USTR initiates Section 301 investigations on structural excess capacity and production in manufacturing sectors
Focusing on Bangladesh, Cambodia, China, EU, India, Indonesia, Japan, Korea, Malaysia, Mexico, Norway, Singapore, Switzerland, Taiwan, Thailand, and Vietnam
The Office of the United States Trade Representative (USTR) on March 11, 2026, announced the initiation of investigations regarding the acts, policies, and practices of various economies under Section 301(b) of the Trade Act of 1974 relating to structural excess capacity and production in manufacturing sectors. The investigations will focus on the economies of Bangladesh, Cambodia, China, the European Union (EU), India, Indonesia, Japan, Korea, Malaysia, Mexico, Norway, Singapore, Switzerland, Taiwan, Thailand, and Vietnam.
Structural excess capacity refers to production capacity that exceeds domestic and global demand, often sustained through governmental interventions or policies. This can lead to overproduction, trade surpluses, and underutilized capacity, which may negatively impact U.S. manufacturing competitiveness and efforts to re-shore supply chains.
The investigations will examine whether these practices are unreasonable or discriminatory and whether they burden or restrict U.S. commerce.
Public hearings will be held from May 5 through May 8, 2026, with written comments and requests to testify due by April 15, 2026. Post-hearing rebuttal comments must be submitted within seven calendar days after the hearings conclude.
USTR documents
- Read the formal USTR notice.
- Read the USTR release.
- Read the USTR fact sheet.