The United States government is reportedly preparing to launch a trade investigation concerning China's compliance with the terms of a trade agreement signed during President Trump’s first term. According to sources familiar with the matter, this potential action, which could be announced as early as Friday, would be initiated by the United States Trade Representative (USTR) under Section 301 of the Trade Act of 1974. This statute authorizes the U.S. administration to examine the trade practices of foreign nations.
The inquiry emerges amidst weeks of heightened trade tensions between the world's two largest economies and could potentially be an effort to amass leverage ahead of a scheduled meeting between then-President Trump and Chinese leader Xi Jinping. While no decision has been finalized, the investigation could pave the way for additional tariffs on Chinese imports. The U.S. administration has previously imposed tariffs, including a stated minimum 55 percent tariff on exports from China, with higher duties on certain goods.
Source: https://www.nytimes.com/2025/10/23/business/economy/us-to-begin-investigation-into-chinas-compliance-with-2020-trade-deal.html