Overview
The Office of the US Trade Representative (USTR) issued an update on its Section 301 investigation into Chinese technology and intellectual property practices on June 15, 2018. This update contains a list of products that will be subject to additional 25% tariffs on July 6, 2018 as well as a second proposed list of products targeted for future 25% tariffs.
The announcement that the United States would impose Section 301 tariffs marked a change of course in US-China trade relations. As the deadline for public comments on USTR’s April tariff list approached, US Treasury Secretary Steven Mnuchin stated that the United States would postpone tariffs while finalizing a bilateral agreement to reduce the US-China trade deficit and promote bilateral commerce and intellectual property protection. A week later, however, the White House stated that Section 301 tariffs would be announced by June 15 and would go into effect soon after. Following this announcement, US-China trade talks have deteriorated, China has retaliated for the Section 301 tariff plan, and both countries have made significant additional retaliation threats against one another.
For more information, please see our advisory.
