The Trump administration expands scrutiny of foreign university funding, with the State Department joining the Education Department to enforce transparency rules amid free speech concerns.
WASHINGTON: The Trump administration is intensifying efforts to identify what it views as malign foreign influence at American colleges and universities.
Officials announced on Monday that the State Department will now assist the Department of Education in this oversight initiative.
President Donald Trump has previously threatened to cut federal funding to universities over various issues. These include pro-Palestinian protests against Israel’s war in Gaza, transgender policies, climate initiatives, and diversity, equity, and inclusion programs.
These threats have raised significant concerns about free speech and academic freedom on campuses.
In April 2025, Trump issued an executive order calling for enforcement of Section 117 of the Higher Education Act. This law requires colleges receiving federal funds to report gifts or contracts exceeding USD 250,000 from any foreign source.
The Department of Education subsequently launched a new online portal for universities to report this funding in December.
Under Secretary for Public Diplomacy Sarah Rogers stated the State Department’s new role would “ensure an invigorated compliance assurance effort by the federal government.”
“The Department of State will be applying our national security expertise and our expertise countering foreign malign influence to bolster oversight efforts by the Department of Education,” Rogers told reporters at a State Department briefing.
Officials declined to provide specific examples of how foreign funding has unduly influenced higher education institutions. They said the primary goal is to boost university compliance and improve transparency.
A 2019 report by a U.S. Senate investigations subcommittee documented China’s impact on the American education system. This report sparked renewed enforcement of the existing disclosure rules.
U.S. colleges and universities disclosed 8,300 transactions totalling USD 5.2 billion in 2025. This figure includes funding from foreign governments, private companies, and individuals, according to the education department.
The largest source of foreign funding last year was Qatar, contributing USD 1.1 billion. It was followed by Britain with USD 633 million and China with USD 528 million.