The Aerospace Industries Association recently criticized the nomination of former Rep. Scott Garrett (R-NJ) to lead the Export-Import (Ex-Im) Bank of the United States.
Garrett was nominated for the position by President Donald Trump who, despite the scrutiny of his pick, has thus far stood firm on his position. AIA President and CEO David F. Melcher said that initially, his organization had been enthusiastic about Trump’s support of and interest in the Ex-Im Bank, but that enthusiasm has since waned.
At the core of the problem is Garrett, who has long been an open opponent of the Ex-Im Bank itself. In a statement, Melcher pointed to a 2015 position by Garrett where he argued to Congress that the legislative body should take every opportunity to keep the bank out of business, and further, derided the agency as embodying “the corruption of the free enterprise system.”
“Aerospace workers across the country need an Ex-Im champion, not an ardent foe with a long public record of wanting to eliminate the Bank’s support of U.S. manufacturers, at the helm of the Bank,” Melcher said in his statement. “Our companies, workforce and nation cannot afford any doubt about a nominee’s commitment to the mission of the Bank or its full functionality. That is why we join the American manufacturing community in urging the withdrawal of the nomination of Scott Garrett for Chairman of the Board of the Ex-Im Bank. We further encourage the President to nominate a full slate of five Board members who will ensure American competitiveness by once again making Ex-Im fully functional.”
A number of American businesses rely on the agency, which guarantees loans for foreign buyers of U.S. exports. It supports those companies struggling to secure private sector financing for exports, though a quorum is required to approve such efforts. The AIA notes its importance in a world where foreign competition often rises with significant support from their governments.
“Aerospace companies — small, medium and large — need a Chairman and a full slate of Ex-Im Board members who will bolster American export sales opportunities that lead to job growth here at home,” Melcher said.