Republican Divided: South Carolina Senators Clash Over Export-Import Bank

South Carolina Republican Senators Lindsey Graham and Mick Mulvaney are engaged in a heated battle over the fate of the Export-Import Bank, a lender to American exporters that has been a target of conservative criticism. Graham, who is running for the Republican presidential nomination, has taken a lead in Congress to reauthorize the bank, which he sees as essential for the state's economy, particularly for major employers Boeing and General Electric. However, Mulvaney, a Tea Party supporter, has opposed the bank, arguing that it is an example of "crony capitalism" and that the government should not be involved in the economy.

Key Takeaways:

• Senator Lindsey Graham has taken a lead in Congress to reauthorize the Export-Import Bank, citing its importance for South Carolina's economy, particularly for Boeing and General Electric.
• Representative Mick Mulvaney, a Tea Party supporter, has opposed the bank, arguing that it is an example of "crony capitalism" and that the government should not be involved in the economy.
• The bank has been a target of conservative criticism, with opponents arguing that it is unnecessary and unfair to American taxpayers.
• Graham has argued that the bank is essential for the state's exporters, with seven out of 10 Boeing planes sold with the bank's help.
• Mulvaney has countered that the bank's aid to small exporters is unfair to rival American businesses that sell domestically.
• Other South Carolina Republican lawmakers, including Representatives Trey Gowdy and Jeff Duncan, have also opposed the bank.
• The showdown over the bank's future has highlighted the deepening divide within the Republican Party over the role of government in the economy.

Statistics:

• The Export-Import Bank has returned $6.9 billion to taxpayers over the last 20 years from fees, premiums, and interest.
• Seven out of 10 Boeing planes sold under the bank's financing help.
• 90 percent of the products from Morrison Textile Machinery Company, a small business in Fort Lawn, are exported with the bank's assistance.
• 8,000 people are employed by Boeing in North Charleston.
• 90 employees are employed by Morrison Textile Machinery Company.

Sources:

• Jackie Calmes, "Republican Divided: South Carolina Senators Clash Over Export-Import Bank," The New York Times, June 11, 2015.
• "Export-Import Bank of the United States," Overview (U.S. Department of Commerce, January 2015).
• "Summary of the 2015 Budget Request for Export-Import Bank," Export-Import Bank of the United States.
• "Statement on the Export-Import Bank of the United States," United States Senate Committee on Banking, Housing, and Urban Affairs, May 12, 2015.