Upcoming Congressional Hearing on China’s Threat to U.S. Agriculture and Land Ownership
A congressional hearing scheduled for Wednesday will delve into the perceived threat posed by China to the U.S. agriculture industry, particularly concerning the increasing foreign ownership of American farmland. The House Ag Committee plans to address issues such as intellectual property theft, cyber infrastructure hacking and foreign acquisitions of American farmland. The hearing, titled “The Danger China Poses to American Agriculture,” will explore legislative options to counter these threats and bolster food and national security.
House Ag Chairman Glenn “GT” Thompson (R-Pa.) highlighted concerns over China’s activities, including intellectual property theft, cyber intrusions and land acquisitions. “It’s no secret that China poses significant threats to our way of life, agriculture is no exception. We’ve seen China steal our intellectual property, hack our cyber infrastructure and buy up American farmland,” said Thompson. “We will look to every available legislative vehicle, including the farm bill, to stop China in its tracks and strengthen our food and national security.” The committee aims to utilize available legislative tools, including the farm bill, to address these challenges and prevent China from undermining American interests.
Testimony during the hearing will be provided by various officials, including South Dakota Governor Kristi Noem, who has implemented strict measures against foreign ownership of farmland in her state, as well as representatives from the Select Committee on the Chinese Communist Party.
A report released by the Government Accountability Office (GAO) in January revealed significant growth in foreign investment in U.S. agricultural land, reaching approximately 40 million acres in 2021, according to USDA estimates. The report, requested by Thompson and House Oversight Chair James Comer (R-Ga.), highlighted national security risks associated with foreign ownership, particularly when land is located near military installations.
GAO identified shortcomings in USDA’s sharing of timely data on foreign investments in agricultural land, emphasizing the need for improved transparency and real-time monitoring. While the Committee on Foreign Investment in the United States (CFIUS) is tasked with assessing potential national security risks, the GAO noted that the USDA's publication of relevant data is limited and infrequent.
To address these gaps, USDA has requested funding to establish a real-time data system for monitoring foreign investments in U.S. agricultural land, with the goal of enhancing visibility and facilitating interagency cooperation. Thompson and Comer emphasized the importance of safeguarding American farmland and food security, pledging to collaborate with relevant agencies and committees to address the findings of the GAO report through legislative action.
Of note: USDA faces several challenges in collecting Agriculture Foreign Investment Disclosure Act (AFIDA) data, including reliance on self-reporting, unclear processes, lack of verification and quality reviews, limited tracking capabilities, paper-based submission process, lack of clear instructions and guidance, data entry errors, incomplete and inaccurate data, limited data verification and monitoring, and insufficient funding for online submission process and public database. These challenges contribute to the difficulty in obtaining accurate and timely information on foreign investments in U.S. agricultural land. Start a Pro Farmer free trial for more policy updates.