A new USDA report has revealed that foreign entities now own 45 million acres of American land, an area larger than the state of Wisconsin. This staggering figure, representing a 15% increase since 2020, has ignited fierce debates about national security, food supply chains, and the future of US agriculture. The data, released as part of the 2025 Agricultural Foreign Investment Disclosure Act (AFIDA) report, shows that investors from China, Canada, and Europe are rapidly acquiring US farmland, timberland, and even properties near military installations. With food prices already volatile and geopolitical tensions rising, the implications of this foreign land grab are impossible to ignore.
Who Owns America? Breaking Down the Numbers
The USDA’s latest findings highlight a dramatic shift in land ownership trends. Canadian investors lead the pack, controlling 14.2 million acres, primarily in timber-rich regions like Maine and the Pacific Northwest. Close behind are European entities, which own 11.3 million acres, with Dutch and German buyers dominating agricultural purchases. However, the most controversial trend is the explosive growth in Chinese ownership, which has surged 200% since 2020 to 4.7 million acres.
While foreign ownership represents just 3.5% of all US farmland, certain states are disproportionately affected. Texas tops the list with 5.8 million foreign-owned acres, followed by Maine (3.6 million) and Alabama (2.9 million). The report also notes that 19 foreign-owned properties are located within 50 miles of sensitive military sites, raising national security concerns.
Why Are Foreign Investors Buying US Land?
Several factors explain this accelerating trend:
1. Agricultural and Timber Profits
US farmland remains a lucrative investment, with average values rising 9% annually since 2020. Foreign pension funds and sovereign wealth funds see American agriculture as a stable, inflation-resistant asset.
2. Weak US Regulations
Unlike countries like Australia and Canada, which restrict foreign farmland purchases, the US has no federal ban. The AFIDA system merely requires disclosure, and a 2024 GAO audit found that 40% of transactions go unreported.
3. Strategic Food and Water Control
Countries like China and Saudi Arabia are securing US land to bolster their own food security. Saudi dairy giant Almarai, for example, owns 15,000 acres of Arizona farmland solely to grow alfalfa for livestock feed—a practice that has drained local water supplies.
National Security Risks: Military Bases and Supply Chains
The USDA report has drawn attention from the Pentagon, which warns that foreign land ownership near military installations could pose espionage and sabotage risks. In North Dakota, a Chinese-owned corn farm sits just 12 miles from a major Air Force base, prompting calls for stricter oversight.
Additionally, foreign control of key agricultural infrastructure—such as grain elevators and ports—could disrupt US food exports during geopolitical conflicts. With four corporations controlling 85% of US grain trading, consolidation raises monopoly concerns.
The China Factor: Myths vs. Reality
Political rhetoric often focuses on Chinese land purchases, but the data reveals a more nuanced picture:
- China owns just 0.5% of US farmland—far less than Canada or Europe.
- Most acquisitions are for renewable energy projects (wind/solar leases) rather than agriculture.
- Many deals are structured through shell companies, obscuring true ownership.
However, the rapid growth rate and proximity to military sites justify scrutiny.
Legislative Responses: Will Congress Act?
Lawmakers are pushing for reforms, including:
- The FOOD Security Act (2025): Bans land purchases by China, Russia, Iran, and North Korea.
- Agricultural DATA Act: Creates a public database for tracking foreign transactions.
- State-level restrictions: 17 states now require special approvals for foreign farmland buys.
The USDA has also proposed lowering the AFIDA reporting threshold from $10,000 to $1,000 to improve transparency.
Economic Benefits vs. Sovereignty Risks
Proponents argue foreign investment brings jobs, technology, and capital to rural America. Critics warn of:
- Profit repatriation draining local economies.
- Water rights exploitation in drought-prone regions.
- Long-term dependence on foreign-controlled food supplies.
What’s Next for US Land Ownership?
As Congress debates the 2025 Farm Bill, expect foreign land ownership to dominate discussions. Key developments to watch:
- Supreme Court rulings on state-level bans.
- DOJ crackdowns on shell companies.
- Global food demand, projected to rise 50% by 2050, intensifying competition for arable land.
A Call for Balanced Policies
The USDA’s report on 45 million acres of foreign-owned land underscores a critical challenge: balancing economic benefits with national security. While foreign investment can boost rural economies, unregulated purchases risk compromising food sovereignty and military safety. As lawmakers weigh new restrictions, the US must find a middle ground—one that welcomes global capital while safeguarding America’s most vital resource: its land.