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Foreign nations have purchased over 40 million acres in US

 January 20, 2024

Concerns are mounting as foreign investors, including those from nations at odds with the U.S., have acquired over 40 million acres of American land, with some plots lying close to crucial military sites.

Recent findings have brought to light a significant increase in the foreign ownership of U.S. territory, encompassing farmland, pastures, and forests.

This revelation, highlighted in a new report by the Government Accountability Office (GAO), has raised eyebrows across the political spectrum, sparking a bipartisan call for tighter restrictions on land purchases by foreign entities, especially those from nations with a contentious relationship with the United States, as reported by the Daily Mail.

Officials raise alarm over espionage and food security risks

One of the more alarming aspects of this trend is the proximity of some of these foreign-owned lands to sensitive military facilities.

This proximity raises the specter of potential espionage and poses a direct challenge to America's national security infrastructure. Moreover, the integrity of the nation's food supply chains is also under scrutiny, as foreign ownership could potentially exert undue influence or control over this critical sector.

The GAO's report underscores a lack of reliable tracking of land ownership by U.S. officials, suggesting that the reported 40 million acres might only represent the tip of the iceberg.

The data collected is often outdated or incomplete, raising questions about the true extent of foreign ownership and the potential risks associated with it.

Lawmakers demand action from the Biden Administration

The bipartisan furor over this issue has led to a united front in Congress, with both Democratic and Republican leaders urging the Biden Administration to take decisive action.

Democratic Sen. Jon Tester (MT) and Republican Rep. Dan Newhouse (WA) have been vocal in expressing their concerns, emphasizing the need to safeguard American agricultural security and to prevent foreign adversaries from gaining a foothold near sensitive military sites.

Newhouse said:

This report confirms one of our worst fears: that not only is the United States Department of Agriculture (USDA) unable to answer the question of who owns what land and where, but that there is no plan by the department to internally reverse this dangerous flaw that affects our supply chain and economy.

The crux of the issue lies in the inadequacies of the current data collection and verification processes employed by the USDA.

The data, often collected via paper forms, is not shared in a timely manner and lacks sufficient verification, leading to unreliable reporting on the extent of foreign ownership of U.S. agricultural land.

Chinese investments and missing records raise eyebrows

Particularly concerning is the significant investment by Chinese entities in American soil, with ownership claims spread across 28 states and totaling over 186,823 acres.

This figure has seen a staggering increase from a decade ago, reflecting a broader trend of aggressive foreign investment in U.S. land.

Notably, Chinese billionaire Chen Tianqiao's substantial investment in Oregon timberland is conspicuously absent from government records, signaling potential gaps in the monitoring and reporting system.

Kimberly Gianopoulos, director of GAO, said:

Recent reporting about Chen Tianqiao holding 200,000 acres of agricultural land does not appear to be accounted for in USDA’s data.

The issue is not confined to China alone. The USDA report reveals that investors from 99 countries have stakes in US land, including nations with contentious relationships with the US such as Cuba, Iran, North Korea, Russia, and Venezuela.

This diverse ownership mosaic underscores the global nature of the challenge and the need for a robust and responsive policy framework to address it.

Strategic locations near military bases cause concern

Particularly alarming is the acquisition of land near strategic military installations, such as the purchase of farmland in North Dakota by China’s Fufeng Group.

This land is situated perilously close to Grand Forks Air Force Base, a hub of sensitive military drone technology. The strategic positioning of such foreign-owned lands raises grave concerns about the potential for these sites to be used for surveillance or other activities detrimental to US national interests.

The issue of foreign land ownership is not just a matter of national security but also pertains to economic sovereignty.

Republican South Dakota Gov. Kristi Noem recently echoed this sentiment, stressing the need for a coordinated response between states and Congress to counter the increasing influence of foreign entities, particularly the Chinese Communist Party, on American agricultural land.

Canadian and European investors also hold significant stakes

While the focus has often been on adversarial nations, it's worth noting that investors from friendly countries like Canada, the Netherlands, Italy, the U.K., and Germany collectively own a substantial portion of U.S. agricultural land.

This highlights the complexity of the issue, where economic interests and international relations intersect, necessitating a nuanced approach to policymaking and regulation.

The distribution of foreign-owned land across different land types – with forestland, cropland, and pasture making up significant portions – reflects the diverse nature of foreign investments in U.S. territory.

This diversity underscores the multifaceted impact of foreign land ownership on various aspects of American life, from environmental stewardship to agricultural production and national security.

Conclusion

  • The GAO report unveils a 40% increase in foreign land ownership in the U.S. since 2016, raising national security and food supply concerns.
  • Lawmakers across the political spectrum demand stricter controls on land purchases by foreign entities, particularly those from adversarial nations.
  • The USDA's inadequate data collection and verification processes lead to unreliable reporting on the extent of foreign land ownership.
  • Investments from nations like China, Cuba, Iran, North Korea, Russia, and Venezuela in U.S. land highlight the global nature of the issue.
  • The proximity of some foreign-owned lands to sensitive military sites poses a potential threat to U.S. national security.
  • A nuanced approach is needed to address the complex tapestry of foreign land ownership in the U.S., balancing economic interests with national security concerns.