Politics
Foreign investments become unlikely flashpoint in Wisconsin Senate District 17 race
A Democratic ad targeting Republican Sen. Howard Marklein over past emerging-market investments has pulled China into a closely watched Wisconsin legislative contest. Republicans call the message misleading, while political analysts say it taps broader concerns about conflicts of interest, manufacturing and data centers.
China has become an unexpected centerpiece of the race for Wisconsin’s 17th Senate District, where Republican Sen. Howard Marklein is seeking another term against Democratic state Rep. Jenna Jacobson.
Jacobson’s campaign began airing an advertisement last week accusing Marklein of investing “thousands of dollars in Chinese corporations” while opposing a 2013 proposal that would have given preference to materials made in the United States for state and local contracts. The ad shows Marklein beside a Chinese flag and features a man dressed as a construction worker accusing the senator of profiting from Chinese investments while harming American workers.
Sen. Patrick Testin, R-Stevens Point, who leads the committee working to elect Republican senators, held a news conference Tuesday to defend Marklein. Testin called the advertisement deceptive and a “sick smear campaign.”
The dispute centers on Marklein’s financial disclosure records. His 2022 statement of economic interests listed more than $50,000 in a WisdomTree Emerging Markets Fund and between $5,000 and $50,000 in a JPMorgan Emerging Markets Fund. Such funds generally hold shares in companies across countries including India, Brazil, South Africa and China. Marklein’s most recent disclosure did not list emerging-market funds.
The records do not establish that Marklein directly invested in specific Chinese companies. Jacobson’s campaign argues that his fund holdings nevertheless gave him financial exposure to Chinese-owned businesses. Jacobson’s 2022 and 2024 disclosures did not list emerging-market funds. Her 2024 filing did list the American Funds New Economy Fund, which is invested primarily in the United States but holds about 15% of its assets in Asia, including China.
Testin appeared to suggest at his news conference that the advertisement referred to investments made through the Wisconsin Retirement System, which also invests in businesses in China and covers Jacobson and other state employees. The campaign’s claims, however, point to Marklein’s personal financial disclosures.
Testin also criticized Jacobson for opposing legislation addressing China. He cited a bill co-authored by Marklein and sponsored by Testin that would have restricted Wisconsin agencies from contracting with certain foreign businesses, including Chinese companies. Other proposals would have barred China from buying Wisconsin land and restricted University of Wisconsin system study-abroad and research activities there.
Jacobson voted against two of those measures after they passed the Assembly. Gov. Tony Evers later vetoed both bills.
“Jacobson has no backbone, only a slick eye for political gain,” Testin said, accusing her of taking a tougher stance on China only when it benefited her campaign.
Will Karcz, a spokesperson for the state Senate Democratic Campaign Committee, said the advertisement was intended to show voters Marklein’s “personal foreign investment history.” He accused Marklein of voting against protections for Wisconsin manufacturing while profiting from investments tied to Chinese-owned companies.
Barry Burden, director of the University of Wisconsin-Madison Elections Research Center, said it is unusual for China or another foreign country to play a major role in a state legislative race. He described the issue as a proxy for concerns about politicians enriching themselves through investments, as well as disputes over new data centers that some residents view as expensive, resource-intensive and environmentally damaging.
Burden said associating a candidate with China can damage that candidate’s reputation. A November 2025 Marquette Law School Poll found that 65% of Americans held an unfavorable view of China and its leader, Xi Jinping, while 19% viewed China favorably.
The 17th District is considered important to the battle for control of the Wisconsin Senate. Marklein, who was first elected to the Senate in 2014 after serving two terms in the Assembly, has chaired the powerful Joint Finance Committee for the past two legislative sessions. He won his 2022 election with 60% of the vote, but redistricting has made the district more competitive for Democrats.
The district now includes Iowa, Lafayette, Green, Crawford and Grant counties, along with part of Dane County.
Todd Allbaugh, a former Republican staffer who grew up in Richland Center, said he has seen Jacobson’s advertisement roughly 20 times but initially found it difficult to understand. He said he needed help from Claude, an artificial-intelligence assistant, to determine the point the campaign was making.
“If you have to go to Claude to figure it out, it probably isn’t a really effective ad,” Allbaugh said.
Allbaugh said Jacobson could have a stronger case by focusing on issues closer to home, including the closure of UW-Platteville’s Richland Center and Baraboo Sauk County campuses and financial pressures facing public schools. He said Marklein’s position as Joint Finance Committee chair gives voters a direct way to evaluate his record on those issues.
Marklein’s campaign has emphasized local accomplishments and bipartisan cooperation in a recent advertisement, describing him as a “bridge builder” and highlighting tax cuts, local emergency medical services funding and the reopening of the Lone Rock Bridge after two years of construction.
Whether the China-focused message changes the race remains uncertain. The contest is taking place in a district reshaped by new maps, making the candidates’ ability to connect national concerns to local economic and public-service issues a central test for both campaigns.