Foreign Affiliate Trade Statistics - Canadian Operations Abroad, 1999 to 2001

Abstract

Canadian goods and services can be sold in the international market either through crossborder exports or through foreign affiliates. Cross-border exports involve Canadian companies producing the goods and services in Canada and exporting them to the foreign markets. Sales through foreign affiliates involve establishing a commercial presence in the foreign market from which to conduct business transactions. Foreign Affiliate Trade Statistics (FATS) measure both the operations of (i) foreign-owned affiliates in Canada and (ii) affiliates of Canadian firms located abroad. This report covers the activities of foreign affiliates of Canadian multinationals abroad or outward FATS. It is a follow-up to a previous report titled Foreign Affiliate Trade Statistics- 1999, How Goods and Services are Delivered in International Markets. Continuing globalization of the world economy, and an increasing occurrence of trade agreements have created a need for this type of information. With this second release of FATS data, the data for 2000 and 2001 are being added to the 1999 data released last year. Comparing FATS data with cross-border exports further examines the relationship between exports and foreign direct investment. Other characteristics such as industrial activity, location, goods/services composition and affiliate size are presented as part of the overall descriptive analysis.