Y2K & Global Trading System
Sanskrit
THE YEAR 2000 PROBLEM AND THE GLOBAL TRADING SYSTEM
U.S. DEPARTMENT OF COMMERCE
International Trade Administration
Trade Development
Office of Computers and Business Equipment
April 1999
Click here to download the entire report.
All nations are tied into a system of global economic interdependence
as part of the world trading system. Trade, which now represents over
one-fifth of global output, is crucial to the economic development and
growth of all national economies. According to the World Trade
Organization (WTO), the volume of merchandise exports grew 9.5 percent
in 1997 compared with a 3 percent growth in total world output. This
was the second-highest growth rate for exports in more than two
decades.
International trade consists of a broad array of commercial interests
and relationships that involves most product and service sectors, the
orderly conduct of which depends upon a smoothly functioning trading
system. This in turn relies on a global web of critical services.
Disruptions in the relationships among the suppliers and customers and
their overseas business partners can seriously affect the well-being
of individual companies, specific industry sectors, or even economies
in general. The Year 2000, or Y2K, problem refers to the computers,
software programs, data and communications networks, databases, and
embedded electronic devices that lack the capability to process dates
beyond December 31, 1999. Y2K failures in electronic systems and
devices have the potential to cause supply and service disruptions.
This report discusses the scope of interdependence in the world
trading system and the importance of trade to economic interests. It
does not attempt to draw conclusions about the status of Y2K
remediation efforts in individual countries.
The Global Trading System Infrastructure
The international trading system, with its complex web of suppliers,
distributors, customers, and transportation links, is supported by a
critical infrastructure of products and services. The most important
components of the infrastructure are energy production and
distribution facilities, transportation modes, communications
channels, and financial networks. These sectors are highly
computerized and interdependent and are particularly sensitive to
dates for the smooth exchange of goods and services. These
characteristics render them especially susceptible to Y2K-related
problems. Breakdowns in any part of the trade support structure could
slow or halt shipments of key imports needed to keep factories
working, hospitals functioning, food in continuous supply, and people
employed.
Energy Production & Distribution
The reliable production of electric power and distribution of heating
fuel by utilities around the world is fundamental to the trading
system. Fossil fuels-coal, natural gas, and oil-are essential for the
operation of most utilities. In the United States, over 65 percent of
electric power is generated by coal and gas. Utilities are highly
automated, with complex networks of generation plants and storage
areas, transmission networks and pipelines, and distribution
facilities. The ripple effects of Y2K-caused breakdowns in one part of
the interconnected transmission grid could cause failures elsewhere
down the line. Utilities also have a large number of embedded chips in
their equipment and facilities, some of which are susceptible to Y2K
mishaps, but which are time-consuming and costly to locate and test.
Major long-term disruptions in fuel supplies can have serious economic
implications, as demonstrated by the energy crisis of the mid-1970s.
Table 1 lists the major exporters of fossil fuels to the world in
1996. Saudi Arabia supplied 19 percent of the crude oil; Russia, 37
percent of natural gas; and Australia, 30 percent of hard coal. Russia
supplies almost 15 percent of the total energy consumed by Eastern
Europe and 5 percent consumed by Western Europe through the Gazprom
Pipeline.
Table 1: World's Largest Exporters of Fossil Fuels, 1996
* Mt = millions of metric tons; Mm3 = millions of cubic meters.
Source: International Energy Agency
Transportation Modes
The efficient and reliable transportation of goods among countries and
from port to customer within countries is critical to the trading
system. The global transportation infrastructure includes airlines,
shipping concerns, railroads, and trucking companies; these are
operated by a wide variety of small and large entities. Especially
important are the air cargo and maritime shipping sectors, which
include customs facilities, cargo terminals, freight forwarders, and
distributors, most of which depend on computer systems and embedded
chips. Traders make extensive use of electronic data interchange (EDI)
to transmit customs information, letters of credit, bills of lading,
ship manifests, and other important documentation.
Shipboard systems can have as many as 100 to 200 embedded microchips
that control everything from navigation to refrigeration. In 1998, the
U.S. Coast Guard surveyed marine manufacturers and discovered that
over 20 percent of the embedded chips tested were not Y2K compliant.
Computer programs for engine automation systems that monitor the time
between required engine maintenance are a good example of the Y2K
problem. If these programs misread "00" as the year 1900 instead of
2000, they may conclude that 100 years have elapsed since the last
engine maintenance was performed and respond by shutting down systems
to avert engine damage.
Port facilities and marine terminals could be vulnerable because of
the many systems that are time dependent: fire detection systems,
cargo tracking software, process flow controls for oil and chemicals,
temperature controls, and alarms. Date sensitive sensors could cause
an automatic shutdown response, which could trigger other fail-safe
responses downstream. In addition, there is currently no established
convention for setting time in microchips when they are manufactured.
Chips manufactured in Asia may be running at Universal Coordinated
Time (UCT) plus eight hours, whereas microchips manufactured in the
United States may be running at UCT minus five hours. For safety
reasons, some ports and offshore operators have announced that they
may suspend operations for several hours around midnight on December
31, 1999. Key seaports, canals, and waterways with large shipping
volumes represent potential transportation bottlenecks, and the
effects of Y2K breakdowns in these commercial hubs could be amplified.
Table 2 lists the world's busiest seaports, the top three of which are
in China, Singapore, and Taiwan.
Air transport is another critical link in the international trading
system. In the United States, the airlines now carry the same amount
of exports (measured in terms of value) as maritime companies. Air
transport is used particularly for the shipment of medical products,
scientific instruments, telecommunications equipment, and computers.
Y2K-related breakdowns in air traffic control or other airport
computer systems could disrupt passenger and cargo movements at
individual airports, as well as at any other airport serving them.
Table 3 lists the busiest airports in the world.
Table 2: The World's 30 Busiest Seaports*
(Non-U.S. ports in bold)
* Based on container throughput in millions of Twenty Foot Equivalent
Units (TEUs).
Source: U.S. Department of Transportation, Maritime Administration.
Table 3: World's 30 Busiest Airports, 1998
(Non-U.S. airports in bold)
* Total passengers enplaned and deplaned; ** metric tons of loaded and
unloaded freight and mail; *** aircraft landings and take-offs.
Source: Airports Council International
Communications Channels
The global communications infrastructure includes the services
employed to transmit voice, data, image, and video information by
wire, radio (including cellular), and satellite; electronic mass media
services (e.g., radio and television broadcasting and cable TV); and
online computer information services, including the Internet. It also
encompasses traditional mail and delivery services and the printing
and publishing industries, which are less susceptible to critical Y2K
failures. The individual entities that make up this infrastructure
differ greatly. They include a wide range of disparate and competing
entities, including public and private companies, government
regulatory bodies, international telecommunications alliances, and
foreign and domestic carriers.
Reliable communications services are essential to the smooth operation
of the global trading system. These services are heavily used by
companies that must maintain close contact with their overseas
networks of subsidiaries, customers, and suppliers. This
infrastructure's vulnerability has been demonstrated in the past. In
April 1998, software errors in a telecommunications switch caused
temporary disruptions in the services of a major U.S. long-distance
carrier; as a result, thousands of automated teller machines
malfunctioned and some retail establishments lost their ability to
authorize credit card transactions. In May 1998, a communications
satellite control system failed, temporarily halting pager service for
millions of people.
As the scope and number of communication channels expand, dynamic and
interdependent communications technologies become more complex. There
are a myriad permutations and combinations of routing possibilities to
transmit information. A phone call from Washington to London may
travel one path the first time and a different path one minute later.
The industry has built technical redundancies, alternative network
routing capabilities, and carrier back-up plans into the network to
avert service disruptions. However, the network's complexity and size
make it difficult to predict if and where Y2K-related communications
disruptions could occur, and they increase the difficulty of testing
networks for Y2K compliance.
There are also concerns that some Internet service providers (ISPs)
that use older equipment may not be Y2K-compliant. If some ISPs
malfunction after January 1, 2000, this would disrupt service to
groups of individuals and possibly cause load shifts that could
degrade service on remaining traffic routes. Table 4 shows the number
of Internet hosts by major country in 1997. Although almost two-thirds
of the 24.8 million Internet hosts worldwide are located in the United
States (where newer, Y2K-compliant equipment and software are more
likely to be in use), there are still a number of older computers used
as hosts overseas.
Table 4: Countries with the Largest Number of Internet Hosts
(thousands)
Source: World Information Technology and Services Alliance
Countries with high teledensity, the number of main telephone lines
per 100 inhabitants, have greater volumes of communications software,
switches and other equipment that could contain Y2K problems (see
table 5). These are developed countries where 85 to 95 percent of the
population have ready access to a telephone, as opposed to less than
10 percent typically in many developing countries. But because of the
interdependencies inherent in communications systems, telephone usage
rates cannot be used as the sole determinant for predicting the
potential locations of Y2K-related problems in the communications
infrastructure.
Table 5: Teledensity by Major Country, 1996*
* Teledensity is the number of main telephone lines per 100
inhabitants.
Source: International Telecommunications Union
Financial Networks
International trade and commerce depend on a smoothly functioning
financial sector. In turn, the banking and financial sectors are
heavily dependent upon computer networks for processing
Table 6: World's Largest Banks, 1998
(Total assets; million US$)
Source: "The Bank," 1998.
transactions and providing information. In many countries, investment
services, banking, and insurance are the most advanced sectors in
terms of Y2K-preparedness. Nonetheless, disruptions in the operation
of banks and other financial institutions around the world could
interfere with the banking system's ability to meet its obligations to
customers and customers' ability to meet their obligations to banks.
One potential area of concern, for example, is the fact that most
financial transactions include an electronic component, such as EDI,
which is used to exchange information among financial institutions,
clearinghouses, vendors, and borrowers. Table 6 lists the countries
with the largest banks in terms of total assets. Japan has the largest
number of these banks, followed by Germany, France, and Switzerland.
The Importance of Trade and Investment to National Economies
According to the World Trade Organization, the dollar value of the
world's merchandise and service exports exceeded $6.8 trillion in
1997, while merchandise imports totaled $5.6 trillion. The United
States, Japan, Canada, and West European countries were the leading
exporters. However, over one-third of world trade originated from
countries outside of these areas. Tables 7 and 8 list the world's
largest exporters and importers.
Table 7: World's Leading Merchandise Exporters, 1997
(billion US$, f.o.b.)
1. Includes reexports. 2. Excludes trade with the Baltic states and
the Commonwealth of Independent States.
Source: World Trade Organization
Table 8: World's Leading Merchandise Importers, 1997
(billion US$, c.i.f.)
1. Includes re-exports. 2. Excludes trade with the Baltic states and
the CIS.
Source: World Trade Organization
International trade is a key component of most economies. In the
United States, for example, total U.S. exports and imports have grown
from less than 10 percent of GDP in 1960 to 24 percent in 1998, and
exports accounted for one-third of overall economic growth from 1987
to 1997. More than 20 percent of all goods and 36 percent of durable
goods produced in the United States are exported. Exports of goods and
services support over 12 million domestic jobs, and jobs supported by
goods exports pay wages that are 20 percent higher than the national
average. Imports play an important economic role as well, especially
as critical inputs into manufacturing processes and as key elements of
the economy.
The recent financial crises in Asia, Russia, and Latin America have
demonstrated the interdependence of the trading system. For example,
the U.S. goods and services trade deficit rose to $168.6 billion in
1998, some $58 billion greater than the previous year. The trade
deficit was driven by a decline in exports to countries with negative
or slow economic growth: U.S. exports to Asia dropped sharply and
exports to Europe grew at a sluggish pace. Y2K-related problems abroad
have the potential to affect the commercial interests of the United
States and other countries.
The U.S. Trade Perspective
Tables 9 and 10 list the largest markets for U.S. goods and the
largest suppliers of U.S. imports. U.S. merchandise trade reached
$1.16 trillion in 1998: exports totaled $683 billion and imports
totaled $914 billion. Canada continued as the largest export market,
representing 22 percent of U.S. exports, followed by Mexico, Japan,
the United Kingdom, and Germany. Regionally, Europe represented 25
percent of U.S. exports; Asia, 26 percent; Latin America, 21 percent;
and the Middle East and Africa, 5 percent. The top five suppliers of
U.S. imports in 1998 were Canada, Japan, Mexico, China, and Germany.
Regionally, Europe supplied 22 percent of U.S. imports; Asia, 39
percent; Latin America, 16 percent; and the Middle East and Africa, 4
percent.
Table 9: Largest U.S. Export Markets, 1998
(million US$)
Source: U.S. Department of Commerce, Bureau of the Census.
Table 10: Largest U.S. Import Suppliers, 1998
(million US$)
Source: U.S. Department of Commerce, Bureau of the Census.
Key Import Sectors: The U.S. Example
Industrial sectors around the world are dependent upon imports of key
raw materials, machines, and equipment. Among the most important are
petroleum products, minerals and metals, machine tools and general
components, information technology and telecommunications equipment,
and scientific and control instruments. Disruptions in the supply of
any of these products due to Y2K-related mishaps could affect
industrial output and economic activity.
Petroleum Products
The United States, like many countries, relies heavily on energy
shipments. It is the largest importer of crude oil and second largest
consumer of natural gas. By the end of 1999, it is estimated that the
United States will consume 19.3 million barrels of oil a day, about
half of which is imported. Of this amount, 51 percent is imported from
countries in the Western Hemisphere, 21 percent from the Middle East,
18 percent from Africa, and 11 percent from other countries. The
petroleum industry is highly dependent upon information technologies
in every aspect of its business operations, including production,
maintenance, finance, communications, security, safety, and delivery.
Embedded microchips are widely used in the industry's distributed
control systems.
Table 11 lists the largest suppliers of petroleum product imports to
the United States, which totaled $49 billion in 1998 and represented 5
percent of total imports. ( Petroleum products include crude oil,
gasoline, and kerosene.) The top five countries-Venezuela, Canada,
Saudi Arabia, Mexico, and Nigeria-accounted for two-thirds of this
total.
Table 11: Largest Suppliers of U.S. Petroleum Product* Imports, 1998
(million US$)
* SITC 33 Product Group
Source: U.S. Department of Commerce, Bureau of the Census
Minerals and Metals
The United States, like many other countries, is also heavily
dependent on imports for particular minerals and metals. For example,
the United States is totally dependent on imports for its supplies of
12 mineral materials, including bauxite and alumina, columbium,
natural graphite, manganese, and mica. More than half of the supply of
13 others comes from abroad, including platinum, tin, zinc, tungsten,
and cobalt (see table 12). Temporary disruptions in the supply of some
of these materials could affect automobile manufacturing (catalytic
converters and pollution control systems), the petroleum and
construction industries (drill bits), and the electronics sector
(cathode ray tubes and electronic capacitors). The National Defense
Stockpile contains quantities of scarce minerals to cover limited
shortages, which can be released under a Presidential declaration of
national emergency.
Table 13 lists the largest suppliers of nonferrous metal imports to
the United States, which totaled $15 billion in 1998. The leading
countries (Canada and Russia) accounted for over half of this total.
Nonferrous metals include base metals (such as aluminum, copper, lead,
titanium, and zinc), and precious metals (such as gold, silver, and
platinum).
Table 12: U.S. Net Import Reliance on Selected Nonfuel Mineral
Materials, 1998
Source: U.S. Department of the Interior, U.S. Geological Survey
Table 13: Largest Suppliers of U.S. Nonferrous Metal* Imports, 1998
(million US$)
* SITC 68 Product Group
Source: U.S. Department of Commerce, Bureau of the Census
Machine Tools and Metal Components
Machine tools, which are used for cutting and forming metal, are
fundamental elements of the industrial base and are widely used in
important manufacturing industries, such as automobiles, aerospace,
home appliances, and die and mold industries. Information technologies
(computers, software, and embedded integrated circuits) are now
integral to machine tools, enabling sophisticated electronic controls
for expanding performance and flexibility. The growth in the use of
personal computer-based controls has made machine tools less costly
and easier to program and use.
More than 50 percent of U.S. machine tools are imported. Japan is the
world's leading machine tool supplier, with a market share of 25
percent, followed by Germany, the United States, Switzerland, and
Italy. Collectively, European companies supply more than 40 percent of
the total world output. Table 14 lists the largest suppliers of
metalworking machinery, including machine tools, to the United States,
which totaled $8 billion in 1998. The top two countries, Japan and
Germany, accounted for over half of this total.
Table 14: Largest Suppliers of U.S. Metalworking Machinery and Machine
Tool* Imports, 1998
(million US$)
* SITC 73 Product Group
Source: U.S. Department of Commerce, Bureau of the Census
General components and parts, such as bearings, industrial fasteners,
screw machine products, gears, valves, and pipe fittings, are also
critical inputs for manufacturers of machinery and equipment.
Shortages can slow down or halt production lines. Today, many
manufacturers depend on third-party suppliers and no longer produce
their own components. The automobile industry, the largest user of
general components in the United States, increasingly outsources the
production of parts and subassemblies, a significant share of which
are imported. As just-in-time delivery of components has become more
widespread and manufacturers have reduced their parts inventories,
meeting delivery schedules in a timely fashion has become ever more
important for suppliers and users.
Information Technology and Telecommunications Equipment
Information technology (IT) and telecommunications permeate every
layer of commercial and industrial activity worldwide. Countries are
spending increasing amounts on these technologies. According to the
International Data Corporation, worldwide spending on IT alone as a
percentage of GDP grew from 1.6 percent in 1993 to 2.3 percent in
1997. In the United States, the IT and telecommunications industries
together account for 10 percent of GDP, a figure that could rise to 20
percent by 2004 according to some estimates. Over the past several
years, the growth in these sectors was responsible for more than
one-quarter of real economic growth in the United States. Computer and
communication equipment manufacturers are highly dependent on the
global trading system for the manufacture, distribution, and marketing
of their products, and large volumes of electronic components are
purchased from foreign suppliers, especially in Asia.
The importance of information technologies to current and future
productivity and efficiency gains is well recognized in the United
States and abroad. In the 1960s, budgets for IT spending represented
only 3 percent of total business equipment investment, but by 1995
that figure had risen to 45 percent. In the U.S. services sector, IT
expenditures account for over three-quarters of all capital equipment
investment. The information and telecommunications sectors are
essential to other parts of the global trading infrastructure,
including the electronic transfer of funds, the distribution of
electrical power, the control of gas and oil pipeline systems, the
efficient delivery of raw materials and finished goods, and the
delivery of responsive emergency services. In addition, IT companies
are the primary source of Y2K remediation resources.
Table 15 lists the largest suppliers of U.S. imports of information
technology and telecommunications equipment. These imports totaled
$119 billion in 1998 and represented 13 percent of total imports. The
top five countries-Japan, Singapore, Mexico, Taiwan, and
China-accounted for over two-thirds of this total.
Table 15: Largest Suppliers of U.S. Information Technology and
Telecommunications Equipment* Imports, 1998
(million US$)
* SITC 75 and 76 Product Groups
Source: U.S. Department of Commerce, Bureau of the Census
Scientific and Control Instruments
Scientific and control instruments are primary tools used by
manufacturers, public utilities, and laboratories to increase
productivity and product quality. The principal users of control
instruments are processing industries, including food, chemicals,
petroleum, and paper, as well as electric and gas utilities and water
treatment facilities. Scientific instruments are mainly employed by
industrial, healthcare, and institutional laboratories, while
electronic test and measurement instruments are used by the
manufacturers of semiconductor components and electronic equipment.
Most scientific and control instruments contain embedded chips and
incorporated software.
Table 16 lists the largest suppliers of U.S. imports of professional
and scientific instruments, which totaled $14 billion in 1998. The top
five suppliers-Japan, Mexico, Germany, United Kingdom, and
Canada-accounted for 70 percent of this total. Interruption of the
flow of instruments and parts imports could cause supply bottlenecks
disruptive to manufacturers and end users.
Table 16: Largest Suppliers of U.S. Professional and Scientific
Instrument* Imports, 1998
(million US$)
* SITC 87 Product Group
Source: U.S. Department of Commerce, Bureau of the Census
International Investment
In addition to trade, foreign investment is important to many
countries as a stimulus to employment and economic growth.
International investment takes two forms, as financial instruments
(bank deposits, foreign securities, etc.), and as plants and equipment
located in other countries (direct investment). Financial transactions
rely heavily upon computers and automated systems, which are usually
components of large complex global networks. Y2K-caused errors in
these highly integrated and interconnected systems could spread
corrupted data (such as account information) instantaneously around
the world. Direct investment is also vulnerable to Y2K-caused
breakdowns. Factories, offices, and foreign affiliates owned by
corporations and multinationals are susceptible to power outages and
other types of local service disruptions.
The United States is a key example of nations with significant
overseas investment. At the end of 1997, U.S. entities held $5
trillion in foreign assets, including plants, equipment, and financial
instruments. U.S. claims on foreigners reported by U.S. banks totaled
$988 billion, while foreign securities held by U.S. residents reached
$1.4 trillion. U.S. foreign direct investment in manufacturing,
wholesale trade, finance, and services totaled $861 billion, when
valued at historical cost (the book value of U.S. direct investors'
equity in and net outstanding loans to their foreign affiliates).
Table 17 shows U.S. investment overseas by industrial sector, which is
led by the petroleum and chemical industries. Table 18 displays U.S.
investment by country: Europe accounted for 49 percent of this
investment; Latin America, 20 percent; Asia/Pacific, 17 percent; and
the Middle East and Africa, 2 percent.
Table 17: U.S. Foreign Direct Investment Position*, 1997
(million US$)
* Calculated on a historical cost basis. + Includes wholesale trade,
banking institutions, finance, services, and other industries.
Source: U.S. Department of Commerce, Bureau of Economic Analysis
Table 18: U.S. Foreign Direct Investment Position* by Country, 1997
(million US$)
* Calculated on a historical cost basis.
Source: U.S. Department of Commerce, Bureau of Economic Analysis
Information Technology Resources
The degree to which countries have integrated information technologies
into their economies is an indicator of their level of exposure to Y2K
mishaps, as well as of their access to resources to mitigate such
problems. Economies that are highly automated and in which computers,
software, and networks are in widespread use have a greater chance of
experiencing Y2K difficulties. At the same time, however, these
economies also have greater access to the capital and human resources
necessary to remediate systems and respond to Y2K-related needs.
Countries that are less IT-dependent may have less Y2K exposure
overall, but their essential services, such as power utilities and
communications, may be highly computerized, while the resources to
address potential problems may be in short supply.
IT density levels (defined as IT spending per capita) are highest in
North America, Japan, and Western Europe, which account for over 90
percent of world IT spending. Developing countries have lower IT
density, but are accumulating IT assets at a faster pace. Table 19
places countries in three groups based on IT density.
Table 19: IT Density
(IT spending per capita)*
Group A: IT spending per capita = $500 and above; Group B: IT spending
per capita = $50 to $499; Group C: IT spending per capita is less than
$50.
Source: Based on data from International Data Corporation and the U.S.
Department of Commerce.
International Cooperation and the Y2K Challenge
Because of the potential risks to the trading system of Y2K failures,
it is important that countries work together to share information,
promote Y2K awareness, support remediation efforts, and encourage
contingency planning among companies and organizations. Activities
such as conferences, seminars, and media events can be useful tools
for disseminating the Y2K message. Some countries are just beginning
to assess their Y2K status, while others lack the funds and resources
even to define the extent of the problem. According to the World Bank,
developing countries find it difficult to expend scarce resources on
what is perceived to be an obscure and distant threat, when other
social and economic problems are more pressing. Dealing with the Y2K
problem is also complicated by software piracy (since vendors' "fixes"
are unlikely to reach owners of unlicensed copies) and by obsolete
computers and equipment (whose manufacturers may be defunct or
difficult to identify).
Most large, multinational corporations around the world have been
aware of the Y2K problem for several years and have taken steps to
address it. The Gartner Group, a market research firm, recently
reported that 83 percent of the large companies it surveyed have begun
Y2K testing, and 72 percent have begun business risk assessments and
contingency planning. But many small and medium-size enterprises
(SMEs), defined as establishments with fewer than 500 employees,
remain behind in confronting the problem and some are unaware of its
implications. Therefore, a considerable share of Y2K awareness and
remediation efforts should be focused on SMEs, which constitute over
98 percent of the total enterprises in most countries (see table 20)
and are important to national economies. In 1992 (the latest year for
which figures are available), SMEs in the United States accounted for
about 30 percent of total export value.
Table 20: Number of Enterprises and Percent of SMEs* by Country
* Small and medium-size enterprises (SMEs) have 500 employees or
fewer.
Sources: Asia Pacific Economic Cooperation forum; U.S. Department of
Commerce, Bureau of the Census; MITI (Japan), European Observatory for
SMEs.
Tables 21 and 22, on the following pages, summarize the country
rankings displayed in tables 1 to 18. These tables indicate the level
of involvement of countries in the international trading system in
terms of the global infrastructure and key U.S. trade and investment
links. Bottlenecks, shortages, and interruptions in trading
relationships have the potential to disrupt the global economy. To
minimize disruptions caused by Y2K problems, it is important that
countries work together to share information and cooperate in
activities aimed at furthering remediation and contingency planning
efforts.
Table 21: Scope of Global Interdependence
(Country Rankings)
Source: U.S. Department, International Trade Administration, Office of
Computers and Business Equipment
Table 22: Critical U.S. Trade and Investment Relationships
(Country Rankings)
Source: U.S. Department, International Trade Administration, Office of
Computers and Business Equipment
10034