FARM Act
- Bill Number
- H.R. 620
- Origin Chamber
- House
- Congress
- 119th Congress, Session 1
- Policy Area
- Foreign Trade and International Finance
- Status
- Introduced
- Latest Action
- 2025-02-28: Referred to the Subcommittee on Nutrition and Foreign Agriculture.
- Last Updated
- 2026-04-09T15:17:13Z
AI-Generated Summary
Purpose of the Legislation
The Foreign Adversary Risk Management Act (FARM Act), H.R. 620, aims to protect the United States agriculture industry from potential harm and disruption caused by foreign influence. It does this by strengthening oversight of foreign investments in agriculture and including agricultural supply chains in national security reviews under the Defense Production Act of 1950.
Key Provisions
- Addition of Agriculture to CFIUS: The bill adds the Secretary of Agriculture as a member of the Committee on Foreign Investment in the United States (CFIUS), a government body that reviews foreign investments for national security risks.
- Expanded Review of Foreign Transactions: CFIUS must now review any transaction, merger, acquisition, or similar deal that could lead to foreign control of a U.S. business involved in agriculture, including those using agricultural products (defined under existing law as items like seeds, plants, or livestock for farming).
- Inclusion in Critical Infrastructure and Technologies: Agricultural systems and supply chains are explicitly added to the definitions of "critical infrastructure" (essential systems for national security) and "critical technologies" under CFIUS rules, subject to regulatory guidance.
- Annual Reporting Requirements: The Secretary of Agriculture and the Comptroller General (an independent auditor for the government) must analyze foreign influence in U.S. agriculture and submit annual reports to Congress. These reports cover foreign investments, risks to production and supply chains, major international threats, and foreign espionage or theft tactics targeting U.S. agricultural intellectual property, research, or business data.
Significant Changes to Existing Law
- Amends Section 721 of the Defense Production Act of 1950 (50 U.S.C. 4565) to integrate agriculture into CFIUS processes:
- Redesignates existing committee member categories to insert the Secretary of Agriculture.
- Broadens "covered transactions" to include agriculture-related deals, effective for proposals, pending cases, or completed deals after enactment.
- Updates definitions of critical infrastructure and technologies to encompass agriculture, which were not previously specified in this way.
- Introduces mandatory annual reports on foreign agricultural influence, which did not exist before, providing Congress with ongoing insights into potential risks.
Potential Impacts
- On Government Agencies: Increases workload for CFIUS, the Department of Agriculture (USDA), and related bodies through expanded reviews and reporting; enhances coordination on national security in agriculture.
- On Citizens: Strengthens safeguards for the U.S. food supply and farming economy, potentially benefiting farmers and consumers by reducing risks of foreign disruptions, but could indirectly raise costs if foreign investments are restricted.
- On International Relations: May deter foreign investments from countries seen as adversaries, leading to tensions in trade or diplomatic ties; promotes U.S. self-reliance in agriculture but could affect global supply chain partnerships.
Main Stakeholders Affected
- U.S. Agriculture Industry: Farmers, agribusinesses, and related companies, who gain protection from foreign takeovers but may face more scrutiny on international deals.
- Foreign Investors and Governments: Entities from other countries seeking to invest in U.S. agriculture, potentially facing blocks or delays on transactions.
- Government Entities: USDA, CFIUS member agencies (e.g., Treasury, Defense), and Congress, which receive new oversight tools and reports.
- U.S. Consumers and Economy: Indirectly affected through impacts on food production stability and agricultural innovation.
Notable Legal, Constitutional, or Political Implications
- Legal: Expands CFIUS's jurisdiction (a tool for blocking foreign deals on security grounds) to agriculture without creating new penalties, relying on existing regulatory processes; requires regulations for implementation, which could lead to future legal challenges over definitions like "foreign control."
- Constitutional: Aligns with Congress's powers under the Commerce Clause to regulate interstate and foreign commerce for national security, but raises questions about balancing investment openness with protectionism.
- Political: Introduced with bipartisan support (sponsors from both parties, including rural and defense-focused members), reflecting concerns over national security in food production; referred to committees on Financial Services and Agriculture for review, signaling potential for amendments during debate.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Cosponsors (29)
Rep. Sessions, Pete [R-TX-17], Rep. Panetta, Jimmy [D-CA-19], Rep. Gonzalez, Vicente [D-TX-34], Del. Moylan, James C. [R-GU], Rep. Zinke, Ryan K. [R-MT-1], Rep. Estes, Ron [R-KS-4], Rep. Finstad, Brad [R-MN-1], Rep. Hinson, Ashley [R-IA-2], Rep. Miller, Mary E. [R-IL-15], Rep. Costa, Jim [D-CA-21], Rep. Fallon, Pat [R-TX-4], Rep. Messmer, Mark [R-IN-8], Rep. Rose, John W. [R-TN-6], Rep. Weber, Randy K. Sr. [R-TX-14], Rep. Johnson, Dusty [R-SD-At Large], Rep. Newhouse, Dan [R-WA-4], Rep. Crawford, Eric A. "Rick" [R-AR-1], Rep. Self, Keith [R-TX-3], Rep. Babin, Brian [R-TX-36], Rep. Guest, Michael [R-MS-3], Rep. Maloy, Celeste [R-UT-2], Rep. Davis, Donald G. [D-NC-1], Rep. LaMalfa, Doug [R-CA-1], Rep. Stefanik, Elise M. [R-NY-21], Rep. Taylor, David J. [R-OH-2], Rep. Goodlander, Maggie [D-NH-2], Rep. Pfluger, August [R-TX-11], Rep. Malliotakis, Nicole [R-NY-11], Rep. Vindman, Eugene Simon [D-VA-7]
Recent Actions
- 2025-02-28: Referred to the Subcommittee on Nutrition and Foreign Agriculture.
- 2025-01-22: Referred to the Committee on Financial Services, and in addition to the Committee on Agriculture, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-01-22: Referred to the Committee on Financial Services, and in addition to the Committee on Agriculture, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
- 2025-01-22: Introduced in House
- 2025-01-22: Introduced in House
Bill Versions
- Foreign Adversary Risk Management Act — issued 2025-01-22 — PDF (5 pages)