Connecticut companies exported $14.4 billion in goods and services during 2016, according to the sixth biennial International Trade Survey of Connecticut Businesses published by the Connecticut Business & Industry Association. The Nutmeg State was responsible for 1.5 percent of all U.S. exports last year, while 77 percent of companies surveyed for the CBIA Â said they were engaged in international trade.
And where are Connecticut”™s exports going? The CBIA reported that the largest overseas markets were North America (73 percent), Western Europe (63 percent), and three major Pacific Rim economies ”“ China, Japan, and Taiwan (51 percent).
“This survey shows that there are numerous Connecticut companies with a significant part of their business dedicated to exporting,” CBIA economist Pete Gioia said. “The challenge for the state is to encourage more businesses to get involved in exporting, as well as grow participation for occasional exporters.”
But overcoming that challenge is not an easy task ”“ 79 percent of respondents blamed the state”™s taxes as being a disincentive to doing business in Connecticut. But on the other hand, 70 percent of respondents said they took advantage of the state”™s research and development tax credit, while 48 percent claimed the domestic production deduction, 14 percent utilized IC-DISC and 38 percent found benefits in other state tax incentives.
This article has been updated from its original posting to reflect a change in the percentage of exports.
