Market Briefing on Hungary and Poland Mobile, Birmingham, and Huntsville, Alabama September 13-15,2011 Silvia Savic

1. Market Briefing on Hungary and Poland Mobile, Birmingham, and Huntsville, Alabama September 13-15,2011 Silvia Savich Senior International Trade Specialist Washington, DC U.S. Department of Commerce

9. Famous Hungarians! 18 Nobel Peace Prize Winners Erno Rubik-inventor of Rubik�s cube Estee Lauder-cosmetics George Pataki-Governor, New York William Fox-founder of Fox Studios Calvin Klein-Apparel

10. Why Hungary? EU Access Modern legal and political conformity with the EU Logistical Hub: strategic location and sound infrastructure Highly skilled and educated workforce Leader in shared service centers and call centers

11. Economic Conditions in Hungary GDP growth in 2010: 1.2 % (2.1% estimated in 2011) Inflation: 3% Unemployment: 11%

12. Political Conditions Parliamentary democracy Prime Minister Viktor Orban (since April 2010) Center right Fidesz-Hungarian Civic Union (Fidesz) has two-thirds super majority.

13. U.S.-Hungarian Commercial Relationship Bilateral trade in 2010 was $3.6 billion (U.S. exports $1.2 billion and imports $2.4) Total U.S. investment in Hungary since 1989 more than $9 billion. 100% U.S. owned companies in Hungary: 811

14. Major U.S. Investors in Hungary General Electric (Largest U.S. investment) Alcoa (product development) Cisco Systems (service center) Morgan Stanley (financial services) Zoltek (carbon-fiber maker) IBM (financial services)

15. Best Business Prospects Consumer Electronics Computer Hardware and Software Green Building Logistic Services Renewable Energy Travel and Tourism Services and Investments Agricultural sectors Planting seeds Poultry and bovine breeding stocks Dried fruits and Nuts (including peanuts)

17. Why Poland? EU Access Modern legal and political conformity with the EU GDP growth Economic diversity Connection to the German economy Strong currency Location!

18. Poland in the European Union Poland now holding EU Presidency Largest recipient of EU aid; over $ 8 billion annually 38 million Poles= 7.8% of EU population Relatively young population

19. Economic Conditions in Poland Polish economy is doing well Real GDP growth: 4.3 % (exceeding the EU average by 2.5-3 %) Inflation: 2.3% Unemployment: 7%

20. Political Conditions Parliamentary democracy Parliamentary elections scheduled for October 19. Prime Minister Donald Tusk (since November 2007) Center-right Civic Platform coalition

21. U.S.-Polish Commercial Relationship U.S. products and services seen as high quality Two way trade in 2010 was $6 billion. U.S. exports accounted for $3 billion. The U.S. is the 5th largest investor in Poland 140,000 + Poles employed by U.S. firms Over 300 subsidiaries of U.S. companies

22. Major U.S. Investors in Poland IBM Hewlett Packard Google Pittsburgh Glass Works UTC

23. Best Business Prospects Nuclear Energy Gas Drilling and Equipment Green Building Products and Technology Water Infrastructure Process Controls Medical Equipment and Services Machine Tools Wireless Telecommunication Equipment and Services General Aviation

24. Energy Sector Over 90% of electricity from coal-fired plants 44% power plants older than 30 years; another 33% between 20 and 30 years old To meet EU emission targets, Poland is introducing nuclear power and increasing renewables Wind, biomass and biogas offer best potential

25. Shale Gas Development Largest estimated shale gas reserves in Europe Major energy companies have committed hundreds of millions to exploration programs Strong support from the Polish Government When geology is proven, a huge demand for service companies and equipment is expected

26. Market Access and Compliance (ensuring fair trade and market access for U.S. companies) U.S. Foreign Commercial Service (trade promotion) Import Administration (enforcing trade laws i.e. anti-dumping and countervailing duties) Manufacturing and Services (industry experts)

27. Identifies and overcomes trade barriers, resolves trade policy issues, and ensures that our trading partners fully meet their obligations under our trade agreements. MAC ensures access to world markets for American companies and workers so they can compete on a �level playing field.� MAC�s country desk officers: experts on the commercial, economic, and political climates in their assigned countries. Focus on resolving trade complaints and market access issues, such as: intellectual property rights, quotas, customs, transparency

28. Trade promotion arm of the International Trade Administration Assist small and medium sized enterprises to grow business internationally Worldwide and domestic network of offices and trade experts

29. Export-Import Bank (Ex-Im) www.exim.gov Overseas Private Investment Corporation (OPIC) www.opic.gov U.S. Trade and Development Agency (TDA) www.tda.gov

30. Tips Contact the local or American Chamber of Commerce. Contact multinational law firm/local law firm office. Know the local business and cultural practices. Be open-minded. You need to be in constant contact with your contacts in Europe.

31. VISIT THE INTERNATIONAL TRADE ADMINSTRATION AT WWW.TRADE.GOV

32. Poland: U.S. Commercial Service Warsaw RJ Donovan, Senior Commercial Officer Poznanska Street 2/4 IPC Business Center, IV floor 00-680 Warsaw, Poland Phone: 48-22-625-4374 Fax: 48-22-621-6327 E-mail: Office.Warsaw@trade.gov

33. Hungary: U.S. Commercial Service Budapest Robert Peaslee, Senior Commercial Officer Bank Center, Granite Tower Szabads�g t�r 7. Budapest, H-1054, Hungary Tel: (36 )1 475-4090 Fax: (36) 1 475-4676 E-mail: budapest.office.box@trade.gov

34. Silvia Savich Senior International Trade Specialist 1401 Constitution Ave. H-3319 Washington, DC 20230 E-mail: Silvia.Savich@trade.gov Tel: (202) 482-4915 Fax: (202) 482-4505