USTR to seek more foreign tariff cuts, USMCA improvements, China balance in 2026
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[WASHINGTON] The US Trade Representative’s office said on Monday it will seek further reductions in foreign tariffs and non-tariff barriers this year, enforce its “reciprocal” trade deals and consider launching new unfair trade practices investigations.
The pledges are part of the Trump administration’s 2026 Trade Policy Agenda, issued over a week after the Supreme Court struck down President Donald Trump’s tariffs under the International Emergency Economic Powers Act.
Here are some key details of the agenda:
- The US will seek to fix deficiencies in the US-Mexico-Canada trade agreement, including on regional rules of origin and challenges created by investment from non-market economies and industrial overcapacity.
- The US will seek to manage bilateral trade with China for better balance and fairness and monitor China’s compliance with a trade truce reached last year.
- The Trump administration will work to strike new trade deals with partners and finalise framework deals with the European Union, India, Japan, North Macedonia, South Korea, Switzerland, Liechtenstein, Thailand and Vietnam.
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- The US will finalise deals with Argentina, Bangladesh, Cambodia, El Salvador, Guatemala, Indonesia, Malaysia and Taiwan, and enforce all of its agreements through existing trade laws.
- The US will evaluate whether new “Section 301” unfair trade investigations are needed to address global overcapacity, abuses in seafood and fisheries, export-driven agricultural policies, pharmaceutical pricing and digital services taxes.
- The administration will seek to bring back to the US supply chains for critical minerals, semiconductors, auto parts, pharmaceuticals, medical equipment, metals and energy technologies.
- The US will seek to attract foreign investment while ensuring that this will not imperil national security.
- The US will seek to advance its trade interests through the G7, G20, Organization for Economic Cooperation and Development and World Trade Organization.
- The Trump administration sees limited opportunities for WTO reform but will urge reassessments of “most favoured nation” tariffs to pursue bilateral agreements. REUTERS
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