The US has initiated a Section 301 investigation into policies of 16 countries, including South Korea, targeting the revival of mutual tariffs following a Supreme Court ruling.
On November 11, the US, under the Trump administration, announced the commencement of a Section 301 investigation against 16 countries, including South Korea, in a bid to restore mutual tariffs that were invalidated by a Supreme Court ruling last month. The U.S. Trade Representative (USTR) published a notice stating that this investigation will examine policies and practices related to structural overproduction in manufacturing across the targeted nations, which also include China, the EU, Japan, India, Mexico, Vietnam, and Taiwan. The Section 301 investigation was foreshadowed by Trump’s statements following the Supreme Court's decision to invalidate certain mutual tariffs and triggered a call for the imposition of a 10% global tariff on all trade partners. The investigation is part of a strategy to gauge the factors contributing to overproduction, which may include subsidies, activities of state-owned enterprises, export promotion policies, market access restrictions, financial support, currency policy, wage suppression, and insufficient environmental and labor protections. The USTR has set July as the target for implementing the new tariffs, replacing the now-defunct mutual tariffs with a temporary 10% global tariff pending the completion of the investigation. They plan to conduct an open window for public comments and hearing applications around November 17, with the deadline for submissions set for December 15 and a public hearing scheduled for January 5. Additionally, a second Section 301 investigation concerning the enforcement of bans on imports produced through forced labor might be initiated soon after the initial investigation is launched.
