Question for U.S. Chamber: On Ex-Im Bank and Cuba

Thursday, June 26, 2014
The U.S. Chamber of Commerce has mounted a lobbying offensive to save the taxpayer-funded, U.S. Export-Import Bank ("Ex-Im Bank"), whose charter expires on September 30th.

Ex-Im Bank provides direct loans to foreign buyers of U.S. products, credit guarantees to American companies, and political and credit insurance for exports.

Many in Congress argue that Ex-Im Bank is a nest of corporate cronyism, which only benefits large U.S. and foreign companies.

Others argue that Ex-Im Bank is important to "level the playing field" versus other foreign export credit agencies.

We're not staking a position here, simply making an observation.

Some of the biggest beneficiaries of Ex-Im Bank include companies such as Caterpillar, Cargill and Archer Daniels Midland, which have led the lobbying charge (within the U.S. Chamber and in Congress) to lift Cuba sanctions.

After all, if sanctions were lifted, U.S. taxpayers would finance the Castro regime's purchases from these companies, and provide political and credit risk insurance for business with the Cuban dictatorship's monopolies.

Courtesy of the Ex-Im Bank.

It's a win-win for these these companies (and for Castro).

So the question for the U.S. Chamber of Commerce is:

Would you be so enthusiastic about conducting business with Castro's bankrupt and deadbeat regime if Ex-Im Bank ceased to exist?

Of course not.