The Section 301 of the Trade Act of 1974 is a provision of United States (U.S.) law, codified in 19 U.S.C. § 2411, that grants the U.S. President, through the Office of the United States Trade Representative (USTR), the authority to investigate and respond to foreign government policies, practices, or regulations that are considered unfair, unreasonable, or discriminatory and that burden or restrict U.S. commerce.
The provision was created in 1974 as part of the Trade Act of 1974 to promote an open, non-discriminatory, and fair world economic system and to stimulate fair competition for the U.S.. It was intended to solve the problem of foreign trade barriers by providing a unilateral mechanism for the U.S. to enforce its trade rights and expand market access.
The mechanism works by authorizing the USTR to initiate an investigation, either self-initiated or based on a petition, into a foreign country's practices. If the USTR determines that a practice is actionable under Section 301(a) or 301(b), it can recommend retaliatory measures. These measures can include imposing additional tariffs, withdrawing or suspending trade agreement concessions, or negotiating a binding agreement to eliminate the unfair practice. For cases involving trade agreements, the USTR is required to request formal dispute proceedings as provided by the agreement.
Section 301 is closely connected to the World Trade Organization (WTO), as its creation in 1995 led the U.S. to rely more on the WTO's Dispute Settlement Understanding (DSU) for resolving trade disputes, causing the use of Section 301 to decrease. However, the U.S. has recently broadened its use of Section 301. A significant recent change is the proposed imposition of additional tariffs on goods from 60 economies, including India, following a March 2026 investigation into the failure to prohibit or effectively enforce bans on the importation of goods produced with forced labor. India is among the economies facing a proposed 12.5% additional duty because the USTR determined it does not have a legal prohibition on the import of goods produced with forced labor. This action, which is intended to replace legally challenged tariffs imposed under other statutes, represents an unprecedented expansion of Section 301 authority to address issues like forced labor and excess industrial capacity.