Chinese influence in America is growing under Joe Biden.
Now the country’s national security could be threatened by one decision.
And John Kennedy put Joe Biden on notice about handing this crucial industry to China.
Top American ammunition producer could be sold to foreign company
Vista Outdoor Sporting Products announced last October that it sold its sporting products division to the Czechoslovak Group in an all-cash deal for $1.9 billion.
The company’s sporting products division houses Remington, Federal, CCI, Speer, Alliant Powder, Estate Cartridge, and Hevi-Shot ammunition.
Vista Outdoor is the largest American ammunition maker with four manufacturing plants throughout the country.
And the company has contracts with law enforcement and the military to supply them with ammunition.
Vista is trying to spin off its ammunition business so it can focus on selling outdoor products like CamelBak hydration packs and Camp Chef stoves.
But the sale of the largest ammunition maker in the country to a Czech conglomerate raised serious red flags.
70% of the world’s primer market would be under the control of the Czechoslovak Group after the deal.
“Primers are critical components of ammunition that ignite the propellant and may be the most complex piece of any cartridge,” the Minneapolis Star Tribune reported.
Treasury Secretary Janet Yellen has to sign off on the deal as the head of the Committee of Foreign Investment in the United States (CFIUS), which reviews the national security implications of foreign purchases of American companies.
Conservatives began to sound the alarm over the sale because of the connections that the Czechoslovak Group has with foreign adversaries.
John Kennedy warns of potential Chinese influence over American ammo
U.S. Senator John Kennedy (R-LA) sent a letter to Yellen urging her to reject the sale of Vista Outdoor ammunition division.
He said that the Czech company has ties to China.
“I write to draw your attention to potential national security concerns arising from the proposed acquisition of Vista Outdoor’s Sporting Products business (‘Vista Sporting Products’) to Czechoslovak Group (‘CSG’), a foreign arms dealer with ties to China that has been recently acquiring key suppliers of ammunition and primers used by the U.S. military and law enforcement,” Kennedy wrote.
He warned about the danger of the Czechoslovak Group gaining control of the primer market, which would make the military and law enforcement dependent on a foreign supplier.
“Further complicating this matter, questions have arisen in recent weeks related to CSG’s relationships with China. It appears the company has taken actions to obscure its past relationships with China and insist it has no current relationships with our adversaries,” Kennedy continued.
Kennedy said that the Czechoslovak Group had supplied Chinese Communist state-run companies with equipment and that the company began to hide its ties to China after questions were raised about their relationship.
A critical part of the country’s national security could be placed in the hands of a foreign company unless Janet Yellen takes action.
