Bermuda has a big part to play in the US trade and jobs market, according to a report commissioned by the Bermuda International Business Association (BIBA).

The US-Bermuda Economic Relations: Economic Impact Study 2009, which was conducted by Washington DC-based global business strategy firm Stonebridge International and released by BIBA, revealed that two-way trade between the two countries accounted for $60 billion in 2008.

The report also found that the Island's trade and investment relationship with the US sustained 300,000 jobs in 2007, including 100,000 jobs created by annual US exports to Bermuda and 200,000 US jobs derived from US majority-owned subsidiaries of Bermuda companies.

It concluded that the bulk of the US/Bermuda economic relationship was in trade and services delivered through US subsidiaries of companies headquartered on the Island, with cross-border service exports to Bermuda amounting to $7 billion and US imports from Bermuda between $24 billion and $30 billion in 2007.

Bermuda was also the most important foreign supplier of re/insurance to the US, averaging $15 billion annually in payments or as much as $25 billion per year in recovered losses, as well as being the fourth largest US export market for investment funds and insurance receipts, and the eighth largest for shipping services.

The Island came out 11th in terms of the largest markets for all US services exports, excluding royalties and service fees, the 10th largest portfolio investor and the 15th largest investor in US government bonds and the same ranking for largest US export markets for business and professional services.

In return, Bermuda relies on American exports for a range of goods from food to aircraft to sustain its economy, with the US representing the Island's largest trading partner, exporting $800 million there in 2008

The US exported about $1 billion in manufactured goods to Bermuda and enjoyed an average bilateral trade surplus of $500 million over the past 10 years, the study disclosed, with US aircraft exports to the Island growing steadily since 2004 and representing more than $150 million a year, and America exporting close to $45 million worth of computers, telecommunications equipment and consumer electronics to Bermuda annually.

Charles Ludolph, a senior US economist for international trade and investment and lead researcher for the report, said that over the past few years the economic relationship between Bermuda and the US had become increasingly important to both countries.

"As we look at the future, the United States and Bermuda will continue to face serious economic challenges," he said.

"But, as this study shows, Bermuda and the United States' strong economic ties will help ensure that US households and businesses have adequate, affordable coverage for future hurricanes, floods and other disasters, and that the US federal and state governments have the resources necessary to address these catastrophic events.

"Without that capacity, the financial burden would fall on the shoulders of American taxpayers."

He said that the US-Bermuda bilateral relationship would likely continue to grow as the Island strives to help the US in meeting the challenges of the current global financial crisis and its aftermath, with Bermuda's financial markets, investment funds and reinsurance and shipping industries assisting America in successfully overcoming these tough times.