HR4577-119

What This Bill Does

The Defending American Property Abroad Act responds to foreign-government nationalization or expropriation of port, harbor, or marine-terminal infrastructure tied to United States persons. Covered foreign trade partners are Western Hemisphere countries with free trade agreements with the United States. Prohibited property includes port infrastructure located in that country, accessible only through land owned or controlled by a United States person, where a government official after January 1, 2024 nationalized or expropriated the land, repudiated or nullified a contract, permit, concession, easement, or similar authorization, or took a comparable action seizing ownership or control. The bill covers infrastructure such as conveyors, freight or passenger loading roads, docks, piers, moorings, cranes, warehouses, utilities, passenger terminals, security and customs facilities, and related fixtures. It also amends Trade Act section 301 so expropriation, arbitrary or capricious treatment, denial of due process, or nationality discrimination against U.S. assets can count as an unreasonable or discriminatory act, policy, or practice. That gives USTR a clearer hook for trade responses to foreign property seizures.

Who Benefits and How

United States port investors benefit from statutory attention to foreign seizures of port and marine-terminal assets. U.S. companies holding foreign concessions benefit from stronger section 301 leverage against expropriation or contract nullification. USTR trade enforcement staff benefit from explicit section 301 language covering U.S. asset expropriation and due-process denial. Passenger vessel operators benefit if covered port infrastructure remains accessible and legally protected.

Who Bears the Burden and How

Covered foreign trade partners may face U.S. prohibitions or section 301 scrutiny after nationalizing or expropriating covered property. Foreign port authorities may face legal and trade pressure when they nullify concessions or seize infrastructure linked to U.S. persons. The United States Trade Representative must consider the new section 301 categories in trade practice reviews. U.S. importers from targeted countries may face trade disruption if section 301 remedies follow.

Key Provisions

• Defines prohibited property involving Western Hemisphere port infrastructure connected to United States persons.
• Covers post-January 1, 2024 nationalization, expropriation, contract nullification, or equivalent seizure actions.
• Identifies relevant port infrastructure such as docks, piers, cranes, warehouses, terminals, customs facilities, and utilities.
• Expands section 301 unreasonable or discriminatory practices to include expropriation, arbitrary treatment, due-process denial, and nationality discrimination against U.S. assets.
• Provides trade-enforcement leverage for U.S. property disputes with covered foreign trade partners.