Securing American Jobs Through Exports

You don’t need to be a political pollster to realize that Americans are frustrated with their government. More than 14 million are unemployed, entrepreneurs are being handcuffed by burdensome regulations, and too many in Washington are pointing fingers rather than working together to create an economic climate that encourages new jobs.  Sound public policy is what’s needed to usher in a new era of American prosperity.

The International Monetary Policy Subcommittee, where I serve as Vice Chairman, is working on bipartisan legislation that would bolster American manufacturing, help preserve and create American jobs and – at the same time – decrease our deficit.  Our proposal is the Securing American Jobs Through Exports Act.  It reauthorizes and reforms the Export-Import Bank, which enables American companies to turn export opportunities into sales that generate jobs.

Over the years, the Export-Import Bank has helped thousands of American businesses, and not just big corporations.  For example, in June 2011 alone, the Bank supported eight small businesses in my home district by extending more than $3 million in credit assistance and over 84% of these funds were for small businesses. As a small business owner, I’m very pleased to report that this year the Bank has authorized export financing to more than 2,500 small businesses, supporting 213,000 jobs in communities all across the country.

Profile Products, a company based in my district, is an example of a small business that has been able to expand and grow because of Export-Import Bank assistance.  Profile Products manufactures erosion and sediment control products.  In the past year alone, they have grown their international business by over 50 percent.  By working with various commercial service branches throughout the world, they have contacted new distribution partners and penetrated new export markets. 

Profile Products has succeeded and grown because of the hard work and determination of its entrepreneurs and employees, along with their ability to access Export-Import Bank resources.  Through responsibly underwritten credit insurance, the Bank enabled Profile Products to extend greater credit lines to international distributor partners, which has allowed Profile Products to grow substantially at no cost to taxpayers.

The story of another American company, Boeing, further emphasizes why Congress must promptly reauthorize the Export-Import Bank.  The Bank helps level the playing field between American businesses and their foreign competitors who receive extensive export support from their own governments.

Boeing’s largest aerospace competitor is the French company Airbus.  Unlike Boeing, Airbus enjoys very generous export subsidies from the European Union and several of its member states. 

The Export-Import Bank partially mitigates these kinds of more generous subsidies from foreign governments.  It should be noted that the Bank does not do so with subsidies, but instead with loans, export credit insurance, and working capital guarantees – all using well-established, responsible, and successful underwriting practices.  A failure to pass the Securing American Jobs Through Exports Act would hurt American jobs and economic growth by leaving American companies and workers at a very significant competitive disadvantage in the global marketplace.

Our proposal does more than simply reauthorize the Export-Import Bank.  The bill includes important reforms that make the Bank more transparent and accountable.  Our bill requires regular audits of bank transactions, establishes goods and services content guidelines for transactions that the Bank can finance, and enhances risk management practices.

The Securing American Jobs Through Exports Act is a great opportunity for both sides of the political aisle to come together and help our private sector create jobs.  It’s a common-sense proposal that helps grow jobs and our economy by helping American businesses compete in the global marketplace – all without increasing national debt.