Summary of HR 1713: Agricultural Risk Review Act of 2025

Purpose and Intent

The Agricultural Risk Review Act of 2025 (HR 1713) aims to enhance national security by formally including the Secretary of Agriculture as a member of the Committee on Foreign Investment in the United States (CFIUS). This inclusion is specifically targeted at transactions involving agricultural land and the agriculture industry, particularly those involving foreign entities from nations deemed as adversaries.

Key Provisions

1. Permanent Inclusion of the Secretary of Agriculture:

   • The bill amends the Defense Production Act of 1950 to make the Secretary of Agriculture a permanent member of CFIUS for transactions related to:
     • Agricultural land
     • Agricultural biotechnology
     • The agriculture industry, including transportation, storage, and processing.

2. Review of Agricultural Land Transactions:

   • CFIUS is required to review transactions involving foreign acquisitions of agricultural land if notified by the Secretary of Agriculture. This includes:
     • Transactions involving foreign persons from China, Russia, North Korea, or Iran.
     • Transactions that are deemed reportable under the Agricultural Foreign Investment Disclosure Act of 1978.

3. Definition of Reportable Transactions:

   • A "reportable agricultural land transaction" is defined as one where:
     • The Secretary of Agriculture believes it involves a covered transaction based on intelligence community information.
     • It involves foreign entities from specified adversarial countries.

4. Sunset Clause:

   • The requirements for review will cease if the specified countries are removed from the list of foreign adversaries.

Affected Parties

• Agricultural Sector: Farmers, landowners, and agricultural businesses may be directly impacted by the increased scrutiny of foreign investments in agricultural land and operations.
• Foreign Investors: Entities from China, Russia, North Korea, and Iran will face additional regulatory hurdles when attempting to acquire agricultural assets in the U.S.

Legislative Timeline

• Introduced: February 27, 2025
• House Actions:
  • Passed by voice vote on June 23, 2025, after being debated and considered under suspension of the rules.
  • Reported favorably by the Committee on Financial Services on June 3, 2025.
• Senate Actions:
  • Received in the Senate on June 24, 2025, and referred to the Committee on Banking, Housing, and Urban Affairs.

Conclusion

HR 1713 seeks to bolster the United States' agricultural security by ensuring that foreign investments in critical agricultural sectors are closely monitored. By making the Secretary of Agriculture a permanent member of CFIUS, the bill aims to enhance the government's ability to assess risks associated with foreign ownership of agricultural resources.