France, a major economic power - Special advertising section

Nation's Business, March, 1988 by Jean-Daniel Tordjman

France, A Major Economic Power

On behalf of the French authorities, I commend the U.S. Chamber of Commerce for this special section in Nation's Business magazine on French-American economic and trade relations.

With a gross national product on the order of one sixty of that of the United States, France is a major economic power, a major participant in world trade and a gateway to the European market of 323 million affluent consumers.

Worldwide, France is the fourth-ranking exporter, after Germany, the United States and Japan. In 1987, French exports were nearly $145 billion--equal to two thirds of total U.S. exports. The same year, the value of French imports reached $135 billion, close to Japan's total. Bilateral trade between the United States and France has been soaring since 1980 and is now better balanced.

By and large, the United States and France share the same philosophy on economic issues, and the interests of our two countries are clearly convergent.

U.S. investments in France, which have brought American experience and dynamic management methods, have contributed greatly to our economy in terms of job creation and exports. They are strongly encouraged by the French government. The French business community is responding to the economic and technological challenges facing all industrial nations moving toward a new century. France has shed its provincialism and adopted the kind of corporate strategies that are making its products serious competitors worldwide: so-phisticated marketing techniques, bolder investment strategies, increased diversification and specialization, higher research-and-development budgets and the establishment of marketing and manufacturing facilities abroad.

More than 1,000 French firms have made direct investments in the United States and have contributed more than 150,000 jobs to the U.S. economy. Major joint ventures, such as General Electric/ Snecma, Thomson/GTE, Honeywell/Bull and CGE/ITT, are outstanding examples of successful cooperation between the United States and France.

Many French firms, responding to the incentives of strong economic prospects and favorable exchange rates, are currently increasing their investments in the United States and are negotiating major joint ventures or cooperative agreements. My role is to promote this cooperation, and I offer my services to help find French suppliers for U.S. firms interested in distributing French products in the United States.

In the current economic environment, Franco-American cooperation is a key to prosperity.