Brown Stands with Workers to Promote Bipartisan Bill to Make Sure Foreign Investments Don’t Hurt U.S. Economy, Jobs

TOLEDO, OH. – Today, U.S. Sen. Sherrod Brown (D-OH) joined Toledo workers to discuss his bipartisan legislation to ensure foreign investments don’t harm American jobs. Brown’s bill, the United States Foreign Investment Review Act, would establish an efficient and transparent process for reviewing certain foreign investments to ensure they are in the economic interest of the U.S. Brown introduced the bill with Sen. Chuck Grassley (R-IA).

“Foreign investments should lead to good-paying jobs in Lucas County and Lima and Lebanon and Lancaster – not huge payouts for the Chinese government,” said Brown. “Investment by foreign companies can, and should, create jobs for Ohioans and economic growth for Ohio communities. It’s simple – before we do business with a foreign entity, let’s make sure it will create jobs and grow the U.S. economy.”

Brown was joined at the news conference by Taneisha White, a Toledo worker, as well as Rich Rankin, UAW Director of Region 2-B and Bruce Baumhower, President of UAW Local 12. 

“As Toledo workers solidify a reputation for getting the job done right, foreign companies see how valuable an investment in Toledo workers can be. When these foreign companies – and governments – seek to invest in Toledo, it’s important that we’re working to ensure this foreign investment is in our best interest,” said Ms. White.

Recent patterns of foreign investment in the U.S. have raised concerns that overseas competitors, including state-owned enterprises, are pursuing investments to make strategic gains in the U.S. market or to benefit their own domestic industries. No current mechanism allows the U.S. government to evaluate foreign investment for its long-term economic benefit to the U.S. The Senators’ bill would require a review of certain foreign investments to determine if they are in the economic interest of the U.S., not a foreign individual or foreign government.

The United States Foreign Investment Review Act would:

• Require review of certain proposed foreign investments for their impact on the U.S. economy and jobs. The bill would require a review of any foreign investment that results in foreign control of any U.S. entity worth more than $1 billion, and a review of any transaction by a state-owned enterprise that would result in control of a U.S. entity worth more than $50 million.

• Create a process to efficiently review investments. Within 15 days, the Secretary of Commerce must approve or prohibit the transaction or inform the parties to the transaction that additional time is needed to complete the review. If the Secretary requires an extended review of the investment, a decision to approve, prohibit, or require modification of the transaction is due within 45 days of receiving written notification.  The Secretary has the option to request 15 additional days for the extended review, but all transactions are reviewed and acted on within 60 days of receiving written notification.

• Give Congress the ability to request additional reviews. The bill also gives the Chair and Ranking Member of the Senate Finance Committee or House Ways and Means Committee the opportunity to request that the Secretary of Commerce review investments of any value. 

• Ensure a transparent review. Under the legislation, the Secretary of Commerce must make all decisions public and submit an annual report to Congress on results of transactions reviewed. It also calls for a 10-day public comment period for each investment subject to an extended review.

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