President Trump’s executive order weakens the Foreign Corrupt Practices Act, pausing enforcement and reviewing past actions
President Donald Trump has signed an executive order rolling back enforcement of the **Foreign Corrupt Practices Act (FCPA)**, a law designed to prevent US companies from bribing foreign officials.
Trump argues that the regulation places American firms at a competitive disadvantage in global markets.
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Under the new order, **Attorney General Pam Bondi** has been instructed to **halt enforcement actions** under the FCPA until she establishes **new guidelines**.
Additionally, past and ongoing investigations into corporate bribery cases will undergo review, potentially overturning previous penalties.
A Controversial Shift in Policy
The FCPA, enacted in 1977, was a landmark anti-corruption law aimed at curbing unethical business practices abroad. Critics of Trump’s decision warn that loosening enforcement could encourage corruption and damage the US’s global reputation.
Supporters, however, argue that the law unfairly restricts American businesses while foreign competitors operate with fewer constraints.
The executive order signals a **dramatic shift in US business policy**, aligning with Trump’s broader efforts to **deregulate corporate America**.
Legal experts and ethics watchdogs are closely monitoring how this decision will affect international trade and diplomatic relations.
What Comes Next?
With the **Justice Department now reviewing past FCPA cases**, companies previously penalised for foreign bribery may challenge their fines.
Meanwhile, Bondi’s forthcoming enforcement guidelines will determine whether the US retains any meaningful oversight on corporate corruption abroad.
This decision is expected to face **strong opposition from lawmakers and transparency advocates**, who argue that weakening anti-bribery laws undermines fair competition and governance.
As the debate unfolds, the global business community awaits clarity on how the US will handle corporate ethics moving forward.
