Amid China fears, GOP seeks to bar some nonresidents from buying Michigan land

• Bills would block people from ‘foreign countries of concern’ from buying property in much of Michigan
• None of the countries named in the legislation directly own any Michigan farmland, according to USDA data
• Critics say the bills are blatantly discriminatory

Some Michigan Republicans want to block residents of “countries of concern” from buying property in broad swaths of the state to prevent “foreign adversaries” from infiltrating the United States.

The package of bills would target people and entities from China, Cuba, Iran, North Korea, Russia, Syria and Venezuela. Any “agency or other entity under significant control” of those countries would also be included.

Testifying to the state House Government Operations Committee on Thursday, state Rep. Gina Johnsen, R-Odessa Township, said there’s “growing concern” about foreign ownership of agricultural land, “particularly by entities from countries that may pose economic or security threats to the United States.”

She said the legislation “seeks to address that concern while ensuring fairness and due process for those currently holding land.” The bills provide “reasonable exemptions to prevent undue harm to Michigan residents and businesses,” Johnsen said. 

Critics slammed the bills. In a statement, the American Civil Liberties Union of Michigan called them “blatantly discriminatory and bigoted” and “an outright endorsement of xenophobia.” 

“Property ownership should never be restricted based on nationality or immigration status,” the ACLU added.

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Federal courts have blocked similar legislation in states such as Florida.

Another package sponsor, state Rep. Luke Meerman, R-Coopersville, said he thinks the bills will pass the House with some amendments. The Democrat-controlled Senate is less likely to follow suit.

“We have to find that balance of freedom here in the United States, but not letting our foreign adversaries just run over us and find ways to infiltrate us here,” Meerman said.

Michigan has about 9.47 million acres of farmland. About 1.9 million acres of that is foreign-held, according to data from the US Department of Agriculture, but none is directly owned by countries the legislation seeks to prohibit.

The legislation follows longstanding concerns over foreign influence in the US. 

Near Big Rapids, Gotion Inc.’s proposed $2.4 billion EV battery plant has been a lighting rod since it was unveiled in 2022. 

Michigan has pledged $175 million in economic development assistance for the project. It became an issue in the campaign for president last year because Gotion is a subsidiary of Gotion High-Tech, a Chinese company with ties to the Communist Party.

The package under consideration in Lansing would block people and entities of “countries of concern” from:

• Buying farmland in Michigan or any property within 20 miles of a military installation or “key facility,” such as energy and telecommunications infrastructure
• Receiving state economic incentives
• Entering into curriculum-related agreements with educational institutions

The measure also would require public bodies to report all gifts and cultural exchange agreements to the federal government.

People who already own the property could keep it but would have to register with the state. 

Bills in the package would also ban Michigan government employees from using apps and software from countries of concern on state devices and from sensitive data being stored in those countries. 

Gov. Gretchen Whitmer banned the use of the video app TikTok on state devices in March 2023, but the legislation would codify that policy and extend it to all apps owned by companies in “countries of concern.”

Emily Nguyen, the policy director at Rising Voices, a progressive Asian American civil rights group, said the proposals would “significantly harm Michigan’s Asian-American community.”

“The legality of today’s bills remains to be decided, but the morality of these bills remains clear,” Nguyen said. “These bills dangerously echo some of the darkest moments in our country’s history, one in which we seem bound to repeat.”

She said the bills are disguised as strengthening national security but are akin to  “alien land laws,” a series of early-20th Century laws in western states that restricted the ability of Asian immigrants to own land.

The issue is not entirely partisan, however. 

US Sen. Elissa Slotkin, D-Holly, co-sponsored legislation in Congress that would expand oversight and reporting of foreign-owned agricultural land, requiring federal review of transactions of 320 acres or more.

The congressional legislation, however, includes fewer target countries than the state House bills and does not extend to other kinds of property or seek to block ownership.

Bill sponsor Meerman told Bridge the bills would prevent foreign nationals in Michigan on student or work visas from buying a home, but legal permanent residents who have “green cards” would be allowed. 

“It wouldn’t prohibit them from renting, just from owning,” he said.

That’s drawn opposition from Michigan real estate agents.

The legislation “could create unnecessary barriers for illegal immigrants and long-term residents seeking homeownership,” Shawon Cecil, public policy field director at the Michigan Association of Realtors, said during testimony Thursday.

“We promote the free market, and these bills would essentially tell us and also sellers who they can sell their homes to,” he added.

Meerman didn’t know, however, if immigrants who have a mortgaged home would be forced to sell it once it’s paid off under this bill. Land inherited by one of the prohibited groups would have to be sold within two years under the legislation. Some critics of the bills argued they’d force immigrants out of their homes and stymie Michigan’s efforts to grow its stagnant population.