PolicyBrief
H.R. 1576
119th CongressFeb 25th 2025
Protecting American Agriculture from Foreign Adversaries Act of 2025
IN COMMITTEE

This bill adds the Secretary of Agriculture to the Committee on Foreign Investment in the United States (CFIUS) and requires CFIUS to review agricultural land transactions, especially those involving entities from China, North Korea, Russia, or Iran.

Dan Newhouse
R

Dan Newhouse

Representative

WA-4

LEGISLATION

Foreign Adversaries Banned from Buying US Farmland Under New Bill, Ag Secretary Gets CFIUS Seat

The "Protecting American Agriculture from Foreign Adversaries Act of 2025" aims to tighten control over foreign investment in U.S. agricultural land. The core change? It adds the Secretary of Agriculture to the Committee on Foreign Investment in the United States (CFIUS) specifically for deals involving farmland, agricultural biotech, or the broader ag industry (including things like transport and processing). This means any foreign investment in these areas will now get an extra layer of scrutiny from an agricultural perspective.

Fields of Change: What the Bill Does

This bill, straight up, amends the Defense Production Act of 1950. It mandates that CFIUS must review agricultural land transactions flagged by the Secretary of Agriculture, especially those coming from China, North Korea, Russia, or Iran (Section 2). If any of those countries get removed from the official "foreign adversaries" list (section 791.4 of title 15, Code of Federal Regulations), this extra scrutiny goes away for them.

Real-World Acres: Who Feels the Impact?

Imagine a large-scale farming operation in the Midwest. If a company from one of the named countries tries to buy it, that deal automatically gets reviewed by CFIUS. This could impact everything from the sale price to whether the deal even goes through. Even smaller transactions, like buying a food processing plant or investing in new farming tech, could get caught up in this. The stated goal is to protect American agriculture, but it could also make it harder for U.S. farmers to get foreign investment if they need it.

Seeds of Doubt: Potential Challenges

One big question is how broadly "agricultural land transactions" and "agriculture industry" will be defined. Does it just mean fields and farms, or does it include things like fertilizer companies, equipment manufacturers, or even grocery store chains? That level of detail isn't spelled out, and it could create uncertainty for businesses. Another challenge is balancing national security with the need for foreign investment. Some level of investment can be beneficial, bringing in new capital and technology. This bill could make some investors think twice, potentially impacting rural economies.