The $ 700 million Fufeng project is the first agricultural transfer investment in the US
CNBC reported Friday on the Fufeng program. The report informed the chairman and senior member of the Senate Intelligence Committee. “We need to be very concerned about Chinese investment in areas close to key areas, such as battlefields around the U.S.,” CNBC told Sen. Mark Warner, D-Va., Chairman of the committee.
Sen. added. Marco Rubio, R-Fla., A member of the committee, said, “It is unfortunate, insane, and short-lived to allow the Chinese Communist side and its allies to sell land near U.S. battlefields. “
Fufeng is a wholesale wholesale of bio-fermentation equipment in China that manufactures more than 50 products. Fufeng said he would take over more than 90 countries.
Eric Chutorash, managing director for Fufeng USA, hosted a video conference with the Grand Forks Herald in March. Chutorash explained who led the group to find a project in North Dakota.
“Wheat is our biggest import price, so we knew there were no other producers in the area and there was availability of corn, so I would say, in the strong good column,” Chutorash said. , with a report on North Dakota’s natural gas. lako lako.
Although it is not a government company, the commission recognizes that the company is affiliated with the Chinese government. The commission’s report indicated that the Fufeng mill is close to Air Base, noting that the project will soon be required to undergo an review by the Commission for Foreign Investment in the United States (CIFIUS). .
Security concerns have led to a lawsuit to hold a referendum on the program and now to question whether the referendum is legal on the program.
A letter written in April by Air Force Major Jeremy Fox, who is based in Nevada, not North Dakota, also raised public concern. Fox’s memo said the problems could be that Fufeng’s house could be a source of interest.
“One of the most important features of Grand Forks is with the digital uplinks and downlinks available with unmanned aerial systems and their interaction with the air resources,” Fox wrote, according to with a presentation by CNBC. He added that the collection of the data “reveals a national security problem that seriously undermines the economic interests of the United States.”
Fox’s memo was also submitted to the Grand Forks Museum, the Grand Forks Herald reported in mid -June. The newspaper reported that Col. Timothy Curry, commander of Grand Forks Air Force Base, “downplayed a new Air Force memo raising concerns about a Chinese agricultural industry moving into the community, calling the memo a ‘thoughts.’ “
Curry said, in an email to city officials, “Some are right, some are less.
As the Grand Forks Herald writes, the project has led to complaints that the city’s and the city’s economic development leaders should not consult to bring Fufeng to the city. The project introduced common development ideas related to water use and the environmental impact of the area. The newspaper noted that there was no public evidence of Fufeng’s plans to visit.
The Herald also reported that Grand Forks is working with a lawyer to decide if Fufeng’s plant needs a CIFIUS review.
Sen. Kevin Cramer, RN.D., raised concerns about the project, which means the project will be completed. “Our chain of goods and our supply chain to our enemies is a terrible planning crime committed in the past, and we need to correct it in the future,” he said. and Cramer in an interview with WZFG Radio in early June.
CIFIUS
This isn’t the first time lawyers have raised concerns about China’s involvement in U.S. agriculture that have led to calls for increased CIFIUS scrutiny. In 2013, the conference was held when WH Group in China bought Smithfield Foods, the largest pork producer in the U.S., and its processing plants. Smithfield’s footprint in the regulation and ability to raise pigs was enormous and the number of acres available to Chinese investors in the U.S. increased when the sale ended.
The Smithfield sale prompted some members of Congress to call on the U.S. Secretary of Agriculture to find a permanent seat on the U.S. Investment Committee to help look at the government security consequences of selling agricultural products to foreign companies. The USDA did not have a permanent seat on that committee.
NEW HOUSE BILL
Rep. Also issued. Dan Newhouse, R-Wash., Filed a bill shortly after the commission report came out. His bill prohibited the sale of public or private farmland by Chinese foreigners. It will prevent those companies or organizations from participating in most other USDA agricultural programs related to food security.
Newhouse first raised concerns last year and added a statement to the USDA budget that would not deny Chinese state companies ownership of farmland or participation in USDA projects. .
The latest foreign exchange report from the USDA in 2020 shows Chinese investors have 266 acres of land on 194,179 acres, up from 2,527 acres from 2019. Corporate investors are also included. The United States for another 89 acres of 157,961 acres.
Report: China’s Interests in American Agriculture https://www.uscc.gov/…
CNBC: “China sells North Dakota farmland on national security concerns in Washington,” https://www.cnbc.com/…
Grand Forks Herald interview with Fufeng Group COO: https://www.grandforksherald.com/…
Chris Clayton can be found at Chris Clayton@dtn.com
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