Norwegian Prime Minister Contacts Senator Graham Over Controversial Caterpillar Divestment

OSLO, Norway — Norway’s Prime Minister Jonas Gahr Støre reached out to U.S. Senator Lindsey Graham on Friday to address concerns regarding the Norwegian sovereign wealth fund’s recent decision to sell its shares in Caterpillar Inc. over ethical issues.

This divestment, announced on Monday, stemmed from the fund’s worries about the use of Caterpillar bulldozers in the Gaza Strip and West Bank. The fund, with assets exceeding $2 trillion, is the largest sovereign wealth fund in the world.

Senator Graham, a close ally of U.S. President Donald Trump, responded on Thursday by urging Norway to reconsider its decision, warning that it could result in new American trade tariffs or visa restrictions for fund managers. “Your decision to punish Caterpillar, an American company, because Israel uses their product is beyond offensive,” Graham stated on X, formerly Twitter.

Norway’s fund, which manages approximately 52% of its assets, or more than $1 trillion, in the U.S., aims to ensure that firms within its portfolio adhere to ethical standards set by parliament. The fund’s Council on Ethics, established by the Ministry of Finance, recommended the divestment from Caterpillar.

State Secretary Kristoffer Thoner said Prime Minister Støre informed Graham about the fund’s autonomous decision-making process through a text message. “This is not a political decision,” Thoner emphasized.

The fund, financed by Norway’s oil and gas revenues, invests in around 8,400 companies globally, owning about 1.5% of all listed stocks.

In light of the comments from Graham, some experts in Norway have raised concerns about the potential risks to the fund’s U.S. assets, including the possibility of asset seizure or enforced debt swaps, although fund CEO Nicolai Tangen stated in April that he does not foresee any credible risks.