BCA's Washington Briefing
follow us on facebook follow us on twitter follow us on youtube May 22, 2015
Playing Politics With Manufacturing Jobs

NATIONAL ASSOCIATION OF MANUFACTURERS EXPLAINS LINK BETWEEN EX-IM BANK AND JOBS

 

In the Houston Chronicle, Linda Dempsey, vice president for International Economic Affairs for the National Association of Manufacturers, promoted the Export-Import Bank of the United States, which faces a charter extension deadline of June 30.

 

Dempsey wrote that although the recent jobs report shows hiring is increasing, manufacturing jobs continue to decline.

 

That sobering news is a wake-up call for Congress to do all within its power to boost the still-shaky economic recovery by helping create manufacturing jobs and boost growth, Dempsey wrote. One way to do that is to reauthorize the U.S. Export-Import Bank before its charter expires on June 30.

 

Roll Call is reporting that a group of senators secured an agreement to let the trade bill advance in exchange for a vote next month on the Ex-Im Bank's reauthorization.

 

The Ex-Im Bank is a loan and insurance provider that helps U.S. manufacturers sell their products overseas. Just last year it supported more than $27 billion in exports without costing taxpayers one dime. The bank charges fees and interest and makes money for the U.S. Treasury.

 

Last year the bank provided financing to 82 Alabama exporters and $789 million in exports, supporting 5,041 jobs.

 

"The bank is a critical tool to level the playing field for U.S. business, which must compete overseas against rivals backed by interventionist governments such as Germany and China that prop up their countries with subsidies and much larger export credit operations," Dempsey wrote.

 

Ninety percent of Ex-Im transactions involve small and medium-sized businesses, and the bank is barred by law from competing with private lenders.

 

Last week, more than 150 people gathered at GE's Aviation plant in Auburn to rally for Alabama jobs by urging Congress to reauthorize the Ex-Im Bank.

 

Those calling for Congress to act included: Mike Hubbard, Speaker of the Alabama House of Representatives; Auburn Mayor Bill Ham, Jr.; William Ainsworth, CEO of the Progress Rail Services; Clark Thomason, Assistant Director of Business Development of the Southeast Region for the U.S. Chamber of Commerce; Bob Smith, Assistant Director of Business Development of the Alabama Department of Commerce; BCA President and CEO William Canary; Jeremy Arthur, President and CEO of the Chamber of Commerce of Alabama; and Frank Fogarty, Vice President for Trade and Development, Alabama Port Authority.

 

The BCA's national affiliates, the National Association of Manufacturers and the U.S. Chamber of Commerce support the bank. Congress has 38 days remaining to reauthorize the Bank's charter. Tell your member of Congress we need a long-term reauthorization of the Ex-Im Bank. Alabama jobs depend on it.
SENATE MOVES FAST-TRACK TRADE LEGISLATION CLOSER TO THE GOAL LINE

 

The Senate voted this week to end debate on Trade Promotion Authority legislation that would enable the U.S. to negotiate new trade agreements and open foreign markets, spur economic growth, and create American jobs.

 

The Senate vote to cut off debate was 62-38, two more than necessary. The vote moved the bill closer to final passage in the Senate.

 

Trade Promotion Authority has the support of the Business Council of Alabama, the Republican Senate majority, the president, and about a dozen pro-trade Democrats. If the Senate approves the bill it will go to the House. TPA is vital because economic growth and job creation at home depend on our ability sell American goods and services to the 95 percent of the world's customers living outside the United States.

 

The BCA along with 37 other trade associations that represent a cross section of the American economy signed a TPA support letter that urges Congress to reject an amendment by Sen. Sherrod Brown, D-Ohio that would require Congress to vote to approve new negotiating partners to the related Trans-Pacific Partnership talks.

 

One in four manufacturing jobs depends on exports, and one in three acres on American farms is planted for consumers overseas. Nearly 40 million American jobs depend on trade.

 

In Alabama, trade supports more than 500,000 jobs in the state and of goods and services last year reached $23 billion. Trade is especially important for Alabama's small businesses, more than 3,200 of which are exporters.

 
However, the international playing field is often unfairly tilted against American workers and companies. While our market is generally open, U.S. exports face foreign tariffs that often soar into double digits as well as a thicket of non-tariff barriers.
 
Trade agreements are negotiated to tear down these barriers. By creating a level playing field, they help U.S. companies and the workers they employ compete in overseas markets. 
 
The record of America's trade agreements is outstanding. While our 20 trade agreement partners represent just 6 percent of the world's population, they buy nearly half of U.S. exports. The expansion in trade fueled by these trade agreements supports more than 5 million American jobs.
 
To expand these benefits, the United States is negotiating the Trans-Pacific Partnership agreement with 11 other Asia-Pacific nations, including some of the world's fastest growing economies. The United States is also negotiating the Transatlantic Trade and Investment Partnership with the European Union, the largest market for U.S. business.
 
However, to make either of these growth-driving trade agreements a reality, Congress must first approve Trade Promotion Authority (TPA). TPA strengthens the role of Congress on trade. This bill would allow Congress to set priorities for U.S. trade negotiations and hold the administration accountable through extensive ongoing consultations during trade talks. TPA also ensures Congress has the final say on any agreement. A simple form of TPA was first enacted in 1934, but the latest version lapsed in 2007.
 
Without TPA, the U.S. cannot negotiate new trade agreements to open foreign markets, spur economic growth, and create American jobs. 

 

The BCA urges members to contract the congressional delegation on this important economic opportunity.

 

Call 888-373-9401 now to tell your Representative to vote YES on the bipartisan "Bipartisan Congressional Trade Priorities and Accountability Act of 2015" to renew TPA authority. Or text "TPA" to 52886 to connect with your Representative.

 

More resources on Trade Promotion Authority:

America Needs Trade Promotion Authority (TPA) - USCOC

Clock is Ticking for Manufacturers - NAM

IN CASE YOU MISSED IT 

Mobile-built Ship Christened

AL.com (Dugan 5/19) "Austal launched Tuesday the recently christened USNS Brunswick, the Australian shipbuilder's sixth joint high-speed vessel in a $1.6 billion, 10-ship contract. The milestone also marked the second U.S. Navy ship launched at Austal USA's Mobile shipyard in less than three months. The 338-foot Brunswick will now undergo final outfitting and testing before sea trials and delivery to the U.S. Navy before the close of 2015.

 

"Austal's customer in the 10-ship contract is actually the Navy's Military Sealift Command, the transportation provider for the U.S. Department of Defense. Austal USA President Craig Perciavalle said Tuesday's successful launch "further supports the level of maturity this program has reached'. Four joint high-speed vessels - Spearhead, Choctaw County, Fall River and Millinocket - have already been delivered ... [t]he aluminum catamarans are designed to transport as many as 600 short-tons of cargo at an average speed of 35 knots. The non-combat ships operate with 22-member crews and are capable of supporting rapid intra-theater deployment of personnel, equipment and supplies.


"Three joint high-speed vessels and seven littoral combat ships are currently under construction in Austal's Mobile shipyard with the future USS Jackson, or LCS 6, preparing for acceptance sea trials later this summer. Austal USA, a business unit of Henderson, Australia-based Austal, employs roughly 4,200 at its Mobile shipyard."

Shelby Financial Bill Passes Committee

The Hill (Cirilli 5/21) "The Senate Banking Committee approved a financial overhaul package on a 12-10 vote Thursday, but without support from moderate Democrats seen as crucial to the sweeping proposal's clearing the upper chamber. The vote was split along party lines, with Republicans arguing the legislation would provide regulatory relief to boost the economy and Democrats saying it will weaken the 2010 Dodd-Frank Wall Street reform law.

 

"The tally indicates that the bill's author, Committee Chairman Richard Shelby (R-Ala.), will have a hard time clearing 60-vote procedural hurdle generally needed to get a floor vote in the Senate. After the hearing, however, Shelby didn't seem worried and signaled he was looking to continue negotiations throughout the summer. 'This is Round One,' Shelby said with a smile.


"The legislation has sparked intense interest from the financial community because it is the most aggressive overhaul since Congress passed Dodd-Frank, a landmark statute enacted in response to the 2008 economic crisis. Shelby's bill would ease regulations on community banks and credit unions, while broadening the definition of smaller banks eligible for exemptions from Dodd-Frank. It would also seek to reform the Federal Reserve by shifting power to its regional banks. The community banking industry has argued since Dodd-Frank passage that the rules for big banks should not be applied to their institutions."
PROUD PARTNERS OF

US Chamber of Commerce   National Association of Manufacturers
CONTACT YOUR REPRESENTATIVES
Sixth District
 U. S. Rep. Gary Palmer
202.225.4921

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