In a significant move announced by U.S. Department of Agriculture chief Brooke Rollins, the U.S. government is set to impose a nationwide ban on sales of farmland to buyers associated with China and other foreign adversaries. This decision comes amid growing concerns over national security and the integrity of the food supply chain.
During a joint press conference alongside Defense Secretary Pete Hegseth and Homeland Security Secretary Kristi L. Noem, Rollins stated that efforts are underway to reclaim land currently held by China-linked investors, with all options on the table for a potential clawback initiative. An executive order from the White House is expected to follow shortly.
Rollins emphasized that the USDA would work closely with state legislators to expedite the passage of laws aimed at preventing future purchases, particularly focusing on land in proximity to military bases. She remarked, “With this announcement today we are taking this purpose and our American farmland back. American agriculture is not just about feeding our families but about protecting our nation and standing up to foreign adversaries who are buying our farmland, stealing our research and creating dangerous vulnerabilities.”
While this new directive is aimed at various adversaries, including Russia and Iran, the primary focus is on China. Currently, Chinese investors hold only about 0.0003 percent of total U.S. farmland, a figure that has notably decreased since 2021 — down around 31 percent. According to USDA data, China-linked investors control approximately 265,000 acres of American land, much of it connected to Smithfield Foods, a company acquired by Chinese conglomerate WH Group in 2013.
In a statement on the matter, Smithfield Foods revealed that they had reduced their agricultural holdings to around 85,000 acres, having sold over 40,000 acres in the previous year. The company asserted that most of its products are produced and consumed domestically in the United States and passed a national security review conducted by the Treasury Department’s Committee on Foreign Investment in the United States (CFIUS).
Smithfield emphasized that WH Group is not a Chinese state-owned enterprise and does not engage in commercial activities on behalf of the Chinese government.
The recent USDA announcement follows the precedent set in October 2023 when state officials in Arkansas ordered Chinese-owned seed producer Syngenta to sell 160 acres of farmland in the U.S., stating national security concerns as the reason for the sale. The company eventually sold the land, facing a fine of $280,000 for the failure to disclose its ownership. Under the new USDA plan, penalties for non-disclosure are expected to be increased to the maximum legal limit of 25% of the land’s value.
Arkansas Governor Sarah Huckabee Sanders proudly stated at the USDA news conference that they were the first state to expel a Chinese-owned company from its farmland and ensured they paid fines for their actions.
As the announcement about stricter farmland regulations unfolds, it coincides with the Trump administration’s mass deportation strategy, which overlaps with the agricultural sector’s dependence on migrant labor. In response to questions regarding the effects on agricultural labor, Rollins indicated that mass deportations would continue, emphasizing a “strategic and intentional way,” without offering any pathways to amnesty.
Rollins noted that there are “plenty” of individuals available to work within the country, referring to an estimated “34 million able-bodied adults currently on Medicaid.” Additionally, the USDA disclosed it had removed 70 individuals and 550 entities reportedly linked to countries of concern from its contracts and research partnerships, although no further specifics were provided regarding these entities.
During the press conference, U.S. officials and Republican lawmakers outlined scenarios such as the potential for Chinese surveillance of military hardware and troop movements.
Although no known instances have been documented of Chinese companies using farmland in the U.S. for military surveillance, authorities have identified targeted efforts from Chinese intelligence agencies focused on American agriculture. In a related case, two Chinese scientists faced charges last month for attempting to smuggle a harmful fungus into the U.S., capable of inflicting damage on grain crops.
“No longer can foreign adversaries assume we’re not watching,” stated Hegseth. He added that the Pentagon will likewise take action to prohibit sale of farmland to foreign adversaries located near military installations, aiming to secure food supplies for U.S. soldiers, particularly in a crisis scenario.
Critics of foreign ownership of American farmland argue that significant investments from Chinese firms could afford Beijing undue influence over critical components of the American food supply, especially during emergencies. At present, Chinese entities control about 0.5 percent of roughly 46 million acres of U.S. farmland owned by foreign investors, a relatively modest share compared to Canada, which holds nearly one-third of foreign-owned agricultural land in the U.S.
Lawmakers across the political spectrum have taken steps to advance legislative efforts blocking land purchases by Chinese-linked firms. Last month, the House passed the Agricultural Risk Review Act, which mandates the Agriculture Department to report on farmland acquisitions tied to adversarial nations.
Additionally, the bipartisan Farmland Act, introduced in March, would initiate federal reviews for substantial land deals involving foreign entities and create a public database to track foreign-held agricultural properties.
At the state level, Florida has enacted laws to prevent Chinese citizens from acquiring land near critical infrastructure and military sites, while in Montana, lawmakers passed legislation that limits sales of land close to military installations to foreign adversaries, particularly in the wake of a suspected Chinese surveillance balloon incident.
Concerns regarding farmland deals involving Chinese interests have surged following a controversial acquisition in North Dakota, where the Chinese-owned Fufeng Group purchased 370 acres for a corn milling facility near Grand Forks Air Force Base. Local officials halted the project, citing national security issues.
This incident highlighted gaps within CFIUS regulations, which previously permitted Chinese-linked firms to acquire land near military bases that were not officially labeled as sensitive. Rollins declared that as part of the overarching national security restructuring at the Agriculture Department, she would become a member of CFIUS, thereby gaining a role in evaluating foreign investment in the U.S.
Senator Roger Marshall, co-sponsor of a bill advocating for the agriculture secretary’s permanent inclusion in CFIUS, conveyed a strong message to China: “China, here’s your ticket. Do not pass go. Get the hell off American agriculture.”
image source from：houstonherald
