Americans. It provides a counterforce to the anemic overall rate of real growth in capital investment that might otherwise negatively affect future U.S. output, wealth creation, and living standards.
Between 2001 and 2015, international companies:
- Increased their stock of property, plant, and equipment in the United States from $1 trillion to $2.2 trillion, or by 67.1 percent in real terms.
- Increased PPE expenditures from $123 billion to $254 billion, or by 58.6 percent in real terms.
- Raised their annual spending on research and development from $26.5 billion to $56.7 billion, or by 70.7 percent in real terms.