Kuwait - Market Entry StrategyKuwait - Market Entry Strategy
The GCC has a 5% flat rate tariff on imports. Kuwait corporate income taxes for foreign corporations are 15%. A value added tax of 5% may be added in 2021. To be successful in the Kuwaiti market, most U.S. companies should identify, develop, and support a local agent, representative, or account executive to manage the marketing strategy for both the company and its products. Some companies find having a Kuwait joint-venture partner rather than an agent a good tactic. Prior success in other GCC countries is helpful, but companies rely on local experience and knowledge to conduct their business in these markets. Knowing regulations and the general business framework is a difficult task without the support of a competent local agent or business partner. U.S. companies should seek this type of business relationship and understand that the best representatives are those who are already active in their particular sector with cultivated contacts.
The Commercial Service in Kuwait has a number of programs and services to assist U.S. companies in establishing a presence in this growing market. We highly discourage entry into the Kuwaiti market without the assistance of competent legal and tax counsel. To that end, we employ experienced Commercial Specialists with industry sector expertise who can tailor your business approach to the right audience, and advise your company in negotiating the bureaucratic procedures that are common in this part of the world. If you wish to learn more about the potential for your business in Kuwait, please contact your local U.S. Export Assistance Center (USEAC).
In summary, selecting the appropriate agent who will work for you is the single most important step a U.S. exporter can take in Kuwait. Getting competent local legal counsel to craft an agreement that protects your company from future liability is also a key. The best local partners are those who share both the risk and profit with their American partners.
The Embassy team is ready to assist and offer support on behalf of U.S. commercial interests in Kuwait. For more information about who to contact, please visit www.export.gov/kuwait.
Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.
The Commercial Service in Kuwait has a number of programs and services to assist U.S. companies in establishing a presence in this growing market. We highly discourage entry into the Kuwaiti market without the assistance of competent legal and tax counsel. To that end, we employ experienced Commercial Specialists with industry sector expertise who can tailor your business approach to the right audience, and advise your company in negotiating the bureaucratic procedures that are common in this part of the world. If you wish to learn more about the potential for your business in Kuwait, please contact your local U.S. Export Assistance Center (USEAC).
In summary, selecting the appropriate agent who will work for you is the single most important step a U.S. exporter can take in Kuwait. Getting competent local legal counsel to craft an agreement that protects your company from future liability is also a key. The best local partners are those who share both the risk and profit with their American partners.
The Embassy team is ready to assist and offer support on behalf of U.S. commercial interests in Kuwait. For more information about who to contact, please visit www.export.gov/kuwait.
Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.