GE moving gas engine production from Waukesha to Canada

The company now employs 350 people at its manufacturing facility in Waukesha, building gas engines for compression, mechanical drive and power generation applications.

Yet the Export-Import Bank, dwarfed by the Pentagon and most federal agencies, is at the center of a brawl pitting US companies against a determined band of congressional Republicans and their allies at conservative organizations.

The company plans to build a new $265 million “brilliant factory” to manufacture engines in Canada, which will have the added ability to manufacture diesel engine components for GE Transportation.

GE said the reason they are moving is because of “Congress’ inability to reauthorize the export / import bank”. The deduct when it comes to the Us all handle credit lines group the ExportovervallenImport Bank, or ExovervallenIm failed on July one-.

Trade development agencies have been lining up for GE’s business in the interim.

The company said the new state-of-the-art plant in Canada and will be a flexible facility that can expand over time and also support manufacturing requirements for other GE businesses.

Contacted by CBC News, GE Canada said there was no further information regarding the location or the process it will use to determine where the plant is. “Without it, we can not compete and our customers may be forced to select other providers”. We know these announcements will have regrettable impact not only on our employees but on the hundreds of USA suppliers we work with that can not move their facilities, but we can not walk away from our customers, ” said John Rice, Vice Chairman, GE.

GE is now bidding on $11 billion USA of projects that require export financing and the company noted that a year ago the EDC facilitated exports and investments of approximately $100 billion Canadian.

Rice said GE would continue to move jobs and make deals with foreign export credit agencies where such support is needed for the industrial conglomerate to compete for foreign contracts. But few projects involving these engines now use EXIM financing, so the move is more aimed at finding government export credit for other businesses, the GE spokeswoman said. However, we must prepare for the worst case and arrange export finance outside the U.S. Unfortunately, this will come at the expense of American jobs.

Earlier this month, GE executives announced plans to create 500 jobs in its power and water business in France, Hungary and China, saying it would enable the country to secure export financing from those countries in exchange for creating jobs.