In win for Boeing and GE, Trump says he wants to revive export bank
WASHINGTON: President Donald Trump plans to revive the hobbled Export-Import Bank of the United States, his office said, a victory for American manufacturers like Boeing Co and General Electric Co which have overseas customers that use the agency’s governmentbacked loans to purchase their products.
Trump first told the Wall Street Journal on Wednesday he would fill two vacancies on the agency’s five- member board that have prevented the bank from having a quorum and being able to act on loans over US$10 million.
Trump’s picks must gain approval from the Senate, which blocked nominees by former President Barack Obama.
Trump told the Journal that the bank benefits small businesses and creates jobs, a reversal of his earlier criticism of the bank being “featherbedding” for wealthy corporations.
The Export- Import Bank, an independent government agency, provides loans to foreign entities that enables them to purchase American-made goods. For example, it has been used by foreign airlines to purchase planes from Boeing and farmers in developing nations to acquire equipment.
The bank’s acting chairman, Charles ‘ CJ’ Hall, was not immediately available for comment.
The bank has become a popular target for conservatives, who have worked in Congress to kill the bank, arguing that it perpetuates cronyism and does little to create American jobs.
Trump’s about- face on the export bank comes after meeting on Tuesday with former Boeing Chief Executive Officer Jim McNerney, who left the company last year but oversaw the corporation’s aggressive lobbying effort in support of the bank in 2015.
Trump also met at the White House on Feb 23 with GE CEO Jeff Immelt and Caterpillar Inc CEO Mark Sutton, both vocal supporters of the bank.
It is not known if they discussed the bank at those meetings.
Large American corporations that do significant amounts of exports say other countries have similar agencies and the export bank levels the playing field. — Reuters