The economy needs more foreign direct investment, not less – Washington Examiner

Foreign Direct Investment: A Key Driver of Economic Growth

Foreign direct investment has always been integral to economic growth in the United States. We’ve seen foreign companies bring not just capital but innovation, opportunity, and good jobs to our local communities and industries across the country.

The Importance of Sustainable Development Goals (SDGs)

1. SDG 8: Decent Work and Economic Growth
2. SDG 9: Industry, Innovation, and Infrastructure
3. SDG 17: Partnerships for the Goals

As global competition continues to intensify, it’s imperative that we continue to attract and sustain this kind of investment. Foreign-owned firms employ nearly 8 million Americans, and foreign countries have invested more than $5 trillion in American companies.

Success Stories of Foreign Direct Investment

• Olympus: Japanese optical and digital precision technology manufacturer
• B. Braun: German medical device and pharmaceutical company
• Mack Trucks: Swedish company Volvo’s assembly plant in Pennsylvania
• Bosch Rexroth: German multinational Bosch’s subsidiary advancing automation and energy-efficient technologies
• Lafarge, Heidelberg Cement, Buzzi Unicem, and F.L. Smidth: European-based companies contributing to cement production in the Lehigh Valley
• BMW: German car manufacturer employing over 11,000 people in South Carolina
• Tenaris: Luxembourg-owned steel pipe producer creating jobs and investing in the surrounding community in Texas
• 7-Eleven and Burger King: National American chains benefiting from foreign direct investment

The next great foreign direct investment success story could be Nippon Steel and U.S. Steel. This partnership has the potential to generate a nearly $1 billion economic impact in Pennsylvania, bringing in more than $38 million in taxes and creating more than 5,000 jobs across the state.

Reinforcing Steelmaking as a Key Pillar of the Economy

This deal represents more than just an acquisition; it’s an opportunity to reinforce steelmaking as a key pillar of both the regional economy and the U.S. manufacturing sector. With foreign direct investment playing a crucial role in strengthening Pennsylvania’s industrial base, this partnership could exemplify the positive impact of global investment on local communities.

I witnessed firsthand the consequences of missing critical opportunities such as this when Bethlehem Steel, the company my father worked for, went bankrupt and shut down in 2003. Turning their backs on foreign investment cost this industry thousands of jobs and devastated the local community.

The Importance of Recognizing Foreign Investment

To overlook the tremendous benefits foreign direct investment has brought to Pennsylvania and throughout the country would be malpractice. The proposed Nippon Steel and U.S. Steel deal represents a critical moment for both Pennsylvania and the American manufacturing sector, one that is essential to safeguarding thousands of jobs, protecting our local economies, and maintaining our competitive edge in the global marketplace. We ought to recognize foreign investment for what it truly is — a vital lifeline for our economy.

Charlie Dent served as a U.S. representative for Pennsylvania from 2005 to 2018.

SDGs, Targets, and Indicators Analysis

1. Which SDGs are addressed or connected to the issues highlighted in the article?

• SDG 8: Decent Work and Economic Growth
• SDG 9: Industry, Innovation, and Infrastructure
• SDG 17: Partnerships for the Goals

The article discusses the importance of foreign direct investment in driving economic growth, creating jobs, and fostering innovation. These issues align with SDG 8, which aims to promote sustained, inclusive, and sustainable economic growth, full and productive employment, and decent work for all. Additionally, the article highlights the role of foreign investment in supporting industries and infrastructure, which relates to SDG 9. Lastly, the article emphasizes the need for partnerships and collaboration between countries and companies, which aligns with SDG 17.

2. What specific targets under those SDGs can be identified based on the article’s content?

• SDG 8.1: Sustain per capita economic growth in accordance with national circumstances and, in particular, at least 7 percent gross domestic product growth per annum in the least developed countries
• SDG 8.2: Achieve higher levels of economic productivity through diversification, technological upgrading, and innovation, including through a focus on high-value added and labor-intensive sectors
• SDG 9.1: Develop quality, reliable, sustainable, and resilient infrastructure, including regional and transborder infrastructure, to support economic development and human well-being, with a focus on affordable and equitable access for all
• SDG 9.3: Increase the access of small-scale industrial and other enterprises, in particular in developing countries, to financial services, including affordable credit, and their integration into value chains and markets
• SDG 17.16: Enhance the global partnership for sustainable development, complemented by multi-stakeholder partnerships that mobilize and share knowledge, expertise, technology, and financial resources, to support the achievement of the sustainable development goals in all countries, in particular developing countries

Based on the article’s content, the specific targets that can be identified are related to promoting economic growth, diversification, innovation, infrastructure development, support for small-scale enterprises, and fostering global partnerships.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

• Gross domestic product (GDP) growth rate
• Employment rate and number of jobs created
• Investment amount from foreign countries
• Economic impact analysis (e.g., economic impact in terms of job creation, tax revenue, and overall economic growth)

The article mentions indicators such as GDP growth rate, employment rate, investment amount from foreign countries, and economic impact analysis. These indicators can be used to measure progress towards the identified targets, as they provide quantitative data on economic growth, job creation, and the impact of foreign investment.

SDGs, Targets, and Indicators Table

Source: washingtonexaminer.com