Key Industries
The Export-Import Bank of the United States was founded to sustain
and maintain American jobs by supporting the export of U.S. goods and
services to foreign buyers. The Ex-Im Bank is dedicated to creating
trade finance programs that help both American exporters and emerging
countries that otherwise would not be able to purchase U.S. products.
Therefore, Special Initiatives have been formulated to assist industries
that have high growth rates, great potential and are highly competitive
in the Global Marketplace.
Oil and Gas
Ex-Im Bank views the Oil & Gas sector as a key industry due to
its overall size and importance to the U.S. economy and high employment
rates (supporting 9.2 million jobs in the U.S., according to the
American Petroleum Institute). Presently, more than 10,000 U.S.
companies, ranging from small businesses to global-scale enterprises,
provide the goods and services that support petroleum exploration,
drilling, refining and other operations, both domestically and
internationally. Although U.S. companies have maintained their
traditional technological leadership in the industry, they face
increasing competitive challenges from manufacturers and service
providers in Western Europe, Canada, Asia and South America.
For many years, the Petroleum Sector (including oil & gas
exploration and field development, pipelines and distribution,
refineries & petrochemical operations) has represented a major
element of Ex-Im Bank's portfolio and annual financing commitments.
From fiscal 2001 to the present, Ex-Im Bank has provided commitments
totaling $14.8 billion dollars for 78 transactions/projects in the
Petroleum Sector, including 49 transactions in Latin American, 14 in
Africa, six in Russia/FSU, five in the Middle East and four in Asia.
In fiscal year 2010, Ex-Im Bank provided approximately $3 billion in
financing for the Papua New Guinea Liquid Natural Gas Project. That
multifaceted project included a natural gas liquefaction facility, gas
and liquid pipelines and gas field developments in Papua New Guinea.
The project will enable gas to be transported to an energy starved Asia
while contributing substantially to the economy of Papua New Guinea.
Since the Petroleum Industry is expected to maintain high levels of
capital development expenditures for the foreseeable future, annually
exceeding $200 billion worldwide, and with increasing globalization of
the industry, Ex-Im Bank's role in supporting jobs associated with the
U.S. exporters in this sector can be expected to grow even further.
Ex-Im Bank will help U.S. companies involved in the petroleum sector
maintain an edge in the international marketplace, enabling them to
effectively compete against foreign counterparts who receive support
from other export credit agencies.
Mining
The U.S. is the major supplier of large mining and processing
equipment to the world mining industry, be it coal, copper, gold or
uranium. The U.S. is expected to continue to play a major role in this
sector, including both surface and underground mining. Domestically
produced equipment is based on innovation and incorporates high
technology in its design and manufacturing process, which enables U.S.
exporters of mining equipment to remain highly competitive in the
international marketplace, along with the continued support of the Ex-Im
Bank.
Soon after Ex-Im Bank was chartered in 1934, it became a force in the
mining and minerals processing sector, beginning with projects in Latin
America. Since then, its financing has supported projects from Canada
to Argentina, and from Russia to Africa and Australia. During fiscal
year 2010, Ex-Im Bank has financed $900 million in U.S. exports the
following mining projects:
- $18 million for the Sangatta Surface Coal Mine in Indonesia
- $420 million for the Boleo Underground Copper-Cobalt Mine in Mexico
- $375 million for Barrick's Pueblo Viejo Surface Gold Mine in the Dominican Republic,
- $20 million for Ferroexpo's Surface Iron Ore Mine in Ukraine,
- $62 million financing for Iron Ore Company of Canada's Surface Mine
In addition, Ex-Im Bank has supported numerous smaller export sales
for gravel, limestone and sand operations worldwide. As is the case for
all industrial sectors, Ex-Im Bank thoroughly evaluates all
applications for the financing of mining projects to determine the
project's potential environmental and social impacts, and it only
supports those that are shown to be in compliance with the Bank's
environmental guidelines.
Ex-Im Bank currently has several applications of various types of
mines across the globe. The Bank's activities over the decades
underscore its commitment to maintaining the competitiveness of U.S.
exporters in the mining sector, thereby helping to create and sustain
jobs with the suppliers and sub-suppliers of mining exports across the
country.
Agribusiness
Ex-Im Bank is active in its support of a broad range of agricultural
products. The Bank is able to support the sale of agricultural
commodities and consumables, such as grain and soil additives, through
the Short-Term insurance program, while assistance is available for the
export of livestock through one of Ex-Im Bank's Short or Medium-Term
Products. Medium-Term financing has been used extensively by U.S
manufacturers and suppliers of new and used agricultural equipment. The
range of equipment benefitting from Ex-Im Bank's support has ranged
from small items such as disc harrows to more complex machinery such as
seeders and combines.
Beyond the sale of equipment and commodities, Ex-Im Bank is also able
to assist U.S exporters and suppliers with the financing for
agricultural projects. Examples of projects supported include the
export of greenhouses to individual growers to the development of large
scale integrated meat processing facilities and everything in between.
Regardless of the size and scope of an exporter's involvement in
foreign agricultural activities, Ex-Im Bank has a financing program that
will meet their needs.
Renewable Energy
According to Clean Edge, Inc., a leading market analyst, the global
clean tech sector is expected to grow approximately 130% over the next
decade, from a $144 billion industry to $343 billion. Additionally, a
study by the Pew Charitable Trust found that jobs in this sector are
growing at a rate faster than other sectors, increasing 9.1% compared
with 3.7% between 1998 and 2007.
Ex-Im Bank is dedicated to helping U.S. exporters grab a share of
that market. In fact, Ex-Im Bank has a Congressional mandate to support
renewable energy and has been directed that 10% of its authorizations
should be dedicated to renewable energy and environmentally beneficial
transactions. Consequently, Ex-Im Bank has had a focus on the
environment since 1994 with its Environmental Exports Program (EEP), and
has steadily grown its portfolio of transactions. In 2007, the Office
of Renewable Energy & Environmental Exports was created. Further in
2010, the Division was expanded to include dedicated credit officers to
process renewable energy and environmental transaction. As of June 30,
2010, Environmentally Beneficial authorizations reached approximately
$323 million.
The EEP as well as Ex-Im Bank's Carbon Policy offer a number of
incentives that encourage the use of Ex-Im Bank products, including
tenors up to 18 years, 30% local costs support, capitalized interest
during construction, interest rate lock on direct loans and the ability
to pay the exposure fee as a margin over an interest rate.
Additionally, a streamlined approach to small solar (Solar Express)
deals has resulted in a number of applications.
As a key agency involved in the President's National Export
Initiative (NEI), which aims at doubling exports over the next five
years, Ex-Im Bank and the Office of Renewable Energy & Environmental
Exports is committed to meeting the needs of U.S. exporters in this
important sector.
Medical Equipment & Services
Medical Technologies is a sector with great potential for future
growth with a high level of quality and innovation second to none.
The Medical Technologies Initiative ensures that more buyers qualify for
Ex-Im Bank support by providing a more flexible set of standards for
those companies and countries that otherwise would not qualify for
financing under the standard guidelines. Therefore, transactions of this
nature are considered for extended terms, have greater flexibility in
capital formation, can create start-ups with experienced management,
have capitalization of interest on loans and Cost Cover for local costs.
It is a priority for good business and international citizenship to
support the creation of American jobs and of facilities that deliver
humanitarian benefits.
Construction Equipment and Services
Ex-Im Bank's experience in the Construction and Civil Works sectors
has included a broad range of products and applications. Whether
selling a specific piece of mobile equipment to a private contractor or
embarking on the implementation of a large civil works project,
including equipment sales along with engineering and construction
management services, Ex-Im Bank has an appropriate financing product to
fit the need.
The Medium-Term insurance and guarantee programs support the sale of
both new and used/refurbished construction equipment. In addition, to
help U.S companies build relationships with foreign project developers
early in the development phase, the Engineering Multiplier Program
provides Medium-Term financing of pre-project feasibility studies and
technical studies. The balance of that loan can be rolled into any
subsequent long term financing of the project's construction phase.
Beyond the direct support of construction equipment, Ex-Im Bank
provides Long-Term financing of large civil works projects. In addition
to earth moving equipment and engineering services, these projects
typically involve a variety of goods and services related to the
specific project's purpose. Large civil works projects benefitting from
Ex-Im Bank support have included water and wastewater treatment plants,
railroad and airport construction, construction of tunnels, highways and
bridges, large hydroelectric plants and irrigation networks, large
towers, hospitals and residential housing developments, coastal
protection and reclamation and many others. The majority of the
transactions are financed via one of Ex-Im Bank's Long-Term products and
often make use of one or more of Ex-Im Bank's sector specific incentive
programs, such as the Environmental Exports Program or the Medical
Equipment Program.
Aircraft
Ex-Im Bank has been, and will continue to be, an important source of
aircraft finance for the U.S. aircraft manufacturing industry, a key
industry which directly or indirectly employs U.S. workers in all 50
states and in which the United States continues to have a competitive
advantage.
Ex-Im Bank supports the export of small/business aircraft and
helicopters. During the past few years, Ex-Im Bank has supported
financings of small/business aircraft and helicopters, including
business aircraft for both charter operations and personal use and
helicopters for use by (i) military/police end-users for (a) search and
rescue, or (b) drug interdiction, or (ii) commercial end-users providing
private transportation, charter services to offshore oil and gas
operations, and emergency medical transport services.
During FY 2009, Ex-Im Bank provided financing of approximately $8.6
billion to support the export of 150 large commercial aircraft, a
greater than 50% increase relative to the prior year. The increased
demand by foreign airlines and aircraft operating lessors for
U.S.-manufactured large commercial aircraft and a withdrawal/contraction
in the commercial financial market, especially between September 2008
and June 2009, contributed to this record increase in Ex-Im Bank
supported financing of large commercial aircraft.
Ex-Im Bank anticipates that demand for its financing in support of
this key industry of the U.S. economy (and the high-paying jobs it
provides) will remain strong.
Power Generation and Related Services
The global power sector has been an active and important sector for
US companies and is considered a key industry by the Export Import Bank
of the US, since exports from this sector create a large number of US
jobs. From year 2000 to 2009, Ex-Im Bank has authorized over $5 billion
in medium and long term transactions for the export of goods and
services in the power sector. Not only has Ex-Im Bank helped create
numerous jobs in the US, but by providing vital financial support, it
has also played a vital role in the development and growth of the power
sector in numerous developing countries. US companies have participated
in the development of safe, reliable and environmentally friendly power
plants by providing State of the Art Technology, coupled with valuable
engineering and project management services in the design, construction,
commissioning and operation of power plants.
Ex-Im Bank has funded projects in the generation, transmission and
distribution of power. In Year 2009, Ex-Im Bank had an overall
financial exposure of about $4.5 billion in the power sector. In FY2009,
Ex-Im Bank financed over $1.3 billion in US exports in the power sector
to numerous countries including Saudi Arabia, Bahrain, and Turkey.
In conventional power generation, US Companies have provided valuable exports in:
- Gas Powered Gas Plants
In the electric power sector, natural gas is an attractive choice
for new generating plants because of the low initial cost, flexible
power output, relative fuel efficiency and low carbon dioxide intensity.
The gas fired power plant sector has been a very active sector for
Ex-Im Bank. (Photograph of the Gas Fired Ilijan Power Plant Philippines)
- Coal Fired Power Plants
Ex-Im Bank has supported numerous coal fired power plants in the
past. Since conventional coal fired power plants have a higher carbon
dioxide intensity compared to other types of power plants, Ex-Im Bank
reviews the quantity of carbon dioxide emitted from new coal fired power
plant in accordance with the Ex-Im Bank's Environmental Procedures and
Guidelines. (See Coal Fired Paiton Power Plant, Indonesia)
- Nuclear
The nuclear sector is on the verge of a tremendous growth. Over 30
countries, which do not have nuclear power at this time are seriously
considering new nuclear power generation. According to the World Nuclear
Association currently 53 new nuclear reactors for a total of almost
50,000 MW are planned and an additional 136 new nuclear reactors for a
total of close to 150,000 MW are being proposed around the world. The
US has World Class companies offering State of the Art, safe and
reliable technology to nuclear power plants. Ex-Im Bank has provided
financial support to a large number of nuclear power plants over the
years, and Ex-Im Bank provides special extended financial terms of up to
18 years to support nuclear power plants.
At present, Ex-Im Bank has numerous several applications in house in
the power sector. Ex-Im Bank expects to continue to be an active player
in supporting the power sector and to continue to help in the creation
and sustenance of US jobs in the power sector.
The Export-Import Bank of the United States was founded to sustain
and maintain American jobs by supporting the export of U.S. goods and
services to foreign buyers. The Ex-Im Bank is dedicated to creating
trade finance programs that help both American exporters and emerging
countries that otherwise would not be able to purchase U.S. products.
Therefore, Special Initiatives have been formulated to assist industries
that have high growth rates, great potential and are highly competitive
in the Global Marketplace.
Oil and Gas
Ex-Im Bank views the Oil & Gas sector as a key industry due to its overall size and importance to the U.S. economy and high employment rates (supporting 9.2 million jobs in the U.S., according to the American Petroleum Institute). Presently, more than 10,000 U.S. companies, ranging from small businesses to global-scale enterprises, provide the goods and services that support petroleum exploration, drilling, refining and other operations, both domestically and internationally. Although U.S. companies have maintained their traditional technological leadership in the industry, they face increasing competitive challenges from manufacturers and service providers in Western Europe, Canada, Asia and South America.
For many years, the Petroleum Sector (including oil & gas exploration and field development, pipelines and distribution, refineries & petrochemical operations) has represented a major element of Ex-Im Bank's portfolio and annual financing commitments. From fiscal 2001 to the present, Ex-Im Bank has provided commitments totaling $14.8 billion dollars for 78 transactions/projects in the Petroleum Sector, including 49 transactions in Latin American, 14 in Africa, six in Russia/FSU, five in the Middle East and four in Asia.
In fiscal year 2010, Ex-Im Bank provided approximately $3 billion in financing for the Papua New Guinea Liquid Natural Gas Project. That multifaceted project included a natural gas liquefaction facility, gas and liquid pipelines and gas field developments in Papua New Guinea. The project will enable gas to be transported to an energy starved Asia while contributing substantially to the economy of Papua New Guinea.
Since the Petroleum Industry is expected to maintain high levels of
capital development expenditures for the foreseeable future, annually
exceeding $200 billion worldwide, and with increasing globalization of
the industry, Ex-Im Bank's role in supporting jobs associated with the
U.S. exporters in this sector can be expected to grow even further.
Ex-Im Bank will help U.S. companies involved in the petroleum sector
maintain an edge in the international marketplace, enabling them to
effectively compete against foreign counterparts who receive support
from other export credit agencies.
Mining
The U.S. is the major supplier of large mining and processing equipment to the world mining industry, be it coal, copper, gold or uranium. The U.S. is expected to continue to play a major role in this sector, including both surface and underground mining. Domestically produced equipment is based on innovation and incorporates high technology in its design and manufacturing process, which enables U.S. exporters of mining equipment to remain highly competitive in the international marketplace, along with the continued support of the Ex-Im Bank.
Soon after Ex-Im Bank was chartered in 1934, it became a force in the mining and minerals processing sector, beginning with projects in Latin America. Since then, its financing has supported projects from Canada to Argentina, and from Russia to Africa and Australia. During fiscal year 2010, Ex-Im Bank has financed $900 million in U.S. exports the following mining projects:
- $18 million for the Sangatta Surface Coal Mine in Indonesia
- $420 million for the Boleo Underground Copper-Cobalt Mine in Mexico
- $375 million for Barrick's Pueblo Viejo Surface Gold Mine in the Dominican Republic,
- $20 million for Ferroexpo's Surface Iron Ore Mine in Ukraine,
- $62 million financing for Iron Ore Company of Canada's Surface Mine
In addition, Ex-Im Bank has supported numerous smaller export sales for gravel, limestone and sand operations worldwide. As is the case for all industrial sectors, Ex-Im Bank thoroughly evaluates all applications for the financing of mining projects to determine the project's potential environmental and social impacts, and it only supports those that are shown to be in compliance with the Bank's environmental guidelines.
Ex-Im Bank currently has several applications of various types of
mines across the globe. The Bank's activities over the decades
underscore its commitment to maintaining the competitiveness of U.S.
exporters in the mining sector, thereby helping to create and sustain
jobs with the suppliers and sub-suppliers of mining exports across the
country.
Agribusiness
Ex-Im Bank is active in its support of a broad range of agricultural products. The Bank is able to support the sale of agricultural commodities and consumables, such as grain and soil additives, through the Short-Term insurance program, while assistance is available for the export of livestock through one of Ex-Im Bank's Short or Medium-Term Products. Medium-Term financing has been used extensively by U.S manufacturers and suppliers of new and used agricultural equipment. The range of equipment benefitting from Ex-Im Bank's support has ranged from small items such as disc harrows to more complex machinery such as seeders and combines.
Beyond the sale of equipment and commodities, Ex-Im Bank is also able to assist U.S exporters and suppliers with the financing for agricultural projects. Examples of projects supported include the export of greenhouses to individual growers to the development of large scale integrated meat processing facilities and everything in between.
Regardless of the size and scope of an exporter's involvement in foreign agricultural activities, Ex-Im Bank has a financing program that will meet their needs.
Renewable Energy
According to Clean Edge, Inc., a leading market analyst, the global clean tech sector is expected to grow approximately 130% over the next decade, from a $144 billion industry to $343 billion. Additionally, a study by the Pew Charitable Trust found that jobs in this sector are growing at a rate faster than other sectors, increasing 9.1% compared with 3.7% between 1998 and 2007.
Ex-Im Bank is dedicated to helping U.S. exporters grab a share of
that market. In fact, Ex-Im Bank has a Congressional mandate to support
renewable energy and has been directed that 10% of its authorizations
should be dedicated to renewable energy and environmentally beneficial
transactions. Consequently, Ex-Im Bank has had a focus on the
environment since 1994 with its Environmental Exports Program (EEP), and
has steadily grown its portfolio of transactions. In 2007, the Office
of Renewable Energy & Environmental Exports was created. Further in
2010, the Division was expanded to include dedicated credit officers to
process renewable energy and environmental transaction. As of June 30,
2010, Environmentally Beneficial authorizations reached approximately
$323 million.
The EEP as well as Ex-Im Bank's Carbon Policy offer a number of incentives that encourage the use of Ex-Im Bank products, including tenors up to 18 years, 30% local costs support, capitalized interest during construction, interest rate lock on direct loans and the ability to pay the exposure fee as a margin over an interest rate. Additionally, a streamlined approach to small solar (Solar Express) deals has resulted in a number of applications.
As a key agency involved in the President's National Export
Initiative (NEI), which aims at doubling exports over the next five
years, Ex-Im Bank and the Office of Renewable Energy & Environmental
Exports is committed to meeting the needs of U.S. exporters in this
important sector.
Medical Equipment & Services
Medical Technologies is a sector with great potential for future
growth with a high level of quality and innovation second to none.
The Medical Technologies Initiative ensures that more buyers qualify for
Ex-Im Bank support by providing a more flexible set of standards for
those companies and countries that otherwise would not qualify for
financing under the standard guidelines. Therefore, transactions of this
nature are considered for extended terms, have greater flexibility in
capital formation, can create start-ups with experienced management,
have capitalization of interest on loans and Cost Cover for local costs.
It is a priority for good business and international citizenship to
support the creation of American jobs and of facilities that deliver
humanitarian benefits.
Construction Equipment and Services
Ex-Im Bank's experience in the Construction and Civil Works sectors has included a broad range of products and applications. Whether selling a specific piece of mobile equipment to a private contractor or embarking on the implementation of a large civil works project, including equipment sales along with engineering and construction management services, Ex-Im Bank has an appropriate financing product to fit the need.
The Medium-Term insurance and guarantee programs support the sale of both new and used/refurbished construction equipment. In addition, to help U.S companies build relationships with foreign project developers early in the development phase, the Engineering Multiplier Program provides Medium-Term financing of pre-project feasibility studies and technical studies. The balance of that loan can be rolled into any subsequent long term financing of the project's construction phase.
Beyond the direct support of construction equipment, Ex-Im Bank provides Long-Term financing of large civil works projects. In addition to earth moving equipment and engineering services, these projects typically involve a variety of goods and services related to the specific project's purpose. Large civil works projects benefitting from Ex-Im Bank support have included water and wastewater treatment plants, railroad and airport construction, construction of tunnels, highways and bridges, large hydroelectric plants and irrigation networks, large towers, hospitals and residential housing developments, coastal protection and reclamation and many others. The majority of the transactions are financed via one of Ex-Im Bank's Long-Term products and often make use of one or more of Ex-Im Bank's sector specific incentive programs, such as the Environmental Exports Program or the Medical Equipment Program.
Aircraft
Ex-Im Bank has been, and will continue to be, an important source of aircraft finance for the U.S. aircraft manufacturing industry, a key industry which directly or indirectly employs U.S. workers in all 50 states and in which the United States continues to have a competitive advantage.
Ex-Im Bank supports the export of small/business aircraft and helicopters. During the past few years, Ex-Im Bank has supported financings of small/business aircraft and helicopters, including business aircraft for both charter operations and personal use and helicopters for use by (i) military/police end-users for (a) search and rescue, or (b) drug interdiction, or (ii) commercial end-users providing private transportation, charter services to offshore oil and gas operations, and emergency medical transport services.
During FY 2009, Ex-Im Bank provided financing of approximately $8.6 billion to support the export of 150 large commercial aircraft, a greater than 50% increase relative to the prior year. The increased demand by foreign airlines and aircraft operating lessors for U.S.-manufactured large commercial aircraft and a withdrawal/contraction in the commercial financial market, especially between September 2008 and June 2009, contributed to this record increase in Ex-Im Bank supported financing of large commercial aircraft.
Ex-Im Bank anticipates that demand for its financing in support of this key industry of the U.S. economy (and the high-paying jobs it provides) will remain strong.
Power Generation and Related Services
The global power sector has been an active and important sector for US companies and is considered a key industry by the Export Import Bank of the US, since exports from this sector create a large number of US jobs. From year 2000 to 2009, Ex-Im Bank has authorized over $5 billion in medium and long term transactions for the export of goods and services in the power sector. Not only has Ex-Im Bank helped create numerous jobs in the US, but by providing vital financial support, it has also played a vital role in the development and growth of the power sector in numerous developing countries. US companies have participated in the development of safe, reliable and environmentally friendly power plants by providing State of the Art Technology, coupled with valuable engineering and project management services in the design, construction, commissioning and operation of power plants.
Ex-Im Bank has funded projects in the generation, transmission and distribution of power. In Year 2009, Ex-Im Bank had an overall financial exposure of about $4.5 billion in the power sector. In FY2009, Ex-Im Bank financed over $1.3 billion in US exports in the power sector to numerous countries including Saudi Arabia, Bahrain, and Turkey.
In conventional power generation, US Companies have provided valuable exports in:
- Gas Powered Gas Plants
In the electric power sector, natural gas is an attractive choice for new generating plants because of the low initial cost, flexible power output, relative fuel efficiency and low carbon dioxide intensity. The gas fired power plant sector has been a very active sector for Ex-Im Bank. (Photograph of the Gas Fired Ilijan Power Plant Philippines)
- Coal Fired Power Plants
Ex-Im Bank has supported numerous coal fired power plants in the past. Since conventional coal fired power plants have a higher carbon dioxide intensity compared to other types of power plants, Ex-Im Bank reviews the quantity of carbon dioxide emitted from new coal fired power plant in accordance with the Ex-Im Bank's Environmental Procedures and Guidelines. (See Coal Fired Paiton Power Plant, Indonesia)
- Nuclear
The nuclear sector is on the verge of a tremendous growth. Over 30 countries, which do not have nuclear power at this time are seriously considering new nuclear power generation. According to the World Nuclear Association currently 53 new nuclear reactors for a total of almost 50,000 MW are planned and an additional 136 new nuclear reactors for a total of close to 150,000 MW are being proposed around the world. The US has World Class companies offering State of the Art, safe and reliable technology to nuclear power plants. Ex-Im Bank has provided financial support to a large number of nuclear power plants over the years, and Ex-Im Bank provides special extended financial terms of up to 18 years to support nuclear power plants.
At present, Ex-Im Bank has numerous several applications in house in the power sector. Ex-Im Bank expects to continue to be an active player in supporting the power sector and to continue to help in the creation and sustenance of US jobs in the power sector.