Key committees in both chambers of the U.S. Congress recently approved legislation that would remove decades-old restrictions on trade with Russia, which were implemented in 1974 to pressure the Soviet Union to change its human rights policies.
The removal of these outdated trade barriers may create a significant number of opportunities for U.S. businesses. The U.S. Chamber of Commerce has estimated that U.S.-Russian trade, which was about $10 billion in 2011, could double or triple as a result of normalized trade relations.
The Chamber has also asserted that the Russian state will require nearly $500 billion worth of infrastructure development over the course of the next five years. This could present a particularly lucrative opportunity for American construction firms, especially given that the domestic real estate market has still not fully recovered from the bursting of the housing bubble.
However, doing business overseas and dealing with foreign tax and regulatory systems can be challenging. It requires careful planning and attention to detail. Emerging markets can present a particularly high level of risk for investors.
Working with a financial project consulting service can help business leaders identify and act on opportunities in a way that maximizes returns and mitigates risks.
For firms that are seeking to take advantage of renewed trade with Russia and other opportunities abroad, retaining the services of an international tax consultant can be extremely helpful in navigating other nations’ taxation systems and ensuring that new business ventures will generate enough revenue to be worthwhile. An interim investment analyst can also aid companies that are looking to put their capital to work in emerging markets.