S. 2368: Defending American Property Abroad Act of 2025

This bill, titled the Defending American Property Abroad Act of 2025, aims to address the nationalization or expropriation of property owned by United States citizens or entities by foreign governments. Here’s a breakdown of the key components of the legislation:

Definitions and Terminology

The bill includes specific definitions for several terms relevant to its provisions:

• Covered foreign trade partner: A country in the Western Hemisphere with an active free trade agreement with the United States.
• Prohibited property: This includes any port, harbor, or marine terminal within a covered foreign trade partner's territory, particularly if it has been nationalized or expropriated by the government of that country.
• Relevant port infrastructure: Refers to facilities and structures used for loading and unloading vessels, including docks, roads, storage, and administrative buildings.
• United States person: Defined as a U.S. citizen, a lawful permanent resident alien, or entities with significant U.S. ownership.

Designation of Prohibited Property

The bill mandates that within 60 days of its enactment, the Secretary of Homeland Security, in coordination with the Treasury and State Secretaries, must:

• Identify and designate all properties considered prohibited due to foreign nationalization or expropriation.
• Provide a list of these properties to relevant government departments and publish it in the Federal Register.

Prohibitions Regarding Prohibited Property

If a property is designated as prohibited under this bill, the President is required to impose restrictions on vessels and goods related to that property. Specifically, the following actions would be prohibited:

• Importing any goods into the United States from these properties.
• Releasing goods into the United States from such locations.
• Docking passenger vessels in the United States if they have been at a prohibited property.
• Allowing passengers from these vessels to disembark in the U.S.
• Performing any maintenance or servicing activities on these vessels in the U.S.

Expansion of Acts, Policies, and Practices

The bill also proposes amendments to existing definitions of unreasonable or discriminatory practices under the Trade Act of 1974. It adds that acts which involve:

• Direct or indirect expropriation or nationalization.
• Arbitrary treatment or denial of due process.
• Discrimination based on nationality.

These would be included in the list of actions considered unfair or discriminatory against U.S. persons and their assets abroad.

Implementation and Oversight

The bill calls for collaboration among several key government departments to ensure effective identification, designation, and enforcement related to prohibited properties. This underscores the importance of inter-agency coordination in addressing property rights and trade issues internationally.

Relevant Companies

None found