In this paper we analyse the location determinants of US FDI in the Pacific region of the OECD, i.e. Australia, New Zealand, Japan, and Korea, for 1982Korea, for -1997. The data set allowed us to distinguish between two time periods i.e. the 1980s and the 1990s, and two different sub-groups, i.e. Australia and New Zealand, and Japan and Korea. Statistical evidence indicates a heterogeneous response of US FDI towards different countries and for different time periods. Factors such as market size, income level and qualified and productive labour exert a significant impact on both the timing and the locational choice of US investors in the region.