Three-Quarters of Section 301 Exclusion Requests Denied, CRS Notes

Of the 52,746 exclusion requests related to Section 301 tariffs, 75.4% have been denied, and 12.3% are still under review, a new Congressional Research Service report says. Because most exclusions are for specific products, and don't cover an entire Harmonized Tariff Schedule subheading number, it's not possible to know how much trade is covered by the exclusions, CRS said. The report noted that some Congress members complain about the Office of the U.S. Trade Representative picking winners and losers, while others feel any exclusion undermines the ability of Section 301 to address China's unfair trade practices.

“As the Trump Administration makes more active use of Section 301 authorities to pressure other countries to eliminate their trade barriers, Congress could consider amending Section 301,” the report said. “It could establish a formal product exclusion process or set specific guidelines for when and how to grant exclusions.”