This morning National Association of Manufacturers President and CEO Jay Timmons, Vice President for International Economic Affairs Frank Vargo, National Small Business Association President Todd McCracken, Marlin Steel Wire Products President and NAM Board Member Drew Greenblatt and Patton Electronics President and CEO Bobby Patton sat down with reporters to discuss importance of the reauthorization of the Export-Import Bank.
As we’ve mentioned before on this blog the Ex-Im Bank’s charter is set to expire at the end of May leaving much uncertainty for small manufacturers all over the country that use the Bank’s services. “Our competition is not standing still and we can’t either,” said NAM President and CEO Jay Timmons. Our main competitors provide one trillion dollars in export financing assistance per year compared to just $32 billion for the U.S.
Many manufacturers are already seeing the impact and the chill from the uncertainty surrounding the reauthorization, the Reuters story, “US manufacturers press Congress on EximBank renewal” cites Drew Greenblatt from Marlin Steel Wire:
Drew Greenblatt, president of Marlin, a steel wire manufacturer in Baltimore, said he already felt a “chilling effect” on his export sales because of the possibility that Exim could have to stop making loans in four to five weeks.
If Exim financing is not available to match terms provided by other state agencies, customers are “just going to stop talking to me and buy from Germany,” Greenblatt said.
It’s important that members of Congress understand the need to act on the reauthorization as soon as possible and not wait until the last possible minute which will put our competitiveness at risk and give the competition a leg up. From the Dow Jones story, “Business Groups Urge Congress To Act On Ex-Im Bank, See Risk of March Cap Hit” which cites NSBA President Todd McCracken:
“Even if they’re only cut off for a few weeks or month from the export financing they need, they may lose their customer for a generation or even permanently as a result of that, which could affect jobs and economic growth for the foreseeable future,” said Todd McCracken, president of the nonprofit organization representing small businesses. “We think this is a very significant threat to exporters and our economy right now, the indecision we face around the Export-Import bank.”