Overview
- The Office of the U.S. Trade Representative launched an investigation into structural overproduction in manufacturing targeting China, the European Union, Japan, India, Mexico, South Korea and 10 other partners.
- USTR said the inquiry will examine subsidies, state-owned enterprises, wage suppression, market-access barriers and related policies that can drive persistent global overcapacity.
- Public comments are due April 15, with hearings scheduled for May 5–8, as officials aim to complete findings and propose remedies on an accelerated timeline.
- If unfair practices are found, the process could lead to new Section 301 tariffs or other trade measures that are not capped in level or duration, unlike the temporary 10% surcharge now in place under a separate law.
- A separate Section 301 investigation focused on imports linked to forced labor is being prepared to cover roughly 60 countries, with USTR emphasizing whether governments have laws barring such goods.