More Section 301 Tariffs Are Coming. What Should Businesses Do to Prepare?

International Trade attorney Patrick Childress and Senior Policy Advisor Peter Tabor were quoted in a Sourcing Journal article discussing the anticipated results of the Office of the U.S. Trade Representative's (USTR) Section 301 investigation into global industrial excess capacity and the potential for new tariffs on U.S. trading partners later this year. Patrick said importers should expect a tariff proposal from USTR in August, followed by a public comment period, with final tariffs in effect toward the end of 2026. He emphasized that any new Section 301 tariffs are likely to be long-lasting because the statute provides the administration with a durable trade enforcement tool that can be adjusted over time and used as leverage in negotiations with trading partners.

"We're looking at a duration of years, not months," he explained, adding that the anticipated overcapacity tariffs, combined with recently imposed Section 301 forced labor tariffs, could bring levy levels close to those that existed before the U.S. Supreme Court's decision limiting the administration's use of the International Emergency Economic Powers Act (IEEPA) for broad trade actions.

Peter advised companies to evaluate opportunities to take advantage of current tariff rates before new duties are implemented, including reviewing sourcing strategies, inventory planning and major purchasing decisions. He also encouraged businesses that may be affected by the proposed fees to actively participate in the USTR's public comment process and, if appropriate, testify at public hearings in Washington once USTR releases its proposed remedies.

READ: More Section 301 Tariffs Are Coming. What Should Businesses Do to Prepare? (Subscription required)