00:00Thank you, Mr. Chairman.
00:03Ten years ago, there was a call from conservative members, especially in the House, by a lot of right-leaning think tanks to eliminate the Export-Import Bank.
00:17And maybe to begin with, I don't hear those calls anymore because I think a lot of, especially Republicans, recognize today the Export-Import Bank is an important tool that we can use, especially in our competition with China.
00:28But, Mr. Jovanovich, can you give us maybe a 30-second reason why we should keep it and why the Export-Import Bank matters now maybe more than it ever has?
00:38Senator Banks, thank you for the question and thank you for the very detailed, robust conversation that we had in your office with you and your staff.
00:47One very clear reason why this is so important is an area that President Trump has already called on the bank to help with, and that's in the area of critical minerals and rare earths.
00:58So rare earths are abundantly available, as you and I both know, Senator, but the Chinese control 90-plus percent of its refining and processing capacity.
01:08And these serve as the backbone for all value-added manufacturing, military, civilian, everything everyday Americans rely on.
01:16And so we cannot afford to see a 21st century that is reliant on China and these very valuable inputs because then we will be subscribing to a 21st century defined by China.
01:28So we're fortunate enough to be confirmed.
01:30A top priority would be heeding the President's call and ensuring that the Export-Import Bank has all of its tools available to deliver on this very important goal.
01:40Can you talk for a minute about some of the ways that the Communist China has taken advantage of the Export-Import Bank in the past and how we can fix that in this administration?
01:51Absolutely. And so one of the most challenging times for the Export-Import Bank of the United States was during its lapse of authorization between 2015 and 2019.
02:02And so during that period of time alone, $13.3 billion of actionable deals in the pipeline went to foreign competitors.
02:11That equated to nearly 80,000 American jobs that were being supported.
02:16But the worst part of it all, Senator, was that during that time, China and our adversaries took advantage and they came and courted U.S. companies and convinced them that they should move abroad because they would have reliable export finance services for them.
02:31And so with your support, with the support of the committee, I believe that we could put forth modern tools and we can ensure that we're all in service of this unifying goal,
02:41which is revitalizing America's manufacturing and securing an economic future for them.
02:46Can you talk about any other loopholes? I understand the lapse and the reauthorization, but loopholes that still exist today that we need to close.
02:53We can get more specific. I think that being cognizant of what U.S. content percentages and mandates look like, particularly in a modern economy where value-added manufacturing requires sourcing from many different suppliers.
03:08And that's where the China transformational export program has already been thoughtfully designed to do so.
03:14I think that's a very key area. Other areas include ensuring that we can better magnify our outreach to small and medium-sized businesses.
03:23Because as you know, Senator, it's hard to revitalize a supply chain where small and medium-sized companies don't play a big role.
03:30So I'm confident that with your support and the opportunity, we can work together to ensure that the tools are modern enough to task.
03:37This is a confirmation hearing. So talk about your unique background that suits you for this task to help the president reform and strengthen the XM Bank to help us beat communist China.
03:50Sure, Senator. Thank you for the question. I've spent my entire career on both sides of the table.
03:55I know very well what it means to be a capital provider and looking for the right opportunities with willing and able companies who want to unlock growth.
04:03I also know the challenges of trying to finance growth and build up export facilities here in America, enable and empower manufacturing companies that want to sell all around the world.
04:14And with the opportunity, I would very much like to put all that to use in service of the president's agenda.
04:18Well, I appreciate your willingness to serve to each of you. Thank you for being willing to serve at such an important time as this in this administration.
04:26You have my full support. With that, Mr. Chairman, I yield back.
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