The conventional wisdom that China and other emerging economies in Asia are just exporting into the US and not buying products and services from American companies may not be the reality, according to a report from a Hong Kong business consultancy.

Dezan Shira & Associates is a foreign direct investment practice with a pan-Asian presence. The company is in the process of compiling reports on all 50 US states and their trading activity with China, India and the Association of Southeast Asian Nations (ASEAN) members.

The first state report looked at Minnesota, and discovered that the Gopher State is exporting more products to ASEAN members than it is importing.

"Minnesota sells more products to ASEAN than it buys," Chris Devonshire-Ellis, chairman of Dezan Shira, told China Daily. "That is opposite of what most people perceive about trade between Asia and the US."

Minnesota had a nearly billion-dollar trade surplus with ASEAN in 2014, according to the report. Minnesota's exports of $1.77 billion exceeded imports of $808.4 million. ASEAN received 8.3 percent of the state's total exports in 2014.

That makes the ASEAN trade bloc - which includes the Southeast Asian nations of Brunei, Cambodia, Indonesia, Laos, Malaysia, Philippines, Singapore, Thailand and Vietnam - a major market for Minnesota products and export-minded traders, the report said.

Devonshire-Ellis said Minnesota companies in electronics and information technology are doing quite well.

"For example, Malaysia is seeking products for its electronics and semiconductor industries," he said. "Minnesota companies in the IT sector should note that the Malaysian government is actively seeking imports in those areas."

Minnesota's China report said that in 2014, the state's manufactured exports to China reached $2.23 billion. China is one of the state's largest markets for optic fiber, optical/checking instruments and integrated circuits. The export of food products to China grew by 25 percent compared with the previous year.

Dezan Shira also has completed the Texas China report. "Nearly 30 percent of Texas' exports to China were in chemicals," said Devonshire-Ellis. "Texas has a huge petrochemical industry."

Another area in Texas that may be ripe for more trade with China is auto parts. Devonshire-Ellis said China has removed restrictions on foreign investment and the sale of auto parts to China. "That could be a huge opportunity for Texan auto-parts companies," he said.

Devonshire-Ellis said Dezan Shira is using its own data and trade information from outside parties to compile the reports.

"We have our own research department, plus we are utilizing information from the World Bank, the CIA and agencies like OECD (Organization for Economic Co-operation and Development) to develop the reports," he added.

It will take Dezan Shira a year to finish the reports for all 50 states. "We are looking to drill down to find out exactly what is happening in trade right now between the US and China, India and ASEAN. We hope that these reports can identify opportunities for US companies in Asia," he said.

"When these reports are completed, we may see the beginning of a trend in which the Chinese and other Asian nations are starting to buy more American products," he said.

The reports are available free of charge on the Dezan Shira website. Dezan Shira was founded in 1992 and provides legal, tax and financial services to investors in China, India and ASEAN member countries.

paulwelitzkin@chinadailyusa.com