Updated 12 March 2026 at 08:31 IST
India Among 16 Economies Facing Trump's ‘Unfair Trade’ Probe Under Section 301 Amid Renewed Tariff Push
The United States has initiated a trade investigation into 16 economies, including India and China, under Section 301(b) of the Trade Act of 1974 due to alleged unfair manufacturing practices that harm American industry.
New Delhi: The United States has launched a fresh trade probe targeting 16 major economies, including India and China, over alleged unfair manufacturing practices that Washington claims are harming American industry.
The investigations were announced on March 11 by US Trade Representative Jamieson Greer under Section 301(b) of the Trade Act of 1974. The probe will examine whether the acts, policies and practices of the identified economies relating to “structural excess capacity and production” in manufacturing sectors are unreasonable or discriminatory and whether they burden or restrict US commerce.
The investigation will examine acts, policies and practices related to structural excess capacity and production in manufacturing sectors across the identified economies.
USTR Announcement
The Office of the US Trade Representative confirmed the development in a post on X.
Announcing the move on a White House press call, Jamieson Greer said the probe would be conducted under Section 301 of the Trade Act of 1974, one of Washington's most powerful trade enforcement tools.
Greer said the investigation would examine "acts, policies and practices" in manufacturing sectors that may be leading to excessive production capacity disconnected from market demand.
"We expect that this investigation will uncover a variety of unfair trading practices related to excess capacity and production in manufacturing. Our view is that key trading partners have developed production capacity that is really untethered from the market incentives of domestic and global demand," Greer said.
16 Economies Under US Surveillance
Apart from India and China, the investigation will also cover the European Union, Singapore, Switzerland, Norway, Indonesia, Malaysia, Cambodia, Thailand, South Korea, Vietnam, Taiwan, Bangladesh, Mexico and Japan.
According to the Office of the US Trade Representative (USTR), many of these economies are producing more goods than their domestic markets can absorb, resulting in surplus exports that can displace US manufacturing or discourage investment in domestic industries.
In a statement, the Office of the USTR said the move is part of the Trump administration’s push to revive American manufacturing and protect domestic industries from what it described as foreign overproduction.
'US Will No Longer Sacrifice Its Industrial Base'
Announcing the investigation, Ambassador Greer said the move is aimed at protecting American industry and rebuilding domestic manufacturing capacity. “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,” Greer said.
He added that the investigations highlight President Donald Trump’s commitment to reshoring critical supply chains and creating good-paying jobs for American workers across manufacturing sectors.
The US administration argues that structural overproduction in several foreign economies has contributed to the decline of American manufacturing capacity and slowed investments in domestic production.
Investigation into Forced Labor
Alongside the manufacturing investigation, the US Trade Representative said another probe under Section 301 of the Trade Act of 1974 would be initiated to examine the import of goods produced using forced labor.
The investigation will cover more than 60 countries, with Washington pushing for stricter global enforcement of bans on goods produced under forced labour conditions.
The United States has previously accused Chinese authorities of establishing labour camps for ethnic Uyghurs and other Muslim groups in the western Xinjiang region. Beijing has repeatedly denied allegations of abuse.
Supreme Court's Struck Down
The new probes come after the US Supreme Court struck down global tariffs imposed by President Donald Trump, ruling that they were illegal under a national emergencies law.
Following the setback on February 20, Trump imposed a 10 percent tariff for 150 days under Section 122 of the Trade Act of 1974, which will remain in place until July. Greer said the ongoing Section 301 investigations are expected to conclude before the temporary tariffs expire.
Probe Could Lead to Fresh Tariffs
Officials say the investigations could provide the Trump administration with another pathway to impose tariffs or trade restrictions if the policies of the targeted economies are found to be unfair.
The move is also seen as an effort by Washington to rebuild a credible tariff threat against trading partners and keep them engaged in negotiations on trade agreements that had earlier reduced tariff levels imposed under the International Emergency Economic Powers Act (IEEPA).
Published By : Melvin Narayan
Published On: 12 March 2026 at 08:25 IST