FOR IMMEDIATE RELEASE June, 29, 2016
Office of Communications (202-565-3200)
Washington, D.C. – Today, Fred P. Hochberg, chairman and president of the Export-Import Bank of the U.S. (EXIM), unveiled the export credit agency’s annual Competiveness Report. The yearly report is mandated by Congress and provides members with an assessment of global competitiveness from the previous calendar year.
“In spite of our lapse, increasing competition from China and around the world, and our lack of a board quorum, I am proud that competitors and customers alike continue to view EXIM as one of the highest-capacity, most versatile, and most customer-oriented ECAs in the world.” said Chairman Hochberg.
According to the report, EXIM’s lapse in authorization and lack of a board quorum disadvantaged the competiveness of U.S. exporters. The report also found that export credit agencies (ECAs) are expanding their financial activities in the wake of slow global growth and reduction of risk appetite in the commercial sector for large projects, including power and infrastructure.
Specifically the report found that:
- There are currently 85 ECAs in 67 countries around the world seeking to win sales for their exporters.
- With global growth slowing, foreign ECAs are becoming more aggressive—and EXIM is vital to the ability of U.S. exporters to compete for a shrinking pool of opportunities.
- More than 66 percent of ECA activity worldwide falls outside of international frameworks.
- More than half of all export credit support worldwide comes from just three countries – China, Japan, and Korea.
- Two Chinese ECAs were responsible for nearly ten times more export credit than EXIM.
- In fact, in 2015 China’s new ECA-supported investment activity was equal to, if not greater than, the rest of the world combined.
- During the 2015 lapse, more than 800 EXIM export credit insurance policies expired, and were unable to be renewed.
To access the full report, please visit the following website: www.exim.gov/2015comprep
ABOUT EX-IM BANK:
EXIM is an independent federal agency that supports and maintains U.S. jobs by filling gaps in private export financing at no cost to American taxpayers. The Bank provides a variety of financing mechanisms, including working capital guarantees and export credit insurance, to promote the sale of U.S. goods and services abroad. Almost ninety percent of its transactions directly serve American small businesses.
In fiscal year 2015, EXIM approved $12.4 billion in total authorizations. These authorizations supported an estimated $17 billion in U.S. export sales, as well as approximately 109,000 American jobs in communities across the country.