The US is set to announce its final action on a Section 301 investigation into 60 major trading partners, including India, over concerns about forced labour in imported goods. The Section 301 law allows the US to act against unfair trade practices. It can also be used to impose tariffs or take other retaliatory steps.
US Trade Representative Jamieson Greer told the Senate Finance Committee on Wednesday that the announcement could come “as soon as tomorrow”. The move comes just before the additional 10% tariffs imposed on all countries are due to expire on Friday, PTI reported.
US looks at forced labour imports
Greer said the US Trade Representative’s office, or USTR, had investigated the top 60 US trading partners over their failure to adopt and effectively enforce bans on imports of goods made using forced labour.
“As soon as tomorrow, USTR will release its final responsive action on its Section 301 investigation of our top 60 trading partners’ failure to address international trade in forced goods at their borders,” Greer told the committee.
Last month, the USTR proposed additional tariffs of 10% and 12.5% on trading partners. The rate would depend on how strong their existing measures are to stop goods made with forced labour from entering their markets.
Greer said the USTR received more than 1,600 comments on the proposed action. It also held a second round of public hearings, where 107 witnesses gave their views on the investigation.
Another probe focuses on excess production
The USTR is also investigating structural excess capacity in more than a dozen countries. However, it has not yet released its preliminary findings in that case.
The Trump administration launched both investigations after the US Supreme Court ruled in February that last year’s “reciprocal tariffs”, imposed under emergency powers, were illegal.
Following the ruling, the administration imposed a 10% tariff on imports from all countries. Those tariffs are set to expire on Friday.
India contests both US investigations
India has opposed both investigations launched by the USTR. New Delhi has maintained that these issues should instead be discussed as part of the India-US bilateral trade agreement, which is currently being negotiated.
The US is India’s second-largest trading partner and the biggest market for Indian exports. According to Commerce Department data, goods trade between the two countries was worth nearly $141 billion in 2025. India’s exports to the US stood at $87.3 billion.
India-US trade deal could be signed in 3-4 months
On the other hand, speaking to Reuters, a senior US official said a trade agreement between India and the United States could be signed within the next three to four months.
Speaking on the sidelines of the ASEAN Foreign Ministers’ meeting in Manila, the US official said the agreement was effectively ready.
“The deal… is there. We literally have the paper,” the official said, speaking on condition of anonymity.
The official said the agreement was nearly complete and that the delay was not because of any major issues between India and the US. Instead, Washington’s ongoing trade investigations under Section 301 were holding up the final steps.
India and the US have been negotiating the bilateral trade agreement as both countries look to increase market access, reduce trade barriers and strengthen their economic ties.
Once that investigation and other ongoing probes are finished, the US expects to see progress not only with India but also with other countries, the official said.
“We’ll start seeing progress, not just in India but in other places,” the official added. When asked when the India-US agreement could finally be completed, the official said: “Maybe another three, four months.”
The US has already proposed new tariffs of up to 12.5% on dozens of countries, including India. The proposed tariffs are linked to allegations that these countries have failed to stop trade in goods made using forced labour.
US raises concern over soda ash exports
The issue of trade between India and the US also came up during the Senate hearing. Senator John Barrasso raised concerns about soda ash producers in his home state of Wyoming. He asked the USTR to look into fair market access for American-made soda ash in India.
Greer said he would raise the matter with Indian officials. “I have a good relationship with my counterpart in India, and we work closely with their trade ministry. I will raise this with them next time,” Greer said.
He also pointed out that India, like the US, has its own internal processes to deal with trade remedies. Greer assured the senator that he would ensure India’s processes are fair and that American producers are treated fairly.