SSINA supports the administration’s efforts under Section 301 of the Trade Act of 1974 to press China to reform its discriminatory practices such as forced technology transfer and intellectual property theft.
As producers of the high performance materials at the leading edge of metals technology, SSINA has long been concerned with China’s anticompetitive behavior and its implications for U.S. innovation, technology development, and overall economic competitiveness. SSINA supports the administration’s efforts under Section 301 of the Trade Act of 1974 to press China to reform its discriminatory practices such as forced technology transfer and intellectual property theft.
In August 2017 – at the direction of President Trump – the Office of the United States Trade Representative (USTR) initiated a formal investigation under the Trade Act of 1974 to determine whether China’s acts, policies, and practices “related to technology transfer, intellectual property, and innovation are unreasonable or discriminatory and burden or restrict U.S. commerce.” USTR conducted a seven-month investigation, including consultations with its advisory committees as well as a public hearing and comment period. USTR issued its findings in March 2018, concluding that China:
Specifically, USTR determined that China’s actions, policies, and practices were actionable under Section 301 of the Trade Act of 1974. Subsequently, on March 22, 2018, President Trump directed a three-pronged response: (1) tariffs on Chinese exports to the United States; (2) the pursuit of dispute settlement proceedings in the World Trade Organization (WTO); and (3) restrictions on Chinese investment in the United States.
On April 3, 2018, USTR announced approximately $50 billion in proposed tariffs under Section 301. Within 24 hours, the government of China announced $50 billion in proposed retaliatory tariffs, thus beginning a months-long escalation of duties.
On December 13, 2019, the United States and China announced a “Phase One” agreement, including some tariff concessions by both governments, additional agricultural purchase commitments by the Chinese, and some initial structural reforms. The agreement was signed January 15, 2020. More substantial structural issues will be addressed in a subsequent “Phase Two” agreement, which could also include additional tariff rollbacks. Please see our latest tariff tracking chart.