Fact Sheet: President Donald J. Trump Restores American Competitiveness and Security in FCPA Enforcement

February 10, 2025

Fact Sheets

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Action Summary

Objective: Restore American competitiveness and national security by revising FCPA enforcement policies.
Revised Enforcement Guidelines: Directs the Attorney General to pause current FCPA actions and issue new, reasonable enforcement guidance; all future FCPA investigations require her approval, with past and present actions to be reviewed.
Economic Competitiveness: Aims to correct overenforcement that puts U.S. companies at a disadvantage compared to international competitors by eliminating practices that create an uneven playing field.
National Security: Emphasizes that American security depends on economic strength and strategic advantages in critical areas such as minerals, ports, and infrastructure.
Context and Impact: Cites increasing FCPA actions (26 in 2024, average of 36 per year) that drain resources from U.S. businesses and law enforcement, undermining the country’s economic interests.
Broader Policy Measures: Reinforces President Trump’s broader agenda of America-first policies, including initiatives on AI leadership, trade renegotiations (USMCA), deregulation, and protecting the American workforce.

Risks & Considerations

The Executive Order to revise FCPA enforcement guidelines could lead to a more lenient regulatory environment for U.S. companies operating internationally. This may reduce compliance costs but could also increase the risk of unethical practices if oversight is weakened.
Vanderbilt University may need to consider the implications of these changes on its business and law programs, particularly in terms of curriculum adjustments to reflect the evolving legal landscape.
The emphasis on American economic strength and competitiveness could lead to increased scrutiny of international collaborations and partnerships, potentially affecting Vanderbilt’s global initiatives and research collaborations.
There is a potential risk that the reduced enforcement of FCPA could lead to reputational damage for U.S. institutions, including universities, if they are perceived as complicit in unethical practices abroad.

Impacted Programs

Owen Graduate School of Management may need to update its courses on international business and ethics to align with the new FCPA enforcement guidelines.
The Vanderbilt Law School could see increased demand for expertise in international law and compliance, presenting opportunities for research and policy development.
Vanderbilt’s Office of Global Strategy might need to reassess its international partnerships to ensure compliance with the revised FCPA guidelines and maintain ethical standards.

Financial Impact

The potential reduction in compliance costs for U.S. companies could lead to increased funding opportunities for research and development, benefiting institutions like Vanderbilt University.
However, the shift in enforcement priorities may also result in decreased funding for programs focused on international law and anti-corruption, necessitating strategic adjustments in funding applications and partnerships.
Vanderbilt may need to invest in training and resources to ensure that its faculty and students are well-versed in the new regulatory environment and its implications for international business practices.

Relevance Score: 3 (The order presents moderate risks involving compliance and ethics, which may require adjustments in programs and strategies.)

Key Actions

Vanderbilt’s Office of Federal Relations should monitor the revised enforcement guidelines for the Foreign Corrupt Practices Act (FCPA) to understand how changes might impact international collaborations and partnerships. This will be crucial for ensuring compliance and maintaining the integrity of Vanderbilt’s global engagements.
The Vanderbilt Law School could consider offering seminars or workshops on the implications of the revised FCPA enforcement guidelines. This would provide valuable insights for students and faculty involved in international law and business, enhancing their understanding of the evolving legal landscape.
Vanderbilt’s Business School should evaluate the potential impacts of the revised FCPA guidelines on international business strategies. By understanding these changes, the school can better prepare students for careers in global business environments where compliance and competitiveness are key.
The Center for International Business at Vanderbilt could explore research opportunities related to the impact of FCPA enforcement on American competitiveness. This research could contribute to policy discussions and provide evidence-based recommendations for balancing compliance with competitive practices.

Opportunities

The executive order presents an opportunity for Vanderbilt’s International Programs to strengthen partnerships with institutions in countries where strategic commercial advantages are critical. By aligning with U.S. economic and security interests, Vanderbilt can enhance its global presence and influence.
Vanderbilt can capitalize on the focus on American competitiveness by developing programs that emphasize ethical business practices in international contexts. This could include new courses or certifications that prepare students to navigate complex global markets while adhering to legal and ethical standards.
The emphasis on deregulation and economic competitiveness offers an opportunity for Vanderbilt’s Economic Research Center to engage in policy analysis and advocacy. By providing insights into the effects of deregulation on various sectors, the center can influence policy decisions and support economic growth.
By engaging with policymakers and industry leaders, Vanderbilt can position itself as a thought leader in discussions on balancing regulatory compliance with economic competitiveness. Hosting conferences and public forums on these topics can further establish Vanderbilt as a hub for innovative economic thought and practice.

Relevance Score: 3 (The order presents some adjustments needed to processes or procedures, particularly in international collaborations and compliance.)

Average Relevance Score: 2.4

Timeline for Implementation

N/A — No explicit deadline or timeline is provided in the directive; the Order only specifies that FCPA actions are to be paused until revised guidance is issued.

Relevance Score: 1

Impacted Government Organizations

Department of Justice (DOJ) – Attorney General: The Executive Order directs the Attorney General to pause current FCPA actions and to develop revised enforcement guidelines, thereby directly impacting the DOJ’s approach to FCPA investigations and enforcement.
Securities and Exchange Commission (SEC): Although not directly ordered to act, the SEC—actively involved in FCPA-related enforcement actions alongside the DOJ—will be indirectly affected by the new enforcement policies and revised interpretation of the FCPA.

Relevance Score: 1 (Only 2 agencies are directly or indirectly impacted.)

Responsible Officials

Attorney General – Tasked with pausing current FCPA actions, issuing revised enforcement guidance, and approving future FCPA investigations and enforcement actions.

Relevance Score: 4 (Impacts an agency head with substantial authority over national security and economic enforcement policies.)