Ex-Im Bank Reauthorization Bill Requires Negotiations, Several Export Studies
The bill re-authorizing the Export-Import Bank of the U.S. (HR-2072), which is expected to be signed into law by President Barack Obama, includes several additional provisions that could affect international trade. Most of the provisions require various studies.
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But one provision says the Secretary of the Treasury shall begin negotiations with other major exporting countries, including members of the Organisation for Economic Co-operation and Development (OECD) to substantially reduce, and ultimately eliminate, subsidized export financing programs and other forms of export subsidies. The most widely-reported section of that involves reducing export financing for aircraft. (See ITT's Online Archives 12051631 about Senate passage of the bill and its main provisions). The Treasury Secretary is to make annual reports to Congress on the progress of negotiations, the bill says.
Other provisions include:
- A study by the Comptroller General on the role of the bank in the world economy and on its risk management.
- A report to Congress by the bank within 180 days on its current programs and polices on the implementation of its export credit insurance program, delegated lending authority, and direct loans, and any other programs, products, and policies established to support exports from small businesses in the U.S.
- The Ex-Im Bank shall report to Congress within a year on its domestic content policy for medium- and long-term transactions.
- Beginning 180 days after the date of the enactment of this Act, the Ex-Im Bank board may not approve any transaction unless the entity involved certifies that it's not in violation of the Iran Sanctions Act.
- The Ex-Im Bank shall do a study and report to Congress within 180 days on the extent to which the products offered by the Bank are available and used by manufacturers in the U.S. that export U.S.-manufactured goods used as components in global textile and apparel supply chains.