On March 11, 2026, the Office of the U.S. Trade Representative (USTR) officially announced the initiation of the 301 investigation process, which targets 16 major trade partners, including China, the European Union, Mexico, Vietnam, India, and Japan.
Economies covered in this round of surveys include: China, the European Union, Singapore, Switzerland, Norway, Indonesia, Malaysia, Cambodia, Thailand, the Republic of Korea, Vietnam, Taiwan, Bangladesh, Mexico, Japan and India.
The investigation focuses on possible overcapacity and related production problems in these economies in the manufacturing sector, with the intention of reintroducing tariff measures.
“The term ”301 investigation” originates from Section 301 of the U.S. Trade Act of 1974, which gives the U.S. Trade Representative the power to initiate investigations against other countries for so-called ”unreasonable or unfair trade practices," and at the conclusion of such investigations, to recommend to the President that he adopt unilateral sanctions.
Historically, the U.S. has imposed tariffs ranging from 7.5% to 25% on more than $300 billion worth of Chinese goods under the provision.
The investigation mechanism is unilaterally initiated, investigated, adjudicated and implemented by the United States, with obvious unilateralist features.
U.S. Trade Representative Jamison Greer said the current trade investigation based on ”Section 301” may impose a new round of tariffs on China, the European Union, India, Japan, South Korea and Mexico before this summer (expected around May).
According to the published schedule:
The United States has significantly accelerated the process of this investigation
The specific schedule is as follows:
March 11, 2026: Formal initiation of investigation
March 17, 2026: Open public comment submission channels
April 15, 2026: Deadline for Written Comments and Request for Hearing
May 5-8, 2026: public hearings held
Within 7 days of the conclusion of the hearing: deadline for filing post-hearing rebuttals
This time, the U.S. side will focus on the issue of ”overcapacity”, directly targeting China's manufacturing advantages in the field of automobiles (especially new energy vehicles), basic materials, machinery and equipment.
If the investigation ultimately found that there is ”overcapacity”, for Chinese importers and exporters, the relevant products may face additional tariffs, price competition will be weakened; in the import chain, the U.S. Customs may strengthen the examination of origin.
Further escalation of trade friction between China and the U.S. may also lead to a longer timeframe for two-way customs clearance, a higher proportion of goods being inspected, and affect the overall stability of the international logistics supply chain.
On March 12, 2026, Foreign Ministry spokesman Guo Jiakun presided over a regular press conference.
Guo Jiakun said that China's position on China-US economic and trade issues has been consistent and clear, and it firmly opposes any form of unilateral tariff measures. Tariff wars and trade wars are not in line with the fundamental interests of any party, and the two sides should properly resolve the relevant issues through consultations on the basis of the principles of equality, respect and mutual benefit.
Guo Jiakun emphasized that ”the so-called overcapacity is a pseudo-proposition, and China is opposed to using it as a pretext for political maneuvering.”
Author: Kim
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