Today, U.S. Senators Bob Casey of Pennsylvania and Tammy Baldwin of Wisconsin announced a significant push they made to instigate an investigation by the Biden Administration into the People’s Republic of China’s (PRC) unfair trade practices. These practices have been detrimental to the American shipbuilding industry, threatening national security and adversely affecting U.S. workers. The move comes in support of the United Steelworkers’ (USW) call for action against China’s aggressive subsidization of its shipbuilding sector, which has severely undercut American capabilities and led to a drastic decline in domestic shipbuilding output.
United States Trade Representative Katherine Tai confirmed that the administration will launch a Section 301 investigation into these practices following a petition filed by the USW in March. The investigation will explore the deep-rooted issues and the impact of China’s state-owned enterprises, which now boast the capacity to produce over 1,000 ocean-going vessels annually compared to the United States’ production of fewer than ten.
Senators Casey and Baldwin have been vocal advocates for American industry. Casey emphasizes the need to uphold stringent tariffs against China to protect American jobs, and Baldwin highlights the risks to national security and the livelihoods of Wisconsin’s manufacturing workers.
The USTR has scheduled a public hearing for May 29, 2024, and is accepting public comments until May 22, 2024, as part of the investigative process. This action represents a critical step toward addressing the disparities in international trade practices and reinforcing the U.S. shipbuilding sector.