Defending American Property Abroad Act of 2025
Defending American Property Abroad Act of 2025 is a Senate bill that would (1) identify and prohibit use of certain foreign-held port facilities and related infrastructure when the land or operations have been nationalized or expropriated from a U.S. person by a foreign government, and (2) add new grounds to the Trade Act of 1974 for treating certain foreign actions as “unreasonable or discriminatory” against U.S. persons. In practice, the bill targets ports and related infrastructure in Western Hemisphere countries that have U.S. free trade agreements and would empower U.S. authorities to block imports, exports, and vessel activities tied to designated property. It also expands the types of government actions that count as unfair or discriminatory toward U.S. assets abroad, including expropriation, arbitrary treatment, denial of due process, and nationality-based discrimination. The core goal is to deter or respond to foreign governments that seize or overly penalize U.S. property abroad by cutting off or curtailing U.S. access to affected ports, goods, and passenger vessels, and by broadening U.S. trade enforcement tools. The bill would require a 60-day process to identify and publish prohibited property and would set up a framework of prohibitions on ships and goods connected to those properties.
Key Points
- 1Designation of prohibited property near foreign ports: The bill defines and designates specific port facilities and related infrastructure located in covered Western Hemisphere trade partners (countries with U.S. free trade agreements) that are linked to land or assets nationalized or expropriated from U.S. persons after January 1, 2024.
- 2Prohibitions tied to prohibited property: The President would bar vessels loaded at or previously tied to a designated port from docking in the United States, importing or releasing goods into the United States, and from servicing or refueling in U.S. ports, including restrictions on passenger vessels and passenger movement.
- 360-day designation requirement: The Secretary of Homeland Security must identify and designate prohibited property within 60 days of enactment, coordinate with the Treasury and State Departments, circulate the list to relevant committees, and publish it in the Federal Register.
- 4Expansion of Section 301 grounds: The bill expands the list of actions deemed “unreasonable or discriminatory” under the Trade Act of 1974 to include expropriation/nationalization of U.S. assets, arbitrary or capricious treatment, denial of due process, and nationality-based discrimination.
- 5Definitions and scope: Establishes terms such as “covered foreign trade partner,” “prohibited property,” “relevant port infrastructure,” and “United States person” (including U.S. citizens, permanent residents, or entities at least 50% owned by U.S. persons).
- 6Focus on Western Hemisphere FTAs: The targeted partners are those in the Western Hemisphere that have active free trade agreements with the United States.