Ex-Im Foregone Deal Of The Day: Sage Automotive Would Lose “Several Hundred Jobs” Without Ex-Im
By all accounts, Sage Automotive Interiors Inc. in Greenville, S.C., is an American success story. Currently, it is the second largest manufacturer of automotive seating fabric in the world. Despite its success, Sage Automotive has struggled to find financing to facilitate its exports in the commercial market.
That is why, on this day four years ago, Sage Automotive turned to the U.S. Export-Import (Ex-Im) Bank to secure a working capital guarantee for $9 million. Sage Automotive had looked for funding through private banks, but found that they would not extend a line of credit that used foreign orders as collateral.
The company used this Ex-Im guaranteed line of credit to invest in new machinery and technology, pay their workers, and purchase the materials necessary to export their high-quality products to the world.
Unfortunately, if Sage Automotive needed the same working capital guarantee today, they’d be out of luck. Since June 30, when Congress failed to reauthorize the Ex-Im Bank, companies like Sage Automotive – who make a real economic impact in their communities – have lost the financing they need to export.
In fact, in a recent New York Times article, sage ceo dirk pieper “said the company’s $300 million in sales and $42 million United States payroll would not be possible without Ex-Im. The company employs about 1,000 people in South Carolina, and a loss of Ex-Im funding would result in a loss of several hundred jobs.”
Congress needs to recognize the harm its inaction is causing U.S. job creators and manufacturers. The longer Congress waits to reauthorize Ex-Im, the more damage they do to the economy.
In total, Ex-Im has authorized more than $95 million in financing, helping 67 U.S. companies export, on this day over the past five years. This financing directly supported job creators and communities across America.
Congress must act to renew Ex-Im’s charter and protect U.S. jobs.
Click here to read more stories about how Ex-Im is critical to supporting U.S. exporters and their workers.