by Dave Moore, Staff Writer
A delegation of 33 business leaders from across the Dallas Region held dozens of meetings and answered countless questions about North Texas’ business climate and quality of life during their mission to Shanghai and Seoul, Oct. 16-20.
“The people of Asia are curious about the Dallas Region, and they asked countless questions about our tax system, our way of doing business and even the lifestyle here,” said Sarah Carabias-Rush, Vice President of Economic Development at the Dallas Regional Chamber. “While many have heard of our region, their understanding of who we are is limited to perceptions that are quite outdated and more closely resemble the Dallas of J.R. Ewing.”
Dallas Fort Worth International Airport spearheaded organizing the trip to raise the profile of the airport and the Dallas Region as a destination for Chinese and Korean corporate operations as well as promote the area as a travel destination. The delegation:
The mission delegation included members of the Dallas Fort Worth Airport Board of Directors as well as representatives of the Dallas Regional Chamber, the Fort Worth Chamber, VisitDallas, the Fort Worth Convention & Visitors Bureau and others.
The business delegation was joined by senior leaders from American Airlines, Axxess, Civitas Capital Group, Crow Collection of Asian Art, Estrada Hinojosa & Co., International Leadership of Texas, Jackson Walker LLP, NorthPark Center, the Overseas Korean Trade Association – Dallas and Wild Oats Marketplace. The Greater Dallas Korean American Chamber of Commerce also supported the trade mission.
Nineteen Korean-owned companies already have significant operations in the region, including Asiana Airlines, Hyundai, KIA, LG and aforementioned Samsung. Korea is Texas’ fifth-largest export market ($7 billion), behind Mexico, Canada, China and Brazil. It is also Texas’ fourth-largest import market ($7 billion), behind Mexico, China and Canada.
Roughly 31 Chinese-owned companies operate U.S. or North American headquarters and other facilities in the Dallas Region, including AZZ, DerbySoft, Huawei, NGC, TaoTao, Veri Silicon and ZTE.
The October trip furthered the Dallas Regional Chamber’s mission of raising the region’s profile abroad and recruiting businesses to the Dallas Region.
Consular Corps Summit
January 22-23, 2018 | Multi-Day
*Dallas Mayor Mike Rawlings and Fort Worth Mayor Betsy Price are hosting the Consuls General and their staff that serve the Dallas-Fort Worth region from their offices in Dallas, Houston, Miami and New Orleans, to showcase the region and promote the opportunities for international companies, expatriates, and tourists. The World Affairs Council of Dallas/Fort Worth, in partnership with the Dallas Regional Chamber and Fort Worth Chamber of Commerce, are planning this familiarization event. The presenting sponsor is Dallas Fort Worth International Airport. If you are interested in sponsoring and attending, please click here to learn more. To register, click here.
How to Successfully Enter Japan’s IT Sector
Tuesday, December 5 | 3:00 – 4:00 PM
Webinar; to register, click here.
*This event is presented by the Japan External Trade Organization (JETRO).
Mexico Energy Regulatory Commission Workshop
Friday, December 8 | 8:30 AM – 7:30 PM
SMU Hughes-Trigg Student Center Forum, 3140 Dyer Street, Dallas, TX 75205
*This event is hosted by the Asociación de Empresarios Mexicanos Energy Committee.
by Dave Moore, Staff Writer
Congress – currently attempting to retool the U.S. Tax Code – could can learn a lot from Texas’ system of taxation, incoming Dallas Regional Chamber Chairman and AT&T CFO John Stephens told the crowd gathered for the DRC’s Year Ahead Summit on Thursday, Nov. 9.
“We’ve got a great economy here,” Stephens said to the crowd of 250. “It’s better than the rest of the country. It’s one of the things that’s so attractive to other businesses that want to move here… the rest of the country has had a modest or slow growth rate of about 2 to 3 percent GDP.”
The national economy hasn’t seen much wage growth, and that’s important to AT&T, he said.
Stephens said Texas’ lack of an income tax is a prime driver in fueling North Texas’ economy.
“It’s competitive, in regards to its tax rules,” Stephens said. “The city of Austin still collects money. The city of Dallas still collects money. But we don’t have an income tax situation that is non-competitive. Globally, we’re not there.”
Globally, Stephens said, countries have an average tax rate of about 20 percent, while the U.S. has a 35 percent rate, plus another 5 percent for state income taxes. That lower tax rate is spurring investment in those countries, he said.
Politico Chief Economic Correspondent Ben White, who moderated the event, asked Stephens what AT&T might do with the tax break that may result from the tax plan proposed in the House.
“If a version of the tax bill passes, much like it’s come out of the House, with a competitive tax rate in the 20 percent area, with incentives for investments, we will increase our investments next year $1 billion,” said Stephens. “That $1 billion increase in our industry will generate 7,000 good-paying, high-quality, middle-class jobs, to build, install, maintain those network improvements.”
Stephens said increase in hiring could reduce the unemployment rate, or raise wages, by increasing demand for existing employees.
“You may say, ‘Why would a business that has 280,000 employees want to drive wages up?’” Stephens said. “When everyone’s wage goes up, they buy more of my products and services. It’s a good, old-fashioned economics. My revenue line goes up.”
A lower tax rate would redirect the investment happening overseas back to the U.S., he said.
“Our market, other than our tax rate, is the most attractive in the world,” he said. “Why would someone build something somewhere else and bring it here to sell, and incur those transportation and other costs, if it wasn’t for the non-competitive tax system?”
Stephens said companies such as Toyota choose Texas because of its competitive tax rate; he said if that strategy is applied across the United States, it would fuel the nation’s economy in a like fashion. In company-specific matters, Stephens said AT&T’s DirecTV Now streaming television subscription service has gained 700,000 the new customers for AT&T, and that its Cricket prepaid phone service has reached the 14-million customer mark.
The Year Ahead event also featured a panel discussion by Hunt Consolidated Inc.’s Jamie Beggs, economist Dr. Ray Perryman and former Congressman John Shadegg. The group expressed optimism that the North Texas region’s growth will continue, discussed current efforts to reform the U.S. tax code, and what impacts the Dallas Region might face if the North American Free Trade Agreement (NAFTA) is dismantled.
“We’re looking for compounded annual growth of 4.2 percent a year, over the next five years,” Perryman said. “The most hopeful U.S. forecast is 3 percent.”
Beggs said North Texas’ diverse economy helps immunize it from dips, adding, “I wouldn’t say I’m quite as bullish, based on where I sit in the industries that we participate in, but definitely positive overall.”
Shadegg said Congress faces a long road in its quest for retooling the tax code, but its completion is critical for the U.S. economy.
The presenting sponsor for the Year Ahead Summit was Polsinelli; gold sponsor was Blue Cross and Blue Shield of Texas; silver sponsors were Boeing, Capital One Bank and KPMG LLP.
by Dave Moore, Staff Writer
Dallas-Fort Worth has been climbing toward the top of the list of U.S. metro areas with the most corporate relocations and expansions. The region ranked second with 231 projects, according to the March 2017 issue of Site Selection Magazine. The region ranked third the previous year in that category, which applies to metro areas with more than 1 million people.
International relocations and expansions to Dallas-Fort Worth are helping push the Dallas Region toward the top of the pile, said Mike Rosa, Senior Vice President of Economic Development at the Dallas Regional Chamber.
Among major international expansions and relocations in North Texas are the Toyota North America campus, Huawei, Samsung, Kubota and Hilti.
“International companies are looking for a growing workforce, a strong economy and a low-regulatory environment,” said Rosa. “They have found those qualities in the Dallas Region, which has seen more than 500,000 additional jobs in the past five years; many of these new jobs are the result of international relocations or expansions.”
“Two additional, important factors in our favor is that we have no state income tax, and there’s plenty of land available for corporate campuses, near quality housing in great neighborhoods,” he said.
DRC Mission to Asia
October 15-21, 2017 | Multi-Day
Shanghai, China & Seoul, South Korea
*Follow along on social media with the hashtag #DFWAsia2017.
French Wine Festival
Friday, November 10, 2017 | 7:30PM-10PM
Frontiers of Flight Museum, 6911 Lemmon Avenue, Dallas, TX 75209
* This event benefits the French-American Chamber of Commerce of Dallas-Fort Worth.
by Dave Moore, Staff Writer
The Dallas Regional Chamber’s international team has been busy expanding the organization’s business footprint, holding meetings with business leaders in London and Paris in September, while planning another mission to Asia this fall.
DRC economic development team members Sarah Carabias-Rush and Margaret Selid led a business development mission with regional economic development professionals including Fort Worth, Frisco, Irving, McKinney and Richardson to London and Paris, Sept. 11-15.
The delegation engaged with 17 different companies and corporate location influencers during the trip. Additionally, the team had the chance participate in three opportunities of aggregators of large audiences: The CoreNet Global Annual EMEA Conference, the Association of British Healthcare Industries U.K. Market Conference and the London, and Partners North American Task Force.
On Sept. 14, members of the delegation gave a presentation to interested medtech companies attending the annual U.K. Market Conference of the Association of British Healthcare Industries (AHBI) in London. The team – which has been working with association members in supporting their expansion into the Dallas Region – also met with the organization’s leadership, in advance of the meeting which included a short discussion with Lord James O’Shaughnessy, the Parliamentary Under Secretary of State at the Department of Health and a Government Whip (Lord in Waiting).
O’Shaughnessy later addressed conference attendees, noting: “I would like to recommend a trip to Dallas,” he said, remarking upon the region’s entrepreneurial spirit, adding, “It’s not what you might expect, especially if you were raised on ‘Dallas’ and Southfork Ranch.”
The United Kingdom and France are among the top trading partners with the U.S., and the Dallas Regional Chamber is working to expand business connections with companies in those nations. While in London, the Dallas group also attended the CoreNet Global conference, which focuses on commercial real estate best practices.
The DRC team is also set to join Dallas Mayor Mike Rawlings and regional leaders from Dallas Fort Worth International Airport, Fort Worth Chamber of Commerce, Visit Dallas, the Fort Worth Convention and Visitors Bureau, and regional business leaders on a mission to Shanghai, China, and Seoul, South Korea. The trip, set for Oct. 14-20, aims to raise our region’s profile as a destination for business expansions, investment, tourism and conventions all while promoting Dallas Fort Worth International Airport as a great point of entry for travelers and cargo to the United States and Latin America.
The team expects to build upon the success of the November 2016 outreach trip to Tokyo and Hong Kong by leaders from the cities of Fort Worth and Dallas, the DRC, and from several businesses.
For more information on the mission, please reach out to Melissa Maguire.
The Dallas Region’s portal to world travel continues to expand at DFW International Airport.
Over the past few years, as Dallas Business Journal’s Bill Hethcock reports, the airport has added flights to destinations such as Australia, Canada, China, Italy, Japan, Qatar, Mexico City and South Korea. More than 30 international flights and five foreign air carriers have been added at DFW since 2012, drastically expanding options for business and vacation travelers.
“The team at DFW International Airport has worked hard to make the airport an enticing environment for adding destinations and carriers to North Texas, and these efforts are paying off,” said Sarah Carabias-Rush, Vice President of Economic Development at the Dallas Regional Chamber. She noted that the airport is continuing to work toward expanding service to Europe, including direct flights to Berlin, Dublin, Helsinki and Munich. Other destinations on the airport’s wish list include Johannesburg, Nagoya and Nairobi.
John Ackerman, Executive Vice President of Global Strategy and Development for DFW International Airport, said increased flights create a ripple effect across the Dallas Region’s economy.
“When Dallas Fort Worth International Airport launches a new destination, it creates a large economic benefit for the entire region, and we are very proud of this impact,” he said. “One wide-body daily flight adds an estimated $200 million annually to the regional economy. Besides bringing in visitors who spend money on shopping, dining, and other activities, new routes support jobs in our communities. The airport as a whole supports 228,000 jobs in the region. We get really excited about new routes, because they bring more choices to our customers.”
DFW International Airport has service to more than 220 destinations, including 56 international and 167 domestic locations.
The DRC partners with DFW International Airport for trade missions, which are key in building relationships that expand air travel options. Over the past 12 months, the DRC has led delegations representing both Dallas and Fort Worth to Tokyo, Hong Kong, and other Eastern destinations; as well as June trip to Quebec and Montreal in Canada.
These international missions fit within the DRC’s strategic priority of raising the region’s international profile.
The DRC is now firming up plans for its next international business mission, this time to China and South Korea. To learn more, contact Melissa Maguire.
Upcoming International Events
DRC partners are hosting exciting opportunities related to international business.
Fall Kick-Off Cocktail
Thursday, August 31, 2017 | 6:00 – 8:00PM
Boulevardier, 410 North Bishop Avenue, Dallas 75208
*Reception co-sponsored by the French American and German American Chambers of Commerce
GDAACC Trade Mission to Hong Kong
September 9-13, 2017
Greater Dallas Asian American Chamber of Commerce is partnering with the Hong Kong Trade Development Council to organize a trade mission to Hong Kong September 9-13, 2017. To learn more, click here.
Wallonia Export and Investment Agency (AWEX) Seminar
Wednesday, September 20, 2017 | 8:00 – 10:00AM
Jones Day, 2727 North Harwood Street, Dallas 75201
We welcome your questions and comments. To request more information about area businesses or to share an idea, contact us: