Export-Import Bank Should Not Be Reauthorized

The Export-Import (Ex-Im) Bank was established in 1934 to encourage American exports.  However, the bank subsidizes large and profitable companies that would otherwise have no difficulty in obtaining funding from the commercial banking system and is a waste of taxpayer resources.

Last reauthorized by Congress in 2019, the Ex-Im Bank’s current authorization will expire on December 31, 2026.  Congress has already held hearings and legislation has been introduced to reauthorize the bank for another 10 years.  On March 18, 2026, the House Subcommittee on National Security, Illicit Finance, and International Financial Institutions held a hearing, entitled “Oversight of the Export-Import Bank.”  On March 26, 2026, the Senate Committee on Banking, Housing, and Urban Affairs held a similar hearing, entitled “Export-Import Bank Reauthorization.”

The Ex-Im Bank provides taxpayer-backed direct loans, guarantees, and export credit insurance to private firms and foreign governments.  Historically, the Ex-Im Bank has not focused on facilitating exports for small businesses or creating balanced global market conditions to help U.S. companies compete against their foreign competitors.  On the contrary, it provides loans to large corporations, including foreign-owned, like an $830 million loan guarantee to Air China and a $287 million loan guarantee to Emirates Airlines.

Domestically, the Ex-Im bank loaned money to companies, which borrow regularly from private lenders and are stable and profitable, including Boeing, Caterpillar, Halliburton, Dell, and Chevron.  The Ex-Im Bank calculates the levels of loan risk with the method established by the Federal Credit Reform Act of 1990, instead of a more traditional fair value accounting method, which would reveal a higher cost to taxpayers.

In 2011, the Ex-Im Bank gave $10.3 million to a solar farm in Belgium to use panels from the infamous Solyndra, a solar energy equipment manufacturer, which filed for bankruptcy two months later.  According to Citizens Against Government Waste’s 2025 Prime Cuts report, the elimination of the Ex-Im Bank would save taxpayers $2 billion over 10 years.

Taking advantage of taxpayer money in favor of large enterprises, including foreign-owned, is a blatant example of government waste and abuse.  The Ex-Im Bank is not only unnecessary, but also harmful to the economic well-being of American taxpayers and should not be reauthorized.