The Senate Banking Committee on Tuesday rejected President Trump Donald John TrumpHouse Democrat slams Donald Trump Jr. for ‘serious case of amnesia’ after testimony Skier Lindsey Vonn: I don’t want to represent Trump at Olympics Poll: 4 in 10 Republicans think senior Trump advisers had improper dealings with Russia MORE's nominee to lead the Export-Import Bank.

The panel in a 10-13 vote declined to advance the nomination of Scott Garrett Ernest (Scott) Scott GarrettTrump should fill CFPB vacancy with Export-Import chief Manufacturers keep pressure on Ex-Im nominee Garrett Scott Garrett poses real threat to EXIM Bank, small businesses MORE, a former Republican congressman from New Jersey.



Two Republicans — Sens. Mike Rounds Marion (Mike) Michael RoundsTrump should fill CFPB vacancy with Export-Import chief Tax bill could fuel push for Medicare, Social Security cuts Senate passes tax overhaul, securing major GOP victory MORE (S.D.) and Tim Scott Timothy (Tim) Eugene ScottMcConnell names Senate GOP tax conferees GOP senator: Trump shouldn't pardon Flynn Trump should fill CFPB vacancy with Export-Import chief MORE (S.C.) — joined Democrats in opposing the nominee.

“If there was ever somebody who didn’t belong at the helm of the Ex-Im bank, it was Scott Garrett," Senate Democratic Leader Charles Schumer Charles (Chuck) Ellis SchumerAmerica isn't ready to let Sessions off his leash Schumer celebrates New York Giants firing head coach: ‘About time’ GOP should reject the left's pessimism and the deficit trigger MORE (D-N.Y.) said.

Schumer called on Trump to withdraw Garrett's nomination and choose someone who will "fulfill the mission of the Ex-Im bank."

Garrett's nomination proved deeply controversial with the Banking committee, and his chances of being recommended by the panel seemed to plunge last week when Rounds announced he would oppose him. Yet the White House refused to pull his name from consideration.

Marc Short, the White House's legislative affairs director, on Tuesday said it was disappointing "that the Senate Banking Committee missed this opportunity to get the Export Import Bank fully functioning again."



Short said the White House will "work with the committee on a path forward."



At his confirmation hearing last month, senators from both parties grilled Garrett over his push to disband the Ex-Im Bank as a member of Congress.

While in the House, Garrett was among the conservatives who persistently tried to shut down the Ex-Im Bank on the grounds that its “crony capitalism�? distorts the market to help some of America’s biggest companies."

Senators questioned whether his views had changed and asked why he should be allowed to lead the agency now.

Garrett vowed that he would let the bank “continue to fully operate,�? but many of the senators were unconvinced.



Sen. Sherrod Brown Sherrod Campbell BrownThe Hill's 12:30 Report Avalanche of Democratic senators say Franken should resign Overnight Regulation: Feds push to clarify regs on bump stocks | Interior wants Trump to shrink two more monuments | Navajo Nation sues over monument rollback | FCC won't delay net neutrality vote | Senate panel approves bill easing Dodd-Frank rules MORE of Ohio, the top Democrat on the panel, on Tuesday said senators from both parties left that Nov. 1 hearing without any concrete proof that Garrett had actually changed his mind about Ex-Im.

Rounds said he opposed Garrett's nomination “because I believe he’s a principled man who simply believes in the abolishment of the bank.�?

“I think that strong desire on his part to see it abolished as an example of crony capitalism would not have worked in the operation of the bank,�? he said during the hearing.

“So while I wish him no ill, I do believe that he was not the right person to be the chairman,�? he said.

Rounds said he wants to work with the White House to find a chairman who would work to reform the bank rather than kill it.



Major business groups in Washington like the National Association of Manufacturers (NAM) waged an aggressive campaign against Garrett, accusing him of harboring an ideological agenda for the agency.



“The Senate Banking Committee did right by America’s manufacturing workers today by rejecting Scott Garrett’s nomination,�? said NAM President and CEO Jay Timmons.



“This agency, which has supported 1.4 million jobs over the past several years, is too important for manufacturers and our economy to be led by someone who has consistently tried to destroy it,�? Timmons said.

The committee on Tuesday did approve four other nominees to serve on the Ex-Im board — Kimberly Reed, Spencer Bachus Spencer Thomas BachusTrump bank nominee gets rough reception at confirmation hearing Overnight Finance: Breaking - GOP delays release of tax bill | Changes to 401(k)s, state and local taxes hold up bill | Trump aims to sign tax legislation by Christmas | Hensarling to retire after term | Trump to repeal arbitration rule Senators, don't put Ex-Im Bank's fossil fuel financing back in business MORE, Judith Pryor and Claudia Slacik. If they are confirmed by the Senate, that would give Ex-Im a quorum, allowing the agency to approve business deals of greater than $10 million.



The bank has lacked a quorum for nearly two years. The Banking panel under then-Chairman Richard Shelby Richard Craig ShelbyObstruction of justice watch: Trump attacks the FBI The Hill's 12:30 Report Alabama businesses fear Moore victory would hurt state economy: report MORE (R-Ala.) refused to consider President Obama’s nominees for the bank's board.



Brown said that there are $37 billion worth of deals in the Ex-Im pipeline over $10 million. About $8 billion to $10 billion of those could potentially be approved within a month, he said.



Timmons urged the Senate to quickly confirm the other four nominees so the Ex-Im Bank can operate at full strength.

Senate Majority Leader Mitch McConnell Addison (Mitch) Mitchell McConnellGOP strategist donates to Alabama Democrat McConnell names Senate GOP tax conferees Brent Budowsky: A plea to Alabama voters MORE's office said they had no guidance about whether the Senate would take up the four nominations to the five-member board.



The Ex-Im Bank lends money to foreign buyers to promote U.S. exports, with Boeing and General Electric the two biggest beneficiaries of the financing.

A GE spokesperson said the committee’s vote against Garrett is “a milestone for manufacturers across the U.S. whose customers require a fully-functioning Ex-Im Bank.�?

“We urge the full Senate to move quickly on behalf of U.S. workers and companies of all sizes to guarantee the Bank can once again operate at full strength,�? the spokesperson said.



- This story was updated at 1:39 p.m. Jordan Fabian contributed.