Chinese Water Giant’s $67M Nashua Purchase Ignites National Security Debate

The quiet streets of Nashua, New Hampshire, became the unlikely epicenter of national security concerns when Chinese beverage conglomerate Nongfu Spring acquired a long-vacant industrial property at a price that stunned officials and residents alike. The $67 million January 2025 purchase by NF North America—a subsidiary of China’s largest bottled water company—represented a staggering 400% premium over the property’s $16 million assessed value, raising urgent questions about the buyer’s intentions.

Why Are Security Experts Alarmed About Foreign Property Purchases?

The 340,000-square-foot facility at 80 Northwest Boulevard sits adjacent to critical infrastructure, including the Pennichuck Water Works supplying drinking water to thousands and the Merrimack River watershed serving hundreds of thousands downstream. Its proximity to Nashua Airport, defense contractors, and a Federal Aviation Administration control center has intensified scrutiny. National security analyst James Carter of the Center for Strategic Studies notes: “When foreign entities pay quadruple market value for assets near sensitive sites, it demands investigation—especially when linked to nations with documented industrial espionage histories” (Center for Strategic Studies Report, 2024).

New Hampshire Governor Kelly Ayotte emphasized the unprecedented nature of the transaction: “The drastic overpayment combined with the location near vital water systems and transportation hubs creates legitimate security questions that weren’t fully considered before approval.” This sentiment fueled immediate legislative action, with State Senator Regina Birdsell introducing a bill to block property acquisitions by entities from adversarial nations.

Public Backlash and Government Scrutiny Intensify

Nashua residents packed City Hall in August 2025, demanding transparency about Nongfu Spring’s plans. A Change.org petition to reverse the sale gained thousands of signatures within days, reflecting widespread unease. Local homeowner Diane Pearson voiced community fears: “Why pay so much for a decaying building unless they want something beyond real estate? Our water security shouldn’t be auctioned to the highest bidder” (WMUR Public Hearing Transcript, August 2025).

Mayor James Donchess distanced the city from oversight, noting the transaction bypassed local approval processes since it involved private entities. However, federal agencies including the Committee on Foreign Investment in the United States (CFIUS) are reportedly reviewing the deal. The scrutiny follows a 2023 White House executive order strengthening CFIUS oversight of foreign purchases near military bases and critical infrastructure—a policy directly applicable to Nashua’s strategic assets.

Water Access: The Unanswered Question

While Nongfu Spring hasn’t publicly disclosed plans, industry analysts speculate the site could become a bottling plant requiring massive water extraction. Securing permits would necessitate approval from the New Hampshire Department of Environmental Services, which confirmed no applications exist. State hydrologist Dr. Lisa Monroe warns: “Any large-scale withdrawal from the Pennichuck system requires rigorous impact studies. Our aquifers aren’t negotiable” (NHDES Water Resource Bulletin, 2024).

The $67 million question remains unanswered: Why would a bottled-water giant overpay for a derelict property near sensitive U.S. infrastructure without clear commercial justification? Until Nongfu Spring addresses national security concerns and clarifies its intentions, this quiet New Hampshire city will remain a flashpoint in America’s evolving debate over foreign land ownership.

Must Know

Q: Who owns Nongfu Spring?
A: The company is controlled by Zhong Shanshan, China’s wealthiest billionaire. Founded in 1996, it dominates 25% of China’s bottled water market and has expanded globally, though its U.S. footprint remains limited.

Q: Could this facility access Nashua’s water supply?
A: Not without state permits. The property borders Pennichuck Water Works infrastructure, but extraction would require approval from New Hampshire environmental regulators, who confirm no applications exist.

Q: What legislation has this purchase inspired?
A: New Hampshire State Senator Regina Birdsell proposed banning property acquisitions by entities from “adversarial nations,” citing national security risks. Similar bills exist in 24 other states.

Q: Why wasn’t the sale blocked initially?
A: Private commercial transactions typically avoid CFIUS review unless involving sensitive sectors or locations. Nashua’s proximity to critical infrastructure wasn’t flagged until after the sale.

Q: Has Nongfu Spring commented?
A: The company hasn’t addressed security concerns or explained the purchase price. Its U.S. subsidiary NF North America lists the property as “future operations” in corporate filings.