States Act to Restrict Foreign Farmland Ownership

New MSU Study Reveals What Drives State-level Foreign Land Laws

Across the United States, state lawmakers have proposed several bills to restrict foreign ownership of farmland.

A study by Michigan State University (MSU), published in Food Policy, examined 143 such bills introduced in 34 states. It also reviewed the behavior of over 6,700 state legislators.

“This is a topic that touches on agriculture, land access, food security and international investment,” said David Ortega, professor and the Noel W. Stuckman Chair in Food Economics and Policy at MSU.

Ortega was inspired to lead the study after testifying before the U.S. Senate Committee on Agriculture in 2023. The growing concern is partly due to reports of Chinese companies buying land near U.S. military bases, despite such investors holding less than 1% of foreign-owned U.S. farmland.

According to the study, many state proposals are tied to broader geopolitical tensions. Lawmakers often cite national security risks as reasons to prevent foreign ownership of farmland.

However, the findings show that political party and committee roles strongly influence bill sponsorship—but they’re not the only factors. 

Lead author Lin Lin, a doctoral candidate, explained that local demographics, economic conditions, and proximity to military bases also played key roles in shaping legislative activity. “This dual focus allows us to capture both individual policymaker motivations and broader regional policy dynamics,” Lin noted.

Over 20 states have enacted such laws, but they vary widely. Some target specific nations, while others affect all foreign investors. Many states with new bills already had existing restrictions, suggesting a tightening trend.

Researchers highlight the importance of grounding future policy in facts, warning of unintended consequences like reduced local investment, discrimination, trade issues, and legal challenges.