SB 753, the “Strengthening Exports Against China Act,” would amend the Export-Import Bank Act of 1945 to change how the Export-Import Bank of the United States calculates its default rate for purposes of the Bank’s lending cap. Specifically, the bill would exclude certain financing from the default-rate calculation when the Bank determines that the financing helps a U.S. entity replace or compete with products or services supplied by certain foreign adversaries or sanctioned parties.
The excluded financing would include loans or other support that facilitate competition with entities on the Commerce Department’s Entity List, or with persons on the Treasury Department’s Specially Designated Nationals and Blocked Persons list, including entities that are 50 percent or more owned by such persons. It would also exclude financing provided under the Export-Import Bank’s Program on China and Transformational Exports. The practical effect is to make it easier for the Bank to support export-related transactions in strategic competition with China and other restricted actors without those transactions counting against the Bank’s default-rate threshold in the same way as other financing.
Impact
The bill would amend federal law governing the Export-Import Bank by narrowing which transactions are counted in the default-rate calculation used to determine when the Bank’s lending cap applies. This would likely expand the Bank’s operational flexibility for certain strategic export transactions, especially those tied to competition with Chinese or sanctioned foreign firms, and could allow more financing activity under the Bank’s statutory limits. It would directly affect the Export-Import Bank, U.S. exporters, and entities competing against foreign companies on federal restricted-party lists.
Sentiment
The available context suggests generally favorable or bipartisan support for the bill’s policy direction, as indicated by its introduction by Senator Cortez Masto with Senator Rounds as a cosponsor. The bill’s title and structure frame it as a pro-export, China-competition measure, and the committee status indicates hearings were held, suggesting active consideration rather than opposition-driven stalling. No vote record or transcript is provided, so there is no documented floor-level sentiment in the materials beyond the bipartisan sponsorship and committee attention.
Contention
The main policy issue is whether certain Export-Import Bank financing should be excluded from default-rate calculations when it supports competition against Chinese or sanctioned foreign entities. Supporters are likely to view the change as a way to strengthen U.S. export competitiveness and counter strategic rivals, while potential critics may worry that excluding these transactions could weaken risk controls or reduce transparency in how the Bank’s lending cap is managed. Another possible point of contention is the breadth of the exclusion, including financing under the China and Transformational Exports program and transactions involving entities tied to SDN-listed persons through ownership thresholds.