June 2 - UTC Overseas is pushing for the Congressional renewal of the 81-year-old U.S. Export-Import Bank (Ex-Im Bank) before it expires on July 1, 2015.
The company has sent an Issues Brief to its customers, service providers, industry colleagues and employees, urging them to contact their representatives to voice their support. UTC also sponsored a reception for legislative and industry executives in Washington to back the bank.
"We are explaining the issues involved and why renewal of the bank's budget is important to the entire country in terms of exports, economic growth, jobs stimulation and even foreign policy," said UTC executive vice president Marco Poisler.
"It's no secret that Ex-Im financing is important to us. When projects get the green light with loan guarantees it generates business for UTC in terms of planning for and delivering project components from US manufacturers to overseas locations.
"For the companies we use to help complete those deliveries - truckers, ports, shipping lines and many more - it means business, jobs, economic security and growth as well. And it obviously helps US manufacturers win new export business, and with it jobs and economic growth," he added.
UTC ceo Brian Posthumus added that the Ex-Im Bank guarantees loans to overseas customers and many US companies. "In developing countries with limited financing, loan guarantees are often essential to final approval. The bank operates on fees paid by its users and is a net revenue generator to the federal budget. Over the last six years alone, its financing has helped maintain some 1.2 million private sector jobs in the USA."
Poisler went on: "What many Americans don't realise is that the bank is a crucial tool for the USA in terms of global foreign policy and economic influence. Numerous countries around the world have government-backed financing programmes and we are competing with them for business, jobs and growth."
He cited an example of Africa's Ivory Coast, which has signed a USD800 million loan with the Chinese Ex-Im Bank to fund upgrades to its major port. The deal means that the Ivory Coast project can go ahead, explained Poisler, and the Chinese also gain in terms of manufacturing and logistics jobs at home, as well as expanding the country's economic influence in the African market.
"For the US to scuttle its own Ex-Im loan guarantee programme makes no sense and we are urging our representatives to continue their support for US job security, economic growth and export expansion," concluded Poisler. "We hope everyone who hears this message and knows the importance of exports to the US economy, will take a few moments to tell their representatives 'Please renew the Ex-Im Bank. It's important to me and to America'."