Section 301 Tariffs on China: Complete 2026 Rate Guide (Updated March 2026)
Section 301 tariffs on China range from 7.5% to 100% and stack with Section 122, Section 232, and base duties. Here's the complete 2026 rate guide with exclusions, stacking tables, and strategies.
Section 301 tariffs have been a defining feature of U.S.-China trade policy since 2018. Originally imposed to address China's forced technology transfer and intellectual property practices, these tariffs now cover thousands of product categories at rates ranging from 7.5% to 100%. Combined with Section 122 and other trade actions, the effective tariff rate on many Chinese goods exceeds 50%.
This guide provides the most current Section 301 rate information as of March 2026, including recent exclusion extensions, the new overcapacity investigation, and practical strategies for importers.
Section 301 Background: How We Got Here
Section 301 of the Trade Act of 1974 gives the U.S. Trade Representative (USTR) authority to investigate and respond to unfair foreign trade practices. The China Section 301 action unfolded in phases:
| Phase | Effective Date | Coverage | Rate |
|---|---|---|---|
| List 1 | July 6, 2018 | $34B in goods (industrial machinery, electronics) | 25% |
| List 2 | August 23, 2018 | $16B in goods (chemicals, motorcycles, plastics) | 25% |
| List 3 | September 24, 2018 | $200B in goods (broadest range) | Initially 10%, raised to 25% |
| List 4A | September 1, 2019 | $120B in goods (consumer products) | Initially 15%, reduced to 7.5% |
| List 4B | Originally Dec 2019 | Postponed indefinitely | N/A |
| 2024 Review Increases | September 27, 2024 | Targeted sectors (EVs, batteries, steel, medical) | 25-100% |
Current Rate Structure
As of March 2026, Section 301 rates on Chinese goods fall into these tiers:
| Rate | Products Covered |
|---|---|
| 7.5% | List 4A goods — consumer electronics, clothing, footwear, some food products |
| 25% | Lists 1, 2, 3 goods — industrial equipment, chemicals, auto parts, furniture, most raw materials |
| 50% | Solar cells and modules (increased from 25% in September 2024) |
| 50% | Electric vehicles (increased from 25% in September 2024) |
| 25% | EV batteries and critical minerals (increased from 7.5% in September 2024) |
| 50% | Semiconductors (increased to 50% January 1, 2025) |
| 25% | Steel and aluminum products (Section 301 layer, in addition to Section 232) |
| 100% | Medical/surgical gloves (effective 2026, up from 25%) |
| 50% | Syringes, needles (effective 2026) |
The 178-Product Exclusion Extension
On October 2025, USTR extended Section 301 exclusions for 178 product categories through November 10, 2026. These exclusions temporarily reduce the Section 301 rate to 0% for qualifying products.
Key Excluded Product Categories
| HTS Chapter | Products | Normal 301 Rate | Exclusion Rate |
|---|---|---|---|
| 84 | Certain industrial machinery and parts | 25% | 0% |
| 85 | Specific electrical equipment and components | 25% | 0% |
| 39 | Select plastics and plastic articles | 25% | 0% |
| 73 | Certain steel articles (not covered by 232) | 25% | 0% |
| 90 | Specific medical instruments | 25% | 0% |
| 94 | Certain furniture components | 25% | 0% |
Critical action item: Check whether your products are among the 178 excluded categories. Exclusions are defined at the 10-digit HTS level. Use our HS Code Lookup to verify your specific classification.
The exclusions are not automatic renewals — USTR evaluates each product based on domestic availability, economic impact, and strategic considerations. Importers should plan for the possibility that some exclusions may not be renewed past November 2026.
New Section 301 Investigation: Global Industrial Overcapacity
On March 12-13, 2026, USTR opened a new Section 301 investigation that dramatically expands the scope of potential tariff actions. Unlike the original China-focused investigation, this probe examines global industrial overcapacity across up to 60 countries.
What's Being Investigated
The investigation covers sectors where government subsidies have created excess production capacity:
| Sector | Key Countries Under Review | Current 301 Rate | Potential New Action |
|---|---|---|---|
| Steel & iron | China, India, Vietnam, Turkey | 25% | Additional tariffs possible |
| Aluminum | China, UAE, India, Russia | 25% | Additional tariffs possible |
| Solar equipment | China, Malaysia, Vietnam, Thailand | 50% | Expansion to new countries |
| Batteries | China, South Korea, Japan | 25% | Rate increase possible |
| Semiconductors | China, Taiwan, South Korea | 50% | Scope expansion possible |
| Shipbuilding | China, South Korea, Japan | N/A | New tariffs possible |
Timeline for the New Investigation
- March 12-13, 2026: Federal Register notices published
- April-May 2026: Public comment period
- Q3-Q4 2026: USTR findings and determination
- Late 2026-2027: Potential new tariff actions
This investigation signals that Section 301 tariffs may expand well beyond China. Importers sourcing from Vietnam, India, Thailand, and other manufacturing hubs should monitor developments closely.
How Section 301 Stacks with Other Tariffs
Section 301 tariffs on China don't exist in isolation. They stack on top of other tariff programs, creating some of the highest effective duty rates in modern U.S. trade history.
The Complete China Tariff Stack (March 2026)
| Tariff Layer | Authority | Rate | Applies To |
|---|---|---|---|
| Base MFN duty | Harmonized Tariff Schedule | 0-30% (varies by product) | All imports based on HTS code |
| Section 301 | Trade Act of 1974, §301 | 7.5-100% | Chinese-origin goods on Lists 1-4A |
| Section 122 | Trade Act of 1974, §122 | 15% | Most imports globally |
| Section 232 | Trade Expansion Act of 1962 | 25% | Steel, aluminum, and derivatives |
| AD/CVD duties | Tariff Act of 1930 | Varies (0-500%+) | Products with active orders |
Stacking Examples
Here is how tariffs compound for common product categories from China:
| Product | MFN Rate | §301 | §122 | §232 | Total Effective Rate |
|---|---|---|---|---|---|
| Steel rebar (7213.10) | 0% | 25% | 15% | 25% | 65% |
| Furniture (9403.60) | 0% | 25% | 15% | — | 40% |
| Lithium-ion batteries (8507.60) | 3.4% | 25% | 15% | — | 43.4% |
| Solar panels (8541.40) | 0% | 50% | 15% | — | 65% |
| Medical gloves (4015.19) | 3% | 100% | 15% | — | 118% |
| Consumer electronics (8471.30) | 0% | 7.5% | 15% | — | 22.5% |
| Auto parts (8708.99) | 2.5% | 25% | 15% | — | 42.5% |
| Semiconductors (8542.31) | 0% | 50% | 15% | — | 65% |
| EV passenger cars (8703.80) | 2.5% | 50% | 15% | — | 67.5% |
The effective rate on Chinese goods averages approximately 30% when blending across all product categories, but individual products can face rates above 100% when multiple programs stack.
Practical Strategies for Importers
1. Verify Your HTS Classification
Correct classification is the foundation of tariff management. An incorrect HTS code can mean paying significantly more or less than required:
- Use our HS Code Lookup to verify classifications
- Request a binding ruling from CBP for high-value, uncertain classifications
- Review whether your products qualify for any of the 178 exclusions
2. Evaluate Tariff Engineering Options
Tariff engineering — structuring imports to qualify for lower duty rates — is legal and common:
- Substantial transformation: Components imported for assembly in a third country may qualify for that country's origin, avoiding Section 301
- Staging imports: Some products face lower rates when imported as components vs. finished goods
- First Sale valuation: Using the manufacturer's price rather than the middleman's price as customs value
3. Explore Alternative Sourcing
With Section 301 rates on China reaching 25-100%, diversifying supply chains is increasingly justified:
| Alternative Country | Advantages | Challenges |
|---|---|---|
| Vietnam | Strong manufacturing base, lower labor costs | May face new 301 tariffs from overcapacity probe |
| India | Growing capacity, U.S. trade negotiations | Infrastructure gaps, quality variability |
| Mexico | USMCA benefits, proximity | Section 122 may apply; USMCA rules of origin required |
| Thailand | Established electronics/auto sectors | May face overcapacity probe |
| Indonesia | Low costs, growing capacity | Logistics complexity |
4. Use Free Trade Agreements
Products from FTA partner countries may avoid Section 122 and face lower MFN rates. Key FTA partners include South Korea, Australia, Singapore, Colombia, and Chile.
5. Monitor the Exclusion List
If your products are among the 178 excluded categories, build scenarios for both outcomes:
- Exclusion renewed past November 2026 — continue current sourcing
- Exclusion expires — have alternative suppliers or pricing models ready
The Bigger Picture: Where Section 301 Is Heading
The new global overcapacity investigation signals a fundamental shift in Section 301 policy. What started as a bilateral U.S.-China action is becoming a multilateral tariff framework targeting subsidized industries worldwide. For importers, this means:
- No safe harbor: Shifting production from China to Vietnam or India may only delay tariff exposure if those countries are targeted in the new investigation
- Rate escalation: Medical gloves going from 25% to 100% shows the administration is willing to impose extreme rates on strategic products
- Longer timelines: Exclusions and reviews create ongoing uncertainty — businesses must build flexibility into supply chain planning
How TariffCenter.AI Can Help
- HS Code Lookup — Verify your products' Section 301 exposure
- Duty Calculator — Calculate total stacked tariff rates
- Sourcing Comparison — Compare costs across alternative countries
- AI Chat Assistant — Ask about Section 301 exclusions for your specific products