Page images
PDF
EPUB
[ocr errors][merged small][merged small][merged small][merged small][merged small][merged small][merged small][merged small][merged small][merged small][merged small][merged small]

CONTENTS

H.R. 7103. A bill to create the American Export Credits Guaranty
Corporation_ - .

H.R. 7102. A bill to create the American Export Credits Guaranty
Corporation.

Page

1

13

25

29

1

H.R. 7266. A bill to encourage and promote the expansion through
private enterprise of domestic exports in world markets-
H.R. 8249. A bill to encourage and promote the expansion through
private enterprise of domestic exports in world markets..
H.R. 8381. A bill to amend the Export-Import Bank Act of 1945.
Statement of—

Goldsby, Fred L., vice president-director, Chicago Bridge & Iron Co..
Linder, Hon. Harold F., President and Chairman of the Board,
Export-Import Bank of Washington; accompanied by Tom Killefer,
First Vice President and Vice Chairman; R. H. Rowntree, Chief,
Economics Division; and W. W. Glick, counsel..
Scafuro, Francis X., vice president, business relationship, Bank of
America International, representing the National Coordinating
Committee for Export Credit Guarantees; accompanied by S. E.
Hollis, consultant, National Coordinating Committee..
Additional data submitted to the subcommittee by-
Bank of America International:

152

34

82

American Export Credits Guaranty Corp., a summary of the
NCC plan..-.

83

Statement of Francis X. Scafuro, before Senate Committee on
Commerce, June 21, 1961...

117

World's principal export credit insuring systems.

139

Export-Import Bank of Washington:

Data on entities abroad and countries which provide credit in-
surance or guarantees for exporters.

41

Forms of policies and guarantees of the Export-Import Bank of
Washington....

58

Multer, Hon. Abraham J.:

Report on H.R. 7266, dated June 15, 1961, from the Export-
Import Bank of Washington by Harold F. Linder, president__

151

III

PROMOTION OF UNITED STATES EXPORTS

WEDNESDAY, AUGUST 30, 1961

HOUSE OF REPRESENTATIVES,

COMMITTEE ON BANKING AND CURRENCY,

SUBCOMMITTEE No. 3,
Washington, D.C.

The subcommittee met, pursuant to notice, at 10 a.m., in room 1301, New House Office Building, Hon. Abraham J. Multer (subcommittee chairman) presiding.

(The bills H.R. 8381, H.R. 7102, H.R. 7103, H.R. 7266, and H.R. 8249 are as follows:)

[H.R. 8381, 87th Cong., 1st sess.]

A BILL To amend the Export-Import Bank Act of 1945

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That subsection (c) of section 2 of the Export-Import Bank Act of 1945 is amended to read as follows:

"(c) (1) The Export-Import Bank of Washington, in furtherance of its objects and purposes under this Act, is authorized and empowered to guarantee, insure, coinsure, and reinsure against risks of loss arising in connection with export transactions; and to establish and maintain fractional reserves in connection therewith. The reserves maintained by the Bank for the guarantees, insurance, coinsurance or reinsurance issued pursuant to this section shall be not less than 25 per centum of the related contractual liability of the Bank. Insofar as contracts of guarantee, insurance, coinsurance, and reinsurance are concerned, only that part of the Bank's liabilities represented by reserves provided for above shall be taken into account for the purposes of applying the limitations imposed by section 7 of this Act.

"(2) The Bank may issue such guarantees, insurance, coinsurance, and reinsurance to or with exporters, insurance companies, financial institutions, or others, or groups thereof, and where appropriate may employ any of the same to act as its agent in the issuance and servicing of such guarantees, insurance, coinsurance, and reinsurance, and the adjustment of claims arising thereunder." SEC. 2. Section 8 of the Export-Import Bank Act of 1945 is amended by striking out "June 30, 1963” and inserting in lieu thereof “June 30, 1968”.

[H.R. 7102, 87th Cong., 1st sess.]

A BILL To create the American Export Credits Guaranty Corporation

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That this Act may be cited as the "American Export Credits Guaranty Corporation Act of 1961".

PURPOSE

SEC. 2. The Congress recognizes that domestic agricultural pursuits, production of goods, and full employment of labor are directly encouraged by a thriving foreign outlet for domestic produce, manufactures, and services. In order to attain these desirable ends, carry out the foreign policy of this Nation, and im

prove its relations with other countries, it is the policy of the Congress to improve the economic climate for trade in exports from the United States. To that end, it is the purpose of this Act to create a federally chartered corporation to issue guaranties to United States exporters of goods and services against loss resulting from certain political and commercial credit risks.

SEC. 3. As used in this Act

DEFINITIONS

(a) The term "exporter” means any citizen or resident of the United States or any corporation, partnership, or association organized and existing under the laws of the United States, or any State thereof, or the Commonwealth of Puerto Rico, who is qualified to do business therein and is engaged or intending to engage in good faith in the business of exporting goods or services or financing the export thereof in compliance with applicable law; and the term "buyer" means the person who purchases such goods or to whom such services are rendered by the exporter.

(b) The term "goods" means all tangible or intangible personal property at least 50 per centum of the export value of which is originated, grown, manufactured, produced, or added through processing in the United States, and which is directly or indirectly exported commercially, including (without limiting the generality of the foregoing) all commodities (whether in raw, semiprocessed, or processed state), and all other materials (whether in raw, semiprocessed, processed, or manufactured state).

(c) The term "services" means all services by exporters ordinarily resident in the United States rendered in foreign countries, and shall include (without limiting the generality of the foregoing) the rendering of engineering, architectural, contracting, and other technical services, the financing through loans or equity investments of business transactions, the rental of leasehold property, and the licensing of intangible property rights including patents, trademarks, and copyrights.

(d) The term "political risk" means the risk of loss caused, in whole or part, by the occurrence, on or after the date of a guaranty contract entered into under the terms of this Act, of any governmental action interfering with the completion of or the payment for an export transaction in accordance with the lawful terms agreed upon by the parties thereto, within a period of time stipulated in the guaranty contract, including losses caused by

(1) restriction of the transfer of payments from the buyer's country to the United States; or

(2) incurring of additional handling, transportation, insurance, or other charges occasioned by interruption or diversion of voyage due to any cause set forth in this subsection (d) where it is impractical to recover such charges from the purchaser; or

(3) imposition, after the making of the guaranty contract, of any law, decree, order, or regulation, including any licensing requirement, quota, embargo, or discriminatory increase in tariff rates, which, in circumstances outside the control of the exporter or the buyer, prevents the import of goods or services into the buyer's country or the export of goods or services from the seller's country; or

(4) cancellation, in circumstances outside the control of the exporter or the buyer, of authority to import goods or services already issued and valid at the time the guaranty contract is executed; or

(5) cancellation or nonrenewal of an export license or the imposition of restrictions on the export of goods or services not previously subject to license; or

(6) requisition, expropriation, or confiscation by action of any government of goods covered by a guaranty contract; or

(7) occurrence of war between the debtor's country and the United States; or

(8) occurrence of hostile or warlike action including civil war, revolution, rebellion, insurrection, or civil strife arising therefrom, in time of peace or war, and including action in hindering, combating, or defending against an actual, impending, or expected attack

(A) by any government or sovereign power (de jure or de facto); or (B) by any authority maintaining or using military, naval, or air air forces; or

(C) by any agent of an such government, power, authority, or forces; or

« PreviousContinue »