Washington, D.C. — U.S. Senator Ted Budd (R-N.C.) joined Senator Bill Hagerty (R-Tenn.) and several of his Senate Republican colleagues in introducing the Defending American Property Abroad Act. This legislation will deter and punish any nation in the Western Hemisphere that unlawfully seizes American assets. The bill responds to ongoing efforts by the Mexican government to seize a deep-water port owned by U.S.-based Vulcan Materials Company, in flagrant violation of the United States-Mexico-Canada Agreement (USMCA), which governs trade between our two nations.
“The illegal seizure of American-owned property is a blatant violation of international law, and the Government of Mexico has knowingly crossed that line. The Defending American Property Abroad Act creates consequences for Mexico’s reckless actions. It’s time to implement firm protections to ensure American companies operating abroad are no longer exploited or undermined by foreign governments,” said Senator Budd.
“I strongly condemn the Mexican government’s threats against Vulcan Materials Company and I am pleased to see this bipartisan and bicameral rebuke from the United States Senate. Under the leadership of Mexico’s previous president, Andrés Manuel López Obrador, and now the current president, Claudia Sheinbaum, the Mexican government is committing a blatant theft against a major American company and, by extension, the United States itself. No nation should be allowed to bully an American firm without consequences. Our legislation will counter any attempt by the Mexican government to profit from illegal moves to expropriate, nationalize, or otherwise seize U.S. assets,” said Senator Hagerty.
“American companies operating abroad should not have to fear arbitrary government actions that undermine their property rights. The Defending American Property Abroad Act will ensure that such actions do not go unchecked and that American businesses are protected from unjust expropriation. The protection of American property rights abroad is essential for fostering economic growth and maintaining our national security. I urge my colleagues in Congress to support this critical legislation and send a clear message that the United States will not tolerate unjust actions against American companies,” said Representative Pfluger.
U.S. Senators Tim Kaine (D-Va.), Katie Britt (R-Ala.), Tommy Tuberville (R-Ala.), Roger Wicker (R-Miss.), Marsha Blackburn (R-Tenn.), and Angela Alsobrooks (D-Md.) co-sponsored the legislation. Representative August Pfluger (R-Texas-11) has introduced companion legislation in the U.S. House of Representatives.
Read the full bill text HERE.
BACKGROUND
In January of this year, Senator Budd asked a question for the record directed toward U.S. Secretary of Commerce, Howard Lutnick, regarding the Mexican army’s invasion of Vulcan Materials’ Mexico facility in 2022, which led to the halting of shipments containing building materials into the U.S.
Senator Budd called the actions taken by the Government of Mexico “egregious” and called on the Trump administration to put pressure on Mexico for harming its trade relationship with the U.S.
In response, Secretary Lutnick stated, “I will stand up for American companies whenever improper actions are taken against them by foreign governments.”
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