Trade Policy Agenda Continues Focus on China, Worker-Centered Policies

The Office of the U.S. Trade Representative’s 2024 trade policy agenda continues the Biden administration’s focus on “unlocking new opportunities for American workers and families – while also supporting and strengthening the middle class, driving decarbonization and sustainability, and creating good-paying jobs across the American economy.” It also continues to emphasize “fortifying relationships with our partners and allies and strengthening critical supply chains to withstand shocks and disruptions to the system and to defend democratic values.”

For more information on U.S. trade policy priorities and how they may affect your business, please contact Nicole Bivens Collinson at (202) 730-4956 or via email.

China

USTR states that the U.S.-China trade relationship is “complex and competitive,” with Beijing a dominant supplier of many important goods and technologies but one that “uses trade and economic measures in an abusive or arbitrary way to achieve strategic political objectives.” In response, the Biden administration will continue its “holistic and pragmatic approach” to this relationship, which includes “groundbreaking domestic investments,” increasing supply chain resilience, a renewed focus on engagement with partners and allies, and considering existing tools and seeking new ones as needed to combat the harms caused by China’s non-market policies and practices.

The agenda briefly mentions USTR’s ongoing review of the Section 301 tariffs on imports from China but gives no indication as to when that review might be completed. It also states that USTR will “continue a targeted tariff exclusions process” and “keep open the option of further tariff exclusions processes as warranted.”

Supply Chain Resilience

USTR states that strengthening U.S. supply chains is “a critical component” of efforts to advance a worker-centered trade policy and that its contribution to this work includes crafting an approach to trade and investment policy that facilitates the movement of supply chains to trusted partners through friend-shoring and near-shoring, addresses supply chain risks arising from unfair trade practices, creates opportunities for businesses to increase sourcing options (including and especially those located in the U.S.), and strengthens labor standards and environmental protections governing global supply chains.

Enforcement

USTR asserts the administration “remains committed to vigorously enforcing our trade agreements” as “a key component of our worker-centered trade policy agenda.” This includes enforcing labor and environmental standards (particularly those in the U.S.-Mexico-Canada Agreement), ensuring that regulations are science-based and predictable, and protecting and enforcing intellectual property rights.

Decarbonization

Trade is “an indispensable tool” for accelerating decarbonization and promoting environmentally sustainable practices, USTR states, which “continue to be top priorities” for the administration. The U.S. in 2024 will therefore continue to use a range of available tools, including new and existing trade initiatives, to seek higher levels of environmental protection from trading partners and promote decarbonization efforts.

Agriculture

USTR plans to continue efforts to expand access to foreign agricultural markets through the negotiation of agreements that include provisions intended to eliminate or reduce non-tariff barriers. USTR will seek to include in these agreements enforceable provisions that build on World Trade Organization obligations, including ensuring that sanitary and phytosanitary measures are science-based, developed through transparent, predictable processes, and implemented in a non-discriminatory manner. Enforcement of existing agreements, including the USMCA, will also be a priority.