FOR IMMEDIATE RELEASE
August 22, 2016
Contact: Andrew Jerome, 202-314-3106
WASHINGTON (August 22, 2016) – The Committee on Foreign Investment in the United States (CFIUS) approved the proposed acquisition of Syngenta AG by China National Chemical Corporation (ChemChina). In response to today’s decision, National Farmers Union President Roger Johnson released the following statement:
“Today’s approval of ChemChina’s acquisition of Syngenta is disconcerting for agriculture and our nation’s food security. This decision fails to acknowledge the significant threats to national security and trade that could result from the acquisition.
“A cross-border acquisition of this scale could have significant impacts on the security of our food supply. Threats to global food security ultimately can impact U.S. national security, and the U.S. needs to actively maintain and defend our capacity to feed our population.
“ChemChina acquiring Syngenta is also the latest action in what has become an alarming trend of Chinese government-owned entities purchasing U.S. and other agriculture companies. Following Chinese-company Shuanghui’s purchase of Smithfield, Smithfield pork exports to China soared to 97 percent of U.S. pork exports. We should be reasonably concerned that ChemChina could provide preferential treatment to Syngenta, which should deleteriously impact the competitiveness of the biotechnology sector.
“In light of today’s decision, it is critically important for the U.S. Department of Justice to closely examine pending and future merger proposals in the agriculture inputs sector to prevent further consolidation in a severely concentrated industry.”
National Farmers Union has been working since 1902 to protect and enhance the economic well-being and quality of life for family farmers, ranchers and rural communities through advocating grassroots-driven policy positions adopted by its membership.