Title 12 — Banks and BankingRelease 119-73not60

§635p Presidential Mandate to Negotiate; Objectives

Title 12 › Chapter 6A— EXPORT-IMPORT BANK OF THE UNITED STATES › Subchapter III— TIED AID CREDIT EXPORT SUBSIDIES › § 635p

Last updated Apr 3, 2026|Official source

Summary

The President must actively negotiate international agreements to limit and control the use of tied aid for exports. Goals for those talks include: defining the different kinds of tied aid (including mixed credits under the OECD export-credit rules); ending government-mixed credits by a set date; making rules for public‑private cofinancing and other mixed financing that can use concessional aid to subsidize exports; raising the notification trigger to a 50 percent concessionality level and requiring advance notice for all uses; and banning tied aid for factories that make goods already in global oversupply.

Full Legal Text

Title 12, §635p

Banks and Banking — Source: USLM XML via OLRC

The President shall vigorously pursue negotiations to limit and set rules for the use of tied aid for exports. The negotiating objectives of the United States should include reaching agreements—

(1)to define the various forms of tied aid credit, particularly mixed credits under the Arrangement on Guidelines for Officially Supported Export Credits established through the Organization for Economic Cooperation and Development (hereinafter in this subchapter referred to as the “Arrangement”);

(2)to phase out the use of government-mixed credits by a date certain;

(3)to set rules governing the use of public-private cofinancing, or other forms of mixed financing, which may have the same result as government-mixed credits of drawing on concessional development assistance to produce subsidized export financing;

(4)to raise the threshold for notification of the use of tied aid credit to a 50 per centum level of concessionality;

(5)to improve notification procedures so that advance notification must be given on all uses of tied aid credit; and

(6)to prohibit the use of tied aid credit for production facilities for goods which are in structural oversupply in the world.

Reference

Citations & Metadata

Citation

12 U.S.C. § 635p

Title 12 — Banks and Banking

Last Updated

Apr 3, 2026

Release point: 119-73not60