Provides Insight for EXIM’s Program on China and Transformational Exports; Discusses Recommendations for EXIM to Modernize its Medium- and Long-Term Content Policy
FOR IMMEDIATE RELEASE November 24, 2020
Office of Communications (202) 565-3207
WASHINGTON – The EXIM Advisory Committee Subcommittee on Strategic Competition with the People’s Republic of China, informally known as the Chairman’s Council on China Competition (Council), yesterday convened a meeting virtually to discuss People’s Republic of China’s (PRC) impact on American interests and economic security, and discussed recommendations to ensure U.S. workers have the best opportunity to succeed in today’s global marketplace by encouraging EXIM to modernize its medium- and long-term content policy.
The meeting was opened by Ambassador Paula Dobriansky, who serves on the EXIM Advisory Committee and as Chair of the Council, after which EXIM Advisory Committee Chair Stevan Pearce, who established the Council in September, provided opening remarks.
EXIM Chief Banking Officer Stephen Renna and Counselor to the Chairman and Senior Vice President for the Program on China and Transformational Exports David Trulio updated the Council on EXIM’s current medium- and long-term content policy. Council members discussed updates EXIM could make to this policy as EXIM implements the Congressional mandates of the agency’s new Program on China and Transformational Exports. The Council will provide a letter to Advisory Committee Chair Pearce with its views.
“I thank Ambassador Dobriansky and all of the Chairman’s Council on China Competition members for their commitment to EXIM’s mission of supporting U.S. jobs by facilitating exports,” said EXIM President and Chairman Kimberly Reed. “U.S. exporters and stakeholders have regularly identified EXIM’s medium- and long-term content policy as a significant challenge to EXIM’s ability to support U.S. exporters, and to that end, I thank the Council for its review of the policy.”
“EXIM's Program on China and Transformational Exports comes at a geopolitically consequential time,” said Ambassador Dobriansky. “I thank the Council members for their insights and recommendations on making EXIM appreciably more competitive and flexible in supporting American workers and advancing U.S. interests in technologies key to long-term security and prosperity.”
EXIM’s Program on China and Transformational Exports, which was established in EXIM’s historic seven-year Congressional reauthorization and signed into law by President Trump on December 20, 2019, directs EXIM to provide financial products to directly neutralize export subsidies offered by the PRC, helping to ensure a level playing field for U.S. businesses and workers as they compete globally. The Program has the aim of advancing the comparative leadership of the United States and supporting U.S. innovation, employment, and technological standards globally in ten transformational export industries, including artificial intelligence, 5G, quantum computing, biomedical sciences, biotechnology, and renewable energy. The law charges EXIM with a goal of reserving not less than 20 percent of the agency’s total financing authority (i.e., $27 billion out of a total $135 billion) for support made pursuant to the program.
The text of EXIM-related Congressional reauthorization provisions (P.L. 116-94 - Division I, Title IV—Export-Import Bank Extension), including the Program on China and Transformational Exports (Section 402), has been codified and incorporated into EXIM’s Charter and is available here.
EXIM is an independent federal agency that promotes and supports American jobs by providing competitive and necessary export credit to support sales of U.S. goods and services to international buyers. A robust EXIM can level the global playing field for U.S. exporters when they compete against foreign companies that receive support from their governments. EXIM also contributes to U.S. economic growth by helping to create and sustain hundreds of thousands of jobs in exporting businesses and their supply chains across the United States. In recent years, approximately 90 percent of the total number of the agency’s authorizations has directly supported small businesses. Since 1992, EXIM has generated more than $9 billion for the U.S. Treasury for repayment of U.S. debt.
For more information about EXIM, please visit www.exim.gov.