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Washington D.C., March 14, 2024 – FedEx Corp. (NYSE:FDX) today released its Small Business Trade Index, a survey of U.S. small- and medium-sized business (SMB) leaders about their perceptions of the economy and trade. The study, which analyzed how technology and other trade policies impact U.S. business growth, found that a vast majority of SMBs believe trade is essential to growing and expanding the U.S. economy (88%) and growing jobs (85%). The Trade Index was comprised of 1,000 SMB leaders and conducted by Morning Consult between February 14 and 24, 2024.
“Trade opens new markets for businesses of all sizes and offers opportunities for engagement at a time when connectivity is needed most,” said Raj Subramaniam, President and CEO, FedEx Corporation. “Policymakers must reprioritize ambitious trade agreements so U.S. businesses can compete around the world, access new customers, and set the rules for fair and smart supply chains that connect the global marketplace.”
More than two-thirds of U.S. SMB leaders rely on imported goods for production or as merchandise to distribute domestically. These businesses report they export products that utilize imported materials, and 82% say the ability to import products or components from overseas directly supports jobs within their company. The majority of SMB leaders believe expanding trade to customers in other countries is a good thing, with approximately 9 in 10 identifying that the most important countries to maintain trade with are Japan, the United Kingdom, and China.
The Trade Index demonstrated that the growth of e-commerce and the advancement of technology is vital to U.S. small- and medium-sized businesses. More than 9 in 10 report e-commerce platforms have been key to facilitating global trade, which has been an important growth driver of their business (86%).
The Trade Index also confirmed that U.S. small business decision makers face additional challenges, with the majority reporting shipping delays or disruptions due to geopolitical issues as a main barrier (84%). Trade policies such as de minimis streamline trade paperwork processes by exempting low-value goods from customs duties and/or taxes. More than 8 in 10 U.S. small business leaders say that eliminating de minimis would have an adverse impact on their operations.
A majority of business leaders report that compared to 10 years ago, they are more likely to believe global trade stimulates growth, creates jobs, and fosters innovation. They also recognize the importance of retraining or reskilling individuals impacted by increased trade. An overwhelming majority (95%) support prioritizing job retraining and upgrading skills among workers to help the U.S. compete globally.
FedEx conducts this survey among small- and medium-sized business leaders regularly to measure the impact trade has on U.S. businesses and their growth. FedEx operates the most extensive transportation network in the world, providing services to more than 220 countries and territories and moving more than 15 million packages per day.
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