Investigation Launched: US Seeks to Address Foreign Trade Practices

US Launches Trade Investigations Into India, China, EU and Other Partners Over Manufacturing Practices​

Probe Initiated Under Section 301 of Trade Act​

New York, March 12 – The United States has launched investigations into several of its major trading partners, including India, China, Japan, and the European Union, to examine what it described as “unfair foreign practices” that may be harming American manufacturing.

United States Trade Representative Jamieson Greer announced that the probe has been initiated under Section 301(b) of the Trade Act of 1974. The investigation will examine the acts, policies, and practices of certain economies related to structural excess capacity and production in manufacturing sectors.

Multiple Economies Under Scrutiny​

The economies named in the investigations include Bangladesh, Cambodia, China, the European Union, India, Indonesia, Japan, Korea, Malaysia, Mexico, Norway, Singapore, Switzerland, Taiwan, Thailand, and Vietnam.

According to a statement from the Office of the United States Trade Representative, the probe will assess whether the practices followed by these economies are unreasonable or discriminatory and whether they place a burden on or restrict US commerce.

Concerns Over Excess Manufacturing Capacity​

Greer said the move reflects the US administration’s effort to strengthen domestic manufacturing and rebuild supply chains.

“The United States will no longer sacrifice its industrial base to other countries that may be exporting their problems with excess capacity and production to us,” he said in a statement.

He added that the administration’s efforts to reindustrialise the country continue to face challenges due to structural excess capacity in manufacturing across several foreign economies.

Impact on US Manufacturing Sector​

Greer stated that in many sectors, several US trading partners are producing more goods than they can consume domestically.

According to him, such overproduction can displace existing US domestic production or discourage new investment and expansion in the American manufacturing sector.

He noted that the United States has already lost significant domestic production capacity in some industries or has fallen behind global competitors.

Role of Section 301 Investigations​

Section 301 of the Trade Act of 1974 is designed to address foreign practices that negatively affect US commerce. The law allows the US government to respond to practices that are considered unjustifiable, unreasonable, or discriminatory.

Under Section 302(b) of the Trade Act, the United States Trade Representative can initiate such investigations independently.

An investigation under Section 301(b) specifically evaluates whether the acts, policies, or practices of a foreign country unfairly burden or restrict US commerce.

Next Steps in the Investigation​

Greer initiated the investigations after reviewing advice from the inter-agency Section 301 Committee and consulting relevant advisory committees.

Following the launch of the probe, the US will seek consultations with the governments of the economies under investigation.

The USTR has already requested consultations with China, the European Union, Singapore, Switzerland, Norway, Indonesia, Malaysia, Cambodia, Thailand, Korea, Vietnam, Taiwan, Bangladesh, Mexico, Japan, and India.

Public Comments and Hearing Schedule​

A docket for public comments regarding the investigations will open on March 17, 2026.

The United States Trade Representative will also hold hearings related to the probe starting May 5, 2026.