Foreign Direct Investment
US subsidiaries of companies headquartered abroad (what the Organization for International Investment calls “insourcing” companies) play an important and positive role in the American economy. These subsidiaries employ 5.5 million Americans and support an annual payroll of $403.6 billion – with average compensation per worker of $73,124, which is 34.7% higher than compensation at all US companies. SCOA supports the non-discriminatory treatment of insourcing companies in the US legislative and regulatory processes.
Some topics of interest to SCOA:
The US Supreme Court decision in Citizens United vs. Federal Election Commission has led some to assume that “foreign” corporations can now influence the US political process. This interpretation is inaccurate and misleading. The Citizens United decision does not impact rules already in place that prohibit foreign persons and corporations from making political contributions. Still, some lawmakers have called for restrictions on US subsidiaries of companies headquartered abroad. US subsidiaries of global companies are American companies in every sense of the word, especially in the contribution they make to the US economy and their local communities. Any effort to selectively limit the rights of one group of American businesses and individuals is inappropriate and should be opposed.
Over the last 20 years, insourcing companies have been a consistent and reliable source of American employment. Inbound investment is vital for continued American competitiveness and new jobs. Maintaining fair and non-discriminatory treatment in the tax code for insourcing companies is key to investment in the United States. SCOA believes the US tax system should impose taxes fairly and equally on all US businesses regardless of where their parent company is headquartered.
To comment, or if additional information is needed on a particular topic, please do not hesitate to contact the SCOA Washington office. We also encourage SC group company employees to download the latest Washington office publications on foreign direct investment, located in our online resource library at:
To request a log-in and password, please contact the Washington office at washingtonoffice.scoa (at) sumitomocorp.com.
December 09, 2013Qantas, Holden and learning to make tough decisions
December 09, 2013The Poison of Protectionism
National Review Online (blog)
December 09, 2013General Motors Hits 52-Week High as Insourcing, Cutbacks and Treasury Sale ...
December 09, 2013GM 'insourcing' hundreds of jobs for new Customer Engagement Center in Metro ...
December 08, 2013Mangalore: CPI (M) protests over discriminatory practices in temples
December 04, 2013Nix Citizens United
Pittsburgh Post Gazette
November 26, 2013How Citizens United could hurt ObamaCare
The Week Magazine
November 22, 2013Our Mission Is Clear: Amend Citizens United
November 14, 2013Analysis: Unions took advantage of Citizens United decision
San Gabriel Valley Tribune
November 12, 2013Citizens United reshaped Boston's mayoral race
September 14, 2012As Coal Production Declines, Coal Jobs May Not
September 06, 2012Bill Clinton Assertion That Dems Create More Jobs than Repubs: True?
September 04, 2012Obama releases energy platform; More of the same
August 30, 2012Tire Tariff Backdating May Bring Constitutional Battle
August 29, 2012Senate Finance Committee's Legislative Text Released on Tax Extenders Bill (Including Wind PTC)
August 27, 2012New York May Approve Fracking as Early As Sept 4
August 23, 2012DoE Release Study on Assessing Natural Gas Technologies
August 21, 2012Romney Has More Cash On Hand Than Obama
August 17, 2012Rep. Ryan Fiscal Hawk?
August 02, 2012Lawmakers Urge EPA to Reduce Ethanol Requirements
August 01, 2012Mitt Romney Does Not Support Wind Tax Credits
July 31, 2012Fed Will Likely Implement QE3 In September
June 26, 2012Supreme Court Bars Citizens United Reform
April 19, 2012EPA Announces New Fracking Regulations
April 12, 2012South Korean Governing Party Holds onto Power
April 10, 2012Rick Santorum Drops Out
April 05, 2012President Obama's 1996 Moment?
April 04, 2012Chesapeake Report: Utica Shale Shows Potential
April 03, 2012Mitt Romney Likely To Sweep Victory in Today's Primaries
March 26, 2012President Obama Urges China to Pressure North Korea
March 26, 2012DOE Delays Analysis of LNG Exports to US Economy
March 23, 2012Senate Passes Jobs Act, Moves to House
March 23, 2012Senate Passes Stock Act
March 21, 2012Big Day For Mitt Romney
March 19, 2012Stay Informed: House's JOBS Act
March 19, 2012Obama Calls for the End of Oil Subsidies
March 16, 2012EPA: Pa. fracking town's water show no health concern
March 13, 2012Natural Gas Act Amendment Fails to Pass