The bill targets foreign enemy states such as China, Iran, North Korea and Russia. All of these have their own laws restricting foreign ownership of the land.
Rep. Pat Harrigan (RN.C.) introduced a bill on May 22 that prohibits non-citizens from purchasing land in the United States if Americans are prohibited from doing so in their home countries.
“While American families are acquiring prices from their communities, hostile administrations are buying land with zero cash and zero accountability,” Harrigan said in a statement. “If Americans can’t buy land in your country, you can’t buy our land. That’s common sense and it’s been a long time late.”
The bill targets foreign enemy states such as China, Iran, North Korea and Russia. All of these have laws that restrict foreign ownership of land, expressly prohibit foreign ownership of farmland, and prohibit other requirements regarding real estate.
For example, according to the Library of Congress, China allows foreigners to purchase property and meet other requirements if they are locally resident for a certain period of time. Iran allows foreign residents to purchase property for individuals or businesses.
Harrigan said foreign enemies have used loopholes to buy US farmland and property near critical infrastructure, prohibiting Americans from purchasing land in their country and creating “double standards.”
The bill, entitled the Real Estate Interrelations Act, adds a 50% tax on other property purchases by citizens and organizations from foreign enemy states, and exempts refugees accepted by public companies that trade regularly on US and US exchanges.
The revelation of China’s purchase of farmland has led lawmakers to ask politicians to review future sales and potentially block them. Reports of farmland disproportionately located near military sites have raised concerns.
According to the latest US Agriculture Bureau’s Foreign Holdings Report, as of December 31, 2023, foreigners own 45 million acres of farmland, accounting for 3.5% of US private farmland and 2% of all land. Canadian investors own most foreign land with 33%, with the Netherlands coming in second with 11% and the UK with 6%.
According to the report, Chinese investors hold 277,336 acres and North Korea holds nothing, so foreign investors from enemies, Iran, North Korea and Russia’s hostile countries represent less than 1%.
The five Chinese companies make up the majority of Brazos Highland Properties with 43,091 acres of Murphy Brown LLC (Smithfield Food), 86,994 acres of Brazos Highland Properties, 43,091 acres with Murphy Brown (Smithfield Food/WH Holdings) in Missouri, and Texas LLC with 29,705 acres of Texas LLC. 11,263 acres of Corp.
The states where China’s most investment in farmland have been implementing measures to block future investments.
Texas, where Chinese companies own the most 123,708 acres of US farmland, has passed similar laws to prohibit citizens of foreign enemy countries from owning property if they are determined to act as agents on behalf of those countries.
North Carolina, 44,263 acres owned by Chinese companies, introduced laws in 2023 and 2025 to block foreign ownership of farmland by hostile countries near sensitive locations. It is currently undergoing committee reviews.
In Missouri, which is 42,905 acres owned by Chinese companies, in 2024 the governor issued an executive order restricting foreign ownership of the land to 1% of the state’s farmland. In March, a judge issued a $24 billion ruling in a lawsuit against the Chinese administration by the Missouri Attorney General for its role in the Covid-19 pandemic, and current Attorney General Andrew Bailey may seize Chinese assets to gather the verdict.
Utah, which owns 33,035 acres of farmland by Chinese companies, signed a law in 2024 blocking land purchases by entities owned or controlled by China, Iran, North Korea or Russia.
Florida, where Chinese companies own 12,798 acres, was one of the states before the introduction of the law. In 2023, a law was enacted that prevented Chinese citizens from purchasing real estate and land. The law was challenged in court and upheld in Florida courts, but was overturned by a federal appeals panel that found the basis for the “alien” status law was unconstitutional.