What it is:
Section 301 of the Trade Act of 1974 authorizes investigations into acts, policies, or practices of foreign governments that are unjustifiable, unreasonable, or discriminatory and that burden or restrict U.S. commerce. An investigation may be initiated by the government or in response to a petition from an affected industry. The process involves public consultation and review of evidence before a determination is made. If a foreign measure is found to harm U.S. commerce, the President may direct responsive actions such as tariffs, import restrictions, or suspension of trade concessions.

Section 301 determinations can remain in effect for extended periods. Once a finding of an unfair trade practice is established, that finding can serve as a legal foundation for a variety of new or adjusted tariff actions and trade restrictions over time.

How it has been used:
Section 301 has been used periodically since its enactment but became a major instrument of U.S. trade policy in 2018, when the Trump administration launched investigations into China’s technology transfer, intellectual property, and innovation practices. Following these investigations, the United States imposed tariffs on a broad range of Chinese imports, including industrial machinery, electronics, textiles, consumer products, and intermediate manufacturing inputs. The scope and tariff levels expanded significantly during that period.

In 2024, the Biden administration completed the required four-year statutory review and chose to maintain most of the existing tariffs, while revising and extending certain product exclusions. In 2025, the Trump administration expanded the scope of Section 301 by introducing additional measures, often layered on top of existing China tariffs, covering clean-energy components (such as solar cells and batteries), critical minerals, and medical goods, citing concerns related to supply-chain resilience and non-market trade practices.

How it works:
The process begins when the United States Trade Representative either self-initiates an investigation or receives a petition from an industry or other affected party. The USTR then conducts an inquiry, invites comments, consults stakeholders, and holds hearings. After a determination that a foreign government’s actions are harmful to U.S. commerce, the USTR recommends measures and the President decides what action to take. 

Implications for international exporters:
For non-U.S. companies, including Swedish exporters or firms with supply chains tied to the U.S., Section 301 decisions mean that imports into the U.S. from certain countries can face additional tariffs or restrictions if those countries are found to have unfair trade practices. Even if your company is not directly targeted, changes in trade rules under Section 301 can shift global supply-chains, raise costs, and require you to monitor international trade policy closely.