China's Commerce Ministry Responds to US "Forced Labor" Section 301 Investigation Final Measures

In response to the US release of final measures from a Section 301 investigation into "forced labor," a spokesperson for China's Ministry of Commerce stated on July 27 that China will continue to closely monitor and fully evaluate subsequent US actions, reserving the right to take all necessary measures.

A journalist inquired: On July 23, Eastern Time, the US Trade Representative's Office released final measures based on the Section 301 investigation results regarding "failure to prohibit imports of forced labor products," imposing Section 301 tariffs on 60 economies, including China, with a 12.5% tariff increase on Chinese goods. What is China's response to this?

The spokesperson stated that China has always opposed forced labor, has established a comprehensive labor laws and regulations system, and resolutely prevents and combats forced labor practices. In contrast, the US has not only failed to ratify and accede to the "1930 Forced Labour Convention" but has also long manipulated the "forced labor" issue. This time, launching a Section 301 investigation and imposing unilateral tariffs under the pretext of "forced labor" is a typical act of unilateralism and protectionism, which China firmly opposes.

The spokesperson also noted that the US has repeatedly indicated its intention to use Section 301 tariffs to replace tariffs previously levied under the "International Emergency Economic Powers Act" (IEEPA) and the 12% import surcharge, which have been ruled invalid. During Sino-US economic and trade consultations, the US explicitly promised that alternative tariff increases on Chinese goods would not exceed 20%. Currently, the alternative tariff increase imposed by the US on Chinese goods stands at 12.5%. China's countermeasures against the US's first round of so-called fentanyl tariffs and reciprocal tariffs remain in effect.

The spokesperson said that China urges the US to correct its erroneous actions and completely abolish all related unilateral tariff measures. China is willing to continue dialogue and consultation with the US on the basis of mutual respect, equality, and mutual benefit to address respective concerns. It is hoped that the US will work with China in the same direction, jointly uphold and implement the consensus reached in economic and trade consultations, continuously reduce the list of problems, expand the list of cooperation, and make greater contributions to a constructive and stable strategic relationship between China and the US.