U.S. suppliers of heavy trucks and road-building equipment are tapping trade-finance insurance from the Export-Import Bank to help rebuild transportation and telecommunications infrastructure in Chile.
The Ex-Im Bank said over the last two months it has approved five medium-term insurance policies through PNC Bank for buyers in Chile of U.S. goods. That country was struck by a magnitude 8.8 earthquake on Feb. 27 that inflicted heavy damage on its transport and communications networks.
Fred P. Hochberg, chairman and president of the U.S. export assistance agency, said “Ex-Im Bank is committed to providing financing products that help U.S. companies export equipment to Chile. These exports will help reconstruct Chilean infrastructure."
The self-supporting agency’s tools include some direct loans, but mainly federal loan guarantees and trade insurance to back private bank credit for sales of U.S. products.
For Chile, truck manufacturer Navistar -- the Warrenville, Ill., firm that is parent to the International truck line -- will use a $1.7 million Ex-Im policy to export trucks to Maquinarias y Equipos Santa Marta, a large Chilean provider of transportation services.
Another $1.7 million policy will be tapped by Deere and Company, Moline, Ill., and Mack Trucks of Allentown, Pa., so they can send dump trucks, loaders and motor graders to earthmoving and excavating firm Constructora Excon.
Deere and Mack will also use a $4.3 million policy for construction equipment sales to Empresa Constructora Agua Santa, mainly loaders and motor graders, Ex-Im Bank said.
Portland, Ore., exporter Daimler Trucks North America will ship road building equipment to Chilean firm Empresa Constructora de Obras Viales, using $605,591 in Ex-Im trade insurance.
For telecom sales, Motorola of Plantation, Fla., is using a $1.3 million agency insurance policy to export new and used equipment to Gallyas S.A. in Chile.
-- Contact John D. Boyd at email@example.com.