US keeps China Section 301 trade actions in place after industry push
Synopsis
The US is holding firm on two sets of China trade actions from 2018 — and the driving force isn't the White House, it's American industry. With over 130 requests for continuation from domestic producers and trade groups, the USTR has kept both Section 301 measures alive. The review isn't over, meaning modifications are still possible, but a full rollback looks increasingly unlikely.
Key Takeaways
The US Trade Representative confirmed on 7 October 2026 that two Section 301 trade actions against China — imposed in July and August 2018 — will remain in force.
68 US producers and 18 trade associations requested continuation of the first action; 57 producers and 19 trade associations sought continuation of the second.
Industry groups said China's practices on technology transfer and intellectual property have persisted and that the measures have supported domestic investment and reshoring.
Both actions could still be modified as the statutory review continues; USTR will publish separate notices on the next stage.
The measures were originally triggered by US concerns over Chinese forced technology transfer , intellectual property violations, and innovation practices.
The United States has decided to keep two sets of trade actions against China in force, citing persistent Chinese practices involving technology transfer, intellectual property, and innovation, the US Trade Representative (USTR) announced on Wednesday, 7 October 2026. The measures, originally imposed in July and August 2018 under Section 301 of the Trade Act, had faced possible termination this year as part of a mandatory four-year statutory review.
Why the Actions Were Retained
The continuation was driven by strong demand from American industry. For the first action, USTR received 68 requests for continuation from US producers and 18 from trade associations. For the second action, 57 domestic producers and 19 trade associations filed requests.
Industry groups told USTR that China's policies and practices at the centre of the original investigation had persisted without meaningful reform. They argued the measures gave Beijing an incentive to end what they described as unreasonable and discriminatory practices, and helped American businesses compete against Chinese imports on more equal footing.
What Industries Say the Measures Have Achieved
US manufacturers credited the Section 301 actions with encouraging investment in new technologies, expanding domestic production, and helping reshore industries that had moved offshore. Industry representatives said the measures addressed unfair competition stemming directly from China's technology-transfer practices.
Those groups also noted that maintaining the actions continued to benefit American industries, framing the tariffs and trade measures not merely as punitive tools but as structural supports for domestic competitiveness.
The Review Process and What Comes Next
The USTR began the latest review in May, notifying qualifying industries that the actions could expire unless continuation requests were submitted within set windows. Industries benefiting from the July action had from 7 May through 5 July to file requests, while those benefiting from the August action had from 24 June through 22 August.
Because qualifying requests were received for both actions, they remained in force beyond their respective anniversary dates. Importantly, the USTR confirmed the decision does not end the review — the agency will conduct a further examination of both actions and publish separate notices detailing the next stage. Both actions could still be modified as the review continues.
Background: Section 301 and the US-China Trade Dispute
Section 301 of the Trade Act is a US trade enforcement mechanism used to address foreign practices that Washington determines burden or restrict American commerce. The two actions in question stem from a long-running US dispute with Beijing over Chinese practices related to forced technology transfers and intellectual property violations — grievances that American businesses operating in China have raised for decades.
This comes amid a broader pattern of sustained US-China trade and technology tensions, which have intensified since 2018 and have only deepened through successive administrations. The retention of these measures signals that Washington's core concerns about Chinese economic practices remain unresolved, and that American industry continues to see the actions as commercially valuable rather than merely diplomatic leverage.
Point of View
Not an executive order. That over 130 producer and association requests poured in suggests the measures have become structurally embedded in US supply-chain planning, making a clean rollback politically and commercially difficult regardless of which administration is in office. What the review still leaves open is whether targeted modifications will emerge — Washington has used such reviews in the past to surgically adjust product coverage. The unresolved core question is whether these actions have actually changed Chinese behaviour on technology transfer, or merely insulated US producers from competition. If it is the latter, the trade dispute is less a lever for reform and more a permanent feature of the bilateral relationship.
NationPress
7 Oct 2026
Frequently Asked Questions
What are the US Section 301 trade actions against China?
They are two sets of trade measures imposed by the United States in July and August 2018 under Section 301 of the Trade Act, targeting Chinese practices related to technology transfer, intellectual property, and innovation. Section 301 is a US enforcement tool used to address foreign practices that burden or restrict American commerce.
Why has the US decided to keep the China trade actions in place?
The US Trade Representative retained both actions because American domestic producers and trade associations formally requested their continuation, arguing that China's underlying practices had not changed and that the measures continued to benefit US industries. Over 130 combined requests were received across both actions.
Could the trade actions still be changed or removed?
Yes. The USTR confirmed the review is not over and that both actions could still be modified. The agency will conduct further examination and publish separate notices outlining the next stage of the review process.
Which industries benefit from the Section 301 measures?
Industries that manufacture goods competing with Chinese imports tied to technology-transfer practices. These groups credited the measures with encouraging investment in new technologies, expanding US production, and helping reshore industries. Specific sector names were not detailed in the USTR announcement.
How does this decision affect US-China trade relations?
It signals that Washington's core concerns about Chinese economic practices remain unresolved and that American industry views the measures as commercially necessary. The decision continues a pattern of sustained US-China trade tension that has persisted across multiple administrations since 2018.
