The Export-Import Bank of China and US Ex-Im Bank have signed agreements designed to expedite financing for transactions that will help support US export jobs and promote China’s sustainable development.
“These agreements deliver results,” says US Ex-Im’s chairman and president James Lambright. “They also establish a strong foundation for working together to support America’s exporters and China’s development. The cooperation between our two banks embodies the essence of the Strategic Economic Dialogue.”
Specifically, the two institutions signed a memorandum of understanding on a form of standard long-term credit agreement that will provide financing for most US export transactions to China that exceed US$20mn. The first transaction to use this product is already underway.
US Ex-Im also announced its willingness to consider financing the sale of US$164mn in heavy-duty railway maintenance equipment by the Harsco Corporation of Camp Hill, Pennsylvania., to the ministry of railways of China.
“We are grateful that the Export-Import Bank is willing to consider financing which would play a pivotal role in enabling us to further expand Harsco’s support of the China market,” says Harsco chairman and chief executive officer, Derek Hathaway. “As part of a larger order that represents more than US$350mn in new revenues to Harsco, it will support the creation of new jobs as well as the strengthening of existing jobs, and thereby provide meaningful benefit to our families, communities, and the economy.”
The two banks also signed an agreement indicating their intent to expedite financing support for multiple transactions involving the sale of medical equipment from US exporters to hospitals in China. This agreement follows upon the completion of December 2006 negotiations on a form of standard medium-term credit agreement between borrowers and lenders pursuant to the framework agreement dated January 24, 2005 between the ministry of finance of the People’s Republic of China and US Ex-Im.