CTA Weighs Court ‘Challenge’ to Stop Tariffs

CTA is “skeptical” the Trump administration’s third tranche of tariffs on $200 billion of Chinese imports can withstand a court “challenge” because the duties are "unlawful" under the 1974 Trade Act, said the association Friday and in comments at Thursday's deadline in docket USTR-2018-0026. “We are reviewing all options,” emailed a spokesperson when asked if CTA will sue to block the levies. The package of tariffs “may be vulnerable to a legal challenge because they are not based on the required legal finding” of unfair Chinese trade practices, “and instead are retaliatory in nature and require a separate Section 301 investigation,” which U.S. Trade Representative Robert Lighthizer “did not conduct,” said CTA. Section 301 “authorizes actions following fact-based investigations, not the responses to China's retaliatory actions,” it said. Lighthizer’s office didn’t comment. President Donald Trump reportedly said the installment could start “very soon” and he's preparing a fourth wave on $267 billion on Chinese imports.