US Ex-Im Bank chairman and president James Lambright has announced an agreement with his Chinese counterpart that will lead to increased US exports to China. Lambright was in China participating in the US-China Dialogue led by US treasury secretary Henry Paulson.


The completion of the negotiations between US Ex-Im and the Export-Import Bank of China will lead to increased sales of US exports financed by loans for US$20mn or less. These loans will be guaranteed by the ministry of finance of China and supported by a  US Ex-Im medium-term export credit guarantee.


The negotiations occurred pursuant to the framework agreement dated as of January 24, 2005 between the ministry of finance of the People’s Republic of China and US Ex-Im. Both borrowers and lenders will conform to this standard medium-term credit agreement for each specific transaction.


“China is the fourth largest economy in the world. By making it easier to finance US exports to this huge market we are supporting high-quality jobs in the United States while improving the bilateral trade balance,” says Lambright.


“The cooperation in sovereign guarantee financing will help boost exports of advanced technology and equipment from the US to China, strengthen economic and trade ties between the two countries, and will definitely breathe new life into the two economies,” adds chairman and president Li Ruogu of the Export-Import Bank of China.