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USTR continues China Section 301 actions, makes conforming amendment to product exclusion

The tariff actions did not terminate on their 2026 anniversary dates and remain in effect, subject to possible further modifications resulting from the second statutory four-year review.

October 6, 2026

The Office of the United States Trade Representative (USTR) released a notice announcing that two Section 301 tariff actions concerning China’s acts, policies, and practices related to technology transfer, intellectual property (IP), and innovation will remain in effect following requests for continuation from representatives of domestic industries that benefit from the actions.

The actions, originally effective July 6 and August 23, 2018, were subject to possible termination on July 6 and August 23, 2026, respectively, unless USTR received requests for continuation from representatives of benefiting domestic industries. USTR received numerous requests to continue both actions. Accordingly, the actions did not terminate and remain in effect, subject to possible further modifications, including modifications resulting from the statutory four-year review.

Next steps in review process

USTR will next conduct the second statutory four-year review of the actions and will publish a separate notice or notices describing the review process. The process will include an opportunity for interested persons to comment on the effectiveness of the actions in achieving the objectives of the investigation, other actions that could be taken, and the effects of such actions on the U.S. economy, including consumers.

Conforming amendment to product exclusion

In a separate notice, USTR announced a conforming amendment to an additional product exclusion affected by changes to statistical reporting categories in the Harmonized Tariff Schedule of the United States (HTSUS) that took effect July 1, 2026. The amendment is effective for goods entered for consumption, or withdrawn from warehouse for consumption, on or after July 1, 2026, and is intended to maintain the pre-existing product coverage. U.S. Customs and Border Protection (CBP) will issue instructions on entry guidance and implementation.

For more information, contact a professional with KPMG Trade & Customs services:

 

Andrew Siciliano
Partner, U.S. & Global Practice Leader

E: asiciliano@kpmg.com

Doug Zuvich
Partner

E: dzuvich@kpmg.com

Irina Vaysfeld
Principal

E: ivaysfeld@kpmg.com

John L. McLoughlin
Principal

E: jlmcloughlin@kpmg.com

Luis (Lou) Abad
Principal

E: labad@kpmg.com

George Zaharatos
Principal

E: gzaharatos@kpmg.com

Christopher Young
Principal

E: christopheryoung@kpmg.com

Amie Ahanchian
Principal

E: aahanchian@kpmg.com

Gisele Belotto
Principal

E: gbelotto@kpmg.com

Steve Brotherton
Principal

E: sbrotherton@kpmg.com

Jessica Libby
Principal

E: jlibby@kpmg.com

Dawn Olesky
Principal

E: dolesky@kpmg.com

Frances Xing
Principal

E: francesxing@kpmg.com

 

 

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