Trump admin launches trade probes into 16 nations including India, China
New Delhi, Mar 12, 2026
The US has launched fresh trade investigations into 16 major trading partners, including India, under Section 301 of the Trade Act of 1974, after the SC struck down much of Trump's tariff programme
The Trump administration on Wednesday announced new trade investigations into 16 countries, including India, as it seeks to rebuild tariff pressure after much of its reciprocal tariff programme was struck down by the US Supreme Court last month.
US Trade Representative Jamieson Greer said the investigation under Section 301 of the Trade Act of 1974 could result in new tariffs against several major trading partners, including India, China, the European Union (EU), Japan, South Korea and Mexico, reported Reuters.
The probes are aimed at examining excess industrial capacity among major trading partners and could ultimately replace Trump’s earlier reciprocal tariff policy, which the court ruled illegal.
Other economies included in the probe are Taiwan, Vietnam, Thailand, Malaysia, Cambodia, Singapore, Indonesia, Bangladesh, Switzerland and Norway. Canada, the second-largest US trading partner, was not listed as a target.
“So these investigations will focus on economies that we have evidence appear to exhibit structural excess capacity and production in various manufacturing sectors, such as through larger persistent trade surpluses or underutilised or unused capacity,” said Greer, reported Reuters.
He added that the administration’s policy direction remained unchanged despite the court ruling. “The policy remains the same. The tools may change depending on the vagaries of courts and other things,” Greer said, stressing that the administration’s goal was to protect American jobs.
What is Section 301?
The investigations are being conducted under Section 301 of the Trade Act of 1974, which allows the US Trade Representative to impose tariffs or other retaliatory measures against trading partners found to be engaging in unfair trade practices.
The Trump administration alleges that the 16 economies employ policies that disadvantage US goods producers, with nearly all of them running substantial goods trade surpluses with the US.
Under the process, the Office of the US Trade Representative will invite written comments from stakeholders and hold a public hearing as part of the investigation. Trading partners under scrutiny will also be consulted.
Greer said he hopes to conclude the investigations, including any proposed remedies, before temporary tariffs imposed earlier expire in July. The probe will move quickly, with public comments open until April 15 and a hearing scheduled around May 5.
Probe comes after US tariff ruling
The investigations follow a February 20 ruling by the US Supreme Court that declared Trump’s global tariffs imposed under a national emergencies law illegal.
Following the ruling, Trump imposed a temporary 10 per cent tariff for 150 days under Section 122 of the Trade Act of 1974.
Greer said the new investigations had long been signalled by the administration and should not come as a surprise to trading partners. However, he declined to say whether existing trade agreements would shield countries from potential tariffs under the new probe.
He emphasised that Trump remained determined to pursue measures to address trade imbalances. “He'll find a way to deal with unfair trading practices. He'll find a way to get our trade deficit down. He'll find a way to protect US manufacturing. We have a lot of tools to do it,” Greer said.
US to launch separate forced labour probe
According to Reuters, Greer also said that another investigation under Section 301 of the Trade Act of 1974 would be launched to examine imports linked to forced labour. The probe, expected to cover more than 60 countries, aims to ban US imports of goods produced using forced labour.
The US has already tightened restrictions on solar panels and other products originating from China’s Xinjiang region under the Uyghur Forced Labour Protection Act signed by former US president Joe Biden. The new investigation could expand similar restrictions to additional countries.
Washington has accused Chinese authorities of operating labour camps for ethnic Uyghurs and other Muslim minorities in Xinjiang, allegations that Beijing has denied.
[The Business Standard]
