Walmart is founded and owned by the Walton family. Then ownership jumped 30% from 2019 to 2020, from some 247,000 acres to roughly 352,000. Its three main sites Taobao, Tmall and Alibaba.com have hundreds of millions of users, and host millions of merchants and businesses. The reality is very different than the rhetoric. 1 Other top investors are American-based companies, including Vanguard Group Inc. Apple Inc USA is an American Company that was founded in Cupertino, California. United States Treasury Fiscal Data. China owns roughly $1.08 trillion worth of U.S. debt. In 2021, Chinese buyers bought 6,300 U.S. properties worth 4.5 billion U.S. dollars. Still, thats less than farmland owned by people from other nations like Canada and European countries, which account for millions of acres each. ", Congress.gov. China needs this growth to raise its low standard of living. As a Premium user you get access to background information and details about the release of this statistic. This acquisition put two Chinese directors on Hilton's Board of 10. You can only download this statistic as a Premium user. China does not publish the. How much US debt does China own and why is it important? And key Senate lawmakers have already shown interest in efforts to keep American farms in American hands. This has been common practice for many countries ever since the Bretton Woods Conference in 1944. Congress can then increase the federal spending that spurs U.S. economic growth. China holdings of U.S. debt fall below $1 trillion for the first time These include: AMC Entertainment (entertainment), Cirrus Wind Energy (energy), Complete Genomics (health care), First International Oil (energy), G.E. Its economy grew more than 10% for the three decades before the 2008 recession. Though the magazine named him the largest private farmland owner in January 2021, the Microsoft founder came under fire in early 2022 when he was briefly barred from purchasing 2,100 acres of North Dakota farmland. Of the $30.5 trillion in government debts, more than $6 trillion is owned by the federal government in trust funds. Investopedia requires writers to use primary sources to support their work. According to USDA data, foreign investors owned at least 35.2 million acres of U.S. agricultural land in 20192.7 percent of U.S. farmland, an area almost the size of Iowa. Learn more about how Statista can support your business. Treasury securities are freely traded around the world. How Much Money Does the U.S. In 2019, it grew at 6.1%, an even more sustainable rate. America's farmland is owned by a variety of people and entities, including individuals, companies, and government bodies . Chinese lenders snap up so much of the U.S. debt for one basic economic reason: protecting its dollar-pegged yuan. (Other Hollywood companies are partly or wholly owned by Chinese interests We know that education is one of the most common reasons that Chinese families purchase real estate in the US, he said. The committee unexpectedly adopted Newhouses amendment to the Agriculture-FDA spending bill (H.R. Why China Buys U.S. Debt With Treasury Bonds - Investopedia And Human Rights Watch has written that China is an'existential threat' to human rights." It's more of a novelty day like Valentine's Day, rather than a religious celebration. In 2011, the total U.S. debt stood at $14.3 trillion. It could be bigger," he surmised. Here's a quick and fascinating breakdown by total. By June 2017, the debt had grown to $19.8 trillion and was projected to top $20 trillion by January 2018. Biden thanks King of Jordan for "historic meeting" in Aqaba and Although Walmart does own an impressive number of brands both in the US and beyond, the company does not own Lowes. China and investors tied to the CCP own just shy of 200,000 acres of various types of land in the United States. Get full access to all features within our Business Solutions. Chart. In a vicious cycle, they sell the U.S. dollars they receive through exports to get renminbi, which increases the supply of U.S. dollars and raises the demand for renminbi, to the point that the renminbi ranked as the eighth most traded currency in the world as of 2019. Near a 10,000-acre hay farm run by a Saudi subsidiary, local residents say their wells are going dry. White House National Security Advisor Jake Sullivan said in a statement that the United States welcomes the commitments of Israel and the Palestinian Authority to reduce tensions and prevent further violence. and Caitlin Welsh. Control of 8,000-plus of American theater screens and other media platforms allows China to project "soft power" and block unflattering depictions of the Chinese government from being presented, both in terms of creative production and mass distribution. Fact Check: Does the Chinese Communist Party Own AMC - Newsweek While their market shares may be different percentages (Amazon owns 39% of all US ecommerce sales, while Alibaba owns 58.2% of all retail ecommerce shares in China), they each dominate their respective countries in which they began. With the U.S. dollar considered one of the safest and most stable currencies in the world, dollar-pegging helps the Chinese government maintain the stability and value of the yuan. If you are an admin, please authenticate by logging in again. No, China does not own Walmart. Concern about Chinese purchases of U.S. agricultural land increased in late January when the China-based Fufeng Group Ltd. was prevented from building a cornmill on land close to a North Dakota Air Force base after officials called it a security risk. There are two main economic reasons Chinese lenders bought up so many U.S. Treasury securities. The extent of Chinese investment in recent years has also raised red flags around U.S. national security, particularly in the realm of rare earth minerals. For example, the huge amount of debt that the U.S. government owes Chinese lenders has been the subject of countless debates, headline news stories, and political platforms for decades. China is buying up American farms. Washington wants to crack - POLITICO Who owns America? Hint: It's not China - CNN The coronavirus pandemicmay have shed light on China'sinfluence in America over the supply chain,including life-saving medicines, technologyand equipment. "GDP Growth (Annual %) - Japan, China.". The . IOUs are formed and financed through joint efforts of the U.S. Department of the Treasury and the Federal Reserve. Mutual Fund and ETF data provided by Refinitiv Lipper. https://www.thoughtco.com/how-much-debt-does-china-own-3321769 (accessed March 4, 2023). Definition and Analysis, What Is National Debt and Where It Fits Within the Economy, Alexander Hamilton and the National Economy, The History of US Government Financial Bailouts, What Was the Open Door Policy in China? The USDA reports that the changes in pasture and crop land holdings since 2009 were mostly due to foreign-owned wind companies signing or terminating long-term leases. The amount of farmland owned by Chinese investors has remained relatively steady in recent years, according to the AFIDA data. This includes the Federal Reserve, which already owns six times as much debt as China. Powered and implemented by FactSet Digital Solutions. Subsequently, China and other international players would be obligated to accede to an audit that can be reviewed by the nonprofit Public Company Accounting Oversight Board, which oversees audits of all U.S. companies that endeavor to raise money in public markets. On Friday, Starwood Hotels agreed to be acquired by Anbang, a Chinese insurance company that is rapidly buying up U.S. hotels, for over $13 billion . How America got outmaneuvered in a critical mining race Hilton Hotels Since 1919, Hilton has become a household name throughout the U.S. and other countries. Countries Who Own The Most Acres U.S. Policymakers should, instead, consider the many threats facing the future of the U.S. food system and ensure that current and aspiring farmers have the resources they need to secure long-term U.S. food production, starting with access to affordable farmland. The Pentagon released a list of 20 companies that it says are owned or controlled by Communist China's military and operate in the US - including tech giant Huawei, according to a report. U.S. consumers benefit from low consumer prices. 2021 by the Center for Strategic and International Studies. Profit from the additional features of your individual account. Since 2016, a company owned by Xinjiang-based real estate tycoon Sun Guangxin had spent an estimated $110 million buying up land in Texas' Val Verde County. The bill, which is yet to move through the House, would necessitate that "an issuer must make this certification if the Public Company Accounting Oversight Board is unable to audit specified reports because the issuer has retained a foreign public accounting firm not subject to inspection by the board. CLICK HERE FOR COMPLETE CORONAVIRUS COVERAGE, Times Square billboard endeavors to warn of creeping Chinese influence. 2023 FOX News Network, LLC. statistic alerts) please log in with your personal account. "Frequently Asked Questions About the Public Debt. The ideal entry-level account for individual users. This statistic shows the total number of residential properties purchased by Chinese buyers in the United States from 2010 to 2021. In 2016, HNA Group, Chinese aviation and shipping giant, bought a 25% stake for $6.5 billion. With an aging U.S. farmer population and not enough new farmers able to enter the industry, more land will inevitably be converted to other uses or sold to foreign and domestic investors unless policies are put in place to support the next generation of farmers. Smithfield was also in line to receive money from the program, which was created to help U.S. farmers strung by trade retaliation from China and other competitors. "Chinese companies have been carrying out unchecked reverse mergers for years now, and the media (influence) has been going under the radar for years now," Murad added. TreasuryDirect. That sounds like a lot of moneybecause it isbut it is actually a little less than the $1.24 trillion China-owned in 2011. Smithfield is vertically integrated and owns all aspects of its supply chain, meaning that WH Group now controls a significant portion of U.S. pork production and revenue in addition to farmland. The total has grown by an average 2.3 million acres per year since 2015, according to USDA data. The real question is: How much of the totalU.S. debtdoes the U.S.federal governmentowe to Chinese lenders? In fact, research firm Gartner revealed last year that a third of supply chain leaders had plans to move at least some of their manufacturing out of China before 2023. ), after gaining momentum seeded in farm states. Her modest, two-story white farmhouse has . You need a Statista Account for unlimited access. Legal Statement. How much of America do foreigners really own? - MarketWatch Read our. Over 40 percent of the additional 3.4 million acres acquired by foreign investors in 2019 was located in Texas, Oklahoma, and Colorado. I would suggest that we sit down and we work through it so we can accomplish our objective, but do it in a way that is sensitive to all those who might be somewhat offended by the approach.. The Balance uses only high-quality sources, including peer-reviewed studies, to support the facts within our articles. The Communist Party has actively supported investments in foreign agriculture as part of its One Belt One Road economic development plans, aiming to control a greater piece of Chinas food supply chain. How Did the U.S. National Debt Get So Big? That data also shows that the approximately 190,000 acres of farmland owned by Chinese interests has remained virtually unchanged since 2013. Second, the Chinese rely on American markets to buy Chinese-produced goods. Greed Is Good or Is It? While foreign land ownership has been reported in all 50 states and Puerto Rico, the holdings are concentrated in particular states. 41 on The Land Reports 2022 list of Americans who own the most land. Should the PBOC stop interfering, most economists agree that the renminbi would self-correct and appreciate in value, thus making Chinese exports more expensive. Quotes displayed in real-time or delayed by at least 15 minutes. How much of the United States does China really own? ", National Association of Realtors, Total number of residential properties purchased by Chinese buyers in the United States from 2010 to 2022 Statista, https://www.statista.com/statistics/611020/total-number-of-properties-purchased-by-chinese-buyers-in-the-us/ (last visited March 04, 2023), Total number of residential properties purchased by Chinese buyers in the United States from 2010 to 2022 [Graph], National Association of Realtors, July 18, 2022. "How Much Money Does the World Owe China? World Gold Council. In return, American consumers get cheap Chinese products and incoming investment capital. Gates continues to deny any plot, telling Reddit users in January that he owns less than one four-thousandths of U.S. farmland and invests in farms to improve their production and create jobs. China could start this process only after it further expanded its exports to other Asian countries and increased domestic demand. That figure was$30.5trillion as of June 30, 2022. RT @lillybug000: How much more does any American have to see to realize our government is owned by China. China also became the world's biggest exporter in 2009. The buying gorge went from April 2021 to March 2022 and . CSIS does not take specific policy positions. July 18, 2022. Sean Rayford/Getty Images, America cannot allow China to control our food supply, Pence said Wednesday during a speech at the conservative Heritage Foundation, urging President Joe Biden and Congress to end all farm subsidies for land owned by foreign nationals.. Why China Buys U.S. Debt With Treasury Bonds, A Look at National Debt and Government Bonds, National Debt: Definition, Impact, Key Drivers, Current U.S. Debt, 2020 Election: The Key Economic Issues Explained. | Photo by Nathan Howard/Getty Images. The debt ceiling is a limit that Congress imposes on the amount that the federal government can owe. How much of the USA is owned by China? A paid subscription is required for full access. I'm a reporter for Forbes' explainers and trends team. The largest holder of U.S. debt is the United States government. In addition, many economists contend that the reported U.S. debt should include at least another $120 trillion in unfunded future liabilitiesmoney the government does not currently have but is legally obligated to pay people in the future. "China's Currency Policy," Page 1. China owns roughly 384,000 acres of U.S. agricultural land, according to a 2021 report from the Department of Agriculture. How much of the U.S. land does China own? China produces 97 percent of U.S. antibiotics and about 80 percent of active pharmaceutical ingredients used in American drugs, giving the Chinese Communist Party absolute controlof potentially life-saving medicine. "Under China's Communist Party dictatorship, private companies are forced to bend to the government's will," the report states. With most forms of U.S. debt, like Treasury bills, redeemable in U.S. dollars, worldwide trust in the dollar and the U.S. economy, in general, remains Chinas main safeguard for the yuan. Citing the nonpartisan economic think-tank Paulson Institute, the American Security Institutereport underscores that "Chinese firms and investors own a controlling majority in nearly 2,400 U.S. Accessed March 04, 2023. https://www.statista.com/statistics/611020/total-number-of-properties-purchased-by-chinese-buyers-in-the-us/. ", U.S. Department of the Treasury. Definition and Impact. "Report on Foreign Portfolio Holdings of U.S. That's when the U.S. Department of the Treasury changed how it measures the debt. Indeed, there has been a tenfold expansion of Chinese ownership of farmland in the United States in less than a decade. This statistic is not included in your account. Now China owns the airspace and Australian citizens can't land in their own country without approval from the Chinese government. Why A Secretive Chinese Billionaire Bought 140,000 Acres Of Land In Texas US media outlets received millions of dollars from China to sell its Is it better to pay off credit card or pay down? "Total Number of Residential Properties Purchased by Chinese Buyers in The United States from 2010 to 2022. However, the US government estimates that Chinese-owned entities own approximately 7,000 acres of land in the US, which is a small fraction of the 2. . Erika Rasure is globally-recognized as a leading consumer economics subject matter expert, researcher, and educator. 1 Canada (12.8 million acres) and even and the Cayman Islands (672,000). A dollar-pegged yuan helps keep down the cost of Chinese exports, which the Chinese government believes makes it stronger in international markets. Billions of dollars flow into the U.S. from China every year. The push to drain Chinas influence from the U.S. economy has reached Americas farm country, as congressional lawmakers from both parties are looking at measures to crack down on foreign purchases of prime agricultural real estate. Legal Statement. Walmart Inc. is the largest retailer in the world and one of the five largest corporations in the world by sales. The United States owes China approximately $980.8 billion as of May 2022. The Chinese yuan, like the currencies of many nations, is tied to the U.S. dollar. The quick answer is that as of January 2018, the Chinese owned $1.17 trillion of U.S. debt or about 19% of the total $6.26 trillion in Treasury bills, notes, and bonds held by foreign countries. The other 189,000 acres were worth $235 million when purchased and are owned by 62 U.S. corporations with Chinese shareholders. Of the 109 countries that own U.S. agricultural land, China ranks No. Citing staff shortages, the Department of Agriculture didnt penalize foreign parties for violating reporting rules from 2015 to 2018, prompting 28 lawmakers to criticize the departments complete lack of accountability and oversight Monday in a letter obtained by the Wall Street Journal. This drives China to accumulate U.S. dollars as foreign exchange (forex) reserves. The manufacturing of smartphones and other household items is heavily reliant on China, which controls most of the rare earth minerals that make those items work. While a large portion of Smithfield pork was already being exported to China prior to the acquisition, the Covid-19 crisis raised concerns about Chinese control of U.S. food supply chains. According to the Federal Reserve and U.S. Department of the Treasury, foreign countries held a total of 7.03 trillion U.S. dollars in U.S. Treasury securities as of March 2021. Many large corporations, pension funds, and wealthy individuals are investing in agricultural land in the United States and abroad. Milos Maricic, an international affairs expert and World Economic Forum contributor, concurred that while China owns close to $150 billion in U.S. companies not particularly huge in comparison to the U.S. economy there is a lot about the available figure that we simply do not know. Advocacy groups like the National Family Farm Coalition argue that the larger threat to national security is corporate capture of U.S. land resources, whether those corporations are U.S.- or foreign-owned. In Texas, a Chinese based energy company purchased more than 130,000 acres of land near Laughlin Air Force Base and is now attempting to build a wind farm to access the U.S. power grid. Whether you're an American retiree or a Chinese bank, American debt is considered a sound investment. How Much U.S. Debt Does China Own? - The Balance 1616 Rhode Island Avenue, NW What does China own in the U.S.? | CNBC Explains - YouTube 6 Modern U.S. Presidents Who Raised the Debt Ceiling, Expansionary vs. The best of the best: the portal for top lists & rankings: Strategy and business building for the data-driven economy: Industry-specific and extensively researched technical data (partially from exclusive partnerships). As soon as this statistic is updated, you will immediately be notified via e-mail. However, there are some countriessuch as Niger, Cambodia, and Laoswhose debt to China is more than 20% of their GDP. Mexico has gone from 38% to 42%. Chinese billionaire and businessman Wang. By clicking Accept All Cookies, you agree to the storing of cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts. As economists point out, other creditors are likely to get in line to buy up Chinas share of the debt, including the Federal Reserve, already the owner of twice as much of the U.S. debt than China has ever owned. But you'll still see the malls and streets of the big cities filled with Christmas decorations, fir trees, Santa Claus and carols. The measure is expected to reach the House floor before the end of July, as part of a broader appropriations package, although the Senate has not yet drafted its own version of the spending bill. WH Group is a publicly-traded company with shareholders around the world. The National Young Farmers Coalition (NYFC) anticipates that two-thirds of farmland will change hands over the next decade as farmers retire, meaning that more land could become available for foreign purchase. Congressional Research Service. According to the NYFC, young and aspiring farmers say access to land is their largest barrier to starting a successful farm business. For these reasons, we'll likely see China remain one of the world's largest holders of U.S. national debt. It buys available excess U.S. dollars from the exporters and gives them the required renminbi. Foreign Ownership and Holdings of U.S. Agricultural Land Data cover both foreign-owned (29.1 million acres) and U.S. "Under President Trump, the U.S. was the first to recognize their nonstop deceits, and now the rest of the world has a clearer picture of China's ambition. U.S . That data also shows that the approximately 190,000 acres of farmland owned by Chinese interests has remained virtually unchanged since 2013. Accordingly, all views, positions, and conclusions expressed in this publication should be understood to be solely those of the author(s). Along similar lines, climate-related efforts to increase biofuel production and expand afforestation and reforestation could reduce the amount of land available for food production in the future. At the same time, American consumers are assured of a steady flow of relatively inexpensive Chinese products and services. When this land changes hands, theyre going to gobble it up, he said of foreign buyers. The greatest share is in Texas, with over 4.4 million acres, followed by Maine (3.3 million acres) and Alabama (1.8 million acres). If China ever did call in its debt, it slowly would begin selling off its Treasury holdings. Since this strategy is dependent on exportsover $ 452.58 billion of which went to the U.S. in 2020China needs ever-more renminbi to continue to have a lower currency exchange rate than the U.S. dollar, and thus offer cheaper prices for the products it exports. Anyone anywhere can purchase shares of WH Group on the Hong Kong Stock Exchange. What US companies are now owned by China? China's economy would suffer along with everyone else's. "Your Pension Is a Lie: There's $210 Trillion of Liabilities Our Government Can't Fulfill. Biden says China believes it will 'own America' within 15 years Consequences of Owing Debt to the Chinese, Government Bond: What It Is, Types, Pros and Cons, Repurchase Agreement (Repo): Definition, Examples, and Risks, U.S. Debt Ceiling: Definition, History, Pros, Cons, Clashes, Debt-to-GDP Ratio: Formula and What It Can Tell You, Major Foreign Holders of Treasury Securities, Debt Position and Activity Report, June 2017, Debt Position and Activity Report, June 2022, Your Pension Is a Lie: There's $210 Trillion of Liabilities Our Government Can't Fulfill, Frequently Asked Questions About the Public Debt, China's Gold Market: Progress and Prospects, Federal Debt Held by Federal Reserve Banks. "How Much U.S. Debt Does China Really Own?" Research Associate, Global Food Security Program. 04 Mar 2023 03:14:21 companies.". For example, in water-scarce regions like the Southwest, outside use of freshwater resources can affect water availability for local farms and communities. List of US Companies Secretly Owned by China: Tesla, Microsoft, GM For long-term U.S. food security, perhaps the larger concern is why up-and-coming U.S. farmers are unable to buy the land they need. The remaining 38 percent is held by entities from almost a hundred other countries. This helps inflate the value of the dollar. Six states Hawaii, Iowa, Minnesota, Mississippi, North Dakota and Oklahoma currently ban foreign ownership of farmland. According to the U.S. Census Bureau, the U.S. has been suffering from a significant trade deficit with China since 1985, meaning that the U.S. buys more goods and services from China than China buys from the U.S. Chinese exporters receive U.S. dollars for their goods sold to the U.S. Alibaba handles more business than any other e-commerce company. As Chinese investors buy up U.S. Treasury products, they help increase the value of the dollar. A3: The only federal law governing these transactions is the Agricultural Foreign Investment Disclosure Act (AFIDA) of 1978. The value will change whenever China trades Treasury securities or when the prices of those bonds change. "In 2017, the United States produced zero rare earth minerals. The Chinese Investor owns about 14% of Snapchat's shares.