Top trade official warns about land buy bans
WASHINGTON — The nation's top trade negotiator said state lawmakers should be careful with their proposal to ban Chinese citizens from buying property in Texas and consider how such a law might affect the biggest economic relationship in the world.
“We are the two largest economies in the world and so how we relate to each other has consequences, not just for ourselves … but frankly for the entire world,” said Ambassador Katherine Tai. “We do have to defend our interests, but we really have to be aware of the important consequences that we make.”
Tai, who is serving as U.S. trade representative under President Joe Biden, was asked about the legislation ahead of a two-day trip to Texas that wrapped up Friday. She said she was aware of the proposals, which would also ban North Korean, Iranian and Russian citizens from buying land.
Texas Republicans, including Gov. Greg Abbott, have said the proposal is important for national security.
The bill's author, state Sen. Lois Kolkhorst, R-brenham, says it is a response to attempts by Chinese nationals with connections to the communist regime who have been buying land in Texas, including a Chinese energy company's attempt to purchase 130,000 acres for wind farms near Del Rio, just 70 miles from Laughlin AFB.
The legislation has been cheered by U.S. Rep. Michael Mccaul, a Texas Republican who chairs the House Foreign Affairs Committee.
According to the U.S. Department of Agriculture, foreign ownership of agricultural land doubled from 2009 to 2019, and Texas is home to the most foreign-owned acreage in the United States.
Tai did not weigh in on the proposal but said it “highlights the importance of the United States — at the federal level, at the state level — really being deliberate and thoughtful and strategic with how we approach this relationship because it is the biggest economic relationship in the world.”
Tai's trip to Houston comes as the Biden administration is working to demonstrate it is focused on maintaining America's competitive edge, even as it works on trade deals internationally. She was slated to meet with local leaders, as well as area Asian American and African
groups.
“We are working hard to put the ‘U.S.' back in the U.S. trade representative,” Tai said.
“The conversations I'll be having are really critical to informing my work, yes definitely in negotiations we have, and in maintaining and managing our trade relationships,” Tai said. “Nothing substitutes for the voices and the wisdom of my fellow Americans when it comes to how to be a good partner, how to bridge cultural gaps and how to see the world … we can do a better job of looking for those economic opportunities.”