Section 301 is a powerful domestic trade provision of the United States Trade Act of 1974 (19 U.S.C. § 2411). It is a law that grants the United States Trade Representative (USTR) the authority to investigate and respond to foreign government acts, policies, or practices that are unjustifiable, unreasonable, or discriminatory and burden U.S. commerce. The provision was enacted in 1974 to provide the U.S. government with a legal framework to address unfair trade practices by other countries.
The mechanism allows the USTR to investigate a foreign country's conduct and, if statutory requirements are met, take responsive action, which can include imposing tariffs or other import restrictions. The USTR can impose duties on any goods or economic sector of the foreign country, even if they were not involved in the unfair practice. Historically, after the establishment of the World Trade Organization (WTO) in 1995, the U.S. primarily used Section 301 to build cases for WTO dispute settlement. However, its recent use has been unilateral, bypassing the WTO mechanism.
A recent significant application occurred in July 2026, when the USTR imposed additional tariffs on 60 economies, including India, following an investigation into the failure to enforce prohibitions on goods produced with forced labor. As a result, an additional 10% ad valorem duty was imposed on imports from India, a reduction from the initially proposed 12.5%. This action is distinct from other U.S. trade measures like Section 232 of the Trade Expansion Act of 1962.