News

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 (Chairman's Council, Council), convened a meeting virtually on Friday to discuss EXIM's role in countering aggressive export credit financing from the People's Republic of China (PRC). This is the first meeting of the newly-appointed 2020-2021 Chairman's Council on China Competition, which was established by EXIM Advisory Committee Chair and former Congressman Stevan Pearce on September 9, 2020, to provide insight to the EXIM Advisory Committee on how China is engaging in strategic competition against the United States, and how PRC actions impact American interests and economic security.

The meeting was opened by Ambassador Paula Dobriansky, who serves on the EXIM Advisory Committee and as Chair of the Chairman's Council on China Competition. EXIM Advisory Committee Chair Stevan Pearce welcomed the Council members and underscored the important new Congressional mandate for EXIM with respect to the PRC.

EXIM President and Chairman Kimberly Reed highlighted the important role of the Chairman's Council, especially related to EXIM's new Program on China and Transformational Exports. EXIM's Charter requires that the EXIM Advisory Committee advise the agency on its programs and submit "comments to the Congress on the extent to which the Bank is meeting its mandate to provide competitive financing to expand United States exports, and any suggestions for improvements in this regard." Chairman Reed also previewed an op-ed that she and National Security Advisor Ambassador Robert C. O'Brien co-authored entitled "Battling China's Predatory Economics to Bring Back Jobs," which would be published by Fox Business Network on Saturday and in advance of their U.S. delegation trip to Brazil. 

"I thank Ambassador Dobriansky and all of the members of the Chairman's Council on China Competition for their commitment to EXIM's mission of supporting U.S. jobs by facilitating exports," said Chairman Reed. "The diverse insights and expertise offered by the Council strengthens EXIM's efforts to implement our new Program on China and Transformational Exports. I look forward to working with the members, through the EXIM Advisory Committee, to ensure EXIM fulfills our Congressional mandate to directly neutralize export financing from the People's Republic of China and advance the comparative leadership of the United States in the world while supporting U.S. jobs here at home."

"EXIM's Program on China and Transformational Exports is one of the most important programs in the agency's history," said Ambassador Dobriansky. "The Program will play a critical role countering Chinese aggressive export credit subsidies and advancing American leadership and jobs in vital export sectors such as 5G. This subcommittee's timely and relevant work will advise EXIM's Advisory Committee on how EXIM can make the most of the indispensable role of supporting U.S. companies in the face of fierce competition from state-backed Chinese entities."

 Former Speaker of the U.S. House of Representatives Newt Gingrich also delivered prerecorded remarks to the Chairman's Council on the role that EXIM plays in countering the economic threat from China. "As communist China continues to undercut U.S. industries, this meeting was incredibly important to chart EXIM's path forward by discussing ways the U.S. can work with private and public sector partners to enhance the competitiveness of U.S. exporters worldwide," said Speaker Gingrich. In August, Speaker Gingrich published an op-ed in The Hill titled "We need the Export-Import Bank to help take on China."

EXIM Senior Vice President for the Program on China and Transformational Exports David Trulio  updated the Chairman's Council on EXIM's new Program on China and Transformational Exports, which was established in EXIM's historic seven-year Congressional reauthorization  signed into law by President Trump on December 20, 2019. The legislation 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.

Trulio shared the Program's Vision - "To keep America strong by empowering U.S. businesses and workers to compete successfully against entities backed by the People's Republic of China" - and updated members on the Program's development of opportunities.

"It is our ultimate goal within the China Program that U.S. exporters, large and small, achieve tangible results in the form of completed transactions that support U.S. jobs," said Trulio.  "Members of the Chairman's Council bring highly valuable perspectives to support U.S. exporters facing fierce competition from Chinese state-backed entities."

During the introductory meeting, EXIM Senior Vice President Luke Lindberg presented an overview of the Chairman's Council, EXIM Chief Ethics Officer Lisa Terry provided an ethics briefing, and EXIM Senior Vice President of Board Approved Finance David Sena gave an overview of EXIM product offerings.

EXIM Vice President of International Relations Isabel Galdiz highlighted the EXIM 2020 Report to the U.S. Congress on Global Export Credit Competition. From 2015 to 2019, China's official medium- and long-term export credit activity alone was at least equal to 90 percent of that provided by all G7 countries combined.

EXIM Principal Deputy to the Senior Vice President of External Engagement Christine Harbin outlined EXIM's recent Strengthening American Competitiveness initiative, which engaged over 1,100 key stakeholders in a variety of transformational export industries. Noting the importance of the legislative mandate, EXIM Senior Vice President for Congressional and Intergovernmental Affairs Ross Branson gave an overview of the Congressional landscape.

ABOUT EXIM:

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 fo