Lamsco West is among the Boeing suppliers concerned about the fate of the federal Export-Import Bank. Above, workers at Lamsco’s Santa Clarita factory. (Kirk McKoy / Los Angeles Times)
On September 6, 2014, Jim Puzzanghera writes in the Los Angeles Times:
Thousands of jobs in Southern California and across the nation could be in jeopardy as politicians wrangle over the fate of an obscure, 80-year-old federal agency that helps U.S. companies sell their products overseas.
The Export-Import Bank has come under attack by conservative critics, including new House Majority Leader Kevin McCarthy (R-Bakersfield). They argue that it dispenses unneeded corporate welfare to large multinational firms — particularly Boeing Co.
As Congress gets back to work next week, advocates for the bank will have little time to persuade fellow lawmakers to reauthorize the bank’s charter: It’s set to expire Sept. 30.
Supporters point out that the bank is fulfilling its mission to create and sustain U.S. jobs by financing sales of U.S. goods to foreign buyers. They note that it has helped thousands of small and mid-size manufacturers throughout the country by providing loans, guarantees, insurance and other aid to those buyers.
Boeing, however, is the focal point of attack for conservatives. That’s because it is the nation’s largest single exporter and biggest beneficiary of the bank’s loans and other aid.
Boeing plays an outsized role in the U.S. economy. Its production of large commercial jetliners is so important that a good or bad month by the company alone can cause a major swing in the Commerce Department’s report on orders for long-lasting durable goods.
The aerospace giant and its supporters note that Boeing funneled $48 billion in business last year to 15,600 U.S. suppliers, including about 3,300 in California.
Those companies, such as Lamsco West, a small Santa Clarita aerospace supplier, face a hit to their business if Boeing’s exports fall off.
