3 ways to use the U.S. as a springboard to global markets

With uncertainty from tariffs impacting trade with the United States, Canadian exporters are increasingly interested in diversifying to more global markets. But many wonder how—or where—to get started. Here’s a surprising answer: Go to the U.S. 

Diversifying away from the U.S. through the U.S. may seem counterintuitive, but the American market puts the world on Canada’s doorstep. As the world’s largest economy, the U.S. is a magnet for international business and a key link in global supply chains. 

You can find shortcuts to new markets in this web of connections, reducing the time and money required to find global customers. 

Here are three ways you can use the U.S. as a springboard to additional markets:

It’s hard to land meetings with senior leaders in markets where the business culture is strongly hierarchical or relationship-driven. You may have to establish a local presence, hire translators and invest significant time building relationships before you can pitch to the right decision-maker. 

David Weiner, Export Development Canada’s (EDC) regional vice-president for the U.S., suggests a workaround: Hold introductory meetings at your target company’s U.S. office.  

“You’ll be able to reach the people you need to talk to more easily and at less cost and less risk,” he says.

Many foreign multinationals have a significant presence in the U.S., including high-level leadership. These U.S. offices operate in English and have a more relaxed, North American business culture where key decision-makers are open to meeting with new contacts. 

“For the time and money you’d invest on one overseas trip, you can visit the U.S. office multiple times and really advance the relationship,” Weiner says.    

If you’re already doing business in the U.S., you may find the front door to additional markets via your customer’s international operations.   

According to Ashley Kanary, EDC’s agri-food lead, several European food retailers operating in the U.S., like Lidl, Aldi and Ahold Delhaize, use their U.S. teams to scout products for their international stores. Major U.S. retailers, like Costco and Walmart, are also well-connected to their international divisions. The same dynamic applies across multiple sectors. These ties can give you an inside track to market diversification opportunities. 

“It's about accelerating the journey, so if you have a relationship with those specific people in the U.S. in companies that have footprints abroad, be brave and ask the question: ‘Hey, could you introduce me to your European counterparts?’” Kanary suggests.

He recommends being well-prepared before asking for a meeting, as you can’t expect that the products you’ve developed for the U.S. market will work abroad.  

“Canadian companies that would like to supply the European parent of U.S. clients need to understand the products they carry over there. The taste profile and the recipes normally are different than what’s in the U.S. stores,” Kanary points out. 

“You should visit the European market yourself or reach out for advice from a group like EDC’s agri-food team to better understand the market’s needs, requirements, certifications and tastes,” he says.

Trade shows ​can be an effective way to find international customers, distributors and partners. Attending a trade show in Europe, the Indo-Pacific, or Latin America is expensive and complex, so many small- and medium-size Canadian businesses stick to events in the U.S. 

Limiting travel doesn’t mean you need to limit your horizons. Weiner suggests keeping your eyes and ears open for opportunities beyond the host country when you attend industry events in the U.S. 

“You’ll often see buyers from the Caribbean and Central America at U.S. trade shows. Some of those smaller markets can be a good fit for Canadian companies, especially firms that might not have the capacity to take on the big orders U.S. companies often want,” he says.

No matter where you decide to sell your products or services, using the U.S. as a launchpad can save you time and money, while accelerating market entry.
 

For 80 years, EDC has been helping Canadian companies expand on the global stage. EDC offers market intelligence and match-making services to connect you with businesses and partners who can help your business take the next step into your target market.

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