Import-Export Bank: Status of End-Use Monitoring of Dual-Use Exports in August 2020
What GAO found
As of August 2020, the Export-Import Bank of the United States (EXIM) had monitored the end-use of the dual-use single-use export transaction that it had continued to fund in fiscal year 2018, as a summary below.
- Two satellites for the government of Mexico. A fixed service satellite was launched in December 2012 and became operational in February 2013, and a mobile service satellite was launched in October 2015 and became operational in December 2015. For 2020, EXIM has received all government documents of Mexico on time and then determined that Mexico complied with the bank’s dual-use policy.
EXIM did not fund any new exports under its dual-use authorization in fiscal 2019, according to authorization data from EXIM and EXIM officials.
Why GAO did this study
EXIM’s mission is to support the export of American goods and services abroad through loans, loan guarantees and insurance, thereby supporting jobs in the United States. In 1994, Congress passed legislation authorizing EXIM to facilitate the financing of U.S. exports of defense items and services with commercial and military applications, provided the bank determines that such items are non-lethal and primarily intended for civilian use. These “dual-use” exports have included, for example, construction equipment for foreign military to use in building roads. The same law provided that GAO, in conjunction with EXIM, was to report annually on the end uses of dual-use exports funded by EXIM in the second preceding fiscal year.
This report (1) examines the status of EXIM’s monitoring of dual-use exports that it continued to finance during fiscal year 2018, from August 2020; and (2) identify any new dual-use exports funded by EXIM during fiscal year 2019.
For more information, contact Kimberly Gianopoulos at (202) 512-8612 or email@example.com.