WASHINGTON – U.S. Sens. Chuck Grassley (R-Iowa) and Sherrod Brown (D-Ohio) introduced bipartisan legislation to review foreign investments in the United States to ensure they are in the long-term economic interests of the U.S.
Recent patterns of foreign investment in the U.S. have raised concerns that overseas competitors, including state-owned enterprises, are pursuing investments to make strategic gains in the U.S. market or to benefit their own domestic industries. No current mechanism allows the U.S. government to evaluate foreign investment for its long-term economic benefit to the U.S. The senators’ bill would require a review of certain foreign investments to determine if they are in the economic interest of the U.S., not a foreign individual or foreign government.
“President Trump committed to putting a stop to U.S. industry’s being taken advantage of by foreign companies and countries,” Grassley said. “This bipartisan legislation is an opportunity to fulfill that pledge by empowering the Administration to block foreign investment that threatens the United States’ long-term economic interests. U.S. companies and workers are responsible for some of the greatest technological, scientific and industrial achievements in history. Foreign companies backed by cheap state-sponsored capital looking to undercut those achievements do the United States real harm. Given a level playing field, U.S. industry can compete anywhere in the world. This bill further equips the Administration with the ability to fight back against unfair trade barriers to U.S. exports and businesses. Europe, Canada, Australia and China have similar investment screens already in place. The United States shouldn’t be left in the dust. We should follow suit.”
“Foreign investments should lead to good-paying jobs in Chillicothe and Chardon – not huge payouts for the Chinese government,” Brown said. “State-owned enterprises and foreign investors determined to put American companies out of business should not be able to invest in our economy at the expense of American workers. It’s simple – before we do business with a foreign entity, let’s make sure it will create jobs and grow the U.S. economy.”
The United States Foreign Investment Review Act would: