Chairman Scott Pushes for EXIM Bank Reauthorization to Strengthen American Competitiveness, Counter Chinese Economic Aggression

Chairman Scott Pushes for EXIM Bank Reauthorization to Strengthen American Competitiveness, Counter Chinese Economic Aggression

Washington, D.C. - Senate Banking Committee Chairman Tim Scott (R-S.C.) today highlighted the importance of reauthorizing the Export-Import Bank of the United States (EXIM Bank) and ensuring American businesses have the tools they need to compete globally. During today's hearing with EXIM Bank President and Chairman John Jovanovic, Chairman Scott emphasized that a strengthened EXIM Bank is essential to countering China's economic aggression, supporting small businesses in South Carolina and across the country, and keeping America at the forefront of global economic competitiveness.

In his opening remarks, Chairman Scott also underscored that competing abroad starts with strength at home. As the Senate Banking Committee takes up EXIM Bank reauthorization this year, he stressed the importance of equipping American businesses and entrepreneurs with access to the capital and export financing they need to succeed - particularly in sectors where the United States competes with China - such as energy, critical minerals, and advanced technologies.

Chairman Scott's opening remarks as delivered:

Mr. Jovanovic, thank you for being with us this morning.

We're here today to talk about the importance of the EXIM Bank.

And at its core, this hearing is about whether we will stay competitive with China and strengthen American small businesses at home.

The Committee has the important task of reauthorizing EXIM Bank this year, and today's discussion is an important part of that process.

China is aggressively financing its industries and exporting its influence across the globe.

In emerging markets, China is shaping supply chains, setting standards, and advancing its national interests at our expense.

China is also making long-term investments in its domestic economy to dominate the industries of tomorrow.

We cannot afford to sit on the sidelines.

We must ensure that American companies have the tools to compete globally.

That is where the EXIM Bank plays an important and strategic role.

The Bank gives American businesses the backing they need to compete in strategic sectors like energy, critical minerals, and advanced technologies.

In many instances, these companies are competing with foreign peers with aggressive export credit financing of their own.

EXIM Bank also helps the U.S. work alongside our allies and partners to build more resilient supply chains and reduce dependence on adversaries.

For example, under your leadership, one out of every four of the Bank's transactions last year targeted projects that directly advanced U.S. competition against China - and that's a good thing.

I applaud you and the President for playing a critical role in confronting China's economic aggression and securing America's position as the world's greatest and leading economy.

But competitiveness abroad starts with strength at home.

Just as important, EXIM Bank supports jobs and economic growth domestically.

Across the country, small businesses and manufacturers rely on access to global markets to grow, hire, and invest in their communities.

Many small businesses in the U.S. do not have the resources to take on large export contracts without support.

EXIM helps bridge that gap.

In South Carolina alone, we have seen this firsthand.

Over the last 10 years, in South Carolina, EXIM Bank has supported 68 exporters, including small businesses across our state, helping to export roughly $9 billion.

So many people know Boeing and EXIM Bank, but they miss the other 64 small businesses that are absolutely dependent on the relationship they have with the EXIM Bank.

They represent real estate, real businesses, real workers, and real communities that depend on the ability to compete and succeed in the global economy.

EXIM Bank also works through community lenders and local financial institutions, helping ensure that smaller companies, not just large corporations, have access to the capital they need to succeed.

Nearly 90 percent of EXIM's transactions directly support small business exports, reinforcing the strength of America's entrepreneurial backbone and expanding opportunity in communities across the country.

At the same time, we must be clear about what EXIM Bank is and also clear about what it is not.

It is not a grant program, at all.

EXIM Bank provides loans and guarantees that are repaid, and it has returned nearly $10 billion dollars to the Treasury over the last three decades.

That is an important point, one of great contention, but the bottom line is that the EXIM Bank consistently and continuously delivers for the American taxpayer, making our nation stronger, more resilient, and frankly keeping us in the black, which is a very positive part of your role at the EXIM Bank - something we can all be very proud of.

As we consider reauthorization, we also have a responsibility to ensure EXIM continues to work as effectively as possible - increasing efficiency in the dealmaking process and minimizing risk to the taxpayer.

That means improving staffing, streamlining operations, and reducing unnecessary delays so American businesses are not left waiting while the competitors move forward.

It also means ensuring the Bank is nimble enough to respond to a rapidly changing global economy, while maintaining strong oversight and accountability.

We have an opportunity to strengthen EXIM so it can better support American workers, strengthen our supply chains, and advance our economic security.

Done right, reauthorization will help ensure that the United States remains the most competitive and innovative economy in the world.

I look forward to hearing from you today about how EXIM Bank can continue to deliver for the American people and how Congress can help position the Bank for success in the years to come.

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