Why the US Has Launched a Trade Probe Against India and China- Do you know?

 

Guwahati, March 13, 2026: The United States has launched a new trade investigation targeting several key trading partners, including India and China. The move signals a fresh phase in Washington’s assertive trade policy and could lead to new tariffs on imports in the coming months.

The decision comes after a legal setback for the administration of US President Donald Trump. The Supreme Court of the United States recently struck down parts of the tariffs imposed last year on several countries, including India. Following the ruling, the US administration began searching for alternative legal avenues to continue its trade strategy. 

“Illustration generated for news representation.”

On March 11, US Trade Representative Jamieson Greer announced the launch of the investigation under Section 301 of US trade law. The probe targets several economies that maintain strong trade relations with the United States, including China, the European Union, India, Japan, South Korea and Mexico.

US officials said the investigation will focus on trade practices that Washington believes may be unfair or discriminatory toward American businesses. If such practices are confirmed, the United States may impose tariffs or other trade restrictions on imports from the countries involved.

Greer indicated that the investigation could be completed before July, after which decisions on potential tariffs may follow.

How Section 301 Works- Explained

Section 301 of US trade law allows the US government to respond to trade policies that it considers harmful to American companies. If a country is found to be engaging in such practices, Washington gains the authority to impose tariffs or restrictions on goods entering the US market.

The investigation covers several countries that export large volumes of goods to the United States. Apart from India and China, the list includes Vietnam, Thailand, Malaysia, Cambodia, Singapore, Indonesia, Bangladesh, Switzerland and Norway.

Notably, Canada — the United States’ second-largest trading partner — is not included in the list of countries under investigation.

Tariff Strategy After Court Ruling

The probe follows the Supreme Court ruling that several tariffs introduced by the Trump administration last year were unlawful. Those tariffs had targeted goods from multiple countries worldwide.

Soon after the ruling, President Trump announced a new global tariff of 10 percent, criticising the court’s decision and the judges involved. A day later, he suggested the rate could increase to 15 percent in the future. For now, the tariff remains at 10 percent, although officials have indicated it may rise again.

The Section 301 probe provides the administration with another legal pathway to justify tariffs on imports from major trading partners.

Upcoming US–China Talks

The development comes as diplomatic engagement between Washington and Beijing is expected to resume. Senior US officials are scheduled to meet Chinese representatives in Paris later this week.

The meeting is part of preparations for a possible discussion between President Trump and Chinese President Xi Jinping. Reports suggest the two leaders may meet in Beijing later this month to address rising tensions over trade and economic policies.

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