Resources

In recent years the Saudi market has been opening up as the Crown Prince, Mohammed bin Salman (MBS), seeks to reposition the Kingdom with less reliance on oil and a more sustainable economic foundation for his country. The process to open-up the Kingdom is not easy and has resulted in the largest transformation program that the world has ever seen. Under the banner of Vision 2030, MBS has set out the priorities for the Saudi Government for the next 10 years and these focus on the diversification of the economy away from oil and the creation of jobs for huge, youthful Saudi national population. We now see opportunities in all sectors that were previously difficult or impossible for foreign businesses to access such as in education, training, construction and the healthcare sector.
 
Defense, however, has always been ‘open’ to western suppliers and prime contractors to a certain extent. The security relationship between the Kingdom and the US (and other key defense partners such as the UK and France) has always been shored up by defense sector procurement contracts.
 
The Defense Industry in Saudi Arabia report outlines general market entry strategy for Virginia businesses looking to sell into the Saudi defense market. It also provides an overview of current trends in the market, including government bodies and defense news, and details government & defense sector procurement.

As the largest export partner for the Commonwealth of Virginia and the United States at large, Canada presents major trade opportunities for many Virginia companies. Canada’s economic pulse in 2022 is still being impacted by the COVID-19 pandemic and uncertain global economic and political conditions. However, supply chain disruptions have not halted Canadian economic recovery. The OECD projects that the Canadian economy will grow at a considerable rate of 3.9% in 2022 and 2.8% in 2023.
 
This report, Export Guide Canada, aims to give Virginia companies a better understanding of requirements and steps of the import process to Canada. It covers:

• Canadian logistics and shipping network
• Required customs documents
• Steps to get through Canadian customs
• Non-Resident Importer status and registration process
• Sales tax calculations
• Packaging (marking & labelling)

This guide provides an overview of the following incentives and tax credits provided by the Port of Virginia:

• Port of Virginia Economic and Infrastructure Development Grant (POV Grant)
• Port Volume Increase Tax Credit
• Barge and Rail Usage Tax Credit
• International Trade Facility Tax Credit

All U.S. exports are regulated by the U.S. Federal Government. In order to comply with federal law, your company must determine which government agency has jurisdiction over its exports.

The two most important export control laws are: Export Administration Regulations (EAR) (U.S. Department of Commerce) and International Traffic in Arms Regulations (ITAR) (U.S. Department of State). To determine which agency regulates your exports, use the tables on the Export Regulations guide.

Additional export compliance considerations:

• U.S. exporters may not participate in international boycotts not sanctioned by the U.S.
• U.S. exporters must comply with foreign trade embargoes
• Exporters should be aware of restrictions on “re-exports” and “deemed exports”

What is an IC-DISC? The Interest Charge-Domestic International Sales Corporation (IC-DISC) is a tax saving vehicle for U.S. exporters. Eligible U.S. companies can recoup or exceed their tax savings on exported product (and in some cases services) revenue by creating an IC-DISC.

Qualified exporters can receive a permanent tax savings of 20 percent or more on Federal income tax from export profits by utilizing an IC-DISC.

If you are unsure if your company is eligible to set up an IC-DISC to take advantage of tax savings, ask the following questions:

1. Do you have any transactions outside of the U.S.?
2. Do you use overseas distribution?
3. Does your product cross any borders?
4. Are you generating operating income?

If the answer to any of these is yes, an IC-DISC may be a valuable tax savings option for your business.

When traveling to a foreign country, you may be required to obtain a business visa or travel visa. Visa requirements vary depending on the purpose of your trip, such as tourism, business, or employment, and the country you will be visiting.

Work permit requirements also vary by country and trip purpose. It is often the responsibility of the employer, not the employee, to apply for a work permit. Permits are usually issued for a specific worker and a specific job.