As the Chinese Communist Party (CCP) sets its sights on the United States, federal and state lawmakers are taking proactive steps to combat this threat. How so? By banning CCP-affiliated individuals, governments, and firms from purchasing U.S. farmland.
The motivation behind this is two-fold: protecting national security interests while safeguarding food security. This issue rose to prominence after it was revealed a CCP-linked firm was eyeing farmland near Grand Forks Air Force Base in North Dakota.
“According to the United States-China Economic and Security Review Commission, the Grand Forks Air Force Base has exceptional intelligence, surveillance, and reconnaissance capabilities, making the recently purchased land the ideal location to closely monitor and intercept military activity,” a letter from 50 U.S. lawmakers noted. “The presence of a CCP-affiliated corporation near a military installation potentially undermines the integrity of our high-capability military bases, jeopardizing our strategic interests.”
But this isn’t the first instance of the CCP wielding influence here. Two proposed Texas wind farm projects – one close to Laughlin Air Force Base, another 200 miles northwest of San Antonio – were stopped between 2020-2021 over security concerns.
Exactly how much property– farmland and real estate–does China own in the U.S.? Do these holdings pose a threat, and should citizens be worried?
According to a recent National Association of Realtors report, Chinese investors spent $6 billion on U.S. real estate between March 2021-March 2022, accounting for six percent of foreign buyers. Canada and Mexico, our neighbors, have more holdings at 11% and 8%, respectively.