EXIM's program to undercut Chinese export subsidies

(EXIM, Washington, 9 September 2020) EXIM announced today the appointment of 17 members to its Advisory Committee, and establishment of a new EXIM Advisory Committee Subcommittee on Strategic Competition with the People’s Republic of China. The Program’s purpose is to support the extension of loans, guarantees, and insurance, at rates and on terms and other conditions, to the extent practicable, that are fully competitive with [i.e. undercut] rates, terms, and other conditions established by the People’s Republic of China or by other covered countries (as designated by the Secretary of the Treasury). From 2015 to 2019, China’s official medium- and long-term (MLT) export credit activity alone was at least equal to 90% of that provided by all G7 countries combined. China’s official MLT export and trade-related financing totaled at least $76 billion in 2019. EXIM seeks to reserve at least 20% of our financing authority, or at least $27 billion of our $135 billion in financing, to ‘neutralize’ Beijing’s export subsidies, advance the comparative leadership of the United States with respect to the PRC, and support U.S. innovation, employment, and technological standards through direct exports in 10 industries key to America’s prosperity and security.