Five U.S. labor unions on Tuesday filed a petition with the office of U.S. Trade Representative Katherine Tai requesting a probe into China's alleged unfair policies and practices in the maritime logistics and shipbuilding sectors, the USTR office said.
WHY IT IS IMPORTANT
The petition was filed under Section 301 of the Trade Act of 1974, a statute aimed at combating trade partners' unfair practices.
Trade practices are only one component of strains in U.S.-China relations in recent years. Other contentious issues include Taiwan, spying allegations, human rights and the origins of the COVID-19 pandemic.
KEY QUOTES
"We have seen the PRC (China) create dependencies and vulnerabilities in multiple sectors, like steel, aluminum, solar, batteries, and critical minerals, harming American workers and businesses and creating real risks for our supply chains," the USTR office said in a statement, adding it will review the petition.
"China's drive to dominate the global shipbuilding, maritime, and logistics sector is built on non-market policies that are far more aggressive and interventionist than any other country," the unions said in their petition.
The five petitioner unions included the United Steelworkers.
CONTEXT
The petition filed on Tuesday, which was first reported by the Financial Times, urged the administration of President Joe Biden to impose port fees on Chinese-built vessels and with it create a fund to revitalize U.S. shipbuilding.
The petition also raised concerns about Chinese software platform Logink that provides data on global supply chain logistics. The petition alleged the Chinese government-supported platform raised national security concerns.
The administration of former President Donald Trump imposed tariffs in 2018 and 2019 on thousands of imports from China valued at some $370 billion at the time.
Biden retained the tariffs and added new restrictions, citing security concerns.
WHAT'S NEXT
The USTR office said it will review the allegations from the unions and decide within 45 days whether they merit a probe.
