Indy Standard

The House Commerce, Small Business and Economic Development Committee has moved forward with legislation proposed by State Representative Matt Commons (R-Williamsport). The bill aims to prevent the Indiana Economic Development Corporation (IEDC) and state agencies from setting up offices in countries deemed adversarial.

The IEDC's role is to foster economic growth within Indiana, assisting businesses in launching, expanding, and relocating. Currently, the agency maintains offices in several countries including Germany, Italy, the UK and Ireland, Japan, South Korea, Israel, and Taiwan. Since 2017, over 200 foreign-owned businesses have either set up or expanded operations in Indiana. This has resulted in more than 30,000 jobs and over $18 billion in capital investment. However, Rep. Commons believes that engaging with nations like China poses risks.

"Attracting business from other countries is great for growing our economy and spreading the word about Indiana's low-cost environment," Commons stated. "But we need to be cautious about what companies we allow to plant roots here." He emphasized the responsibility of protecting Hoosiers from "foreign adversaries like China," citing concerns over intellectual property theft and cyber espionage linked to its government.

House Bill 1103 seeks to limit trade office establishments by the IEDC and other state agencies in countries identified as adversarial by the U.S. Department of Commerce. These currently include Russia, China, North Korea, Iran, Cuba, and Venezuela.

Indiana has previously taken steps to safeguard its resources from such nations. Last year saw a law prohibiting individuals or entities connected with foreign adversaries from acquiring agricultural land or rights related to minerals or water within the state. Additionally, the Indiana Public Retirement System divested over $1 billion from Chinese government-controlled investments in 2024.

The bill will now proceed to the Indiana House of Representatives for further consideration. More information on legislative activities can be found at iga.in.gov.