Increasing American Jobs Through Greater Exports to Africa Act of 2013

To create jobs in the United States by increasing United States exports to Africa by at least 200 percent in real dollar value within 10 years, and for other purposes. 1. Short title This Act may be cited as the Increasing American Jobs Through Greater Exports to Africa Act of 2013 2. Findings; purpose (a) Findings Congress makes the following findings: (1) Export growth helps United States businesses grow and create American jobs. In 2011, United States exports supported 9,700,000 jobs and 97.8 percent of United States exports came from small- and medium-sized businesses in 2010. (2) The more than 20 Federal agencies that are involved in export promotion and financing are not sufficiently coordinated to adequately expand United States commercial exports to Africa. (3) The President has taken steps to improve how the United States Government supports American businesses by mandating an executive review across agencies and a new Doing Business in Africa initiative, but a substantially greater high-level focus on Africa is needed. (4) Many other countries have trade promotion programs that aggressively compete against United States exports in Africa and around the world. For example, in 2010, medium- and long-term official export credit general volumes from the Group of 7 countries (Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States) totaled $65,400,000,000. Germany provided the largest level of support at $22,500,000,000, followed by France at $17,400,000,000 and the United States at $13,000,000,000. Official export credit support by emerging market economies such as Brazil, China, and India are significant as well. (5) Between 2008 and 2010, China alone provided more than $110,000,000,000 in loans to the developing world, and, in 2009, China surpassed the United States as the leading trade partner of African countries. In the last 10 years, African trade with China has increased from $11,000,000,000 to $166,000,000,000. (6) The Export-Import Bank of the United States substantially increased lending to United States businesses focused on Africa from $400,000,000 in 2009 to $1,400,000,000 in 2011, but the Export-Import Bank of China dwarfed this effort with an estimated $12,000,000,000 worth of financing. Overall, China is outpacing the United States in selling goods to Africa at a rate of 3 to 1. (7) Other countries such as India, Turkey, Russia, and Brazil are also aggressively seeking markets in Africa using their national export banks to provide concessional assistance. (8) The Chinese practice of concessional financing runs contrary to the principles of the Organization of Economic Co-operation and Development related to open market rates, undermines naturally competitive rates, and can allow governments in Africa to overlook the troubling record on labor practices, human rights, and environmental impact. (9) As stated in a recent report entitled Embracing Africa’s Economic Potential Economic growth in Africa has risen dramatically, but the continent’s vast economic potential has not yet been fully realized by the U.S. Government or the American private sector. (10) The African continent is undergoing a period of rapid growth and middle class development, as seen from major indicators such as Internet use, clean water access, and real income growth. In the last decade alone, the percentage of the population with access to the Internet has doubled. Seventy-eight percent of Africa’s rural population now has access to clean water. Over the past 10 years, real income per person in Africa has grown by more than 30 percent. (11) Economists have designated Africa as the next frontier market (12) In the past 10 years, Africa has been home to 6 of the 10 fastest growing economies in the world. Sub-Saharan Africa is projected to have the fastest growing economies in the world over the next 10 years, with 7 of the 10 fastest growing economies located in sub-Saharan Africa. (13) When countries such as China assist with large-scale government projects, they also gain an upper hand in relations with African leaders and access to valuable commodities such as oil and copper, typically without regard to environmental, human rights, labor, or governance standards. (14) Unless the United States can offer competitive financing for its firms in Africa, it will be deprived of opportunities to participate in African efforts to close the continent’s significant infrastructure gap that amounts to an estimated $100,000,000,000. (b) Purpose The purpose of this Act is to create jobs in the United States by expanding programs that will result in increasing United States exports to Africa by 200 percent in real dollar value within 10 years. 3. Definitions In this Act: (1) Africa The term Africa (2) African Diaspora The term African diaspora (3) AGOA The term AGOA (4) Appropriate congressional committees The term appropriate congressional committees (A) the Committee on Appropriations, the Committee on Banking, Housing, and Urban Affairs, the Committee on Foreign Relations, and the Committee on Finance of the Senate; and (B) the Committee on Appropriations, the Committee on Energy and Commerce, the Committee on Financial Services, the Committee on Foreign Affairs, and the Committee on Ways and Means of the House of Representatives. (5) Development agencies The term development agencies (6) Trade Policy Staff Committee The term Trade Policy Staff Committee section 2002.2 (7) Multilateral development banks The term multilateral development banks 22 U.S.C. 262r(c)(4) (8) Sub-Saharan region The term sub-Saharan region (9) Trade Promotion Coordinating Committee The term Trade Promotion Coordinating Committee (10) United States and Foreign Commercial Service The term United States and Foreign Commercial Service 15 U.S.C. 4721 4. Strategy (a) In general Not later than 180 days after the date of the enactment of this Act, the President shall establish a comprehensive United States strategy for public and private investment, trade, and development in Africa. (b) Focus of strategy The strategy required by subsection (a) shall focus on— (1) increasing exports of United States goods and services to Africa by 200 percent in real dollar value within 10 years from the date of the enactment of this Act; (2) promoting the alignment of United States commercial interests with development priorities in Africa; (3) developing relationships between the governments of countries in Africa and United States businesses that have an expertise in such issues as infrastructure development, technology, telecommunications, energy, and agriculture; (4) improving the competitiveness of United States businesses in Africa, including the role the African diaspora can play in enhancing such competitiveness; (5) exploring ways that African diaspora remittances can help communities in Africa tackle economic, development, and infrastructure financing needs; (6) promoting economic integration in Africa through working with the subregional economic communities, supporting efforts for deeper integration through the development of customs unions within western and central Africa and within eastern and southern Africa, eliminating time-consuming border formalities into and within these areas, and supporting regionally based infrastructure projects; (7) encouraging a greater understanding among United States business and financial communities of the opportunities Africa holds for United States exports; (8) fostering partnership opportunities between United States and African small- and medium-sized enterprises; and (9) monitoring— (A) market loan rates and the availability of capital for United States business investment in Africa; (B) loan rates offered by the governments of other countries for investment in Africa; and (C) the policies of other countries with respect to export financing for investment in Africa that are predatory or distort markets. (c) Consultations In developing the strategy required by subsection (a), the President shall consult with— (1) Congress; (2) each agency that is a member of the Trade Promotion Coordinating Committee; (3) the relevant multilateral development banks, in coordination with the Secretary of the Treasury and the respective United States Executive Directors of such banks; (4) each agency that participates in the Trade Policy Staff Committee; (5) the President's National Export Council; (6) each of the development agencies; (7) any other Federal agencies with responsibility for export promotion or financing and development; and (8) the private sector, including businesses, nongovernmental organizations, and African diaspora groups. (d) Submission to Congress (1) Strategy Not later than 180 days after the date of the enactment of this Act, the President shall submit to Congress the strategy required by subsection (a). (2) Progress report Not later than 3 years after the date of the enactment of this Act, the President shall submit to Congress a report on the implementation of the strategy required by subsection (a). (3) Content of report The report required by paragraph (2) shall include an assessment of the extent to which the strategy required by subsection (a)— (A) has been successful in developing critical analyses of policies to increase exports to Africa; (B) has been successful in increasing the competitiveness of United States businesses in Africa; (C) has been successful in creating jobs in the United States, including the nature and sustainability of such jobs; (D) has provided sufficient United States Government support to meet third country competition in the region; (E) has been successful in helping the African diaspora in the United States participate in economic growth in Africa; (F) has been successful in promoting economic integration in Africa; and (G) has made a meaningful contribution to the transformation of Africa and its full integration into the 21st century world economy, not only as a supplier of primary products but also as full participant in international supply and distribution chains and as a consumer of international goods and services. 5. Special Africa Strategy Coordinator The President shall designate an individual to serve as Special Africa Export Strategy Coordinator— (1) to oversee the development and implementation of the strategy required by section 4; and (2) to coordinate with the Trade Promotion Coordinating Committee, (the interagency AGOA committees), and development agencies with respect to developing and implementing the strategy. 6. Trade mission to Africa It is the sense of Congress that, not later than 1 year after the date of the enactment of this Act, the Secretary of Commerce and other high-level officials of the United States Government with responsibility for export promotion, financing, and development should conduct a joint trade mission to Africa. 7. Personnel (a) United States and foreign commercial service (1) In general The Secretary of Commerce shall ensure that not less than 10 total United States and Foreign Commercial Service officers are assigned to Africa for each of the first 5 fiscal years beginning after the date of the enactment of this Act. (2) Assignment The Secretary shall, in consultation with the Trade Promotion Coordinating Committee and the Special Africa Export Strategy Coordinator, assign the United States and Foreign Commercial Service officers described in paragraph (1) to United States embassies in Africa after conducting a timely resource allocation analysis that represents a forward-looking assessment of future United States trade opportunities in Africa. (3) Multilateral development banks (A) In general As soon as practicable after the date of the enactment of this Act, the Secretary of Commerce shall, using existing staff, assign not less than 1 full-time United States and Foreign Commercial Service officer to the office of the United States Executive Director at the World Bank and the African Development Bank. (B) Responsibilities Each United States and Foreign Commercial Service officer assigned under subparagraph (A) shall be responsible for— (i) increasing the access of United States businesses to procurement contracts with the multilateral development bank to which the officer is assigned; and (ii) facilitating the access of United States businesses to risk insurance, equity investments, consulting services, and lending provided by that bank. (b) Export-Import Bank of the United States Of the amounts collected by the Export-Import Bank that remain after paying the expenses the Bank is authorized to pay from such amounts for administrative expenses, the Bank shall use sufficient funds to do the following: (1) Increase the number of staff dedicated to expanding business development for Africa, including increasing the number of business development trips the Bank conducts to Africa and the amount of time staff spends in Africa to meet the goals set forth in section 9 and paragraph (4) of section 6(a) of the Export-Import Bank of 1945, as added by section 9(a)(2). (2) Maintain an appropriate number of employees of the Bank assigned to United States field offices of the Bank to be distributed as geographically appropriate through the United States. Such offices shall coordinate with the related export efforts undertaken by the Small Business Administration regional field offices. (3) Upgrade the Bank's equipment and software to more expeditiously, effectively, and efficiently process and track applications for financing received by the Bank. (c) Overseas Private Investment Corporation (1) Staffing Of the net offsetting collections collected by the Overseas Private Investment Corporation used for administrative expenses, the Corporation shall use sufficient funds to increase by not more than 5 the staff needed to promote stable and sustainable economic growth and development in Africa, to strengthen and expand the private sector in Africa, and to facilitate the general economic development of Africa, with a particular focus on helping United States businesses expand into African markets. (2) Report The Corporation shall report to the appropriate congressional committees on whether recent technology upgrades have resulted in more effective and efficient processing and tracking of applications for financing received by the Corporation. (3) Certain costs not considered administrative expenses For purposes of this subsection, systems infrastructure costs associated with activities authorized by title IV of chapter 2 of part I of the Foreign Assistance Act of 1961 (22 U.S.C. 231 et seq.) shall not be considered administrative expenses. (d) Rule of construction Nothing in this section shall be construed as permitting the reduction of Department of Commerce, Department of State, Export Import Bank, or Overseas Private Investment Corporation personnel or the alteration of planned personnel increases in other regions, except where a personnel decrease was previously anticipated or where decreased export opportunities justify personnel reductions. 8. Training The President shall develop a plan— (1) to standardize the training received by United States and Foreign Commercial Service officers, economic officers of the Department of State, and economic officers of the United States Agency for International Development with respect to the programs and procedures of the Export-Import Bank of the United States, the Overseas Private Investment Corporation, the Small Business Administration, and the United States Trade and Development Agency; and (2) to ensure that, not later than 1 year after the date of the enactment of this Act— (A) all United States and Foreign Commercial Service officers that are stationed overseas receive the training described in paragraph (1); and (B) in the case of a country to which no United States and Foreign Commercial Service officer is assigned, any economic officer of the Department of State stationed in that country shall receive that training. 9. Export-Import Bank Financing (a) Financing for projects in Africa (1) Sense of Congress It is the sense of Congress that foreign export credit agencies are providing non-OECD arrangement compliant financing in Africa, which is trade distorting and threatens United States jobs. (2) In general Section 6(a) of the Export-Import Bank Act of 1945 ( 12 U.S.C. 635e(a) (4) Percent of financing to be used for projects in africa The Bank shall, to the extent that there are acceptable final applications, increase the amount it finances to Africa over the prior year’s financing for each of the first five fiscal years beginning after the date of the enactment of the Increasing American Jobs Through Greater Exports to Africa Act of 2013 . (3) Report Not later than 1 year after the date of the enactment of this Act, and annually thereafter for 5 years, the Export-Import Bank shall report to the Committee on Banking, Housing, and Urban Affairs the Committee on Foreign Relations the Committee on Appropriations of the Senate Committee on Financial Services Committee on Foreign Affairs Committee on Appropriations of the House of Representatives (b) Availability of portion of capitalization To compete against foreign concessional loans (1) In general The Bank shall make available annually such amounts as are necessary for loans that counter trade distorting non-OECD arrangement compliant financing or preferential, tied aid, or other related non-market loans offered by other nations for which United States companies are also competing or interested in competing. (2) Report Not later than 1 year after the date of the enactment of this Act, and annually thereafter for 5 years, the Export-Import Bank shall submit to the Committee on Banking, Housing, and Urban Affairs the Committee on Foreign Relations the Committee on Appropriations of the Senate Committee on Financial Services Committee on Foreign Affairs Committee on Appropriations of the House of Representatives Trade Secrets Act 10. Small Business Administration Section 22(b) of the Small Business Act ( 15 U.S.C. 649(b) (1) in the matter preceding paragraph (1), by inserting the Trade Promotion Coordinating Committee, Director of the United States Trade and Development Agency, (2) in paragraph (3), by inserting regional offices of the Export-Import Bank, Retired Executives, 11. Bilateral, subregional and regional, and multilateral agreements Where applicable, the President shall explore opportunities to negotiate bilateral, subregional, and regional agreements that encourage trade and eliminate nontariff barriers to trade between countries, such as negotiating investor friendly double-taxation treaties and investment promotion agreements. United States negotiators in multilateral forum should take into account the objectives of this Act. To the extent any such agreements exist between the United States and an African country, the President shall ensure that the agreement is being implemented in a manner that maximizes the positive effects for United States trade, export, and labor interests as well as the economic development of the countries in Africa.

Summary: Increasing American Jobs Through Greater Exports to Africa Act of 2013 - Directs the President to establish a comprehensive U.S. strategy for public and private investment, trade, and development in Africa (including the Republic of South Sudan) that focuses, among other things, on: (1) increasing exports of U.S. goods and services to Africa by 200% in real dollar value within 10 years, (2) promoting the alignment of U.S. commercial interests with development priorities in Africa, (3) improving the competitiveness of U.S. businesses in Africa, (4) encouraging a greater understanding among U.S. business and financial communities of the opportunities Africa holds for U.S. exports, and (5) fostering partnership opportunities between U.S. and African small- and medium-sized enterprises. Requires the President to designate a Special Africa Export Strategy Coordinator. Expresses the sense of Congress that the Secretary of Commerce and other high-level U.S. officials with responsibility for export promotion, financing, and development should conduct a joint trade mission to Africa. Directs the Secretary to ensure that at least 10 total U.S. and Foreign Commercial Service officers are assigned to U.S. embassies in Africa for each of the first 5 fiscal years after enactment of this Act. Requires the Secretary to assign at least one full-time officer to the office of the U.S. Executive Director at the World Bank and the African Development Bank to: (1) increase access of U.S. businesses to procurement contracts with the bank; and (2) facilitate access of such businesses to risk insurance, equity investments, consulting services, and lending provided by the bank. Prescribes increases in the number of: (1) Export-Import Bank of the United States employees dedicated to expanding business development for Africa and assigned to bank field offices in Africa and the United States, and (2) Overseas Private Investment Corporation (OPIC) staff needed to promote stable and sustainable economic growth and development in Africa as well as to help U.S. businesses to expand into African markets. Directs the President to develop a plan for standardized training of all U.S. and Foreign Commercial Service officers, Department of State economic officers, and U.S Agency for International Development (USAID) economic officers with respect to Bank, OPIC, Small Business Administration (SBA), and U.S. Trade and Development Agency programs and procedures. Expresses the sense of Congress that foreign export credit agencies are providing non-Organization of Economic Co-operation and Development (OECD) arrangement compliant financing in Africa that is trade distorting and threatens U.S. jobs. Amends the Export-Import Bank Act of 1945 to direct the Bank to increase the amount of loans, guarantees, and insurance for projects in Africa. Requires the Bank to report annually to Congress if it has not used at least 10% of such loans, guarantees, and insurance for projects in Africa. Directs the Bank to make Bank capitalization available annually for loans that counter trade distorting non-OECD arrangement compliant financing or preferential, tied aid, or other related non-market loans offered by other nations for which U.S. companies are also competing or interested in competing. Amends the Small Business Act to require the Associate Administrator of Small Business for International Trade to work closely with the Trade Promotion Coordinating Committee (TPCC), among others, in maintaining a trade distribution network. Directs the President to explore opportunities to negotiate bilateral, subregional, and regional agreements to encourage trade and eliminate nontariff barriers to trade between countries (including Africa), such as negotiating investor friendly double-taxation treaties and investment promotion agreements.