Hello, I'm Matsui from IMS Legal Professional Corporation. The weather has been quite unpredictable lately, warming up like spring one day and turning bitterly cold the next. It's important to take care of your health during such fluctuating conditions.
When it comes to non-immigrant visas for the United States, many people tend to think of the E-2 (Investor) Visa. In fact, the majority of Japanese E visa holders have the E-2 Visa. According to the monthly statistics issued by the U.S. Department of State, in November of last year, there were 106 E-1 Visas issued to Japanese nationals compared to 1,145 E-2 Visas, indicating a difference of more than tenfold. While most of the inquiries and requests we receive at our firm regarding E visas are for the E-2 Visa, recently, we were granted approval for a company registration application for an E-1 Visa (the first hurdle in obtaining an E visa, where U.S. companies are assessed for E visa eligibility). Therefore, today I would like to introduce the E-1 (Trade) Visa.
Requirements for Obtaining the E Visa
The main requirements for obtaining an E visa are as follows:
- Nationality
- Trade amount / Investment amount
- Substantial business
- Marginality
Except for requirement 2, both E-1 and E-2 visas are the same. I have explained these requirements in detail in the explanation for E-2 visas here, so please refer to it.
Here, I will explain the "trade amount" for the E-1 visa. For the investment amount in the E-2 visa, a "track record of active investments with risk" is required. In contrast, for the E-1 visa, a "substantial trade record" is required, and there are three points to note.
What is "Trade"?
The U.S. local company (E visa company) must engage in trade with a company located in Japan. It is acceptable to engage in only exports or imports. Additionally, it is acceptable for a Japanese parent company to export to its U.S. subsidiary. The traded goods can include not only physical products but also services. Since services are included, industries such as travel, transportation, advertising, and consulting may also be eligible for the E-1 visa.
Trade Amount
The trade must be "substantial." While there is no specific legal requirement for the trade amount, it is said to be difficult to obtain approval without millions of dollars' worth of trade annually (although it is not absolute). Moreover, continuous trade is preferable over sporadic large trades. In fact, recent trade records for the past six months are required to be submitted as supporting documents.
Percentage of U.S. Trade
From the perspective of the U.S. company, the amount of trade between Japan and the United States must exceed 50% of the total international trade amount. Therefore, if the transactions are limited to within the United States or if the U.S. company conducts more than 50% of its trade with countries other than Japan, it does not qualify for the E-1 visa.
If you are considering obtaining an E visa individually, the E-2 visa may be easier, but for companies that already have a certain level of "investment" and "trade," the "trade" aspect is likely to be easier from the perspective of document collection. The difference between "investment" and "trade" applies only at the time of visa application, so obtaining an E visa through either route will have no impact on your business. Especially if you are concerned that the investment amount may be slightly insufficient for the E-2 visa, please consider exploring the E-1 visa. Additionally, even in businesses without "investment" such as consulting, if you can establish a "trade record," you may be eligible for the E-1 visa.
The E visa has complex requirements and procedures, making it difficult to understand. However, the U.S. government welcomes investment from Japan and trade between Japan and the United States, so if you can adequately prove that you meet the requirements with proper documentation, you can obtain the visa. IMS accepts consultations regarding E visas at any time. Please feel free to contact us.
Please note that this blog contains information as of the current date, and for the latest information, please check government official websites and other reliable sources at your responsibility.
For more information, please contact us below ↓
https://imsvisa.support/en/contact/
