China Shipbuilding and Maritime 301 Investigation. On January 16, 2025, President Biden’s USTR released its report of investigation on China’s acts, policies and practices targeting the maritime, logistics and shipbuilding sectors for dominance under Section 301 of the Trade Act of 1974. The investigation was initiated on April 17, 2024 in response to petitions filed by five labor unions. The report finds that China has targeted the maritime, logistics and shipbuilding sectors for dominance and has employed increasingly aggressive and specific targets in pursuing such dominance and determines that these actions are unreasonable and restrict U.S. Commerce. The report leaves it to the Trump administration to determine the best means to curtail or counter China’s practices.
In its final weeks the Biden Administration also initiated two new Section 301 investigations.
- China Semiconductor 301 Investigation. On December 23, 2024, it launched an investigation, of China’s acts, policies, and practices related to targeting of the semiconductor industry for dominance which could raise complex questions for the Trump administration about potential about remedies considering that Chinese semiconductors are prevalent in many downstream products imported into the United States.
- Nicaragua 301 Investigation. On December 10, 2024, it launched an investigation of Nicaragua’s acts, policies, and practices related to labor rights, human rights, and the rule of law, and it promptly held a public hearing on January 16, 2025 at which various members of democracy, human rights and labor organizations participated. Perhaps owing to the accelerated timing, no industry participants testified in the hearing.