U.S. international services: cross-border trade in 2004 and sales through affiliates in 2003.

Nephew, Erin ; Koncz, Jennifer ; Borga, Maria 等

IN this presentation of U.S. international sales and purchases of services, the Bureau of Economic Analysis (BEA) takes a broad perspective that includes both transactions in services that cross borders through exports and imports, which are recorded in the international transactions accounts, and transactions in services through direct investment. This perspective recognizes the extent that multinational companies (MNCs) use their affiliates that are located in--but owned outside--the markets that they serve. It reflects the way that MNCs fashion their worldwide operations and the importance of proximity to customers in the delivery of services. Sales through affiliates have accounted for most of the services sold to foreign markets by U.S. companies and in the United States by foreign companies for many years (table A and chart 1).

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In 2004, U.S. exports of private services, at $323.4 billion, continued to exceed imports, resulting in a surplus of $65.3 billion on cross-border trade in services, slightly below the $66.9 billion surplus in 2003. Historically, the United States has run surpluses in cross-border trade in services, in contrast to the persistent and growing deficit on trade in goods, which reached $665.4 billion in 2004. U.S. sales of services abroad through foreign affiliates of U.S. companies have regularly exceeded U.S. purchases of services from U.S. affiliates of foreign companies. In 2003, the most recent year for which data are available, U.S. sales of services abroad through foreign affiliates, at $477.5 billion, exceeded U.S. purchases of services from U.S. affiliates by $96.1 billion.

In 2004, cross-border exports of services increased 11 percent, to $323.4 billion, after a 4-percent increase in 2003 (table B). The increase was mostly accounted for by increases in travel and "other private services" (such as education, financial services, insurance, and business, professional, and technical services). Cross-border imports increased 15 percent, to $258.1 billion, in 2004 after a 7-percent increase in 2003. All major categories of services imports increased sharply in 2004 (table C). Exports and imports of travel services both increased in 2004, marking a turnaround from 3 straight years of declines from peaks reached in 2000. Travel continues to be the largest category of services exported and imported by the United States, and it had the largest increases of all services in 2004.

In 2003, sales of services abroad through foreign affiliates of U.S. companies increased 13 percent--the largest increase since a 17-percent increase in 2000--after a 0.4-percent increase in 2002. Most of the growth in 2003 was attributable to existing affiliates; in 2000, much of the growth was accounted for by new affiliates that were acquired during the wave of cross-border mergers. In 2003, the growth in sales of services abroad partly reflected strong growth in U.S. direct investment abroad; the U.S. direct investment position abroad increased 11 percent in 2003, largely in services industries, including nonbank finance and insurance. Increases in sales of services were widespread across industries, partly reflecting the depreciation of the U.S. dollar against most major currencies, which boosted the dollar value of affiliates' foreign-currency-denominated revenues.

In 2003, U.S. purchases of services from U.S. affiliates of foreign companies grew 4 percent. In 2002, sales by U.S. affiliates were flat, reflecting the resolution of reporting issues involving U.S. affiliates in insurance. In 2003, growth in sales by U.S. affiliates was relatively slow despite an increase in outlays for new investment in the United States for the first time in 3 years and a pickup in U.S. economic growth. A decrease in sales of services by manufacturing affiliates with secondary activities in utilities and finance partly offset increases in sales by affiliates in other industries, particularly in insurance; much of the overall growth in other industries in 2003 was attributable to sales by new affiliates.

Comparisons between services delivered through cross-border trade and through nonbank majority-owned affiliates cannot be precise, because of differences in coverage, measurement, and classification. For example, data on cross-border trade are generally classified by type of service, but data on affiliates' sales are classified by primary industry of the affiliate. (2) Despite these differences, the large gap between sales through cross-border trade transactions and sales through affiliates suggests that the latter is the larger channel for both U.S. sales and U.S. purchases of private services (charts 2 and 3).

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The remainder of this article is organized in two major sections and includes an appendix. The first section presents preliminary estimates of U.S. cross-border exports and imports of private services for 2004 and revised estimates for 1992-2003, which represent international trade in the conventional sense of transactions between U.S. residents and foreign residents. These estimates are recorded in summary form in the U.S. international transactions accounts. (3)

The second section presents preliminary estimates of sales of services through nonbank majority-owned affiliates of multinational companies for 2003 and revised estimates for 2002; these sales represent international sales of services through the channel of direct investment (see the box "Channels of Delivery of Services Sold in International Markets" on this page). (4) The estimates of affiliates' sales of services are drawn from larger data sets on the operations of U.S. multinational companies and of U.S. affiliates of foreign companies, which are described in annual articles. (5)

In addition, the appendix "New Data and Other Improvements to the Estimates of Cross-Border Trade in Services" discusses BEA's recent improvements in data collection and methodology to the data on cross-border trade. The box "New Data on Insurance, Wholesale and Retail Trade, and Banking Services Sold through Affiliates" discusses new data items that BEA has recently begun to collect. The box "Revisions to the Estimates of International Services" discusses revisions to the estimates of cross-border trade and of sales through affiliates.

U.S. Cross-Border Trade in 2004

U.S. exports of private services (receipts) increased 11 percent, to $323.4 billion, in 2004 after a 4-percent increase in 2003. U.S. imports of private services (payments) increased 15 percent, to $258.1 billion, in 2004 after a 7-percent increase in 2003. For both exports and imports of private services, growth increased substantially in 2004. The step-up in exports in 2004 was strongly influenced by accelerating economic growth in major trading partners of the United States and by changes in the value of the dollar, which depreciated sharply in 2004 after depreciating in 2003. The step-up in imports was influenced by stronger economic growth in the United States.

Rates of growth in real gross domestic product (GDP) in several key partner countries accelerated, but these growth rates fell short of the strong economic growth in the United States in 2004. In the United States, real GDP grew 4.2 percent in 2004, up from 2.7 percent in 2003. In the United Kingdom, real GDP grew 3.2 percent in 2004, up from 2.5 percent in 2003; in the euro area, it grew 2.1 percent, up from 0.7 percent; in Canada, it grew 2.8 percent, up from 2.0 percent; and, in Japan, it grew 2.7 percent in 2004, up from 1.4 percent.

U.S. cross-border trade in services was also affected by changes in the foreign-currency value of the dollar. In 2004, the dollar depreciated 11 percent against the British pound, 9 percent against the euro, and 7 percent against the Canadian dollar and the Japanese yen. Since 2002, the dollar has depreciated 24 percent against the euro, 18 percent against the British pound, 17 percent against the Canadian dollar, and 14 percent against the Japanese yen. (6)

The sizable increase in total exports of private services in 2004 was mostly accounted for by increases in travel, in "other private services" (especially business, professional, and technical services), and in financial services (table C). The sizable increase in total imports of private services was mostly accounted for by increases in travel and in "other transportation."

Europe and Asia together accounted for two-thirds of total U.S. cross-border exports and imports of private services in 2004 (chart 4). The shares by area were virtually unchanged from those in 2003. Japan, the United Kingdom, Canada, and Mexico continue to be the largest services trading partners of the United States (table D).

Trade within multinational companies (affiliated trade) accounted for $85.8 billion, or 26 percent, of total exports of private services in 2004 and for $54.7 billion, or 21 percent, of total imports of private services (table E, page 33). Affiliated exports of private services increased 7 percent in 2004 after a 9-percent increase in 2003. Affiliated imports of private services increased 13 percent in 2004 after an 8-percent increase in 2003.

Cross-border trade in private services in the U.S. international transactions accounts consists of travel, passenger fares, "other transportation" royalties and license fees, and "other private services."

Travel

Receipts. Travel receipts increased 16 percent, to $74.5 billion, in 2004 after a 3-percent decrease in 2003. The increase was attributable to accelerating economic growth abroad and to the depreciation of the U.S. dollar; travel accounted for more of the dollar increase in U.S. exports of private services than any other component. The increase marks a turnaround from 3 years of declines since the peak in 2000 that were largely in response to the September 11th attacks in 2001, fears about terrorism, and concerns about the start of the war in Iraq and severe acute respiratory syndrome (SARS) in early 2003. The turnaround began in the last half of 2003, when travel receipts increased 13 percent in the third quarter and 11 percent in the fourth quarter.

Travel receipts from overseas (excluding Canada and Mexico) increased 16 percent in 2004 after decreasing 5 percent in 2003. Visitors from overseas increased 13 percent in 2004 after falling 6 percent in 2003. The number of visitors from Europe increased 9 percent, and the number of visitors from Asia increased 16 percent primarily because of an 18-percent increase in the number from Japan.

Travel receipts from Canada increased 16 percent in 2004 after increasing 9 percent in 2003, spurred by a strong Canadian economy and a 7-percent depreciation of the U.S. dollar against the Canadian dollar. For the past several years, four out of five Canadian visitors have traveled to the United States by automobile rather than by air. In 2004, Canadian visitors arriving by air increased 10 percent, and those arriving by auto increased 5 percent. Although air travelers accounted for a relatively small share of total travelers, they largely accounted for the increase in receipts in 2004 because of their longer stay.

Travel receipts from Mexico increased 10 percent in 2004 after increasing 2 percent in 2003. Most of the increase was due to receipts from visitors to the border area. A record number of Mexicans visited the United States in 2004; the number of visitors to the interior of the United States increased 12 percent, and the number of visitors to the border area increased 4 percent. Although almost 95 percent of Mexican travelers to the United States visited only the border area, receipts in the border area accounted for only 65 percent of travel receipts from Mexico.

Payments. Travel payments increased 14 percent, to $65.6 billion, in 2004 after a 2-percent decrease in 2003. The increase reflected the pickup in U.S. economic growth in 2004. Like the increase in travel receipts, the increase in payments in 2004 marks a turnaround from 3 years of annual declines since the peak in 2000. The turnaround began in the last half of 2003, when travel payments increased 13 percent in the third quarter and 5 percent in the fourth quarter. Travel payments had been dampened by the combined effects of September 11th, the start of the war in Iraq, and SARS, which disrupted travel from 2001 to 2003.

Travel payments to overseas countries (excluding Canada and Mexico) increased 15 percent in 2004 after decreasing 4 percent in 2003. The number of U.S. travelers to Europe increased 10 percent in 2004 after increasing 3 percent in 2003. The number of U.S. travelers to Asia increased 25 percent alter an 11-percent decrease. U.S. travelers spent considerably more money in Japan than in any other country in Asia, but travel payments to Hong Kong, China, and India each increased more than 50 percent in 2004; travel payments to China now rank second in payments to Asia and the Pacific, having surpassed payments to Australia.

Travel payments to Canada increased 13 percent in 2004 after decreasing 2 percent in 2003. The average expenditure of U.S. visitors to Canada increased 15 percent in 2004, partly reflecting the depreciation of the U.S. dollar. Like Canadian visitors to the United States, most U.S. travelers to Canada (four out of five) traveled by automobile rather than by air. Auto travelers account for most travel payments, but U.S. travelers by air typically spend more because of their longer stay. An 11-percent increase in travelers by air accounted for most of the increase in payments. The number of travelers by auto decreased 5 percent in 2004, a smaller decrease than the 14-percent decrease in 2003, which was especially sharp. In 2003, the SARS outbreak in Toronto, which is within driving distance of many major U.S. cities, affected travel by auto more than travel by air.

Travel payments to Mexico increased 13 percent in 2004 after increasing 7 percent in 2003. U.S. travel payments to the border area of Mexico increased 8 percent; U.S. travel payments to the interior of Mexico increased 15 percent. Because border area visits are typically day trips and trips to the Mexican interior are often longer and involve overnight stays, a relatively small increase in the number of visitors to the interior creates a relatively large increase in travel payments.

Passenger fares

Receipts. Receipts for passenger fares increased 20 percent, to $18.9 billion, in 2004 after an 8-percent decrease in 2003. The increase reflected a 13-percent increase in the number of visitors to the United States from overseas, an increase in the share of passengers on U.S.-flag carriers, and an increase in airline ticket prices due to higher fuel costs. The increase in the number of visitors from overseas was driven by the same factors that affected travel--accelerated economic growth abroad and the absence of major disruptions to travel. Most of the increase in receipts was accounted for by passenger fare receipts from Europe, particularly from the United Kingdom. Receipts from Asia also increased significantly, particularly receipts from Japan. This increase reflected both an increase in airline ticket prices due to higher fuel costs and recovery from the effects of SARS on the number of travelers from Asia. The effect of higher fuel prices on passenger fares was greater on Asian-Pacific routes than on Atlantic routes due to the longer distances and resulting higher fuel consumption for trans-Pacific flights. Like the increase in travel receipts, the increase in passenger fare receipts in 2004 marks a turnaround from 3 years of annual declines since 2000.

Payments. Payments for passenger fares increased 13 percent, to $23.7 billion, in 2004 after a 5-percent increase in 2003. The increase in 2004 reflected a 12-percent increase in the number of U.S. visitors overseas and an increase in airline ticket prices due to higher fuel costs; the share of U.S. travelers on foreign flag carriers changed little. After peaking in 2000, passenger fare payments fell in 2001 and 2002 and then partly recovered in 2003. In 2004, passenger fare payments almost regained their 2000 level.

Other transportation

Receipts. Receipts for "other transportation" services increased 18 percent, to $36.9 billion, in 2004 after a 7-percent increase in 2003. Both freight receipts and port services receipts increased, reflecting increases in the volume of both imports and exports (the volume of exports increased 9 percent in 2004 after increasing 2 percent in 2003, and the volume of imports increased 11 percent after increasing 5 percent). The increase in freight receipts reflected an increase in ocean freight rates, particularly freight rates for U.S.-operated tramp and tanker vessels.

The increase in port services receipts reflected the stepped-up volume of exports and imports, a 13-percent increase in the number of foreign visitors from overseas to the United States, and a 28-percent increase in jet fuel prices.

By area, much of the increase in receipts for "other transportation" services was from Europe, mainly from the United Kingdom, Germany, and France. However, receipts from Japan, China, and other countries in Asia also increased substantially. The increases reflected higher trade volumes with these countries.

Payments. Payments for "other transportation" services increased 21 percent, to $54.2 billion, in 2004 after a 16-percent increase in 2003. The increase in 2004 primarily reflected an increase in ocean freight payments, which resulted from increases in the volume of imports and in ocean freight rates. West Coast ports reported record volumes on liner vessels from July through November when imports from Asia surged. Moreover, carriers negotiated large rate increases with shippers early in the year on the basis of forecasts of continued strong import volumes.

Payments for port services also increased. Payments for air port services increased as a result of a 28-percent increase in jet fuel prices, an 8-percent increase in the volume of goods exports transported by U.S. air carriers, and a 12-percent increase in the number of U.S. travelers overseas; the increase in these payments was slightly offset by a decrease in payments for ocean port services.

By area, most of the increase in "other transportation" payments was accounted for by payments to Asia. Payments to Japan and China increased significantly, reflecting increased export and import volume with these countries. Payments to Europe also contributed, reflecting large increases in payments to Germany, the United Kingdom, and Norway.

Royalties and license fees

Receipts. U.S. receipts of royalties and license fees increased 9 percent, to $52.6 billion, in 2004 after an 8-percent increase in 2003. Most of the increase was accounted for by U.S. parents' receipts from their foreign affiliates; affiliated receipts accounted for nearly 75 percent of receipts for royalties and license fees in 2004, about the same share as in other recent years. Affiliated transactions in royalties and license fees tend to predominate; firms with marketable intellectual property usually prefer to exercise some degree of control over the distribution of this property because it may be instrumental to the firm's competitive position in the global market. (7) Of these affiliated receipts, 90 percent were accounted for by U.S. parents' receipts from their foreign affiliates and 85 percent of affiliated payments were accounted for by U.S. affiliates' payments to their foreign parents. The size of these shares reflects the fact that within multinational firms, the parent companies rather than the affiliates are generally the holders of intellectual property. U.S. parents' receipts from their foreign affiliates increased 8 percent in 2004, mostly from affiliates in information services and transportation equipment manufacturing.

U.S. companies' receipts from unaffiliated foreign companies increased 11 percent, to $13.6 billion in 2004. The increase was mostly accounted for by receipts for the use of industrial processes, including patents and trade secrets, which are used in connection with the production of goods. The increase was also attributable to receipts for trademarks--the rights to use products under a particular trademark, brand name, or signature. Unaffiliated receipts for the rights to distribute and use general-use computer software changed little in 2004 after decreasing in 2003. Additional receipts from software licensing agreements were transacted through affiliated channels, but the value of these receipts cannot be separately identified (see the "Delivery of Computer Services to Foreign Markets").

Payments. U.S. payments for royalties and license fees increased 23 percent, to $23.9 billion, in 2004 after remaining nearly flat in 2003. Affiliated payments for royalties and license fees accounted for most U.S. payments in 2004. Of this affiliated trade, 85 percent was accounted for by U.S. affiliates' payments to their foreign parents, a share that has been increasing since 2001 after decreasing throughout the 1990s. U.S. affiliates' payments increased 22 percent. Much of the increase was attributable to payments by affiliates in manufacturing, particularly in chemicals (including drug companies) and petroleum, in information services, and in wholesale trade, mainly to foreign parents in the United Kingdom, the Netherlands, and Germany.

U.S. companies' payments of royalties and license fees to unaffiliated foreigners tend to spike in years that include major international sporting events, as U.S. companies pay international sports organizations for the rights to broadcast and record the live events and for the rights to use logos and other trademarks associated with the events. The latest such spike occurred in 2004--an Olympic year.

Other private services

Receipts for "other private services" increased 6 percent, to $140.5 billion, in 2004 after an 8-percent increase in 2003. The largest dollar increases were in financial services and in "other business, professional, and technical services" (table 1 and tables 5-8). Payments for "other private services" increased 10 percent, to $90.7 billion, after a 13-percent increase. The largest dollar increases were in insurance services, "other business, professional, and technical services," and financial services (table 1). "Other private services" consists of education, financial services, insurance services, telecommunications services, and business, professional, and technical services.

Education

Receipts. Receipts for education increased 2 percent, to $13.5 billion, in 2004 after a 5-percent increase in 2003. The increase in 2004 resulted from higher tuition rates: Tuition rates at U.S. public colleges and universities increased 14 percent in academic year 2003-2004, tuition rates at U.S. private colleges and universities increased 6 percent, and tuition rates at U.S. 2-year colleges increased 14 percent. (8) These higher rates were partly offset by a 2.4-percent decrease in the number of foreign students enrolled in U.S. higher education institutions in 2004 after a small increase in 2003. Most of the decrease was attributable to a 5-percent decrease in the number of undergraduate students; the number of graduate students increased 2.5 percent. The decrease in foreign students resulted from real and perceived difficulties in obtaining student visas, rising U.S. tuition rates, less expensive educational opportunities abroad, and recruitment activities by colleges and universities in other English-speaking nations. (9)

India continues as the top source of foreign students. The number of students from India increased 7 percent in 2004, to nearly 80,000; the increase partly offset drops in students from other countries. The number of students from China, the second largest source of students, fell 5 percent, to 62,000. The number of students from other Asian countries, Europe, and the Middle East also fell. The decrease in the number of students from the Middle East was not as sharp as in 2003, but the number of students from most countries with majority Muslim populations--such as Saudi Arabia, Kuwait, and Jordan--decreased 15 to 17 percent. Beginning in 2002, the number of students from majority Muslim countries has decreased at an average annual rate of 10 percent.

Payments. Payments for education increased 11 percent, to $3.5 billion, in 2004 after an 18-percent increase in 2003. More U.S. students are studying abroad, but for shorter periods; more than 50 percent of U.S. students who study abroad select summer, January term, and other programs of 8 weeks or less. (10) Education payments by U.S. students enrolled in degree programs in Canada, the United Kingdom, and Australia-the top destinations for foreign study--increased 10 percent in 2004.

Financial services

Receipts. Financial services receipts increased 13 percent, to $27.4 billion, in 2004 after a 10-percent increase in 2003. The increase in 2004 was almost entirely due to an increase in unaffiliated receipts, which rose in all major categories (table F). Brokerage commissions were higher as foreigners increased their trading in outstanding U.S. bonds; trading in U.S. stocks changed little. Private placement and underwriting services were virtually unchanged, as new issues of stocks and bonds in the United States were flat. Fees for financial advisory services changed little, while fees for financial management services benefited from strong performance by managers and strong increases in the value of assets under management. Credit card and other credit-related services increased, as the volume of credit card transactions continued to increase. "Other financial services" receipts increased because of gains in fees for securities lending, electronic funds transfers, and all other financial services.

Payments. Financial services payments increased 14 percent, to $11.2 billion, in 2004 after a 13-percent increase in 2003. The increase in 2004 resulted from increases in both unaffiliated payments, up 17 percent, and affiliated payments, up 11 percent. The increase in unaffiliated payments was attributable to increases across all major categories (table F). Brokerage commissions rose as U.S. investors increased their trading in foreign stocks, and private placement and underwriting services rose because of increased levels of U.S. securities issued abroad. Management and financial advisory services both increased. Credit card and other credit-related services increased as credit card companies expanded their networks abroad. "Other financial services" payments increased because of gains in securities lending, electronic funds transfers, and other financial services.

Insurance

Receipts. Insurance services receipts increased 4 percent, to $6.1 billion, in 2004 after a 32-percent increase in 2003. In 2004, an increase in receipts for primary insurance was partly offset by a decrease in receipts for reinsurance. In 2003 and the several preceding years, receipts for both primary insurance and for reinsurance increased.

Payments. Insurance services payments increased 13 percent, to $29.9 billion, in 2004 after a 20-percent increase in 2003. The increase was more than attributable to an increase in payments for reinsurance services. The increase in reinsurance payments reflected an increase in premium rates and an increase in the amount of insurance ceded to foreign reinsurance companies. Premiums paid have accelerated since 2000 because the volume of reinsurance purchased from abroad has increased and reinsurers have raised premiums rates, partly to recoup investment losses from the downturn in bond and stock markets in 2000 and catastrophic property-casualty losses, including those stemming from the September 11th 2001, attacks.

The increase in reinsurance payments contributed significantly to the increase in the deficit in insurance transactions in 2004 and was a major factor in the continued decline in the surplus in total private services.

Telecommunications

Receipts. Receipts for telecommunications services decreased 3 percent, to $4.4 billion, in 2004 after a 16-percent increase in 2003. Cross-border trade in telecommunications services is partly conducted under a system in which telecommunications carriers negotiate bilateral fees for carrying and terminating international traffic. The decrease in receipts for telecommunications services in 2004 is partly due to the growing use of call completion methods that circumvent the traditional system by routing international traffic over leased lines that are attached to low-cost public networks; increased use of Internet telephony (known as "Voice-over-Internet-Protocol") also contributed. In addition, efforts by many U.S. carriers to route traffic to networks that they own have also reduced the use of the traditional international settlement system. (11)

Payments. Payments for telecommunications services increased 2 percent, to $4.4 billion, in 2004 after a 1-percent increase in 2003. Payments for telecommunications services have been affected by increased call volume and by higher calling rates for calls that terminate on foreign mobile networks, which are generally more expensive than calls that terminate on foreign fixed-line networks. Reflecting higher connection fees for mobile phones than for fixed-line communications, the increase in mobile calling volume has contributed to the increase in telecommunications payments in 2004. The decrease in calling rates for fixed-line communications dampened the increase in telecommunications payments.

Business, professional, and technical services

Business, professional, and technical (BPT) services receipts increased 7 percent, to $71.0 billion, in 2004 after a 7-percent increase in 2003. BPT services consists of five major categories: Computer and information services; management and consulting services; research, development and testing services; operational leasing services; and "other BPT services." Both affiliated and unaffiliated BPT receipts increased in 2004; most of the increase was attributable to "other BPT services."

Receipts. Receipts for computer and information services were flat, at $8.5 billion, in 2004. An increase in unaffiliated receipts was offset by a decrease in affiliated receipts. Receipts for management and consulting services also were flat, at $4.5 billion. Both unaffiliated receipts and affiliated receipts were virtually unchanged. Receipts for research, development, and testing services increased 12 percent, to $9.8 billion. Most of the increase in receipts was attributable to affiliated transactions, which account for 90 percent of research, development, and testing services receipts. (Like for royalties and license fees, affiliated transactions account for most research, development, and testing services, because companies prefer to maintain control over intellectual property.) Receipts for operational leasing services increased 4 percent, to $8.2 billion as a result of an increase in affiliated receipts. (12)

Receipts for "other BPT services" increased 8 percent, to $40.0 billion, in 2004. "Other BPT services" include a variety of services that are not recorded in other categories of BPT services and other costs that parent firms charge to their affiliates that are not further disaggregated by type of service. (13) Most of the increase in 2004 was accounted for by unaffiliated receipts, mostly for legal services, other trade-related services, and architectural, engineering and other technical services. Other trade-related services, which include Internet and online sales services, have increased sevenfold since 1999; these services include auction services, which include online auctions and fees for business-to-business exchanges conducted over the Internet.

Payments. Payments for BPT services increased 9 percent, to $40.7 billion, in 2004 after a 12-percent increase in 2003. Affiliated payments, which accounted for 70 percent of BPT payments in 2004, increased 8 percent; unaffiliated payments increased 10 percent.

Payments for computer and information services increased 2 percent, to $5.8 billion, in 2004. An increase in affiliated payments was partly offset by a decrease in unaffiliated payments. Payments for management and consulting services increased 26 percent, to $5.0 billion. Payments for research, development, and testing services increased 7 percent, to $4.7 billion. Like for receipts, affiliated trade accounts for most payments for research, development, and testing services, but a $0.2 billion decrease in affiliated payments was more than offset by a $0.5 billion increase in unaffiliated payments. Payments for operational leasing services increased 44 percent, to $1.2 billion. Affiliated payments accounted for nearly all of the increase. Payments for "other BPT services" increased 7 percent, to $24.0 billion. Affiliated payments accounted for most of the increase. Unaffiliated payments also increased, and nearly a third of the increase was attributable to a 27-percent jump in accounting, auditing, and bookkeeping services. One reason for the increase may be that in order to comply with the Sarbanes-Oxley Act of 2002--which starting in 2004, requires stricter accounting and auditing standards and increased personal accountability on the part of senior executives for company financial statements--U.S. companies have increasingly sought out independent auditors and accountants abroad, both of which are in short supply domestically.

Film and television tape rentals

Receipts. Receipts for film and television tape rentals increased 3 percent, to $10.5 billion, in 2004 after a 9-percent increase in 2003. These services cover the rights to display, reproduce, and distribute U.S. motion pictures and television programming abroad.

Payments. Payments for film and television tape rentals increased 49 percent, to $0.3 billion in 2004, after a 53-percent increase in 2003. Unaffiliated payments to Australia accounted for most of the increases in 2004 and in 2003. Although payments have been increasing rapidly, they continue to be only a small fraction of receipts.

Sales Through Affiliates in 2003

In 2003, the latest year for which data are available, worldwide sales of services by U.S. multinational companies through their nonbank majority-owned foreign affiliates to both foreign and U.S. persons were $507.5 billion, up 13 percent from sales in 2002 (table G). (14) Worldwide sales by foreign multinational companies through their nonbank majority-owned U.S. affiliates were $407.9 billion, up 3 percent.

Affiliates' sales of both goods and services are predominantly local transactions. In 2003, local sales--that is, transactions with parties located in the same country as the affiliate--accounted for 78 percent of the worldwide sales of services by foreign affiliates of U.S. companies; local sales accounted for 61 percent of the worldwide sales of goods. The larger share for services reflects the importance of proximity to the customer in the delivery of services. Local sales accounted for 94 percent of worldwide sales of services by U.S. affiliates of foreign companies and for an estimated 91 percent of their worldwide sales of goods, partly reflecting the large U.S. market. (15)

Both the sales of services to foreign persons by foreign affiliates of U.S. companies (that is, their local sales and their sales to other foreign countries) and the sales of services to U.S. persons by U.S. affiliates of foreign companies (that is, their local sales) represent services delivered to international markets through the channel of direct investment. These sales are presented by country of foreign affiliate or by country of the U.S. affiliates' ultimate beneficial owner (UBO) for 1996-2003 in table 9. (16) Sales by primary industry of the foreign affiliate cross-classified by country for 2002 and 2003 are presented in tables 10.l and 10.2. Sales by primary industry of the U.S. affiliate cross-classified by country of UBO for 2002 and 2003 are presented in tables 11.1 and 11.2.

Foreign affiliates' sales to foreign persons In 2003, sales of services to foreign persons by nonbank majority-owned foreign affiliates of U.S. companies were $477.5 billion. By area, sales by affiliates in Europe accounted for 56 percent of total sales; affiliates in Asia and Pacific accounted for 22 percent; affiliates in Latin America and Other Western Hemisphere, for 12 percent; and affiliates in Canada, for 9 percent. By country, the United Kingdom accounted for the largest share of sales, followed by Japan, Canada, Germany, and France.

By industry sector, sales of services were largest in "finance (except depository institutions) and insurance," in information, and in professional, scientific, and technical services. (17) In nonbank finance and insurance, the majority of sales were accounted for by affiliates in insurance, and much of the remainder were accounted for by "securities, commodity contracts, and other intermediation and related activities" (securities and commodity brokers and dealers). In information, affiliates in broadcasting aim telecommunications had the largest sales, followed by affiliates in publishing industries, and affiliates in information services and data processing services. In professional, scientific, and technical services, affiliates in computer systems design and related services accounted for a large share of total sales of services.

Sales of services abroad by foreign affiliates increased 13 percent in 2003 after increasing 0.4 percent in 2002. Foreign affiliates' sales grew strongly in 2003 despite the modest pickup in economic growth--and in some cases, despite the falloff in growth--in many important markets that the affiliates serve. (18) Increases in affiliates' sales were widespread across industry sectors, and much of the increase was accounted for by existing affiliates. The depreciation of the U.S. dollar contributed to the increased dollar value of affiliates' sales, particularly in Europe. The largest increases were by affiliates in nonbank finance and insurance (particularly insurance) and in information. In insurance, higher premiums in primary and reinsurance markets, particularly for nonlife insurance, led to widespread increases in sales of services by affiliates. (19) In information, the increase was widespread among subsectors; affiliates in publishing industries, particularly software publishers, accounted for the largest share of the increase. In contrast, sales of services in utilities decreased for the second consecutive year in 2003, as U.S. companies sold off or liquidated their foreign affiliates in energy generation, distribution, and trading activities in order to reduce their debt and to improve their balance sheets following the business failures that disrupted energy trading markets in 2002.

Sales of services abroad by foreign affiliates increased in every major area in 2003. Affiliates in Europe had the largest increase, accounting for 72 percent of the increase in total sales, followed by affiliates in Asia and Pacific and in Latin America and Other Western Hemisphere. Within Europe, the United Kingdom had the largest increase. In the United Kingdom, increases were widespread across several industry sectors; the largest increases were for affiliates in transportation and warehousing, in insurance (except life insurance), in publishing industries, and in motion picture and sound recording industries. In Asia and Pacific, affiliates in Australia had the largest increase in sales, accounting for about 40 percent of the area's increase. In Australia, the largest increases were by securities and commodity brokers and dealers, mostly reflecting new affiliates and acquisitions by existing affiliates. In Latin America and Other Western Hemisphere, affiliates in insurance and in utilities contributed to the increase.

By industry sector, the largest increases in sales of services abroad were by affiliates in "finance (except depository institutions) and insurance" and by affiliates in information. In nonbank finance and insurance, the increase was largely attributable to affiliates with primary activities in insurance (except life insurance) and to securities and commodity brokers and dealers. Increases for the affiliates in insurance (mainly property and casualty insurers) were widespread; the largest increases were by affiliates in the United Kingdom and Japan. An increase by securities and commodity brokers and dealers was attributable to several factors, including increased sales in precious metals trading, acquisitions, and expansion of affiliates' secondary activities in "other financial investment activities and exchanges." In information, most of the increase was accounted for by increases in software publishing, in motion picture and video industries, and in telecommunications by existing affiliates in Europe. Sales of services abroad by affiliates in utilities decreased significantly for the second consecutive year; the decrease was accounted for by affiliates in Canada, the Netherlands, and the United Kingdom, as affiliates were sold or liquidated in 2003.

U.S. affiliates' sales in the United States

in 2003, sales of services to U.S. persons by nonbank majority-owned U.S. affiliates of foreign companies were $381.4 billion. By area, affiliates with ultimate beneficial owners (UBOs) in Europe accounted for the largest share of total sales, at 69 percent; Canada accounted for 11 percent; Asia and Pacific, for 10 percent; and Latin America and Other Western Hemisphere, for 9 percent. By country of UBO, the United Kingdom accounted for the largest share of sales, followed by France, Germany, and Canada.

By industry sector, sales of services were largest in "finance (except depository institutions) and insurance" and in information. Affiliates in insurance accounted for over 75 percent of sales in nonbank finance and insurance. In information, affiliates in publishing industries and in telecommunications had the largest shares of sales of services.

Sales of services to U.S. persons by U.S. affiliates of foreign companies increased 4 percent in 2003. The slow growth occurred despite a pickup in growth in the U.S. economy and despite spending by foreign multinational companies to acquire or establish U.S. businesses, which increased for the first time since 2000. (20) Although spending for new investment increased, acquisitions of U.S. companies in 2003 were well below the levels during 1998-2001 when they fueled rapid growth in sales of services in several industries. In 2003, sales of services by affiliates in manufacturing with secondary activities in utilities and finance, which had accounted for much of the sales growth in 2002, fell sharply. In 2003, sales of services reported by U.S. companies involved in utilities, specifically those involved in energy trading, were negatively affected by the implementation of practices consistent with new accounting guidelines. (21) The decrease for manufacturing affiliates held down total sales growth by offsetting increases for affiliates in other industries, such as nonbank finance and insurance, professional, scientific, and technical services, and information. Sales of services to U.S. persons grew strongly in finance and insurance industries, as foreign companies continued to seek access to the large and open U.S. market through acquisitions; the increased sales were also attributable to corporate restructuring by some affiliates and to higher premiums in insurance markets. Acquisitions also contributed to growth in professional, scientific, and technical services, in information, and in transportation and warehousing. Sales of services by affiliates with primary activities in utilities increased significantly in 2003, in contrast to the decrease in sales by manufacturing affiliates with activities in utilities. The increase primarily resulted from increases in distribution activities that were partly offset by the effect of the new accounting guidance on energy trading activities.

Sales of services in the United States by U.S. affiliates with UBOs in all the major areas except Africa increased. The largest increases in sales were by affiliates with UBOs in Europe, Asia and Pacific, and Latin America and Other Western Hemisphere. Within Europe, the largest increases in sales were by affiliates with UBOs in the United Kingdom and affiliates with UBOs in France. For the United Kingdom, the majority of the increase was accounted for by affiliates in utilities. Sales of services by British-owned affiliates in computers and electronic products manufacturing also increased, reflecting some affiliates' restructuring of operations to expand their service activities and new acquisitions. For France, the increase was accounted for by an increase in business, professional, and technical services that was due to acquisitions of affiliates in advertising and related services. Sales of services by affiliates with UBOs in the Netherlands and in Germany decreased. For the Netherlands, the decrease was more than accounted for by affiliates in petroleum and coal products manufacturing with secondary activities in natural gas distribution and in electric power generation, transmission, and distribution. For Germany, the decrease was more than accounted for by affiliates in transportation equipment manufacturing with secondary activities in leasing and finance.

For Asia and Pacific, the increase was mainly accounted for by affiliates with UBOs in Japan. For Latin America and Other Western Hemisphere, the increase was mostly accounted for by insurance affiliates with UBOs in the British islands in the Caribbean and in Bermuda.

By industry sector, affiliates in "finance (except depository institutions) and insurance" had the largest increase, followed by affiliates in professional, scientific, and technical services and in information. The increase in nonbank finance and insurance was mostly accounted for by insurance (except life insurance) and nondepository credit intermediation and related services. In professional, scientific, and technical services, most of the increase was in advertising and related services. In information, the increase was accounted for by affiliates in wireless telecommunications and in "internet service providers, web search portals, and data processing services." In contrast, sales of services by affiliates in manufacturing decreased because of affiliates' secondary activities in utilities (who were affected by the new accounting rule related to energy derivatives) and in finance.

Revisions to the Estimates of International Services

The estimates of cross-border transactions and the estimates of sales through affiliates that were presented in the October 2004 SURVEY OF CURRENT BUSINESS have been revised.

Cross-border trade

Cross-border exports of services in 2003 were revised down $2.5 billion, or 1 percent, and cross-border imports were revised down $3.6 billion, or 2 percent, from the October 2004 presentation. These revisions reflect both special revisions and the regular annual revisions that are released in June and are published in the international transactions accounts in the July SURVEY. As a result of the special out-of-sequence revision, the estimates of cross-border trade in services presented here differ, for the first time, from those in the July SURVEY.

Special revisions. Estimates of affiliated "other private services" for 1997-2004 were revised to remove the duplication of transactions that were reported on BEA surveys of U.S. affiliates (and that should have been excluded) and other surveys. As a result, cross-border exports for 2003 were revised down $4.0 billion, or 1 percent, from the July 2005 presentation, and cross-border imports for 2003 were revised down $3.6 billion, or 2 percent. (Revisions to the estimates for 2004 and for earlier years will be incorporated into the international transactions accounts and into the monthly estimates of goods and services at their next scheduled annual revision in June 2006.)

Regular annual revisions. The annual revision to the estimates of cross-border trade in services for 1992-2003 reflected the incorporation of regular source data and statistical and methodological improvements; the revision also incorporated data from the new quarterly surveys of services transactions conducted by the Bureau of Economic Analysis (BEA).

In addition, BEA continues to address gaps in coverage. For the estimates for 2002-2003, BEA extended the coverage of payments for education services to include estimates of tuition and expenses paid by U.S. students enrolled in degree-granting programs at foreign universities in the United Kingdom and Australia. As a result of the expanded coverage, education services payments were revised up $0.3 billion for 2002, up $0.3 billion for 2003, and up $0.4 billion for 2004. For the estimates for 1992-2004, BEA also introduced new estimates of payments by U.S. residents for medical services abroad as a component of business, professional, and technical services. The new estimates cover payments by U.S. residents who require incidental medical care while traveling abroad and payments by U.S. residents who travel to Canada and Mexico for medical purposes. The new estimates for 1992 begin at $0.1 billion and rise to $0.2 billion for 2004.

Sales through affiliates

The estimates of sales of services through affiliates for 2003 are preliminary. The estimates for 2002 have been revised and arise from the regular annual revision of the data on the activities of multinational companies. Estimates for earlier years are unchanged. Revisions may reflect the incorporation of newly available and improved source data, the correction of errors and omissions, or changes in financial accounting rules. Estimates of sales through affiliates for the year immediately proceeding the most recent year may be revised to reflect such changes, but it is not possible to revise the estimates for earlier years.

Sales of services through nonbank majority-owned foreign affiliates of U.S. multinational companies in 2002 were revised up $22.4 billion, to $423.5 billion. The revision reflects the incorporation of newly available and improved source data. Sales of services to U.S. persons by U.S. affiliates of foreign companies in 2002 were revised down $19.1 billion, to $367.6 billion; this revision mainly resulted from a one-time correction to reporting errors by affiliates in insurance, some of which had been reporting sales in a manner more consistent with accounting standards in the country of their owner rather than on the requested basis of U.S. generally accepted accounting principles. The resolution of this issue resulted in a drop in the estimates of sales of services through insurance affiliates for 2001-2002. Incorporation of new data also contributed to the downward revision to sales of services by U.S. affiliates in 2002. The use of foreign accounting standards resulted in elevated sales levels for years prior to 2002, which were not revised.

Revision policy. BEA prepares one preliminary estimate and one revised estimate of the operations of multinational companies, including their sales of services. The preliminary estimate is usually released about 20 months after the end of the reference year, and the revised estimate is usually released about a year later.

Thus, when the financial accounting rules used by respondents for reporting their data change, BEA's estimates for the most recent year (and perhaps its estimates for the immediately preceding year) will reflect the new accounting rules, but its estimates for earlier years will not. In addition, when BEA identifies and corrects reporting errors and when it improves survey coverage, the estimates for these 2 years will be improved, but not those for earlier years.

When BEA becomes aware of the presence of a factor that affects sales of services by multinational companies, the factor will be described in the article. Whenever possible, BEA will also provide information on the effect of the factor on the time series presented.

BEA has adopted this policy largely for practical reasons. When financial accounting rules change, multinational companies often will not have estimates of the effect of the new rule on data for earlier years, and BEA has no reliable means of revising the data if its survey respondents do not provide this information. In addition, errors, omissions, and changes in financial accounting rules that substantially affect the historical time series rarely occur.

New Data on Insurance, Wholesale and Retail Trade, and Banking Services Sold Through Affiliates

As part of its continuing efforts to improve the data on sales of services through affiliates, the Bureau of Economic Analysis (BEA) collected several new data items in the 2002 benchmark survey of foreign direct investment in the United States (FDIUS) that will provide the basis for improved estimates of insurance services, of the distributive services of wholesalers and retailers, and of banking services provided by majority-owned U.S. affiliates. BEA also included these data items in the 2004 benchmark survey of U.S. direct investment abroad (USDIA), which is currently being processed. In addition, the data items for insurance and wholesale and retail trade are included on the follow-on annual surveys of FDIUS and will be included on the annual surveys of USDIA.

The improved estimates of insurance, distributive, and banking services and the methodologies used to prepare them will be presented in an article in the SURVEY OF CURRENT BUSINESS.

The data that have been collected are used here to provide an early indication of how the improved estimates will affect the estimates of insurance, wholesale and retail trade, and banking services sold through U.S. affiliates.

Insurance. Currently, the estimates of sales of insurance services through U.S. affiliates represent revenues generated by affiliates' operations in the insurance industry. These estimates mainly consist of premiums earned with no deduction for losses. In contrast, cross-border trade in insurance services is measured as premiums earned, premium supplements (investment income earned on technical reserves), and auxiliary insurance services less "normal" losses (see the box "Types of Cross-Border Services: Coverage and Definitions" on page 38 for more detail). Including premium supplements raises the value of cross-border receipts and payments for insurance services relative to sales through affiliates, but this rise is more than offset by the lack of deductions for losses from the sales of services through insurance affiliates.

The preliminary results for the companies that reported the data on premiums earned and claims paid indicate that premiums account for the majority of sales in insurance--for 83 percent of sales in 2002 and for 65 percent in 2003. Claims paid were 69 percent of premiums in both 2002 and 2003. Thus, the deduction of a measure of losses would result in a substantial reduction in the measure of sales of services by affiliates with insurance operations. This deduction would be partly offset by the possible inclusion of an estimate of the premium supplement for these affiliates.

However, deducting these losses would not affect auxiliary insurance services, such as claims adjustment or actuarial services. In addition, sales of services in secondary, noninsurance industries by affiliates classified in insurance would be unaffected.

Wholesale and retail trade. The wholesale and retail trade industries provide distributive services--selling, or arranging for the sale of, goods to intermediate and final users. In BEA's data on sales through affiliates, the value of distributive services provided by affiliates' wholesale and retail trade operations is excluded because it is embedded in the value of the goods sold through affiliates. In the national income and product accounts and in BEA's industry accounts, distributive services in wholesale and retail trade are measured as trade margins--wholesale or retail sales of goods less the cost of the goods resold.

To provide a basis for the estimation of the value of the distributive services of affiliates, BEA collected data on the cost of goods purchased for resale and on the inventories of these goods. The preliminary results from the firms that reported the data indicate that distributive services accounted for 21 cents of every dollar of goods sold by wholesale and retail trade operations in 2002 and for 17 cents of every dollar of goods sold in 2003. The sales of goods by wholesale and retail trade operations were $699 billion in 2002 and $736 billion in 2003, so including distributive services in the estimates of sales of services through affiliates would substantially raise the estimates.

Banks. Currently, the estimates of sales of services through affiliates exclude services provided by bank affiliates. BEA collects only limited data on sales through bank affiliates because most of the information on bank affiliates that is needed for policymaking is already collected by other U.S. Government agencies. However, the absence of estimates of services provided through bank affiliates causes a potentially significant gap in the coverage of sales of financial services through affiliates. To close this gap, BEA collected new data items on sales of services through bank affiliates in the 2002 benchmark survey of FDIUS.

Specifically, BEA collected data on explicit commissions and fees charged for services. In 2002, U.S. bank affiliates reported $14.1 billion in services sold to U.S. residents.

In addition to explicit fees and commission, banks may charge implicitly for services that they provide by paying lower interest rates to those who lend them money in the form of deposits and loans than they charge to those who borrow from them. The resulting net receipts of interest are used to defray expenses and provide an operating surplus. BEA collected data on the total interest paid and total interest received by U.S. bank affiliates to provide a basis for imputing the value of services provided without an explicit charge. In 2002, majority-owned U.S. bank affiliates received $100.6 billion in interest and paid $78.5 billion in interest in 2002.

(1.) The estimates of cross-border trade in services do not include estimates of the distributive services provided by wholesalers and retailers who arrange for the exports or imports of goods because those services are included in the value of trade in goods. See the appendix "New Data and Other Improvements to the Estimates of Cross-Border Trade in Services."

Channels of Delivery of Services Sold in International Markets

Services are sold in international markets through two distinct channels. In the first channel, the residents of one country sell services to the residents of another country. These transactions--cross-border trade--include both trade within multinational companies (intrafirm trade) and trade between unaffiliated parties. (1) They are recorded in the international transactions accounts of both countries--as exports of services by the seller's country and as imports of services by the buyer's country.

The second channel of delivery is sales through foreign affiliates of multinational companies, which from the U.S. viewpoint, are sales to foreigners by foreign affiliates of U.S. companies and sales to U.S. residents by the U.S. affiliates of foreign companies. These sales are not considered U.S. international transactions, because under the residency principle of balance-of-payments accounting, affiliates of multinational companies are regarded as residents of the countries where they are located rather than of the countries of their owners. Thus, sales abroad by foreign affiliates are transactions between foreign residents, and sales in the United States by U.S. affiliates are transactions between U.S. residents. (However, the direct investors' shares of the profits earned on these sales are recorded as U.S. international transactions.) To obtain a complete picture of the services transactions of affiliates, it would be necessary to examine not only their sales of services but also their purchases of services, both in their countries of location and elsewhere. However, the only available data on their purchases of services are those that are discussed in the section on cross-border trade.

The two channels of delivery typically differ in their effects on an economy. For example, U.S. cross-border exports usually have a greater effect on the U.S. economy than the equivalent sales through foreign affiliates, because most, or all, of the income generated by the production generally accrues to U.S.-supplied labor and capital. In contrast, for sales through foreign affiliates, only the U.S. parent company's share in profits accrues to the United States (and is recorded as a U.S. international transaction); the other income generated by production-including compensation of employees--typically accrues to foreigners.

Some services can be delivered equally well through either channel, but the type of service often determines the channel of delivery. For example, many travel services are inherently delivered through the cross-border channel, but many business, professional, and technical services are mainly delivered through the affiliate channel because of the need for close, continuing contact between the service providers and their customers.

(1.) The term "cross-border trade" differs from the term "cross-border mode of supply" that is used in the General Agreement on Trade in Services to refer to the provision of a service by a resident of one country to a resident of another country without either the producer or the consumer traveling to the country of the other (for example, a consultant sending a report electronically or by mail).

Delivery of Computer Services to Foreign Markets

The delivery of computer-related services and of many other types of services may be further divided within the two major channels of cross-border trade and sales through affiliates. As a result, the total value of these services may be scattered across several categories of cross-border trade and sales by affiliates in the tables. In addition, some computer-related services may be embedded in goods that are exported to foreign markets, or they may be delivered in ways that result in entries in the U.S. international transactions accounts under income rather than under trade in goods and services.

Cross-border receipts from unaffiliated foreigners for "computer and data processing services" and "database and other information services" are shown under "business, professional, and technical services" in table 1.1 Computer-related services that are delivered to foreign markets through cross-border software-licensing agreements, such as on site licenses are shown under "royalties and license fees." (2) More specifically, receipts through agreements with unaffiliated foreign persons are shown in "general-use computer software" in table 4. Receipts through agreements with affiliated foreigner persons (intrafirm trade) are included in affiliated royalty and license fee transactions in table 1, but their value cannot be separately identified. Intrafirm receipts of computer and information services, which consist of computer and data processing services and of database and other information services, are shown in table 1 and table E.

The wages of U.S. residents who provide computer services to nonresidents are included in "compensation receipts" in the international transactions accounts (ITAs) (table 1, line 17), but their value cannot be separately identified. Compensation covers the earnings of U.S. individuals who are employees of nonresident firms and the earnings of certain independent individuals who provide services to nonresidents; it is classified in the ITAs as "income" rather than in services. If a U.S. resident goes abroad to provide these services, the length of stay must be less than i year; otherwise, the individual is considered a foreign resident.

Sales of computer-related services to foreign residents through foreign affiliates exceeded cross-border exports of these services in 2003, reflecting the advantages of a local presence when delivering these services to foreign customers (table 10.2). The available data on sales through affiliates are classified by the primary industry of the affiliate rather than by type of service, but computer-related services may also be sold through affiliates in several other industries, particularly machinery manufacturing and wholesale trade.

(1.) For detailed estimates of receipts for these services by country and by area, see table 7.

(2.) Receipts and payments for general-use software that is packaged and physically shipped to or from the United States are included in trade in goods. The value of software that is preinstalled on computer equipment and peripherals is captured in the value of this hardware and thus is also included in trade in goods.

Types of Cross-Border Services: Coverage and Definitions

The estimates of cross-border transactions cover both affiliated and unaffiliated transactions between U.S. residents and foreign residents. Affiliated transactions consist of intrafirm trade within multinational companies--specifically, the trade between U.S. parent companies and their foreign affiliates and the trade between U.S. affiliates and their foreign parent groups. Unaffiliated transactions are with foreigners that neither own, nor are owned by, the U.S. party to the transaction.

Cross-border trade in private services is classified in the same five broad categories that are used in the U.S. international transactions accounts--travel, passenger fares, "other transportation," royalties and license fees, and "other private services."

Travel. These accounts cover purchases of goods and services by U.S. persons traveling abroad and by foreign travelers in the United States for business or personal reasons. These goods and services include food, lodging, recreation, gifts, entertainment, local transportation in the country of travel, and other items incidental to a foreign visit. U.S. travel transactions with both Canada and Mexico include border transactions, such as day trips for shopping and sightseeing.

A "traveler" is a person who stays less than a year in a country and is not a resident of that country. Diplomats and military and civilian government personnel are excluded regardless of their length of stay; their expenditures are included in other international transactions accounts. Students' educational expenditures and living expenses and medical patients' expenditures for medical care are included in "other private services."

Passenger fares. These accounts cover the fares received by U.S. air carriers from foreign residents for travel between the United States and foreign countries and between two foreign points, the fares received by U.S. vessel operators for travel on cruise vessels, and the fares paid by U.S. residents to foreign air carriers for travel between the United States and foreign countries and to foreign vessel operators for travel on cruise vessels.

"Other transportation." These accounts cover U.S. international transactions arising from the transportation of goods by ocean, air, land (truck and rail), pipeline, and inland waterway carriers to and from the United States and between two foreign points. The accounts cover freight charges for transporting exports and imports of goods and expenses that transportation companies incur in U.S. and foreign ports. Freight charges cover the receipts of U.S. carriers for transporting U.S. exports of goods and for transporting goods between two foreign points and the payments to foreign carriers for transporting U.S. imports of goods. (Freight insurance on goods exports and imports is included in insurance in the "other private services" accounts.)

Port services consist of the value of the goods and services purchased by foreign carriers in U.S. ports and by U.S. carriers in foreign ports.

Royalties and license fees. These accounts cover transactions with nonresidents that involve patented and unpatented techniques, processes, formulas, and other intangible assets and proprietary rights used in the production of goods; transactions involving trademarks, copyrights, franchises, broadcast rights, and other intangible rights; and the rights to distribute, use, and reproduce general-use computer software.

"Other private services" These accounts consist of education; financial services; insurance; telecommunications; business, professional, and technical services; and "other services."

Education consists of expenditures for tuition and living expenses by foreign students enrolled in U.S. colleges and universities and by U.S. students for study abroad. Education excludes fees for distance-learning technologies and for educational and training services provided on a contract or fee basis; these transactions are included in training services in "other business, professional, and technical services" in table 1.

Financial services include funds management and advisory services, credit card services, fees and commissions on transactions in securities, fees paid and received on bond trading, fees on credit-related activities, and other financial services.

Insurance services consist of the portion of premiums remaining after provision for expected or "normal" losses, an imputed premium supplement that represents the investment income of insurance companies on funds that are treated as belonging to policyholders, and auxiliary insurance services. (1) Primary insurance mainly consists of life insurance and property and casualty insurance, and each type may be reinsured. (2)

Telecommunications consists of receipts and payments between U.S. and foreign communications companies for the transmission of messages between the United States and other countries; channel leasing; telex, telegram, and other jointly provided basic services; value-added services, such as electronic mail, video conferencing, and online access services (including Internet backbone services, router services, and broadband access services); and telecommunications support services.

Business, professional, and technical services cover a variety of services, such as legal services, accounting services, and advertising services (see the list in table 1).

"Other services" receipts consist mainly of expenditures (except employee compensation) by foreign governments in the United States for services such as maintaining their embassies and consulates; noncompensation-related expenditures by international organizations, such as the United Nations and the International Monetary Fund, that are headquartered in the United States; expenditures of foreign residents employed temporarily in the United States; and receipts from foreigners for the display, reproduction, or distribution of motion pictures and television programs. "Other services" payments consist primarily of payments by U.S. distributors to foreign residents for the display, reproduction, or distribution of foreign motion pictures and television programs.

(1.) The portion of total premiums required to cover "normal losses" is estimated by BEA on the basis of the relationship between actual losses and premiums averaged over several years. Auxiliary insurance services include agents' commissions, actuarial services, insurance brokering and agency services, and salvage administration services. For a detailed description of the imputed premium supplement, see Christopher L. Bach, "Annual Revision of the U.S. International Transactions Accounts, 1989 2003," SURVEY 84 (July 2004): 60-62. For a description of other components of insurance services, see Christopher L. Bach, "Annual Revision of the U.S. International Transactions Accounts, 1992-2002," SURVEY 83 (July 2003): 35-37.

(2.) Reinsurance is the ceding of a portion of a premium to another insurer who then assumes a corresponding portion of the risk. It provides coverage for events with such a high degree of risk or liability that a single insurer is unwilling or unable to underwrite insurance against their occurrence.

Data Sources

The estimates in this article are primarily based on data from the surveys that are conducted by the Bureau of Economic Analysis (BEA), but the estimates of some services are based on data from a variety of other sources, including U.S. Customs and Border Protection, surveys conducted by other Federal Government agencies, private sources, and partner countries.

BEA conducts several mandatory surveys of services; some surveys are targeted to specific services industries and for intrafirm transactions, to specific types of investment. These surveys of services are available on BEA's Web site at <www.bea.gov/bea/surveys>.

The data on intrafirm trade in services and on sales by majority-owned affiliates are collected in BEA's surveys of U.S. direct investment abroad and of foreign direct investment in the United States. For the methodologies for these surveys, see Foreign Direct Investment in the United States: Final Results From the 1997 Benchmark Survey and U.S. Direct Investment Abroad: Final Results From the 1999 Benchmark Survey. For additional information on the methodology used to prepare the estimates of both affiliated and unaffiliated cross-border trade, see The Balance of Payments of the United States: Concepts, Data Sources, and Estimating Procedures. These publications and other detailed information on the changes in the methodology since 1990 can be accessed on BEAs Web site at <www.bea.gov/bea/mp_international.htm>.

For a summary of the changes since 1990, see "Improvements to BEA's Estimates of U.S. International Services, 1990-2003," in Borga and Mann, SURVEY 83 (October 2003): 74-76. The SURVEY articles for 1994-2004 are available at <www.bea.gov/bea/pubs.htm>.

Data Availability

The estimates of cross-border trade for 1986-2004 and the estimates of sales through majority-owned affiliates for 1989-2003 are available as files that can be downloaded from BEA's Web site. To access these files, go to <www.bea.gov>; under "International," click on "Trade in Goods and Services," and then look under "International Services" for "Detailed Estimates."

Appendix: New Data and Other Improvements to the Estimates of Cross-Border Trade in Services

As part of its continuing efforts to improve the data on international services, BEA has recently initiated several changes in methodology and data collection for cross-border trade in services. (22) Some of these improvements have already been implemented; others are underway. For a discussion of changes to the estimates of sales of services through affiliates, see the box "New Data on Insurance, Wholesale and Retail Trade, and Banking Services Sold through Affiliates" on page 29.

Quarterly surveys. Receipts and payments for "other private services" now incorporate data from new quarterly surveys that BEA conducts on many of the largest, most volatile types of services in U.S. international trade; previously, the estimates were based mainly on data from annual surveys. (23) Data from these quarterly surveys cover nearly a quarter of the value of private services transactions. The frequency of the surveys has increased, but the categories of data collected in the new quarterly surveys are the same as those in the annual surveys they replace. The response rates to the quarterly surveys have been similar to the response rates to the annual surveys.

Education payments. Payments of "other private services" for 2002-2004 incorporate new estimates of payments by U.S. residents for certain education services abroad that are based on foreign source data. The new estimates now include U.S. students enrolled in degree-granting programs at universities in the United Kingdom and Australia. Previously, estimates of payments for education services consisted only of U.S. students studying in nondegree-granting programs in foreign countries and students studying in degree-granting programs in Canada. (The top destinations for U.S. students who enroll in degree-granting programs in foreign universities are Canada, the United Kingdom, and Australia--all English speaking countries.)

Medical payments. Payments of "other private services" for 1992-2004 incorporate new estimates of payments by U.S. residents for medical services abroad that are based on foreign source data. These payments are now included as a component of business, professional, and technical services; previously, these payments were not covered. The new estimates cover payments by U.S. residents who require incidental medical care while traveling abroad and payments by U.S. residents who travel to Mexico and Canada for medical purposes, such as cosmetic surgery and dental procedures.

Wholesale and retail trade services. The wholesale and retail trade industries are important services industries in the U.S. economy. These industries provide distributive services--that is, selling, or arranging for the sale of, goods to intermediate and final users. However, the value of cross-border trade in services do not include estimates of these services, because these services are embedded in the value of trade in goods. Exports of goods are valued at the f.a.s. (free alongside ship) value of the merchandise at the U.S. port of exportation, including inland freight, insurance, and other charges incurred in placing the merchandise alongside the carrier at the U.S. port. Thus, any distributive services (as well as the value of other services that facilitate trade, such as transportation from the factory to the port) are included in the accounts for cross-border trade in goods, but not in those for cross-border trade in services. See Obie G. Whichard and Maria Borga, "Selected Issues in the Measurement of U.S. International Services," SURVEY 82 (June 2002): 45-46.

Comprehensive review. BEA has adopted long-term objectives for improving its estimates of cross-border trade in services. As a result, it is comprehensively reviewing its survey data and estimating procedures. BEA has several initiatives underway to improve its estimates, including an external review of its statistical procedures for estimating unreported transactions, an external review of the clarity of its surveys and instructions, and increased outreach to survey respondents. BEA has also been working with the Census Bureau and Internal Revenue Service to expand BEA's access to Census Bureau information that would help BEA expand its mailing list of companies who receive BEA surveys. BEA also plans to consider consolidating its survey forms covering cross-border transactions so that transactions with affiliated and unaffiliated foreign residents are reported on the same form.

Tables 1 through 11.2 follow.

Acknowledgments

The estimates of cross-border trade were prepared by the following staff members of the Balance of Payments Division and the International Investment Division.

Travel and passenger fares--Joan E. Bolyard and Laura L. Brokenbaugh

Other transportation--Patricia A. Brown

Royalties and license fees and "other private services," affiliated--Gregory G. Fouch (for transactions of U.S. affiliates) and Mark W. New (for transactions of U.S. parents)

Royalties and license tees and "other private services," unaffiliated--Christopher J. Emond, Pamela Aiken, Neary Alguard, Felix Anderson, Stacey Ansell, Damon C. Battaglia, Annette Boyd, Faith M. Brannam, Rafael I. Font, Hope R. Jones, Eddie L. Key, Kiesha Middleton, Steven J. Muno, Mark Samuel, John A. Sondheimer, Robert A. Becker, Erin Nephew, and Matthew J. Argersinger

The estimates of sales of services through majority-owned affiliates were prepared by staff members of the International Investment Division.

The information in tables 1, 2, 3, and 5 was consolidated by John A. Sondheimer. Computer programming for data estimation and the generation of the other tables were provided by Marie Colosimo, Carole J. Henry, Neeta B. Kapoor, Fritz H. Mayhew, Xia Ouyang, and Diane I. Young.

(1.) The 2002 estimate of U.S. affiliates' sales of services was revised down, resulting in virtually unchanged sales for 2001-2002. The revision was mostly attributable to a one time correction of reports by affiliates in insurance. Excluding the effects of these corrections, sales of services by U.S. affiliates grew 4 percent in 2002. The estimates for earlier years were not revised. Data provided by survey respondents may change because of the correction of errors, omissions, and changes in financial accounting rules. These changes will be reflected in the estimates for the most recent year and perhaps for the immediately preceding year, but not in the estimates for earlier years. In addition, when such changes occur, it often is not possible to quantify their effect on the estimates, whether for the most recent year or the preceding year. For more information, see the box "Revisions to the Estimates of International Services" on page 28.

(2.) One source of difference in coverage has been the inclusion of services provided by banks in cross-border exports and imports but not in sales through affiliates, which cover only nonbank affiliates. In order to address this gap in coverage, BEA collected data on sales of services through bank affiliates in its most recent benchmark surveys for U.S. direct investment abroad (covering 2004) and foreign direct investment in the United States (covering 2002). Insurance services is an example of a difference in measurement that is being addressed by BEA with the collection of new data items from insurance affiliates, beginning with the latest benchmark surveys. For more information, sec the box "New Data on Insurance, Wholesale and Retail Trade, and Banking Services Sold through Affiliates."

(3.) In the quarterly articles on U.S. international transactions, table 1 presents cross-border exports of private services in lines 6-10 and cross-border imports in lines 23-27; table 3 provides additional details.

(4.) These data cover all the sales of services by nonbank majority-owned affiliates, irrespective of" the percentage of ownership. The data are limited to nonbank affiliates because bank affiliates were not required to report annual data on sales of services to the Bureau of Economic Analysis.

(5.) See Raymond J. Mataloni, Jr., "U.S. Multinational Companies: Opera lions in 2003," SURVEY OF CURRENT BUSINESS 85 (July 2005): 9 29, and William J. Zeile, "U.S. Affiliates of Foreign Companies: Operations in 2003," SURVEY 85 (August 2005): 198-214.

(6.) Annual exchange rates are period averages.

(7.) Lee Bransetter, Raymond Fisman, and C. Fritz Foley "Do Stronger Intellectual Property Rights Increase International Technology Transfer? Empirical Evidence from U.S. Firm-Level Data" (National Bureau of Economic Research working paper no. 11516, July 2005); <papers.nber.org/ papers/w11516.pdf>.

(8.) Trends in College Pricing 2003 (Princeton, NJ: The College Board); <www.collegeboard.com/press/article/0,3183,29541,00.html>.

(9.) "Open Doors 2004: Report on international Education Exchange, 2004" (New York: Institute of International Education); <www.open doors.iienetwork.org>.

(10.) "Open Doors 2004."

(11.) Recent Trends in U.S. Services Trade: 2004 Annual Report (U.S. International Trade Commission, June 2004): 10-1 and 10-2.

(12.) This category covers rentals of transportation equipment (such as ships, aircraft, and railcars) without crews or operators; if crews or operators are provided, the transaction is included under "other transportation" services.

(13.) BEA collects and publishes as part of "other BPT services" additional details on transactions with unaffiliated foreign persons that cover more than a dozen types of services (see the addenda to table 1). The costs of research and development services and management services sometimes are separately identified and charged, and when they are, the values are recorded in fine categories provided for those services. When they cannot be separately identified and charged, the values are recorded under "other BPT services."

(14.) In this section, sales of services are generally defined as sales of outputs that are intangible; these outputs are typically associated with particular industry sectors which are listed in the note to table G.

(15.) The local and foreign shares of sales of goods by U.S. affiliates have been estimated from data on exports of goods shipped by affiliates, because the data on these sales are not disaggregated by destination. In 2003, U.S. affiliates' exports represented 9 percent of their total sales of goods.

(16.) The UBO of a U.S. affiliate is that person (in the broad legal sense, including a company), proceeding up the affiliate's ownership chain beginning with the foreign parent, that is not owned more than 50 percent by another person. The UBO ultimately owns or controls the affiliate and derives the benefits associated with ownership or control. Unlike the foreign parent, the UBO of a U.S. affiliate may be located in the United States.

(17.) Holding companies (included in "management of companies and enterprises") constitute by far fine largest industry in the U.S. direct investment position abroad and account for the largest share of direct investment income. However, this industry accounts for a relatively small share of sales of services by foreign affiliates, because most of the operating revenues of holding companies, which consist largely of income from equity investments, are recorded as investment income and not as sales of services, even though a significant portion of the income in this industry is ultimately attributable to sales of services by affiliates owned by the holding companies (those sales that are recorded in the country and industry of the affiliates being held).

(18.) In 2003, real economic growth picked up in some markets, including the United Kingdom and Japan, while growth slowed or virtually ceased in other markets, such as Canada, France, Germany, the Netherlands, and Switzerland.

(19.) The estimate of sales of services through affiliates in insurance primarily consists of premiums earned, with no deduction for losses, unlike the measurement of insurance services in cross-border trade. For more information on BEA's efforts to address this difference in measurement, see the box "New Data on Insurance, Wholesale and Retail Trade, and Banking Services Sold Through Affiliates."

(20.) According to data from BEA's survey of new foreign direct investment in the United States (FDIUS), outlays to acquire or to establish U.S. businesses increased from $54.5 billion in 2002 to $63.6 billion in 2003; see Thomas W. Anderson, "Foreign Direct Investment in the United States: New Investment in 2004," SURVEY 85 (June 2005): 30-37. These data cover only transactions involving U.S. businesses that are newly acquired or established by foreign direct investors. For additional information about FDIUS and about operations of both new and existing U.S. affiliates, see Zeile, "U.S. Affiliates of Foreign Companies: Operations in 2003," and Maria Burga and Daniel R. Yorgason, "Direct Investment Positions for 2003: Country and Industry Detail," SURVEY 84 (July 2004): 40-51.

(21.) In 2003, sales by U.S. affiliates with energy trading activities were affected by changes in the recommended methods of accounting for transactions involving derivative instruments held for trading purposes. In particular, the Emerging Issues Task Force (EITF), an organization established by the Financial Accounting Standards Board (FASB) to assist the FASB in the improvement of financial reporting, released Issues Involved in Accounting for Derivative Contracts Held for Trading Purposes and Involved in Energy Trading and Risk Management Activities (EITF no. 02-3). Under this guidance, gains and losses from derivative instruments that are held for trading purposes should be shown on a net basis in energy trading firms' income statements, which affects sales of services reported to BEA. The effect of this accounting guidance on manufacturing affiliates with secondary activities in utilities that were heavily involved in energy trading was significant. The development of this new guidance may be related to the collapse of energy trading operations in 2002, which prompted a review of then existing guidance and practices.

(22.) For a list of improvements implemented from 1990 to 2004, see the appendix in Maria Borga and Michael Mann, "U.S. international Services: Cross Border Trade in 2003 and Sales Through Affiliates in 2002," SURVEY 83 (October 2003):74-76 and the appendix in Borga and Mann, SURVEY 84 (October 2004): 41-43.

(23.) For a detailed explanation of the new quarterly surveys and the quarterly pattern for the major components of "other private services," see Christopher L. Bach "Annual Revision of the U.S. international Transactions Accounts, 1991-2004," SURVEY (July 2005):66-67.

Michael Mann and Erin Nephew prepared the section on cross-border trade, and Marie Borga and Jennifer Koncz prepared the section on sales through affiliates.

Table A. Sales of Services to Foreign and U.S. Markets
[Billions of dollars]

         U.S. sales to         Foreign sales to
        foreign markets        the U.S. market

                 Through
       Across    foreign     Across   Through U.S.
       border   affiliates   border    affiliates

2002     279        424        209         388
2003     292        477        225         381
2004     323       n.a.        258        n.a.

n.a. Not available

Table B. Sales of Services to Foreign and U.S. Markets Through
Cross-Border Trade and Through Affiliates

                                     Through nonbank
        Through cross-border         majority-owned
             trade (1)               affiliates (2)

                                  Sales to
                                   foreign     Sales to
          U.S.         U.S.      persons by   U.S persons
        exports      imports       foreign      by U.S
       (receipts)   (payments)   affiliates   affiliates
                                   of U.S.    of foreign
                                  companies    companies
                                     (3)

                       Billions of dollars

1986       77.5         64.7          60.5          n.a.
1987       87.0         73.9          72.3          62.6
1988      101.0         81.0          83.8          73.2
1989      117.9         85.3          99.2          94.2
1990      137.2         98.2         121.3         109.2
1991      152.4         99.9         131.6         119.5
1992      164.0        103.5         140.6         128.0
1993      171.6        109.4         142.6         134.7
1994      186.7        120.3         159.1         145.4
1995      203.7        128.7         190.1         149.7
1996      222.1        138.8         223.2         168.4
1997      238.5        151.5         255.3     (4) 223.1
1998      244.4        165.6         286.1         245.5
1999      265.1        183.0     (5) 353.2         293.5
2000      284.0        207.4         413.5         344.4
2001      272.8        204.1         421.7         367.6
2002      279.2        209.2         423.5         367.6
2003      291.5        224.6         477.5         381.4
2004      323.4        258.1          n.a.          n.a.

                 Percent change from prior year

1987       12.2         14.2          19.5           ...
1988       16.0          9.5          15.9          17.0
1989       16.8          5.3          18.4          28.7
1990       16.4         15.1          22.2          15.9

1991       11.1          1.8           8.5           9.5
1992        7.6          3.5           6.8           7.1
1993        4.6          5.8           1.5           5.3
1994        8.8          9.9          11.6           8.0
1995        9.1            7          19.4           2.9
1996        9.0          7.8          17.4          12.5
1997        7.4          9.1          14.4           (4)
1998        2.5          9.4            12          10.1
1999        8.5         10.5           (5)          19.6
2000        7.1         13.3          17.1          17.3
2001       -3.9         -1.6           2.0           6.7
2002        2.3          2.5           0.4           (*)
2003        4.4          7.4          12.7           3.7
2004       10.9         14.9          n.a.          n.a.

(*) Less than 0.05 percent.

n.a. Not available

(1.) The estimates for 1992-2003 are revised from those published
in last year's article in this series. See Christopher L. Bach,
"Annual Revision of the U.S. International Accounts, 1991-2004,"
SURVEY 85 (July 2005): 54-119. Additionally, the estimates for
1997-2004 have been revised from those presented in the "Annual
Revision" in the July SURVEY. See the box "Revisions to the
Estimates of International Services" for details.

(2.) The estimates for 2002 are revised from those published in
last year's article. The estimates for 2003 are preliminary.

(3.) The estimates for 1986-88 have been adjusted, for the purposes
of this article, to be consistent with those for 1989 forward,
which reflect definitional and methodological improvements made in
the 1989 Benchmark Survey of U.S. Direct Investment Abroad. The
primary improvement was that investment income of affiliates in
finance and insurance was excluded from sales of services. The
adjustment was made by assuming that investment income of finance
and insurance affiliates in 1986-88 accounted for the same share
of sales of services plus investment income as in 1989.

(4.) Beginning in 1997, sales by U.S. affiliates were classified as
goods or services based on industry codes derived from the North
American Industry Classification System (NAICS); the estimates for
prior years were based on codes derived from the 1987 Standard
Industrial Classification (SIC). This change resulted in a
redefinition of sales of services by affiliates, which resulted in
a net shift of sales from goods to services. See the box "Changes
in the Definition and Classification of Sales of Services by U.S.
Affiliates" In the October 1999 SURVEY, 61; <www.bea.gov>.

(5.) Beginning in 1999, sales by foreign affiliates were classified
as goods or services based on industry codes derived from NAICS;
the estimates for prior years were based on codes derived from the
1987 SIC. This change resulted in a redefinition of sales of
services by affiliates, which resulted in a net shift of sales from
goods to services. See the box "Changes in the Definition and
Classification of Sales of Services by Foreign Affiliates" in the
November 2001 SURVEY, 58; <www.bea.gov>.

Table C. Cross-Border Services
Percent Change from the Preceding Year

                                 Exports       Imports

                               2003   2004   2003   2004

Private services                 4     11      7     15
  Travel                        -3     16     -2     14
  Passenger fares               -8     20      5     13
  Other transportation           7     18     16     21
  Royalties and license fees     8      9      0     23
  Other private services         8      6     13     10

Table D. Cross-Border Services Exports and Imports by Type
and Country, 2004 [Millions of dollars]

                           Total private             Passenger
                                services    Travel      fares

                                            Exports

All countries                     323,362   74,481      18,858

10 largest countries (1)          187,574   44,402      12,619
United Kingdom                     40,096    9,576       3,079
Japan                              35,197   10,051       3,043
Canada                             29,698    7,930       2,506
Germany                            18,943    3,636       1,051
Mexico                             17,978    6,257       1,367
France                             12,827    2,008         660
Korea, Republic of                  9,113    2,218          64
Switzerland                         8,746      670         240
Netherlands                         7,737    1,162         388
China                               7,239      894         221

Other countries                   135,788   30,079       6,239

                                            Imports

All countries                     258,069   65,635      23,701

10 largest countries (1)          152,001   32,956      11,382
United Kingdom                     32,945    6,071       3,784
Canada                             20,027    7,178         442
Japan                              19,637    2,467         910
Germany                            17,677    2,511       1,990
Bermuda                            15,517      330           0
Mexico                             13,465    9,317         860
France                             11,637    3,129       1,301
Switzerland                         8,820      411         394
Netherlands                         6,531      791         712
Taiwan                              5,745      751         989

Other countries                   106,068   32,679      12,319

                              Other     Royalties      Other
                             trans-    and license   private
                           portation         fees    services

                                          Exports

All countries                 36,862        52,643    140,518

10 largest countries (1)      20,336        30,357     79,860
United Kingdom                 2,999         4,519     19,923
Japan                          3,693         7,670     10,740
Canada                         2,744         3,575     12,943
Germany                        2,643         3,485      8,128
Mexico                         1,158         1,254      7,942
France                         1,150         2,339      6,670
Korea, Republic of             2,412         1,657      2,762
Switzerland                      666         3,415      3,755
Netherlands                    1,067         1,515      3,605
China                          1,804           928      3,392

Other countries               16,526        22,286     60,658

                                          Imports

All countries                 54,169        23,901     90,663

10 largest countries (1)      26,916        19,226     61,521
United Kingdom                 3,699         2,209     17,182
Canada                         4,057           766      7,584
Japan                          5,832         6,055      4,373
Germany                        3,797         2,529      6,850
Bermuda                        1,138         1,108     12,941
Mexico                         1,049           243      1,996
France                         1,574         1,992      3,641
Switzerland                      732         2,751      4,532
Netherlands                    1,579         1,537      1,912
Taiwan                         3,459            36        510

Other countries               27,253         4,675     29,142

Table E. Intrafirm Trade in Services by Type, 1997-2004
(Billions of dollars)
                                                                Other
                                                               private
                                                               services

                                                 Royalties
                         Total      Transpor-       and
                        private    tation (1)     license     Total (3)
                        services                  fees (2)

Total receipts:
1997                        51.8           0.4         24.5         26.9
1998                        54.6           0.4         26.3         27.9
1999                        62.0           0.5         29.3         32.3
2000                        66.0           0.5         30.5         35.0
2001                        66.8           0.6         29.2         37.0
2002                        73.4           0.7         32.8         39.9
2003                        79.9           0.7         35.9         43.3
2004                        85.6           0.8         39.0         45.7

By U.S. parents from
       their foreign
       affiliates
1997                        40.8           0.4         23.1         17.3
1998                        42.9           0.4         24.4         18.1
1999                        50.3           0.5         27.6         22.2
2000                        51.9           0.5         28.3         23.1
2001                        52.1           0.6         27.2         24.3
2002                        55.0           0.7         29.7         24.6
2003                        60.1           0.7         32.5         27.0
2004                        64.2           0.8         35.1         28.3

By U.S. parents from
       their foreign
       parents: (7)
1997                        11.0          (*)           1.4          9.6
1998                        11.7          (*)           2.0          9.7
1999                        11.7          (*)           1.7         10.0
2000                        14.1          (*)           2.2         11.9
2001                        14.7          (*)           2.0         12.7
2002                        18.4          (*)           3.1         15.3
2003                        19.7          (*)           3.4         16.3
2004                        21.4          (*)           3.9         17.5

Total payments:
1997                        24.2           0.4          6.7         17.1
1998                        27.7           0.4          8.5         18.7
1999                        35.9           0.4         10.4         25.1
2000                        40.1           0.4         12.5         27.2
2001                        41.4           0.5         13.2         27.7
2002                        45.0           0.7         15.1         29.2
2003                        48.6           1.2         15.7         31.7
2004                        54.7           1.5         18.8         34.4

By U.S. parents to
       their foreign
       affiliates:

1997                        10.8           0.4          1.4          9.0
1998                        12.6           0.4          1.8         10.4
1999                        18.2           0.4          2.3         15.5
2000                        19.2           0.4          2.5         16.3
2001                        19.6           0.5          2.5         16.6
2002                        20.6           0.7          2.9         17.0
2003                        22.9           1.2          2.7         19.0
2004                        26.0           1.5          2.9         21.6

By U.S. parents to
       their foreign
       parents: (7)

1997                        13.4          (*)           5.4          8.1
1998                        15.1          (*)           6.8          8.3
1999                        17.7          (*)           8.1          9.6
2000                        21.0          (*)          10.1         10.9
2001                        21.8          (*)          10.7         11.1
2002                        24.4          (*)          12.2         12.2
2003                        25.7          (*)          13.0         12.7
2004                        28.7          (*)          15.8         12.8

                                    Other private services

                                    Business, professional, and
                                        technical services

                                             Computer    Management
                        Financial           and infor-      and
                        services    Total     mation     consulting
                                             services     services

Total receipts:
1997                          2.2    22.3          1.6          (5)
1998                          2.7    22.7          1.3          (5)
1999                          4.0    25.8          1.2          (5)
2000                          3.8    28.9          1.2          (5)
2001                          4.1    30.7          1.3          2.2
2002                          4.3    32.8          1.7          2.5
2003                          5.2    35.1          2.1          2.5
2004                          5.5    37.2          1.9          2.5

By U.S. parents from
       their foreign
       affiliates
1997                          1.4    13.5          1.4          (5)
1998                          1.8    13.9          1.3          (5)
1999                          2.5    17.3          1.1          (5)
2000                          2.8    18.1          1.1          (5)
2001                          3.2    18.9          1.2          1.3
2002                          3.1    18.7          1.4          1.4
2003                          3.5    20.5          1.7          1.6
2004                          4.0    21.3          1.6          1.6

By U.S. parents from
       their foreign
       parents: (7)
1997                          0.9     8.8          0.2          (5)
1998                          0.9     8.8          0.1          (5)
1999                          1.5     8.5          0.1          (5)
2000                          1.0    10.8          0.1          (5)
2001                          0.9    11.8          0.1          0.9
2002                          1.2    14.1          0.3          1.1
2003                          1.7    14.6          0.4          0.9
2004                          1.5    16.0          0.3          1.0

Total payments:
1997                          2.8    14.3          0.8          (5)
1998                          4.2    14.5          0.9          (5)
1999                          6.0    19.0          3.0          (5)
2000                          7.2    20.0          2.6          (5)
2001                          6.7    21.0          2.9          1.8
2002                          5.4    23.8          2.9          2.6
2003                          5.6    26.1          3.5          2.8
2004                          6.2    28.2          3.8          3.5

By U.S. parents to
       their foreign
       affiliates:

1997                          2.5     6.5          0.5          (5)
1998                          3.3     7.1          0.6          (5)
1999                          4.7    10.7          2.7          (5)
2000                          5.4    10.9          2.4          (5)
2001                          5.2    11.4          2.6          0.5
2002                          4.6    12.4          2.5          0.5
2003                          4.6    14.3          2.9          0.7
2004                          5.5    16.1          3.4          0.9

By U.S. parents to
       their foreign
       parents: (7)

1997                          0.3     7.7          0.2          (5)
1998                          0.9     7.4          0.2          (5)
1999                          1.3     8.4          0.3          (5)
2000                          1.8     9.1          0.2          (5)
2001                          1.5     9.6          0.3          1.3
2002                          0.8    11.4          0.4          2.1
2003                          1.0    11.7          0.6          2.0
2004                          0.7    12.1          0.4          2.5

                        Business, professional, and technical services

                                                  Other
                                                business,
                         Research                 profe-      Film and
                         and deve-    Opera-     ssional,    television
                          lopment     tional       and          tape
                        and testing   leasing   technical     rentals
                         services                services
                                                   (4)

Total receipts:
1997                            (6)       1.5         19.2          2.4
1998                            (6)       1.7         19.7          2.5
1999                            (6)       2.2         22.4          2.4
2000                            (6)       2.1         25.7          2.2
2001                            5.7       2.2         19.4          2.2
2002                            6.5       2.3         19.8          2.8
2003                            7.6       2.5         20.4          3.0
2004                            8.5       2.8         21.5          3.0

By U.S. parents from
       their foreign
       affiliates
1997                            (6)       1.2         10.9          2.4
1998                            (6)       1.4         11.2          2.5
1999                            (6)       1.9         14.3          2.4
2000                            (6)       1.8         15.2          2.2
2001                            2.2       1.8         12.4          2.2
2002                            1.9       2.0         12.0          2.8
2003                            2.0       2.1         13.0          3.0
2004                            1.8       2.5         13.8          3.0

By U.S. parents from
       their foreign
       parents: (7)
1997                            (6)       0.3          8.3         (*)
1998                            (6)       0.3          8.4         (*)
1999                            (6)       0.4          8.1         (*)
2000                            (6)       0.3         10.5         (*)
2001                            3.5       0.3          7.0         (*)
2002                            4.6       0.4          7.8         (*)
2003                            5.6       0.3          7.4         (*)
2004                            6.7       0.3          7.7         (*)

Total payments:
1997                            (6)       0.9         12.6         (*)
1998                            (6)       0.9         12.6         (*)
1999                            (6)       1.1         15.0          0.1
2000                            (6)       1.0         16.3         (*)
2001                            1.7       1.0         13.7         (*)
2002                            1.6       0.8         15.9         (*)
2003                            3.1       0.7         16.0         (*)
2004                            2.9       1.0         17.0         (*)

By U.S. parents to
       their foreign
       affiliates:

1997                            (6)       0.1          5.9         (*)
1998                            (6)       0.1          6.4         (*)
1999                            (6)       0.1          7.9          0.1
2000                            (6)       0.1          8.4         (*)
2001                            0.6       0.1          7.6         (*)
2002                            0.8       0.1          8.5         (*)
2003                            1.1       0.1          9.6         (*)
2004                            1.2       0.1         10.6         (*)

By U.S. parents to
       their foreign
       parents: (7)

1997                            (6)       0.8          6.7         (*)
1998                            (6)       0.8          6.3         (*)
1999                            (6)       1.0          7.1         (*)
2000                            (6)       1.0          7.9         (*)
2001                            1.1       0.9          6.0         (*)
2002                            0.8       0.7          7.4         (*)
2003                            2.0       0.6          6.5         (*)
2004                            1.8       1.0          6.5         (*)

(1.) Equal to "affiliated other transportation" in table 1.

(2.) Equal to "affiliated royalties and license fees" in table 1.

(3.) Equal to "affiliated other private services' in table 1.

(4.) Includes affiliated telecommunications and insurance
transactions; see footnotes 4 and 5 in table 1.

(5.) Prior to 2001, management and consulting services were
included in "other" services. Beginning in 2001, data on management
and consulting services were collected as a separate type of service.

(6.) Prior to 2001, research and development and testing services
were included in "other"services. Beginningin 2001, data on research
and development and testing services were collected as a separate
type of service.

(7.) In addition to transactions with its foreign parent, a U.S.
affiliate's receipts and payments include transactions with other
members of its foreign parent group. The foreign parent group is
defined as (1) the foreign parent, (2) any foreign person, proceeding
up the foreign parent's ownership chain, that owns more than 50
percent of the foreign person below it, up to and including the
ultimate beneficial owner, and (3) any foreign person, proceeding
down the ownership chains) of each of these members, that is owned
more than 50 percent by the person above it.

Table F. Unaffiliated Financial Services Transactions, 1994-2004

[Millions of dollars]

                                1994    1995    1996     1997

Total receipts                  5,631   7,029   8,229   10,243
  Securities transactions (1)   2,527   3,253   3,917    4,715
  Management and advisory (2)   1,479   1,665   1,886    2,553
  Credit card and other
    credit-related              1,093   1,423   1,472    1,839
  Other (3)                       664     688     954    1,136

Total payments                  1,654   2,472   2,907    3,347
  Securities transactions (1)     956   1,506   1,654    1,943
  Management and advisory (2)     327     348     401      406
  Credit card and other
    credit-related                204     327     372      390
  Other (3)                       167     291     480      608

                                 1998     1999     2000     2001

Total receipts                  11,327   13,410   16,026   15,498
  Securities transactions (1)    4,690    4,833    5,459    5,021
  Management and advisory (2)    3,219    4,687    6,610    5,675
  Credit card and other
    credit-related               2,030    1,959    2,206    2,520
  Other (3)                      1,388    1,931    1,751    2,282

Total payments                   3,590    3,418    4,840    4,489
  Securities transactions (1)    1,949    1,748    2,402    1,918
  Management and advisory (2)      545      627      718      495
  Credit card and other
    credit-related                 403      407      459      607
  Other (3)                        693      636    1,261    1,469

                                 2002     2003     2004

Total receipts                  17,746   19,081   21,897
  Securities transactions (1)    6,203    6,987    7,400
  Management and advisory (2)    6,343    6,211    7,388
  Credit card and other
    credit-related               2,832    2,804    3,425
  Other (3)                      2,368    3,079    3,684

Total payments                   4,160    4,232    4,968
  Securities transactions (1)    1,595    1,477    1,636
  Management and advisory (2)      482      520      619
  Credit card and other
    credit-related                 674      669      744
  Other (3)                      1,409    1,566    1,969

(1.) Includes brokerage, underwriting, and private
placement services.

(2.) Includes financial management, financial advisory,
and custody services.

(3.) Includes securities lending, electronic funds transfer,
and other financial services.

Table G. Sales of Services by U.S. MNCs Through Their Nonbank
MOFAs and by Foreign MNCs Through Their Nonbank MOUSAs,
2002-2003

[Millions of dollars]

                                          2002      2003

         Sales through MOFAs

Total                                   448,152   507,508
    To affiliated persons                64,213    72,471
    To unaffiliated persons             383,940   435,038
  To U.S. persons                        24,644    30,053
      To U.S. parents                    19,745    23,035
      To unaffiliated U.S. persons        4,898     7,018
  To foreign persons                    423,508   477,455
      To other foreign affiliates        44,467    49,436
      To unaffiliated foreign persons   379,041   428,020
    Local sales                         355,262   394,353
      To other foreign affiliates        12,477    14,035
      To unaffiliated foreigners        342,786   380,318
    Sales to other countries             68,246    83,102
      To other foreign affiliates        31,991    35,401
      To unaffiliated foreigners         36,256    47,701

        Sales through MOUSAs

Total                                   395,040   407,881
  To U.S. persons                       367,614   381,389
  To foreign persons                     27,426    26,492
    To the foreign parent group           9,785    10,976
    To foreign affiliates                 3,259     1,109
    To other foreigners                  14,382    14,407

NOTE. Depository institutions are excluded because data are not
available.

In this table, sales of services through affiliates are those typical
of establishments in the following industries derived from the North
American Industry Classification System: Utilities; transportation
and warehousing; information; finance and insurance; real estate and
rental and leasing; professional, scientific, and technical services;
management of companies and enterprises; administrative and support,
waste management, and remediation services, educational services;
health care and social assistance; arts. entertainment, and recreation;
accommodation and food services; support activities for agriculture and
forestry; support activities for oil and gas operations; support
activities for mining; and other services.

MNCs Multinational companies

Table 1. Trade in Private Services, 1992-2004

[Millions of dollars]

                                                     Exports

                                            1992      1993      1994

        Total Private Services             164,024   171,566   186,721
          Unaffiliated                     131,540   139,061   146,620
          Affiliated                        32,482    32,501    40,100

Travel (1)                                  54,742    57,875    58,417

Passenger fares (2)                         16,618    16,528    16,997

Other transportation                        21,531    21,958    23,754
  Unaffiliated                                n.a.      n.a.      n.a.
  Affiliated                                  n.a.      n.a.      n.a.

Royalties and license fees                  20,841    21,695    26,712
  Unaffiliated                               5,182     6,007     6,437
  Affiliated                                15,659    15,688    20,275

Other Private services                      50,292    53,510    60,841
  Unaffiliated                              33,467    36,693    41,015
  Affiliated                                16,823    16,813    19,825

    Education (3)                            6,186     6,738     7,174

    Financial services                        n.a.      n.a.      n.a.
      Unaffiliated                           4,034     4,999     5,763
      Affiliated                              (14)      (14)      (14)

    Insurance services (4)                   1,016       994     1,039

    Telecommunications (5)                   2,885     2,785     2,865

    Business, professional, and
        technical services                    n.a.      n.a.      n.a.
      Unaffiliated                          11,722    12,958    15,330
      Affiliated                              (14)      (14)      (14)

      Computer and information
          services (6)                        n.a.      n.a.      n.a.
        Unaffiliated                         1,417     1,680     2,332
        Affiliated                            (14)      (14)      (14)

      Management and consulting services      n.a.      n.a.      n.a.
        Unaffiliated                           728       826     1,134
        Affiliated                            (14)      (14)      (14)

      Research and development and
          testing services                    n.a.      n.a.      n.a.
        Unaffiliated                           611       464       522
        Affiliated                            (14)      (14)      (14)

      Operational leasing                     n.a.      n.a.      n.a.
        Unaffiliated                           854       834       925
        Affiliated                            (14)      (14)      (14)

      Other business, professional, and
          technical services                  n.a.      n.a.      n.a.
        Unaffiliated                         8,113     9,156    10,415
        Affiliated (7)                        (14)      (14)      (14)

    Other services                           8,266     9,316    10,947
      Unaffiliated                           7,625     8,219     8,845
      Affiliated                               641     1,097     2,102

    Film and television tape rentals         2,562     3,276     4,305
      Unaffiliated                           1,921     2,179     2,203
      Affiliated                               641     1,097     2,102

    Other                                    5,704     6,040     6,642
      Unaffiliated                           5,704     6,040     6,642
      Affiliated                               ...       ...       ...

Addenda: Detail on transactions with
    unaffiliated foreigners in other
    business, professional, and
    technical services: (8)                  8,113     9,156    10,415
  Accounting, auditing, and bookkeeping
    services                                   164       164       132
  Advertising                                  315       338       487
  Agricultural, mining, and on-site
      processing services                     n.a.      n.a.      n.a.
    Agricultural and mining services (9)      n.a.      n.a.      n.a.
    Waste treatment and depollution
      services                                n.a.      n.a.      n.a.
  Architectural, engineering, and other
     technical services                       n.a.      n.a.      n.a.
  Construction, architectural,
    engineering, and mining
    services (10)                            1,935     2,407     5,474
  Construction                                n.a.      n.a.      n.a.
  Industrial engineering                       212       268       575
  Installation, maintenance, and repair
    of equipment                             2,744     2,978     3,497
  Legal services                             1,358     1,442     1,617
  Medical services                           1,708       750       794
  Miscellaneous disbursements (11)              97       222       222
  Sports and performing arts                    43        77        86
  Trade-related services (12)                 n.a.      n.a.      n.a.
  Training services                            320       319       388
  Other business, professional and
    technical services (13)                    217       191       143

                                                     Exports

                                            1995      1996      1997

        Total Private Services             203,722   222,115   238,457
          Unaffiliated                     160,380   174,628   186,668
          Affiliated                        43,342    47,487    51,789

Travel (1)                                  63,395    69,809    73,426

Passenger fares (2)                         18,909    20,422    20,868

Other transportation                        26,081    26,074    27,006
  Unaffiliated                                n.a.      n.a.    26,606
  Affiliated                                  n.a.      n.a.       400

Royalties and license fees                  30,289    32,470    33,228
  Unaffiliated                               7,430     7,914     8,763
  Affiliated                                22,859    24,556    24,465

Other Private services                      65,048    73,340    83,929
  Unaffiliated                              44,565    50,409    57,005
  Affiliated                                20,483    22,931    26,924

    Education (3)                            7,515     7,887     8,346

    Financial services                        n.a.      n.a.    12,443
      Unaffiliated                           7,029     8,229    10,243
      Affiliated                              (14)      (14)     2,200

    Insurance services (4)                   1,250     1,651     2,130

    Telecommunications (5)                   3,228     3,301     3,918

    Business, professional, and
        technical services                    n.a.      n.a.    43,862
      Unaffiliated                          16,078    19,466    21,547
      Affiliated                              (14)      (14)    22,315

      Computer and information
          services (6)                        n.a.      n.a.     5,090
        Unaffiliated                         2,418     2,775     3,490
        Affiliated                            (14)      (14)     1,600

      Management and consulting services      n.a.      n.a.      n.a.
        Unaffiliated                         1,489     1,460     1,632
        Affiliated                            (14)      (14)      (15)

      Research and development and
          testing services                    n.a.      n.a.      n.a.
        Unaffiliated                           638       681       893
        Affiliated                            (14)      (14)      (15)

      Operational leasing                     n.a.      n.a.     3,551
        Unaffiliated                           978     1,482     2,012
        Affiliated                            (14)      (14)     1,539

      Other business, professional, and
          technical services                  n.a.      n.a.    32,696
        Unaffiliated                        10,558    13,069    13,520
        Affiliated (7)                        (14)      (14)    19,176

    Other services                          11,644    12,021    13,230
      Unaffiliated                           9,465     9,875    10,821
      Affiliated                             2,179     2,146     2,409

    Film and television tape rentals         4,739     4,982     5,943
      Unaffiliated                           2,560     2,836     3,534
      Affiliated                             2,179     2,146     2,409

    Other                                    6,905     7,039     7,287
      Unaffiliated                           6,905     7,039     7,287
      Affiliated                               ...       ...       ...

Addenda: Detail on transactions with
    unaffiliated foreigners in other
    business, professional, and
    technical services: (8)                 10,558    13,069    13,520
  Accounting, auditing, and bookkeeping
    services                                   181       222       316
  Advertising                                  425       543       607
  Agricultural, mining, and on-site
      processing services                     n.a.      n.a.      n.a.
    Agricultural and mining services (9)      n.a.      n.a.      n.a.
    Waste treatment and depollution
      services                                n.a.      n.a.      n.a.
  Architectural, engineering, and other
     technical services                       n.a.      n.a.      n.a.
  Construction, architectural,
    engineering, and mining
    services (10)                            2,550     3,553     3,503
  Construction                                n.a.      n.a.      n.a.
  Industrial engineering                       726       870     1,186
  Installation, maintenance, and repair
    of equipment                             3,218     3,648     3,369
  Legal services                             1,667     1,943     2,223
  Medical services                             856     1,005     1,113
  Miscellaneous disbursements (11)             251       333       144
  Sports and performing arts                   116       149       149
  Trade-related services (12)                 n.a.       175       166
  Training services                            421       388       447
  Other business, professional and
    technical services (13)                    147       240       297

                                                     Exports

                                            1998      1999      2000

        Total Private Services             244,427   265,106   284,028
          Unaffiliated                     189,860   203,081   218,079
          Affiliated                        54,568    62,025    65,949

Travel (1)                                  71,325    74,801    82,400

Passenger fares (2)                         20,098    19,785    20,687

Other transportation                        25,604    26,916    29,803
  Unaffiliated                              25,204    26,416    29,303
  Affiliated                                   400       500       500

Royalties and license fees                  35,626    39,670    43,233
  Unaffiliated                               9,314    10,395    12,754
  Affiliated                                26,313    29,275    30,479

Other Private services                      91,774   103,934   107,905
  Unaffiliated                              63,919    71,684    72,935
  Affiliated                                27,855    32,250    34,970

    Education (3)                            9,036     9,616   107,905

    Financial services                      14,027    17,410    19,826
      Unaffiliated                          11,327    13,410    16,026
      Affiliated                             2,700     4,000     3,800

    Insurance services (4)                   3,002     3,053     3,631

    Telecommunications (5)                   5,567     4,549     3,883

    Business, professional, and
        technical services                  45,315    53,517    54,289
      Unaffiliated                          22,676    27,700    25,318
      Affiliated                            22,639    25,817    28,971

      Computer and information
          services (6)                       5,005     6,643     6,822
        Unaffiliated                         3,705     5,443     5,622
        Affiliated                           1,300     1,200     1,200

      Management and consulting services      n.a.      n.a.      n.a.
        Unaffiliated                         1,888    1,832       670
        Affiliated                            (15)      (15)      (15)

      Research and development and
          testing services                    n.a.      n.a.      n.a.
        Unaffiliated                           867       994       910
        Affiliated                            (15)      (15)      (15)

      Operational leasing                    4,041     4,918     5,184
        Unaffiliated                         2,367     2,671     3,086
        Affiliated                           1,674     2,247     2,098

      Other business, professional, and
          technical services                33,515    39,133    39,703
        Unaffiliated                        13,850    16,763    14,030
        Affiliated (7)                      19,665    22,370    25,673

    Other services                          14,827    15,790    15,928
      Unaffiliated                          12,311    13,357    13,729
      Affiliated                             2,516     2,433     2,199

    Film and television tape rentals         7,076     8,061     8,578
      Unaffiliated                           4,560     5,628     6,379
      Affiliated                             2,516     2,433     2,199

    Other                                    7,751     7,729     7,350
      Unaffiliated                           7,751     7,729     7,350
      Affiliated                               ...       ...       ...

Addenda: Detail on transactions with
    unaffiliated foreigners in other
    business, professional, and
    technical services: (8)                 13,850    16,763    14,030
  Accounting, auditing, and bookkeeping
    services                                   412       294       366
  Advertising                                  445       481       496
  Agricultural, mining, and on-site
      processing services                      573       591       306
    Agricultural and mining services (9)       573       591       306
    Waste treatment and depollution
      services                                n.a.      n.a.      n.a.
  Architectural, engineering, and other
     technical services                      2,541     2,620     1,459
  Construction, architectural,
    engineering, and mining
    services (10)                             n.a.      n.a.      n.a.
  Construction                                 793     2,643        63
  Industrial engineering                     1,271     1,865       673
  Installation, maintenance, and repair
    of equipment                             3,189     3,491     4,249
  Legal services                             2,406     2,465     3,103
  Medical services                           1,204     1,353     1,501
  Miscellaneous disbursements (11)             148       109       151
  Sports and performing arts                    99       131       141
  Trade-related services (12)                  183       188        98
  Training services                            396       389       433
  Other business, professional and
    technical services (13)                    190       143       381

                                                     Exports

                                            2001      2002      2003

        Total Private Services             272,814   279,169   291,534
          Unaffiliated                     206,030   205,796   211,677
          Affiliated                        66,784    73,373    79,857

Travel (1)                                  71,893    66,605    64,348

Passenger fares (2)                         17,926    17,046    15,693

Other transportation                        28,442    29,195    31,329
  Unaffiliated                              27,842    28,495    30,629
  Affiliated                                   600       700       700

Royalties and license fees                  40,696    44,489    48,137
  Unaffiliated                              11,532    11,738    12,252
  Affiliated                                29,164    32,751    35,885

Other Private services                     113,857   121,834   132,027
  Unaffiliated                              76,837    81,912    88,755
  Affiliated                                37,020    39,922    43,272

    Education (3)                           11,476    12,626    13,261

    Financial services                      19,598    22,046    24,281
      Unaffiliated                          15,498    17,746    19,081
      Affiliated                             4,100     4,300     5,200

    Insurance services (4)                   3,423     4,467     5,880

    Telecommunications (5)                   4,332     3,890     4,514

    Business, professional, and
        technical services                  58,913    62,036    66,552
      Unaffiliated                          28,169    29,230    31,473
      Affiliated                            30,744    32,806    35,079

      Computer and information
          services (6)                       6,723     7,093     8,504
        Unaffiliated                         5,423     5,393     6,404
        Affiliated                           1,300     1,700     2,100

      Management and consulting services     4,220     4,039     4,436
        Unaffiliated                         2,020     1,539     1,936
        Affiliated                           2,200     2,500     2,500

      Research and development and
          testing services                   6,746     7,642     8,752
        Unaffiliated                         1,046     1,142     1,152
        Affiliated                           5,700     6,500     7,600

      Operational leasing                    5,883     7,448     7,929
        Unaffiliated                         3,726     5,104     5,445
        Affiliated                           2,157     2,344     2,484

      Other business, professional, and
          technical services                35,340    35,813    36,932
        Unaffiliated                        15,953    16,051    16,537
        Affiliated (7)                      19,387    19,762    20,395

    Other services                          16,115    16,770    17,541
      Unaffiliated                          13,939    13,954    14,548
      Affiliated                             2,176     2,816     2,993

    Film and television tape rentals         8,795     9,350    10,146
      Unaffiliated                           6,618     6,534     7,153
      Affiliated                             2,176     2,816     2,993

    Other                                    7,321     7,420     7,395
      Unaffiliated                           7,321     7,420     7,395
      Affiliated                               ...       ...       ...

Addenda: Detail on transactions with
    unaffiliated foreigners in other
    business, professional, and
    technical services: (8)                 15,953    16,051    16,537
  Accounting, auditing, and bookkeeping
    services                                   413       288       234
  Advertising                                  533       466       532
  Agricultural, mining, and on-site
      processing services                      378       273       297
    Agricultural and mining services (9)       353       241       252
    Waste treatment and depollution
      services                                  25        32        45
  Architectural, engineering, and other
     technical services                      1,896     1,679     2,003
  Construction, architectural,
    engineering, and mining
    services (10)                             n.a.      n.a.      n.a.
  Construction                                 824       568       557
  Industrial engineering                       822       806       904
  Installation, maintenance, and repair
    of equipment                             5,053     5,287     5,006
  Legal services                             2,966     3,099     3,291
  Medical services                           1,479     1,460     1,571
  Miscellaneous disbursements (11)             212       607       247
  Sports and performing arts                   176       170       172
  Trade-related services (12)                  297       578       705
  Training services                            491       602       578
  Other business, professional and
    technical services (13)                    413       168       440

                                           Exports       Imports

                                            2004      1992      1993

        Total Private Services             323,362   103,469   109,439
          Unaffiliated                     237,814    90,428    95,375
          Affiliated                         8,554    13,036    14,063

Travel (1)                                  74,481    38,552    40,713

Passenger fares (2)                         18,858   106,031    11,410

Other transportation                        36,862    23,767    24,524
  Unaffiliated                              36,062      n.a.      n.a.
  Affiliated                                   800      n.a.      n.a.

Royalties and license fees                  52,643     5,161     5,032
  Unaffiliated                              13,619     1,766     1,646
  Affiliated                                39,024     3,396     3,386

Other Private services                     140,518    25,386    27,760
  Unaffiliated                              94,794    15,740    17,082
  Affiliated                                45,724     9,640    10,677

    Education (3)                           13,523       767       857

    Financial services                      27,397      n.a.      n.a.
      Unaffiliated                          21,897       986     1,371
      Affiliated                             5,500      (14)      (14)

    Insurance services (4)                   6,125     4,221     4,402

    Telecommunications (5)                   4,374     6,052     6,365

    Business, professional, and
        technical services                  71,009      n.a.      n.a.
      Unaffiliated                          33,773     3,216     3,618
      Affiliated                            37,236      (14)      (14)

      Computer and information
          services (6)                       8,501      n.a.      n.a.
        Unaffiliated                         6,601       143       211
        Affiliated                           1,900      (14)      (14)

      Management and consulting services     4,452      n.a.      n.a.
        Unaffiliated                         1,952       243       287
        Affiliated                           2,500      (14)      (14)

      Research and development and
          testing services                   9,807      n.a.      n.a.
        Unaffiliated                         1,307       225       239
        Affiliated                           8,500      (14)      (14)

      Operational leasing                    8,234      n.a.      n.a.
        Unaffiliated                         5,439       337       356
        Affiliated                           2,795      (14)      (14)

      Other business, professional, and
          technical services                40,018      n.a.      n.a.
        Unaffiliated                        18,477     2,269     2,523
        Affiliated (7)                      21,541      (14)      (14)

    Other services                          18,089       498       481
      Unaffiliated                          15,101       498       469
      Affiliated                             2,988         *        12

    Film and television tape rentals        10,480        76        74
      Unaffiliated                           7,492        76        62
      Affiliated                             2,988         *        12

    Other                                    7,609       422       407
      Unaffiliated                           7,609       422       407
      Affiliated                               ...       ...       ...

Addenda: Detail on transactions with
    unaffiliated foreigners in other
    business, professional, and
    technical services: (8)                 18,477     2,269    12,523
  Accounting, auditing, and bookkeeping
    services                                   299       104       103
  Advertising                                  489       450       646
  Agricultural, mining, and on-site
      processing services                      265      n.a.      n.a.
    Agricultural and mining services (9)       220      n.a.      n.a.
    Waste treatment and depollution
      services                                  45      n.a.      n.a.
  Architectural, engineering, and other
     technical services                      2,595      n.a.      n.a.
  Construction, architectural,
    engineering, and mining
    services (10)                             n.a.       261       319
  Construction                                 396      n.a.      n.a.
  Industrial engineering                       842       112       142
  Installation, maintenance, and repair
    of equipment                             5,117       191       175
  Legal services                             3,923       311       321
  Medical services                           1,661       114       114
  Miscellaneous disbursements (11)             274       395       371
  Sports and performing arts                   139       145       156
  Trade-related services (12)                1,308      n.a.      n.a.
  Training services                            662       101       101
  Other business, professional and
    technical services (13)                    507        85        75

                                                     Imports

                                            1994      1995      1996

        Total Private Services             120,280   128,731   138,806
          Unaffiliated                     103,896   109,841   117,852
          Affiliated                        16,384    18,890    20,954

Travel (1)                                  43,782    44,916    48,078

Passenger fares (2)                         13,062    14,663    15,809

Other transportation                        26,019    27,034    27,403
  Unaffiliated                                n.a.      n.a.      n.a.
  Affiliated                                  n.a.      n.a.      n.a.

Royalties and license fees                   5,852     6,919     7,837
  Unaffiliated                               1,919     1,663     2,431
  Affiliated                                 3,933     5,256     5,406

Other Private services                      31,565    35,199    39,679
  Unaffiliated                              19,114    21,565    24,131
  Affiliated                                12,451    13,634    15,548

    Education (3)                              972     1,125     1,253

    Financial services                        n.a.      n.a.      n.a.
      Unaffiliated                           1,654     2,472     2,907
      Affiliated                              (14)      (14)      (14)

    Insurance services (4)                   5,029     5,126     5,395

    Telecommunications (5)                   6,928     7,305     8,290

    Business, professional, and
        technical services                    n.a.      n.a.      n.a.
      Unaffiliated                           3,982     4,940     5,670
      Affiliated                              (14)      (14)      (14)

      Computer and information
          services (6)                        n.a.      n.a.      n.a.
        Unaffiliated                           224       286       422
        Affiliated                            (14)      (14)      (14)

      Management and consulting services      n.a.      n.a.      n.a.
        Unaffiliated                           321       465       497
        Affiliated                            (14)      (14)      (14)

      Research and development and
          testing services                    n.a.      n.a.      n.a.
        Unaffiliated                           294       364       379
        Affiliated                            (14)      (14)      (14)

      Operational leasing                     n.a.      n.a.      n.a.
        Unaffiliated                           401       407       325
        Affiliated                            (14)      (14)      (14)

      Other business, professional, and
          technical services                  n.a.      n.a.      n.a.
        Unaffiliated                         2,742     3,422     4,047
        Affiliated (7)                        (14)      (14)      (14)

    Other services                             582       625       623
      Unaffiliated                             550       597       616
      Affiliated                                32        28         7

    Film and television tape rentals           166       196       183
      Unaffiliated                             134       168       176
      Affiliated                                32        28         7

    Other                                      416       429       440
      Unaffiliated                             416       429       440
      Affiliated                               ...       ...       ...

Addenda: Detail on transactions with
    unaffiliated foreigners in other
    business, professional, and
    technical services: (8)                  2,742     3,422     4,047
  Accounting, auditing, and bookkeeping
    services                                   130       170       218
  Advertising                                  728       833       971
  Agricultural, mining, and on-site
      processing services                     n.a.      n.a.      n.a.
    Agricultural and mining services (9)      n.a.      n.a.      n.a.
    Waste treatment and depollution
      services                                n.a.      n.a.      n.a.
  Architectural, engineering, and other
     technical services                       n.a.      n.a.      n.a.
  Construction, architectural,
    engineering, and mining
    services (10)                              280       345       465
  Construction                                n.a.      n.a.      n.a.
  Industrial engineering                       100       160       197
  Installation, maintenance, and repair
    of equipment                               164       160       239
  Legal services                               383       469       615
  Medical services                             114       118       123
  Miscellaneous disbursements (11)             538       843       750
  Sports and performing arts                   122       120       200
  Trade-related services (12)                 n.a.      n.a.      n.a.
  Training services                            137       145       140
  Other business, professional and
    technical services (13)                     46        59       129

                                                     Imports

                                            1997      1998      1999

        Total Private Services             151,463   165,642   183,034
          Unaffiliated                     127,234   137,983   147,137
          Affiliated                        24,229    27,659    35,897

Travel (1)                                  52,051    56,483    58,963

Passenger fares (2)                         18,138    19,971    21,315

Other transportation                        28,959    30,363    34,139
  Unaffiliated                              28,559    29,963    33,739
  Affiliated                                   400       400       400

Royalties and license fees                   9,161    11,235    13,107
  Unaffiliated                               2,412     2,688     2,733
  Affiliated                                 6,749     8,547    10,374

Other Private services                      43,154    47,590    55,510
  Unaffiliated                              26,074    28,878    30,387
  Affiliated                                17,080    18,712    25,123

    Education (3)                            1,396     1,587     1,807

    Financial services                       6,147     7,790     9,418
      Unaffiliated                           3,347     3,590     3,418
      Affiliated                             2,800     4,200     6,000

    Insurance services (4)                   5,891     7,957     9,389

    Telecommunications (5)                   8,346     7,682     6,601

    Business, professional, and
        technical services                  20,814    22,023    27,636
      Unaffiliated                           6,539     7,531     8,589
      Affiliated                            14,275    14,492    19,047

      Computer and information
          services (6)                       1,564     1,969     4,494
        Unaffiliated                           764     1,069     1,494
        Affiliated                             800       900     3,000

      Management and consulting services      n.a.      n.a.      n.a.
        Unaffiliated                           687       872       842
        Affiliated                            (15)      (15)      (15)

      Research and development and
          testing services                    n.a.      n.a.      n.a.
        Unaffiliated                           564       637       749
        Affiliated                            (15)      (15)      (15)

      Operational leasing                    1,084     1,122     1,224
        Unaffiliated                           189       175       173
        Affiliated                             895       947     1,051

      Other business, professional, and
          technical services                16,914    17,425    20,324
        Unaffiliated                         4,334     4,780     5,328
        Affiliated (7)                      12,580    12,645    14,996

    Other services                             560       550       659
      Unaffiliated                             555       530       583
      Affiliated                                 5        20        76

    Film and television tape rentals           158       141       195
      Unaffiliated                             153       121       119
      Affiliated                                 5        20        76

    Other                                      402       409       464
      Unaffiliated                             402       409       464
      Affiliated                               ...       ...       ...

Addenda: Detail on transactions with
    unaffiliated foreigners in other
    business, professional, and
    technical services: (8)                  4,334     4,780     5,328
  Accounting, auditing, and bookkeeping
    services                                   279       403       592
  Advertising                                  773       912       881
  Agricultural, mining, and on-site
      processing services                     n.a.       301       259
    Agricultural and mining services (9)      n.a.       301       259
    Waste treatment and depollution
      services                                n.a.      n.a.      n.a.
  Architectural, engineering, and other
     technical services                       n.a.        54        19
  Construction, architectural,
    engineering, and mining
    services (10)                              463      n.a.      n.a.
  Construction                                n.a.       208       237
  Industrial engineering                       211       206       262
  Installation, maintenance, and repair
    of equipment                               307       242       315
  Legal services                               539       655       742
  Medical services                             132       139       141
  Miscellaneous disbursements (11)           1,075     1,136     1,351
  Sports and performing arts                   260       228       206
  Trade-related services (12)                 n.a.      n.a.      n.a.
  Training services                            153       168       162
  Other business, professional and
    technical services (13)                    142       128       163

                                                     Imports

                                            2000      2001      2002

        Total Private Services             207,392   204,074   209,235
          Unaffiliated                     167,280   162,664   164,212
          Affiliated                        40,112    41,410    45,023

Travel (1)                                  64,705    60,200    58,715

Passenger fares (2)                         24,274    22,633    19,969

Other transportation                        41,425    38,682    38,407
  Unaffiliated                              41,025    38,182    37,707
  Affiliated                                   400       500       700

Royalties and license fees                  16,468    16,538    19,335
  Unaffiliated                               3,932    13,297     4,219
  Affiliated                                12,536    13,241    15,116

Other Private services                      60,520    66,021    72,809
  Unaffiliated                              33,344    38,352    43,602
  Affiliated                                27,176    27,669    29,207

    Education (3)                            2,031     2,298     2,701

    Financial services                      12,040    11,189     9,560
      Unaffiliated                           4,840     4,489     4,160
      Affiliated                             7,200     6,700     5,400

    Insurance services (4)                  11,284    16,706    22,150

    Telecommunications (5)                   5,428     4,770     4,233

    Business, professional, and
        technical services                  29,098    30,418    33,492
      Unaffiliated                           9,129     9,452     9,688
      Affiliated                            19,969    20,966    23,804

      Computer and information
          services (6)                       4,435     4,599     4,554
        Unaffiliated                         1,835     1,799     1,654
        Affiliated                           2,600     2,800     2,900

      Management and consulting services      n.a.     2,630     3,517
        Unaffiliated                           702       830       917
        Affiliated                            (15)     1,800     2,600

      Research and development and
          testing services                    n.a.     2,425     2,628
        Unaffiliated                           787       725     1,028
        Affiliated                            (15)     1,700     1,600

      Operational leasing                    1,223     1,154     1,003
        Unaffiliated                           188       199       171
        Affiliated                           1,035       955       832

      Other business, professional, and
          technical services                21,950    19,609    21,790
        Unaffiliated                         5,616     5,898     5,918
        Affiliated (7)                      16,334    13,711    15,872

    Other services                             639       639       674
      Unaffiliated                             632       636       671
      Affiliated                                 7         3         3

    Film and television tape rentals           137       124       140
      Unaffiliated                             130       121       137
      Affiliated                                 7         3        13

    Other                                      502       515       534
      Unaffiliated                             502       515       534
      Affiliated                               ...       ...       ...

Addenda: Detail on transactions with
    unaffiliated foreigners in other
    business, professional, and
    technical services: (8)                  5,616     5,898     5,918
  Accounting, auditing, and bookkeeping
    services                                   531       507       489
  Advertising                                  909     1,027       786
  Agricultural, mining, and on-site
      processing services                      304       350       283
    Agricultural and mining services (9)       304       347       267
    Waste treatment and depollution
      services                                n.a.         3        16
  Architectural, engineering, and other
     technical services                         18        66       112
  Construction, architectural,
    engineering, and mining
    services (10)                             n.a.      n.a.      n.a.
  Construction                                 184       179       204
  Industrial engineering                       241       148       183
  Installation, maintenance, and repair
    of equipment                               821       566       668
  Legal services                               893       740       820
  Medical services                             156       157       153
  Miscellaneous disbursements (11)           1,120     1,361     1,481
  Sports and performing arts                    85       168       110
  Trade-related services (12)                 n.a.        31        48
  Training services                            205       346       370
  Other business, professional and
    technical services (13)                    149       252       211

                                                Imports

                                            2003      2004

        Total Private Services             224,616   258,069
          Unaffiliated                     176,042   203,376
          Affiliated                        48,574    54,693

Travel (1)                                  57,444    65,635

Passenger fares (2)                         20,957    23,701

Other transportation                        44,705    54,169
  Unaffiliated                              43,505    52,669
  Affiliated                                 1,200     1,500

Royalties and license fees                  19,390    23,901
  Unaffiliated                               3,707     5,151
  Affiliated                                15,683    18,750

Other Private services                      82,120    90,663
  Unaffiliated                              50,429    56,220
  Affiliated                                31,691    34,443

    Education (3)                            3,184     3,525

    Financial services                       9,832    11,168
      Unaffiliated                           4,232     4,968
      Affiliated                             5,600     6,200

    Insurance services (4)                  26,561    29,882

    Telecommunications (5)                   4,259     4,365

    Business, professional, and
        technical services                  37,464    40,737
      Unaffiliated                          11,393    12,519
      Affiliated                            26,071    28,218

      Computer and information
          services (6)                       5,706     5,804
        Unaffiliated                         2,206     2,004
        Affiliated                           3,500     3,800

      Management and consulting services     3,982     5,023
        Unaffiliated                         1,182     1,523
        Affiliated                           2,800     3,500

      Research and development and
          testing services                   4,427     4,727
        Unaffiliated                         1,327     1,827
        Affiliated                           3,100     2,900

      Operational leasing                      825     1,184
        Unaffiliated                           158       161
        Affiliated                             667     1,023

      Other business, professional, and
          technical services                22,525    24,000
        Unaffiliated                         6,521     7,005
        Affiliated (7)                      16,004    16,995

    Other services                             821       987
      Unaffiliated                             801       962
      Affiliated                                20        25

    Film and television tape rentals           229       341
      Unaffiliated                             209       316
      Affiliated                                20        25

    Other                                      592       646
      Unaffiliated                             592       646
      Affiliated                               ...       ...

Addenda: Detail on transactions with
    unaffiliated foreigners in other
    business, professional, and
    technical services: (8)                  6,521     7,005
  Accounting, auditing, and bookkeeping
    services                                   568       720
  Advertising                                  863       923
  Agricultural, mining, and on-site
      processing services                      366       512
    Agricultural and mining services (9)       349       494
    Waste treatment and depollution
      services                                  17        18
  Architectural, engineering, and other
     technical services                         71        88
  Construction, architectural,
    engineering, and mining
    services (10)                             n.a.      n.a.
  Construction                                 241       374
  Industrial engineering                       195       162
  Installation, maintenance, and repair
    of equipment                               675       673
  Legal services                               926       754
  Medical services                             167       185
  Miscellaneous disbursements (11)           1,638     1,599
  Sports and performing arts                   121     1,160
  Trade-related services (12)                   71        92
  Training services                            401       510
  Other business, professional and
    technical services (13)                    218       253

NOTE. See the box "Types of Cross-Border Services: Coverage and
Definitions" in the text.

n.a. Not available

(1.) Travel consists of expenditures by individuals who travel to
foreign countries, so these transactions are between unaffiliated
parties.

(2.) Passenger fares consist of fares paid by residents of one country
to airline and vessel operators (carriers) that reside in another
country, so they are transactions between unaffiliated parties.

(3.) Education consists of expenditures for tuition and living
expenses by students studying in foreign countries, so these
are transactions between unaffiliated parties.

(4.) Most insurance services transactions are deemed to be
unaffiliated even when they are between affiliated companies because
the services are deemed to be provided to the policyholders who pay
the insurance premiums and who are unaffiliated with either company.
Only primary insurance services between a U.S. company that is not an
insurance company and an affiliated foreign insurance company, such as
a captive foreign insurance affiliate, are considered to be
affiliated. Data on affiliated trade in insurance services are
included in affiliated "other business, professional, and technical
services."

(5.) Transactions in basic telecommunications services are deemed to
be unaffiliated, even when the services flow through affiliated
channels, because they represent the distribution of revenues
collected from unaffiliated customers. Other types of
telecommunications services, such as value-added services, may flow
through either affiliated or unaffiliated channels. For the latter,
unaffiliated telecommunications transactions are included under
"telecommunications;" data on affiliated transactions are not
separately available and are included in affiliated "other business,
professional, and technical services."

(6.) Includes computer and data processing services and database and
other information services. For unaffiliated transactions,
estimates of each of these services are shown in table 7.

(7.) See footnotes 4 and 5. For 1997-2000, this category also included
affiliated management and consulting services and research and
development and testing services.

(8.) Only data on transactions with unaffiliated foreign persons are
identifiable.

(9.) For 1992-1997, mining services are included in construction,
architectural, engineering, and mining services; agricultural
services are included in "other business, professional and technical
services:"

(10.) For 1998-2003, mining services are included in agricultural and
mining services; the other services are included in "architectural,
engineering, and other technical services" and in construction
services.

(11.) Miscellaneous disbursements include transactions such as outlays
to fund news-gathering costs of broadcasters and of print media,
outlays to fund production costs of motion pictures, outlays to fund
production casts of broadcast program material other than news,
outlays to maintain government tourism and business promotion offices,
and outlays for sales promotion and representation.

(12.) Trade-related services consist of auction services, Internet or
online sales services, and services provided by independent sales
agents. For exports, "merchanting" services are also included; these
exports are measured as the difference between the cost and resale
prices of goods that are purchased and resold abroad without
significant processing. For imports, the value of these services is
included in the value of the goods. Merchanting services have been
collected since 1996, and other trade-related services have been
collected since 2001. Merchanting services exports were $390 million
in 2003 and $914 million in 2004.

(13.) "Other business, professional, and technical services" consists
of language translation services; security services; collection
services; salvage services; satellite photography and remote sensing/
satellite imagery services; transcription services; mailing,
reproduction. and commercial art services; personnel supply services;
and management of health care facilities services. See also
footnote 9.

(14.) For 1992-96, affiliated transactions in this service were not
separately available; they were included in affiliated "other
private services."

(15.) For 1997-2000, affiliated transactions in this service were
included in "other business, professional, and technical services.

Table 2. Private Services Trade by Area and Country, 1992-2004

[Millions of dollars]

                                               Exports

                                  1992      1993      1994      1995

      All countries              164,024   171,566   186,721   203,722

Canada                            17,363    17,016    17,082    17,868

Europe                            60,655    62,370    67,469    73,332
  Belgium-Luxembourg               2,310     2,198     2,762     2,820
  France                           7,001     6,833     6,716     7,920
  Germany                         10,858    11,356    11,532    12,687
  Italy                            4,503     4,083     4,262     4,517
  Netherlands                      3,737     4,103     5,472     6,109
  Norway                           1,128     1,245     1,149     1,213
  Spain                            2,452     2,271     2,664     2,991
  Sweden                           1,763     1,739     1,744     1,890
  Switzerland                      2,889     3,006     3,706     3,906
  United Kingdom                  16,173    17,257    17,889    18,912
  Other                            7,843     8,278     9,571    10,365

Latin America and Other
    Western Hemisphere            26,673    28,985    32,467    32,919
  South and Central America       23,158    25,126    27,836    27,561
    Argentina                      1,784     2,130     2,459     2,394
    Brazil                         2,500     2,944     3,732     4,994
    Chile                            614       773     1,151       982
    Mexico                        10,458    10,394    11,321     8,691
    Venezuela                      1,988     2,425     2,139     2,492
    Other                          5,817     6,462     7,036     8,009
  Other Western Hemisphere         3,513     3,857     4,630     5,359
    Bermuda                          436       509       601       782
    Other                          3,075     3,348     4,030     4,577

Africa, Middle East, and Asia
    and Pacific                   54,767    58,430    64,719    74,242
  Africa                           2,230     2,325     2,581     2,866
    South Africa                     464       493       624       798
    Other                          1,769     1,833     1,957     2,069
  Middle East                      3,994     4,147     5,050     5,782
    Israel                           923     1,107     1,484     1,634
    Saudi Arabia                   1,359     1,238     1,862     2,083
    Other                          1,713     1,801     1,702     2,065
  Asia and Pacific                48,542    51,959    57,089    65,594
    Australia                      3,470     3,541     3,780     4,239
    China                          1,570     1,916     2,051     2,512
    Hong Kong                      2,260     2,357     2,795     2,984
    India                          1,093     1,138     1,224     1,317
    Indonesia                        771       893       874     1,154
    Japan                         25,446    26,654    28,780    33,086
    Korea, Republic of             3,369     3,647     4,602     5,684
    Malaysia                         604       677       886     1,030
    New Zealand                      761       788       825       986
    Philippines                      968     1,241     1,182     1,057
    Singapore                      2,147     2,414     2,644     3,153
    Taiwan                         3,163     3,467     4,167     4,424
    Thailand                         749     1,015     1,016     1,184
    Other                          2,167     2,206     2,266     2,784

International organizations
  and unallocated                  4,564     4,762     4,986     5,359

Addenda:
  European Union (1)              51,601    52,508    55,826    64,094

                                               Exports

                                  1996      1997      1998      1999

      All countries              222,115   238,457   244,427   265,106

Canada                            19,453    20,450    19,393    22,578

Europe                            81,296    86,185    94,198   101,287
  Belgium-Luxembourg               2,851     2,837     2,993     3,328
  France                           8,883     9,293     9,655     9,963
  Germany                         13,321    13,824    14,889    16,144
  Italy                            4,862     4,978     5,592     5,296
  Netherlands                      7,038     7,355     6,611     6,970
  Norway                           1,378     1,404     1,410     1,433
  Spain                            3,099     3,424     3,524     3,916
  Sweden                           2,466     2,382     2,580     2,364
  Switzerland                      4,357     4,343     4,869     4,834
  United Kingdom                  20,226    23,774    26,634    29,913
  Other                           12,814    12,570    15,441    17,123

Latin America and Other
    Western Hemisphere            35,610    42,205    46,703    50,773
  South and Central America       29,772    35,050    38,419    39,738
    Argentina                      2,759     3,383     3,596     3,655
    Brazil                         5,208     6,408     6,620     5,641
    Chile                          1,180     1,431     1,367     1,551
    Mexico                         9,429    10,795    11,639    12,827
    Venezuela                      2,399     2,681     3,073     3,282
    Other                          8,796    10,354    12,127    12,783
  Other Western Hemisphere         5,838     7,154     8,282    11,034
    Bermuda                          822       869     1,113     1,417
    Other                          5,016     6,287     7,169     9,617

Africa, Middle East, and Asia
    and Pacific                   79,941    83,877    77,990    84,352
  Africa                           3,036     3,481     4,118     4,723
    South Africa                     843     1,003     1,068     1,317
    Other                          2,194     2,477     3,051     3,406
  Middle East                      6,675     6,847     7,458     7,795
    Israel                         1,898     1,929     2,061     2,266
    Saudi Arabia                   1,689     1,910     1,975     2,389
    Other                          3,089     3,006     3,420     3,140
  Asia and Pacific                70,230    73,549    66,414    71,834
    Australia                      4,504     4,908     4,802     5,201
    China                          3,167     3,612     3,958     4,029
    Hong Kong                      3,329     3,630     3,466     3,534
    India                          1,495     1,596     1,880     2,040
    Indonesia                      1,415     1,791     1,475     1,486
    Japan                         33,341    33,790    29,746    30,888
    Korea, Republic of             7,435     7,110     4,757     5,463
    Malaysia                       1,279     1,259     1,050     1,110
    New Zealand                    1,173     1,246     1,231     1,183
    Philippines                    1,235     1,500     1,320     1,654
    Singapore                      3,852     4,092     3,820     5,148
    Taiwan                         4,057     4,753     4,016     4,932
    Thailand                       1,214     1,240     1,162     1,137
    Other                          2,734     3,019     3,729     4,028

International organizations
  and unallocated                  5,814     5,737     6,147     6,116

Addenda:
  European Union (1)              70,368    74,979    82,193    88,884

                                               Exports

                                  2000      2001      2002      2003

      All countries              284,028   272,814   279,169   291,534

Canada                            24,560    24,346    24,920    27,376

Europe                           107,629   103,700   109,849   117,636
  Belgium-Luxembourg               3,307     3,338     4,254     3,994
  France                          10,554    10,063    11,046    11,179
  Germany                         15,925    14,599    15,716    17,238
  Italy                            5,457     5,094     5,198     5,641
  Netherlands                      7,059     6,902      7378     7,455
  Norway                           1,403     1,487     1,479     1,509
  Spain                            3,818     3,330     3,564     3,728
  Sweden                           3,486     3,173     3,177     3,460
  Switzerland                      5,705     6,342     6,385     7,424
  United Kingdom                  31,972    60,734    32,413    35,277
  Other                           18,945    18,638    19,237    20,732

Latin America and Other
    Western Hemisphere            54,418    52,937    51,455    50,501
  South and Central America       42,653    41,119    38,689    37,477
    Argentina                      3,624     3,233     1,630     1,599
    Brazil                         6,309     5,826     5,005     4,795
    Chile                          1,439     1,302     1,191     1,054
    Mexico                        14,325    15,159    16,104    16,298
    Venezuela                      3,309     3,290     2,837     2,133
    Other                         13,649    12,309    11,927    11,596
  Other Western Hemisphere        11,765    11,818    12,763    13,027
    Bermuda                        1,568     2,326     3,090     3,305
    Other                         10,196     9,491     9,672     9,724

Africa, Middle East, and Asia
    and Pacific                   91,210    86,120    87,083    90,600
  Africa                           4,947     5,128     5,134     5,865
    South Africa                   1,425     1,308     1,181     1,211
    Other                          3,523     3,820     3,952     4,655
  Middle East                      6,899     6,983     6,435     7,273
    Israel                         2,421     2,356     2,283     2,266
    Saudi Arabia                   1,813     1,917     1,520     1,702
    Other                          2,666     2,709     2,633     3,304
  Asia and Pacific                79,364    74,009    75,513    77,461
    Australia                      5,573     4,870     5,279     6,051
    China                          5,207     5,639     6,048     6,010
    Hong Kong                      3,797     3,478     3,296     3,360
    India                          2,539     3,003     3,255     3,783
    Indonesia                      1,115     1,009     1,089     1,192
    Japan                         33,414    30,228    30,175    29,779
    Korea, Republic of             7,284     6,854     8,025     8,304
    Malaysia                       1,118     1,193     1,167     1,212
    New Zealand                    1,254     1,082     1,067     1,015
    Philippines                    1,613     1,607     1,490     1,382
    Singapore                      6,078     5,882     5,575     5,988
    Taiwan                         4,922     4,882     4,912     4,875
    Thailand                       1,175     1,058     1,159     1,077
    Other                          4,275     3,222     3,029     3,434

International organizations
  and unallocated                  6,210     5,709     5,864     5,421

Addenda:
  European Union (1)              94,228    89,674    95,881   102,038

                                 Exports             Imports

                                  2004      1992      1993      1994

      All countries              323,362   103,469   109,439   120,280

Canada                            29,698     8,484     9,106     9,877

Europe                           131,052    42,346    45,190    49,885
  Belgium-Luxembourg               4,241     1,057     1,072     1,259
  France                          12,827     4,868     4,969     5,684
  Germany                         18,943     6,768     6,980     7,310
  Italy                            5,813     3,185     3,155     3,442
  Netherlands                       7737     2,477     2,228     2,639
  Norway                           1,689     1,046     1,410     1,184
  Spain                            4,278     1,283     1,081     1,136
  Sweden                           3,627       829       967       863
  Switzerland                      8,746     1,933     2,182     2,604
  United Kingdom                  40,096    12,082    13,929    15,067
  Other                           23,055     6,820     7,223     8,649

Latin America and Other
    Western Hemisphere            54,665    20,596    21,124    23,021
  South and Central America       40,305    13,493    13,627    14,894
    Argentina                      1,709       458       469       575
    Brazil                         4,997       688       744       917
    Chile                          1,116       332       364       416
    Mexico                        17,978     7,291     7,428     7,865
    Venezuela                      2,396       636       715       762
    Other                         12,108     4,086     3,907     4,362
  Other Western Hemisphere        14,359     7,104     7,496     8,127
    Bermuda                        3,593     1,691     1,712     1,925
    Other                         10,768     5,413     5,783     6,200

Africa, Middle East, and Asia
    and Pacific                  102,193    29,328    32,080    35,620
  Africa                           6,399     1,479     1,537     1,919
    South Africa                   1,326       202       231       296
    Other                          5,073     1,279     1,307     1,623
  Middle East                      8,244     2,078     2,190     2,261
    Israel                         2,617     1,026     1,069     1,197
    Saudi Arabia                   1,745       349       351       319
    Other                          3,882       701       769       745
  Asia and Pacific                87,550    25,771    28,353    31,440
    Australia                      6,850     2,230     2,163     1,912
    China                          7,239     1,055     1,307     1,477
    Hong Kong                      3,554     1,493     1,535     1,985
    India                          4,606       639       691       761
    Indonesia                      1,126       437       432       443
    Japan                         35,197    10,599    11,808    12,732
    Korea, Republic of             9,113     2,050     2,356     2,803
    Malaysia                       1,156       265       301       357
    New Zealand                    1,127       526       538       569
    Philippines                    1,533       788       852     1,039
    Singapore                      5,550       749       948     1,164
    Taiwan                         5,493     1,974     2,380     2,654
    Thailand                       1,139       393       379       478
    Other                          3,864     2,574     2,661     3,064

International organizations
  and unallocated                  5,761     2,707     1,940     1,887

Addenda:
  European Union (1)             114,832    35,282    37,185    40,816

                                               Imports

                                  1995      1996      1997      1998

      All countries              128,731   138,806   151,463   165,642

Canada                           110,041    12,415    13,716    15,015

Europe                            53,379    55,920    62,399    71,069
  Belgium-Luxembourg               1,470     1,499     1,718     1,946
  France                           5,903     6,053     6,654     7,517
  Germany                          7,592     7,872     8,095     9,429
  Italy                            3,769     3,531     3,702     4,104
  Netherlands                      3,205     3,171     3,575     4,335
  Norway                           1,158     1,282     1,292       785
  Spain                            1,106     1,300     1,452     1,872
  Sweden                             799       950       887       891
  Switzerland                      2,660     3,140     3,154     3,836
  United Kingdom                  16,307    17,251    21,398    23,805
  Other                            9,412     9,869    10,473    12,555

Latin America and Other
    Western Hemisphere            23,558    26,397    28,775    30,878
  South and Central America       15,548    17,737    19,229    19,768
    Argentina                        575       784       875       865
    Brazil                         1,176     1,403     1,775     1,962
    Chile                            429       520       540       569
    Mexico                         7,948     8,940     9,857     9,839
    Venezuela                        701       768       715       738
    Other                          4,720     5,322     5,464     5,793
  Other Western Hemisphere         8,012     8,659     9,546    11,111
    Bermuda                        1,944     2,175     2,614     3,977
    Other                          6,067     6,484     6,931     7,136

Africa, Middle East, and Asia
    and Pacific                   38,689    41,824    44,704    46,319
  Africa                           1,955     2,388     2,556     2,541
    South Africa                     400       543       728       858
    Other                          1,555     1,844     1,831     1,684
  Middle East                      2,686     3,162     3,246     3,697
    Israel                         1,178     1,363     1,510     1,436
    Saudi Arabia                     572       451       590       872
    Other                            940     1,350     1,144     1,386
  Asia and Pacific                34,048    36,274    38,902    40,081
    Australia                      2,129     2,572     2,663     2,985
    China                          1,683     1,937     2,225     2,302
    Hong Kong                      2,029     3,052     3,043     3,240
    India                            854     1,096     1,225     1,542
    Indonesia                        448       554       550       310
    Japan                         13,419    12,989    13,565    13,408
    Korea, Republic of             3,586     4,125     4,543     4,164
    Malaysia                         454       458       535       374
    New Zealand                      603       658       691       940
    Philippines                    1,124     1,363     1,463     1,245
    Singapore                      1,240     1,823     2,106     1,860
    Taiwan                         2,860     2,710     3,369     2,910
    Thailand                         678       804       761       800
    Other                          2,943     2,141     2,162     4,001

International organizations
  and unallocated                  2,099     2,251     1,867     2,358

Addenda:
  European Union (1)              45,589    47,038    53,319    60,912

                                           Imports

                                  1999      2000      2001

      All countries              183,034   207,392   204,074

Canada                            16,063    17,711    17,203

Europe                            77,798    89,820    89,582
  Belgium-Luxembourg               2,288     2,396     2,279
  France                           8,088    10,645     9,934
  Germany                         10,371    12,404    12,571
  Italy                            4,729     5,061     5,186
  Netherlands                      4,711     5,693     6,114
  Norway                             863       922     1,325
  Spain                            2,187     2,562     2,262
  Sweden                           1,213     1,465     1,375
  Switzerland                      4,398     5,536     6,102
  United Kingdom                  26,472    28,301    27,453
  Other                           12,479    14,835    14,985

Latin America and Other
    Western Hemisphere            33,838    38,090    40,194
  South and Central America       20,445    22,358    21,137
    Argentina                        903       978       753
    Brazil                         1,726     1,953     1,856
    Chile                            824       887       857
    Mexico                         9,506    11,026    10,559
    Venezuela                        720       608       667
    Other                          6,767     6,906     6,445
  Other Western Hemisphere        13,392    15,732    19,056
    Bermuda                        5,540     6,315     9,998
    Other                          7,857     9,415     9,060

Africa, Middle East, and Asia
    and Pacific                   53,297    57,824    53,725
  Africa                           2,634     2,768     2,881
    South Africa                     866       855       872
    Other                          1,767     1,912     2,008
  Middle East                      3,865     3,307     3,267
    Israel                         1,601     2,011     1,699
    Saudi Arabia                     890       499       561
    Other                          1,375       798     1,006
  Asia and Pacific                46,798    51,749    47,577
    Australia                      3,326     3,493     3,665
    China                          2,683     3,259     3,643
    Hong Kong                      4,011     4,318     3,734
    India                          1,520     1,898     1,815
    Indonesia                        379       440       294
    Japan                         16,018    17,405    16,484
    Korea, Republic of             4,305     4,625     4,026
    Malaysia                         382       387       525
    New Zealand                    1,104     1,163     1,353
    Philippines                    1,197     1,540     1,493
    Singapore                      2,353     2,363     1,900
    Taiwan                         3,465     4,223     4,460
    Thailand                         924       929       869
    Other                          5,132     5,706     3,313

International organizations
  and unallocated                  2,036     3,946     3,370

Addenda:
  European Union (1)              67,642    77,872    77,154

                                           Imports

                                  2002      2003      2004

      All countries              209,235   224,616   258,069

Canada                            18,013    19,526    20,027

Europe                            92,152   101,062   110,728
  Belgium-Luxembourg               2,123     2,338     2,521
  France                          10,084    10,137    11,637
  Germany                         15,238    16,303    17,677
  Italy                            4,506     4,799     5,539
  Netherlands                      6,010     6,203     6,531
  Norway                           1,113     1,385     1,974
  Spain                            2,372     2,681     2,763
  Sweden                           1,379     1,300     1,942
  Switzerland                      7,429     7,453     8,820
  United Kingdom                  27,268    31,881    32,945
  Other                           14,629    16,579    18,380

Latin America and Other
    Western Hemisphere            41,506    45,754    54,525
  South and Central America       21,836    22,567    25,518
    Argentina                        582       727       754
    Brazil                         1,723     1,841     1,913
    Chile                            734       651       687
    Mexico                        11,632   121,351    13,465
    Venezuela                        459     3,781       529
    Other                          6,705     6,839     8,171
  Other Western Hemisphere        19,671    23,187    29,002
    Bermuda                       10,901    12,881    15,517
    Other                          8,771    10,308    13,488

Africa, Middle East, and Asia
    and Pacific                   54,120    54,664    67,274
  Africa                           2,721     3,276     3,679
    South Africa                     754     1,027     1,097
    Other                          1,967     2,249     2,582
  Middle East                      3,250     3,633     5,028
    Israel                         1,557     1,829     2,167
    Saudi Arabia                     565       348       432
    Other                          1,129     1,457     2,428
  Asia and Pacific                48,149    47,755    58,566
    Australia                      3,065     3,234     3,874
    China                          4,120     3,940     5,615
    Hong Kong                      3,611     2,965     4,561
    India                          1,809     1,976     2,751
    Indonesia                        286       288       323
    Japan                         17,040    17,207    19,637
    Korea, Republic of             4,435     4,373     4,826
    Malaysia                         493       516       616
    New Zealand                      928     1,139     1,328
    Philippines                    1,328     1,299     1,736
    Singapore                      2,036     2,236     2,722
    Taiwan                         5,038     4,889     5,745
    Thailand                         805       718       903
    Other                          3,151     2,977     3,926

International organizations
  and unallocated                 34,431     3,611     5,520

Addenda:
  European Union (1)              78,688    86,445    96,284

(1.) The European Union includes Belgium, Denmark, France, Germany,
Greece, Ireland, Italy, Luxembourg, Netherlands, Portugal, Spain, and
the United Kingdom; beginning with 1995, it also includes Austria,
Finland, and Sweden; and beginning with 2004, it also includes Cyprus,
Czech Republic, Estonia, Hungary, Latvia, Lithuania, Malta, Poland,
Slovakia, and Slovenia. (Estimates for 2004 reflect the addition of
the last 10 countries beginning in the second quarter of 2004, when
they joined the Union.)

Table 3.1. Travel, Passenger Fares, and Other Transportation, 2002

[Millions of dollars]

                                                 Receipts

                                                          Other
                                                     transportation

                                                             Freight

                                            Pas-
                                  Travel   senger   Total     Total
                                           fares

    All countries                 66,605   17,046   29,195    12,289

Canada                             6,268    1,717    2,544     1,937

Europe                            21,693    6,379    9,838     3,404
  Belgium-Luxembourg                 413      288      471       333
  France                           1,974      778      875       470
  Germany                          2,934    1,001    2,020       490
  Italy                            1,107      404      392       149
  Netherlands                      1,024      413      836       372
  Norway                             334       51      309        12
  Spain                              804      213      317       199
  Sweden                             500        0      208        40
  Switzerland                        696      195      353        62
  United Kingdom                   8,177    2,813    2,027       905
  Other                            3,730      223    2,030       372

Latin America and Other
  Western Hemisphere              18,294    4,726    3,301     1,901
  South and Central America       15,348    4,042    2,619     1,634
    Argentina                        379      269       77        27
    Brazil                         1,373      526      386       205
    Chile                            368      121      203        56
    Mexico                         5,565    1,329      790       404
    Venezuela                      1,374      262      131        98
    Other                          6,289    1,535    1,032       844
  Other Western Hemisphere         2,946      684      682       267
    Bermuda                           16       10      217        58
    Other                          2,930      674      465       209

  Africa                           1,114       19      562       281
    South Africa                     248        9      119        20
    Other                            866       10      443       261

  Middle East                      1,455      177    1,265       534
    Israel                           753      174      485       193
    Saudi Arabia                     228        0      156        94
    Other                            474        3      624       247

  Asia and Pacific                17,781    4,028   11,000     4,209
    Australia                      1,473      339      314       200
    China                            958      227    1,437       416
    Hong Kong                        414      214      516       460
    India                          1,093       52      238       143
    Indonesia                        178      116       76        73
    Japan                          8,492    2,809    2,825     1,236
    Korea, Republic of             2,175       13    2,063       317
    Malaysia                         150        0      208       143
    New Zealand                      422       51      119        25
    Philippines                      646       76      248       125
    Singapore                        332       40      546       300
    Taiwan                           794       65    1,695       273
    Thailand                         246       23      104        64
    Other                            408        3      611       434
International organizations and
  unallocated                        ...      ...      685        23

Addenda:
  European Union (1)              18,804    6,049    8,617     3,162

                                          Receipts

                                   Other transportation

                                           Freight

                                  Ocean     Air    Other

    All countries                  3,724   5,787   2,778

Canada                               136      87   1,714

Europe                             1,122   2,010     272
  Belgium-Luxembourg                 218     110       5
  France                              64     279     127
  Germany                            165     310      15
  Italy                               43     101       5
  Netherlands                        148     191      33
  Norway                               4       8     ...
  Spain                               79      71      49
  Sweden                              19      21     ...
  Switzerland                          1      61     ...
  United Kingdom                     201     693      11
  Other                              180     165      27

Latin America and Other
  Western Hemisphere                 432   1,109     360
  South and Central America          343   1,015     276
    Argentina                          4      23     ...
    Brazil                            20     185     ...
    Chile                              4      52     ...
    Mexico                            93     247      64
    Venezuela                         19      68      11
    Other                            203     440     201
  Other Western Hemisphere            89      94      84
    Bermuda                            5       8      45
    Other                             84      86      39

  Africa                             221      52       8
    South Africa                       8       4       8
    Other                            213      48     ...

  Middle East                        410     124     ...
    Israel                           139      54     ...
    Saudi Arabia                      76      18     ...
    Other                            195      52     ...

  Asia and Pacific                 1,380   2,405     424
    Australia                         45     109      46
    China                            184     220      12
    Hong Kong                        111     349     ...
    India                            109      34     ...
    Indonesia                         64       9     ...
    Japan                            328     813      95
    Korea, Republic of               102     215     ...
    Malaysia                          45      98     ...
    New Zealand                      ...      10      15
    Philippines                       68      57     ...
    Singapore                         75     225     ...
    Taiwan                            58     215     ...
    Thailand                          25      39     ...
    Other                            166      12     256
International organizations and
  unallocated                         23     ...     ...

Addenda:
  European Union (1)               1,005   1,900     257

                                               Receipts

                                         Other transportation

                                             Port services

                                  Total    Ocean    Air    Other

    All countries                 16,906   8,533   8,183     190

Canada                               607      74     343     190

Europe                             6,434   3,363   3,071     ...
  Belgium-Luxembourg                 138      41      97     ...
  France                             405      87     318     ...
  Germany                          1,530     738     792     ...
  Italy                              243      88     155     ...
  Netherlands                        464     282     182     ...
  Norway                             297     297     ...     ...
  Spain                              118       6     112     ...
  Sweden                             168      59     109     ...
  Switzerland                        291     207      84     ...
  United Kingdom                   1,122     225     897     ...
  Other                            1,658   1,333     325     ...

Latin America and Other
  Western Hemisphere               1,400     461     939     ...
  South and Central America          985     171     814     ...
    Argentina                         50       2      48     ...
    Brazil                           181       8     173     ...
    Chile                            147      40     107     ...
    Mexico                           386      68     318     ...
    Venezuela                         33      20      13     ...
    Other                            188      33     155     ...
  Other Western Hemisphere           415     290     125     ...
    Bermuda                          159     159     ...     ...
    Other                            256     131     125     ...

  Africa                             281      20     261     ...
    South Africa                      99      10      89     ...
    Other                            182      10     172     ...

  Middle East                        731     209     522     ...
    Israel                           292     182     110     ...
    Saudi Arabia                      62      27      35     ...
    Other                            377       0     377     ...

  Asia and Pacific                 6,791   3,744   3,047     ...
    Australia                        114       5     109     ...
    China                          1,021     660     361     ...
    Hong Kong                         56      56     ...     ...
    India                             95      21      74     ...
    Indonesia                          3       1       2     ...
    Japan                          1,589     865     724     ...
    Korea, Republic of             1,746     782     964     ...
    Malaysia                          65      29      36     ...
    New Zealand                       94      ...     94     ...
    Philippines                      123      26      97     ...
    Singapore                        246      90     156     ...
    Taiwan                         1,422   1,194     228     ...
    Thailand                          40       2      38     ...
    Other                            177      13     164     ...
International organizations and
  unallocated                        662     662     ...     ...

Addenda:
  European Union (1)               5,455   2,585   2,870     ...

                                              Payments

                                                         Other
                                                     transportation

                                                             Freight

                                            Pas-
                                  Travel   senger   Total     Total
                                           fares

    All countries                 58,715   19,969   38,407    25,973

Canada                             6,489      594    3,471     2,705

Europe                            20,785    9,984   13,757     9,004
  Belgium-Luxembourg                 282       29      637       177
  France                           2,919    1,003    1,091       424
  Germany                          2,275    1,531    2,560     1,807
  Italy                            2,504      495      487       270
  Netherlands                        852      526    1,231       802
  Norway                             129        0      706       702
  Spain                            1,333      206      139        50
  Sweden                             140       84      170       160
  Switzerland                        619      530      422       413
  United Kingdom                   5,561    3,290    2,658     1,069
  Other                            4,171    2,290    3,656     3,130

Latin America and Other
  Western Hemisphere              17,985    2,665    3,407     1,436
  South and Central America       13,425    2,044    2,133       560
    Argentina                        238       55       87         8
    Brazil                           662      276      193        51
    Chile                            282       74      197       139
    Mexico                         7,732      794      993       142
    Venezuela                        173       37      136        54
    Other                          4,338      808      527       166
  Other Western Hemisphere         4,560      621    1,274       876
    Bermuda                          563        0      455       454
    Other                          3,997      621      819       422

  Africa                           1,048      455      217        93
    South Africa                     250      227       51        35
    Other                            798      228      166        58

  Middle East                        987      347      892       544
    Israel                           308      209      522       435
    Saudi Arabia                     232       35      130        81
    Other                            447      103      240        28

  Asia and Pacific                11,421    5,924   14,863    10,391
    Australia                        997      641      192        70
    China                          1,124      292    2,256     1,850
    Hong Kong                        884      529      591       135
    India                            703      164      130        77
    Indonesia                        151        0       31         2
    Japan                          2,874    1,051    4,169     2,299
    Korea, Republic of               888    1,110    1,875     1,743
    Malaysia                         168       81      100        90
    New Zealand                      417      332       81        22
    Philippines                      537      298      156        78
    Singapore                        496      227      656       483
    Taiwan                           992      881    2,830     2,651
    Thailand                         484       72      117        90
    Other                            706      246    1,679       801
International organizations and
  unallocated                        ...      ...    1,800     1,800

Addenda:
  European Union (1)              17,942    8,841   11,569     7,062

                                          Payments

                                   Other transportation

                                          Freight

                                  Ocean     Air    Other

    All countries                 18,622   4,878   2,473

Canada                               238      51   2,416

Europe                             7,379   1,580      45
  Belgium-Luxembourg                  94      83     ...
  France                             181     198      45
  Germany                          1,471     336     ...
  Italy                              199      71     ...
  Netherlands                        614     188     ...
  Norway                             702     ...     ...
  Spain                               29      21     ...
  Sweden                             114      46     ...
  Switzerland                        390      23     ...
  United Kingdom                     576     493     ...
  Other                            3,009     121

Latin America and Other
  Western Hemisphere               1,261     163      12
  South and Central America          391     157      12
    Argentina                          5       3     ...
    Brazil                            19      32     ...
    Chile                             73      66     ...
    Mexico                           126       7       9
    Venezuela                         54     ...     ...
    Other                            114      49       3
  Other Western Hemisphere           870       6     ...
    Bermuda                          454     ...     ...
    Other                            416       6     ...

  Africa                              68      25     ...
    South Africa                      27       8     ...
    Other                             41      17     ...

  Middle East                        406     138     ...
    Israel                           353      82     ...
    Saudi Arabia                      53      28     ...
    Other                              0      28     ...

  Asia and Pacific                 7,470   2,921     ...
    Australia                         38      32     ...
    China                          1,268     582     ...
    Hong Kong                        135     ...     ...
    India                             69       8     ...
    Indonesia                          1       1     ...
    Japan                          1,737     562     ...
    Korea, Republic of             1,514     229     ...
    Malaysia                          77      13     ...
    New Zealand                      ...      22     ...
    Philippines                       54      24     ...
    Singapore                        248     235     ...
    Taiwan                         2,283     368     ...
    Thailand                           5      85     ...
    Other                             41     760     ...
International organizations and
  unallocated                      1,800     ...     ...

Addenda:
  European Union (1)               5,505   1,512      45

                                              Payments

                                        Other transportation

                                            Port services

                                  Total    Ocean    Air     Other

    All countries                 12,434   1,656   10,668     110

Canada                               766     132      524     110

Europe                             4,753     514    4,239     ...
  Belgium-Luxembourg                 460     110      350     ...
  France                             667      14      653     ...
  Germany                            753      92      661     ...
  Italy                              217      78      139     ...
  Netherlands                        429      42      387     ...
  Norway                               4       3        1     ...
  Spain                               89      42       47     ...
  Sweden                              10       4        6     ...
  Switzerland                          9     ...        9     ...
  United Kingdom                   1,589      50    1,539     ...
  Other                              526      79      447     ...

Latin America and Other
  Western Hemisphere               1,971     157    1,814     ...
  South and Central America        1,573     108    1,465     ...
    Argentina                         79       4       75     ...
    Brazil                           142       2      140     ...
    Chile                             58       5       53     ...
    Mexico                           851      18      833     ...
    Venezuela                         82      51       31     ...
    Other                            361      28      333     ...
  Other Western Hemisphere           398      49      349     ...
    Bermuda                            1       1      ...     ...
    Other                            397      48      349     ...

  Africa                             124     103       21     ...
    South Africa                      16       4       12     ...
    Other                            108      99        9     ...

  Middle East                        348     128      220     ...
    Israel                            87      64       23     ...
    Saudi Arabia                      49      33       16     ...
    Other                            212      31      181     ...

  Asia and Pacific                 4,472     622    3,850     ...
    Australia                        122       4      118     ...
    China                            406     193      213     ...
    Hong Kong                        456      86      370     ...
    India                             53      33       20     ...
    Indonesia                         29      20        9     ...
    Japan                          1,870     119    1,751     ...
    Korea, Republic of               132      42       90     ...
    Malaysia                          10       9        1     ...
    New Zealand                       59     ...       59     ...
    Philippines                       78      25       53     ...
    Singapore                        173      20      153     ...
    Taiwan                           179      35      144     ...
    Thailand                          27      12       15     ...
    Other                            878      24      854     ...
International organizations and
  unallocated                        ...     ...      ...     ...

Addenda:
  European Union (1)               4,507     448    4,059     ...

(1.) See table 2, footnote 1.

Table 3.2. Travel, Passenger Fares, and Other Transportation, 2003

[Millions of dollars]

                                       Receipts

                                                Other
                                                transportation

                                                         Freight

                                        Pas-
                              Travel   senger   Total    Total
                                       fares

      All countries           64,348   15,693   31,329   14,037

Canada                         6,844    2,114    2,525    1,958

Europe                        21,976    5,699   10,587    3,949
  Belgium-Luxembourg             435      280      536      414
  France                       1,739      529      745      376
  Germany                      2,953      850    2,158      607
  Italy                        1,130      350      332      174
  Netherlands                  1,022      338      935      442
  Norway                         346        0      330       17
  Spain                          846      214      287      165
  Sweden                         513        0      216       50
  Switzerland                    624      185      474      101
  United Kingdom               8,579    2,680    2,395    1,089
  Other                        3,789      273    2,179      514

Latin America and Other
    Western Hemisphere        16,927    4,275    3,616    2,120
  South and Central America   14,267    3,588    2,887    1,775
    Argentina                    404      241       64       42
    Brazil                     1,214      474      424      231
    Chile                        267       94      215       59
    Mexico                     5,700    1,158      911      438
    Venezuela                    964      219      111       86
    Other                      5,718    1,402    1,162      919
  Other Western Hemisphere     2,660      687      729      345
    Bermuda                       35       21      247       59
    Other                      2,625      666      482      286

  Africa                       1,097       49      748      383
    South Africa                 252       20      151       22
    Other                        845       29      597      361

  Middle East                  1,352      180    1,513      765
    Israel                       732      171      512      250
    Saudi Arabia                 172        0      162      112
    Other                        448        9      839      403

  Asia and Pacific            16,152    3,376   11,663    4,841
    Australia                  1,502      312      336      254
    China                        690      168    1,364      441
    Hong Kong                    360      141      504      447
    India                      1,180       26      250      168
    Indonesia                    169      110       77       76
    Japan                      7,595    2,422    3,103    1,469
    Korea, Republic of         2,151       48    2,177      393
    Malaysia                     106        0      229      172
    New Zealand                  396       12      154       25
    Philippines                  452       53      249      125
    Singapore                    313       21      663      366
    Taiwan                       659       27    1,695      327
    Thailand                     208       24      107       70
    Other                        371       12      755      508

International organizations
    and unallocated              ...      ...      677       21

Addenda:
  European Union (1)          19,124    5,392    9,123    3,576

                                           Receipts

                                      Other transportation

                                      Freight         Port services

                              Ocean    Air    Other   Total    Ocean

      All countries           4,393   6,869   2,775   17,292   8,361

Canada                          168     104   1,686      567      64

Europe                        1,398   2,384     167    6,638   3,469
  Belgium-Luxembourg            290     118       6      122      49
  France                         64     303       9      369     126
  Germany                       221     369      17    1,551     702
  Italy                          54     114       6      158      60
  Netherlands                   183     222      37      493     275
  Norway                          8       9     ...      313     313
  Spain                          77      88     ...      122      17
  Sweden                         23      27     ...      166      56
  Switzerland                     5      96     ...      373     257
  United Kingdom                244     833      12    1,306     314
  Other                         229     205      80    1,665   1,300

Latin America and Other
    Western Hemisphere          537   1,185     398    1,496     397
  South and Central America     381   1,088     306    1,112     142
    Argentina                     5      37     ...       22       1
    Brazil                       20     211     ...      193       8
    Chile                         4      55     ...      156      37
    Mexico                      139     228      71      473      77
    Venezuela                    20      54      12       25      11
    Other                       193     503     223      243       8
  Other Western Hemisphere      156      97     921      384     255
    Bermuda                       1       9      49      188     188
    Other                       155      88      43      196      67

  Africa                        305      68      10      365      22
    South Africa                  8       4      10      129      10
    Other                       297      64     ...      236      12

  Middle East                   570     195     ...      748     176
    Israel                      181      69     ...      262     154
    Saudi Arabia                 91      21     ...       50      19
    Other                       298     105     ...      436       3

  Asia and Pacific            1,394   2,933     514    6,822   3,577
    Australia                    58     145      51       82       1
    China                       180     261     ...      923     534
    Hong Kong                    80     367     ...       57      56
    India                       125      43     ...       82      15
    Indonesia                    66      10     ...        1       0
    Japan                       309   1,026     134    1,634     865
    Korea, Republic of          138     255     ...    1,784     758
    Malaysia                     40     132     ...       57      21
    New Zealand                   1       8      16      129     ...
    Philippines                  69      56     ...      124      26
    Singapore                    67     299     ...      297     152
    Taiwan                       54     273     ...    1,368   1,111
    Thailand                     26      44     ...       37       1
    Other                       181      14     313      247      37

International organizations
    and unallocated              21     ...     ...      656     656

Addenda:
  European Union (1)          1,247   2,227     102    5,547   2,633

                                 Receipts

                              Other trans-
                                portation

                              Port services       Payments

                                                        Pas-
                               Air    Other   Travel   senger
                                                       fares

      All countries           8,737     194   57,444   20,957

Canada                          309     194    6,376      406

Europe                        3,169     ...   19,923   11,063
  Belgium-Luxembourg             73     ...      232       18
  France                        243     ...    2,528    1,089
  Germany                       849     ...    2,320    1,825
  Italy                          98     ...    2,400      464
  Netherlands                   218     ...      691      553
  Norway                        ...     ...      113       22
  Spain                         105     ...    1,430      218
  Sweden                        110     ...      145       82
  Switzerland                   116     ...      570      351
  United Kingdom                992     ...    5,446    3,981
  Other                         365     ...    4,048    2,460

Latin America and Other
    Western Hemisphere        1,099     ...   19,591    2,896
  South and Central America     970     ...   14,010    2,240
    Argentina                    21     ...      342       76
    Brazil                      185     ...      720      261
    Chile                       119     ...      258       93
    Mexico                      396     ...    8,235      862
    Venezuela                    14     ...      169       29
    Other                       235     ...    4,286      919
  Other Western Hemisphere      129     ...    5,581      656
    Bermuda                     ...     ...      306        0
    Other                       129     ...    5,275      656

  Africa                        343     ...    1,070      512
    South Africa                119     ...      360      247
    Other                       224     ...      710      265

  Middle East                   572     ...      836      520
    Israel                      108     ...      304      302
    Saudi Arabia                 31     ...       99       22
    Other                       433     ...      433      196

  Asia and Pacific            3,245     ...    9,648    5,560
    Australia                    81     ...    1,037      648
    China                       389     ...      994      161
    Hong Kong                     1     ...      541      406
    India                        67     ...      723      167
    Indonesia                     1     ...      111        0
    Japan                       769     ...    2,323      966
    Korea, Republic of        1,026     ...      709    1,051
    Malaysia                     36     ...      123       86
    New Zealand                 129     ...      473      439
    Philippines                  98     ...      526      301
    Singapore                   145     ...      271      195
    Taiwan                      257     ...      634      788
    Thailand                     36     ...      422       57
    Other                       210     ...      761      295

International organizations
    and unallocated             ...     ...      ...      ...

Addenda:
  European Union (1)          2,914     ...   17,160   10,046

                                             Payments

                                       Other transportation

                                                    Freight

                              Total    Total    Ocean     Air    Other

      All countries           44,705   31,772   24,172   5,018   2,582

Canada                         3,618    2,851      291      59   2,501

Europe                        17,030   12,001   10,304   1,632      65
  Belgium-Luxembourg             648      211      131      80     ...
  France                       1,230      573      304     206      63
  Germany                      3,028    2,174    1,828     346     ...
  Italy                          603      255      191      64     ...
  Netherlands                  1,434      977      746     231     ...
  Norway                         908      904      904     ...     ...
  Spain                          198      107       71      36     ...
  Sweden                         206      177      122      55     ...
  Switzerland                    525      523      522       1     ...
  United Kingdom               3,189    1,635    1,123     512     ...
  Other                        5,061    4,465    4,362     101       2

Latin America and Other
    Western Hemisphere         3,650    1,665    1,474     175      16
  South and Central America    2,126      572      385     171      16
    Argentina                     99        9        5       4     ...
    Brazil                       293       66       26      40     ...
    Chile                        145      141       84      57     ...
    Mexico                     1,028      190      169       7      14
    Venezuela                     99       33       33     ...     ...
    Other                        462      133       68      63       2
  Other Western Hemisphere     1,524    1,093    1,089       4     ...
    Bermuda                      679      678      678     ...     ...
    Other                        845      415      411       4     ...

  Africa                         508      396      104     292     ...
    South Africa                  64       41       30      11     ...
    Other                        444      355       74     281     ...

  Middle East                  1,092      762      446     316     ...
    Israel                       558      466      378      88     ...
    Saudi Arabia                 102       76       56      20     ...
    Other                        432      220       12     208     ...

  Asia and Pacific            16,248   11,538    8,994   2,544     ...
    Australia                    185       46       20      26     ...
    China                      2,223    1,813    1,264     549     ...
    Hong Kong                    646      208      208     ...     ...
    India                        147       81       74       7     ...
    Indonesia                     57        1      ...       1     ...
    Japan                      4,763    2,745    2,195     550     ...
    Korea, Republic of         2,148    2,013    1,785     228     ...
    Malaysia                     105       87       78       9     ...
    New Zealand                   69       23      ...      23     ...
    Philippines                  145       92       70      22     ...
    Singapore                    995      807      558     249     ...
    Taiwan                     3,141    3,010    2,598     412     ...
    Thailand                     124       96        3      93     ...
    Other                      1,500      516      141     375     ...

International organizations
    and unallocated            2,559    2,559    2,559     ...     ...

Addenda:
  European Union (1)          13,893    9,135    7,475   1,597      63

                                       Payments

                                  Other transportation

                                      Port services

                              Total    Ocean    Air     Other

      All countries           12,933   1,711   11,127      95

Canada                           767     107      565      95

Europe                         5,029     569    4,460     ...
  Belgium-Luxembourg             437     128      309     ...
  France                         657      10      647     ...
  Germany                        854      95      759     ...
  Italy                          348      99      249     ...
  Netherlands                    457      47      410     ...
  Norway                           4       4      ...     ...
  Spain                           91      38       53     ...
  Sweden                          29       5       24     ...
  Switzerland                      2     ...        2     ...
  United Kingdom               1,554      51    1,503     ...
  Other                          596      92      504     ...

Latin America and Other
    Western Hemisphere         1,985     215    1,770     ...
  South and Central America    1,554     137    1,417     ...
    Argentina                     90       3       87     ...
    Brazil                       227       7      220     ...
    Chile                          4       2        2     ...
    Mexico                       838      33      805     ...
    Venezuela                     66      40       26     ...
    Other                        329      52      277     ...
  Other Western Hemisphere       431      78      353     ...
    Bermuda                        1     ...        1     ...
    Other                        430      78      352     ...

  Africa                         112      92       20     ...
    South Africa                  23       8       15     ...
    Other                         89      84        5     ...

  Middle East                    330     109      221     ...
    Israel                        92      43       49     ...
    Saudi Arabia                  26      26      ...     ...
    Other                        212      40      172     ...

  Asia and Pacific             4,710     619    4,091     ...
    Australia                    139       5      134     ...
    China                        410     210      200     ...
    Hong Kong                    438      62      376     ...
    India                         66      55       11     ...
    Indonesia                     56      21       35     ...
    Japan                      2,018      88    1,930     ...
    Korea, Republic of           135      41       94     ...
    Malaysia                      18      16        2     ...
    New Zealand                   46       2       44     ...
    Philippines                   53      18       35     ...
    Singapore                    188      20      168     ...
    Taiwan                       131      28      103     ...
    Thailand                      28      12       16     ...
    Other                        984      41      943     ...

International organizations
    and unallocated              ...     ...     ...      ...

Addenda:
  European Union (1)          47,581     493    4,265     ...

(1.) See Table 2, footnote 1.

Table 3.3. Travel, Passenger Fares, and Other Transportation, 2004

[Millions of dollars]

                                       Receipts

                                                     Other
                                                transportation

                                                         Freight

                                        Pas-
                              Travel   senger   Total    Total
                                       fares

      All countries           74,481   18,858   36,862   15,814

Canada                         7,930    2,506    2,744    2,165

Europe                        24,995    6,946   12,693    4,563
  Belgium-Luxembourg             506      345      536      422
  France                       2,008      660    1,150      479
  Germany                      3,636    1,051    2,643      730
  Italy                        1,335      451      385      201
  Netherlands                  1,162      388    1,067      547
  Norway                         359      143      391       23
  Spain                        1,077      258      369      198
  Sweden                         677        0      248       58
  Switzerland                    670      240      666      114
  United Kingdom               9,576    3,079    2,999    1,216
  Other                        3,989      331    2,239      575

Latin America and Other
    Western Hemisphere        18,577    4,826    4,336    2,456
  South and Central America   15,670    4,034    3,506    2,150
    Argentina                    506      261      120       50
    Brazil                     1,375      495      525      316
    Chile                        283      105      200       67
    Mexico                     6,257        1    1,158      500
    Venezuela                  1,110      214      163      127
    Other                      6,139    1,592    1,340    1,090
  Other Western Hemisphere     2,907      792      830      306
    Bermuda                       44       24      285       44
    Other                      2,863      768      545      262

  Africa                       1,128       45    1,012      717
    South Africa                 275        8    1,331       37
    Other                        853       37      879      680

  Middle East                  1,626      270    1,986    1,053
    Israel                       832      258      640      334
    Saudi Arabia                 174        0      222      155
    Other                        620       12    1,124      564

  Asia and Pacific            20,225    4,265   13,285    4,839
    Australia                  2,074      480      366      285
    China                        894      221    1,804      472
    Hong Kong                    390      183      483      370
    India                      1,367       24      326      210
    Indonesia                    191      131       85       83
    Japan                     10,051    3,043    3,693    1,648
    Korea, Republic of         2,218       64    2,412      288
    Malaysia                     141        0      171      104
    New Zealand                  469        2      185       24
    Philippines                  509       73      285      108
    Singapore                    385       16      615      298
    Taiwan                       885       22    1,889      302
    Thailand                     239        6      128       78
    Other                        412        0      843      569

International organizations
    and unallocated              ...      ...      806       21

Addenda:
  European Union (1)          22,730    6,449   11,285    4,170

                                           Receipts

                                      Other transportation

                                      Freight         Port services

                              Ocean    Air    Other   Total    Ocean

      All countries           5,010   7,639   3,165   21,048   9,612

Canada                          204     114   1,847      579      80

Europe                        1,345   2,924     294    8,130   3,882
  Belgium-Luxembourg            258     158       6      114      59
  France                         59     358      62      671     204
  Germany                       225     487      18    1,913     847
  Italy                          54     141       6      184      90
  Netherlands                   201     306      40      520     267
  Norway                          8      15     ...      368     368
  Spain                          49     113      36      171      19
  Sweden                         24      34   ...        190      54
  Switzerland                     2     112   ...        552     305
  United Kingdom                266     938      12    1,783     291
  Other                         199     262     114    1,664   1,378

Latin America and Other
    Western Hemisphere          614   1,408     434    1,880     540
  South and Central America     488   1,308     354    1,356     175
    Argentina                     3      47     ...       70     ...
    Brazil                       19     271      26      209       5
    Chile                         5      62     ...      133      48
    Mexico                      182     242      76      658      80
    Venezuela                    16      98      13       36      18
    Other                       263     588     239      250      24
  Other Western Hemisphere      126     100      80      524     365
    Bermuda                     ...       8      36      241     241
    Other                       126      92      44      283     124

  Africa                        638      67      12      295      17
    South Africa                 16       9      12       96      14
    Other                       622      58     ...      199       3

  Middle East                   796     257     ...      933     192
    Israel                      250      84     ...      306     150
    Saudi Arabia                134      21     ...       67      22
    Other                       412     152     ...      560      20

  Asia and Pacific            1,392   2,869     578    8,446   4,116
    Australia                    83     150      52       81       3
    China                       196     276     ...    1,332     731
    Hong Kong                    68     302     ...      113     111
    India                       180      30     ...      116      20
    Indonesia                    73      10     ...        2       0
    Japan                       222   1,216     210    2,045     972
    Korea, Republic of           65     223   ...      2,124     806
    Malaysia                     35      69               67      26
    New Zealand                 ...       8      16      161   ...
    Philippines                  58      50     ...      177      35
    Singapore                    70     228     ...      317     140
    Taiwan                       46     256     ...    1,587   1,175
    Thailand                     42      36     ...       50       6
    Other                       254      15     300      274      91

International organizations
    and unallocated              21   ...     ...'       785     785

Addenda:
  European Union (1)          1,222   2,752     196    7,115   3,097

                                Receipts

                                  Other
                              transportation

                              Port services      Payments

                                                         Pas-
                               Air     Other   Travel   senger
                                                        fares

      All countries           11,267     169   65,635   23,701

Canada                           330     169    7,178      442

Europe                         4,248     ...   22,038   11,737
  Belgium-Luxembourg              55     ...      229       22
  France                         467     ...    3,129    1,301
  Germany                      1,066     ...    2,511    1,990
  Italy                           94     ...    2,704      622
  Netherlands                    253     ...      791      712
  Norway                      ...        ...      199        8
  Spain                          152     ...    1,317      249
  Sweden                         136     ...      145       89
  Switzerland                    247     ...      411      394
  United Kingdom               1,492     ...    6,071    3,784
  Other                          286     ...    4,531    2,566

Latin America and Other
    Western Hemisphere         1,340     ...   20,981    3,535
  South and Central America    1,181     ...   16,053    2,424
    Argentina                     70     ...      358       63
    Brazil                       204     ...      687      250
    Chile                         85     ...      235      108
    Mexico                       578     ...    9,317      860
    Venezuela                     18     ...      256       38
    Other                        226     ...    5,200    1,105
  Other Western Hemisphere       159     ...    4,928    1,111
    Bermuda                   ...        ...      330        0
    Other                        159     ...    4,598    1,111
                                         ...
  Africa                         278     ...    1,407      518
    South Africa                  82     ...      414      239
    Other                        196     ...      993      279
                                         ...
  Middle East                    741     ...    1,555      682
    Israel                       156     ...      381      380
    Saudi Arabia                  45     ...      160       26
    Other                        540     ...    1,014      276

  Asia and Pacific             4,330     ...   12,476    6,787
    Australia                     78     ...    1,128      718
    China                        601     ...    1,637      353
    Hong Kong                      2     ...    1,020      802
    India                         96     ...    1,112      160
    Indonesia                      2     ...      144        0
    Japan                      1,073     ...    2,467      910
    Korea, Republic of         1,318     ...      904    1,108
    Malaysia                      41     ...      181       69
    New Zealand                  161     ...      572      534
    Philippines                  142     ...      710      402
    Singapore                    177     ...      333      272
    Taiwan                       412     ...      751      989
    Thailand                      44     ...      557       51
    Other                        183   ...        960      419

International organizations
    and unallocated              ...     ...      ...      ...

Addenda:
  European Union (1)           4,018     ...   20,032   10,948

                                             Payments

                                       Other transportation

                                                    Freight

                              Total    Total    Ocean     Air    Other

      All countries           54,169   39,225   30,489   5,978   2,758

Canada                         4,057    3,183      414      33   2,736

Europe                        20,142   14,326   12,426   1,898       2
  Belgium-Luxembourg             746      257      162      95     ...
  France                       1,574      751      510     241
  Germany                      3,797    2,753    2,355     398     ...
  Italy                          705      418      357      61     ...
  Netherlands                  1,579    1,044      774     270     ...
  Norway                       1,353    1,350    1,350     ...     ...
  Spain                          221      142      116      26     ...
  Sweden                         266      233      170      63     ...
  Switzerland                    732      731      730       1     ...
  United Kingdom               3,699    1,860    1,229     631     ...
  Other                        5,470    4,787    4,673     112       0

Latin America and Other
    Western Hemisphere         4,801    2,547    2,323     204      20
  South and Central America    2,384      717      497     200      20
    Argentina                    125        6        1       5     ...
    Brazil                       352       71       25      46     ...
    Chile                        176      174      118      56     ...
    Mexico                     1,049      219      191       8      20
    Venezuela                    152       71       71     ...     ...
    Other                        530      176       91      85     ...
  Other Western Hemisphere     2,417    1,830    1,826       4     ...
    Bermuda                    1,138    1,136    1,136     ...     ...
    Other                      1,279      694      690       4     ...
                                                                   ...
  Africa                         355      250       67     183     ...
    South Africa                  67       46       38       8     ...
    Other                        288      204       29     175     ...

  Middle East                  1,252      826      531     295     ...
    Israel                       572      458      384      74     ...
    Saudi Arabia                 100       83       60      23     ...
    Other                        580      285       87     198     ...
                                                                   ...
  Asia and Pacific            20,057   14,588   11,223   3,365     ...
    Australia                    277       93       26      67     ...
    China                      3,030    2,508    1,862     646     ...
    Hong Kong                    943      474      474     ...     ...
    India                        207      124      112      12     ...
    Indonesia                     58        2        1       1     ...
    Japan                      5,832    3,337    2,674     663     ...
    Korea, Republic of         2,336    2,212    1,952     260     ...
    Malaysia                     134      122      114       8     ...
    New Zealand                   73       30   ...         30     ...
    Philippines                  202      131      109      22     ...
    Singapore                  1,157      921      594     327     ...
    Taiwan                     3,459    3,352    2,839     513     ...
    Thailand                     179      125       21     104     ...
    Other                      2,170    1,157      445     712     ...

International organizations
    and unallocated            3,505    3,505    3,505     ...     ...

Addenda:
  European Union (1)          17,320   11,807    9,944   1,863       0

                                       Payments

                                 Other transportation

                                      Port services

                              Total    Ocean    Air     Other

      All countries           14,944   1,641   13,225      78

Canada                           874     149      647      78

Europe                         5,816     480    5,336     ...
  Belgium-Luxembourg             489     137      352     ...
  France                         823       7      816     ...
  Germany                      1,044      88      956     ...
  Italy                          287      52      235     ...
  Netherlands                    535      59      476     ...
  Norway                           3       3      ...     ...
  Spain                           79      10       69     ...
  Sweden                          33       4       29     ...
  Switzerland                      1     ...        1     ...
  United Kingdom               1,839      56    1,783     ...
  Other                        6,831      64      616     ...

Latin America and Other
    Western Hemisphere         2,254     243    2,011     ...
  South and Central America    1,667     115    1,552     ...
    Argentina                    119     ...      119     ...
    Brazil                       281       1      280     ...
    Chile                          2       1        1     ...
    Mexico                       830      21      809     ...
    Venezuela                     81      26       55     ...
    Other                        354      66      288     ...
  Other Western Hemisphere       587     128      459     ...
    Bermuda                        2     ...        2     ...
    Other                        585     128      457     ...

  Africa                         105      88       17      17
    South Africa                  21       4       17      17
    Other                         84      84      ...

  Middle East                    426     111      315     ...
    Israel                       114      63       51     ...
    Saudi Arabia                  17      17      ...     ...
    Other                        295      31      264     ...

  Asia and Pacific             5,469     570    4,899     ...
    Australia                    184       3      181     ...
    China                        522     216      306     ...
    Hong Kong                    469      52      417     ...
    India                         83      61       22     ...
    Indonesia                     56      19       37     ...
    Japan                      2,495      67    2,428     ...
    Korea, Republic of           124      18      106     ...
    Malaysia                      12      12      ...     ...
    New Zealand                   43     ...       43     ...
    Philippines                   71       5       56     ...
    Singapore                    236      15      221     ...
    Taiwan                       107      27       80     ...
    Thailand                      54      18       36     ...
    Other                      1,013      47      966     ...

International organizations
    and unallocated              ...     ...      ...     ...

Addenda:
  European Union (1)           5,513     426    5,087     ...

(1.) See Table 2, footnote 1.