The Export-Import Bank of the United States (EXIM) defined 10 priority sectors to face competition from China.
EXIM, a wholly state-owned entity, is the official export credit agency of the United States.
It is an independent agency of the federal government, which assists exporters who cannot access private sources of export finance by providing them with direct loans, loan guarantees, export credit insurance and working capital loan guarantees.
In 2019, the reauthorization of EXIM directed the establishment of the China and Transformational Exports Program (CTEP), which has a two-part mandate to assist U.S. exporters facing competition from the People’s Republic of China and advance U.S. comparative leadership in 10 transformational export areas.
These areas are artificial intelligence; biotechnology; biomedical sciences; wireless communications equipment; quantum computing; semiconductors; renewable energy, energy efficiency and energy storage; emerging financial technologies; water treatment and sanitation; and high-performance computing.
Priority Sectors
In addition to EXIM’s standard direct lending, loan guarantee and insurance programs, which support U.S. sales to foreign buyers when private financing is not available or official financing is required, EXIM has introduced the Make More in America initiative to revitalize U.S. manufacturing and export capacity.
This new funding initiative leverages EXIM’s existing tools in innovative ways for specific types of domestic manufacturing and infrastructure projects with an export nexus, supporting U.S. companies throughout the export lifecycle.
The initiative is open to all sectors, with priority given to projects beneficial to the environment, small business and transformative export transactions, including semiconductors, biotechnology and biomedical products, renewable energy and energy storage.
It will also strengthen domestic manufacturing capacity and level the playing field for U.S. companies competing in foreign markets.
Private sector lenders and insurance brokers often act as partners in EXIM transactions.
