What is the difference between Section 301 and Section 122 tariffs, and why does the expiration timing matter?

Section 301 tariffs are used to address unfair trade practices and intellectual property violations, while Section 122 duties are imposed under a different statutory authority. The article indicates that Section 122 duties are nearing expiration, and the USTR's proposal for new Section 301 tariffs suggests the administration is shifting its legal and policy framework for imposing duties. This timing matters because it signals continuity of tariff regimes—companies cannot assume relief as old duties expire. Instead, they should expect overlapping or renewed tariff pressures.

Which countries are targeted by these new Section 301 tariffs?

The article identifies 60 countries as the scope of the proposed Section 301 tariffs. However, specific country names are not detailed in the summary provided. Supply chain professionals should monitor USTR.gov and official Federal Register notices for the complete list, as the identity of affected countries will determine which suppliers and sourcing regions face the greatest risk.

What should importers do now to prepare for potential tariff increases?

Immediate actions include: (1) conducting a comprehensive tariff exposure audit across all suppliers in the 60 affected countries; (2) modeling cost scenarios assuming tariff increases of 10-25% on relevant product categories; (3) evaluating nearshoring or Friend-Shoring alternatives; (4) engaging customs brokers to understand compliance requirements; and (5) reviewing contract terms with suppliers to clarify force majeure and price adjustment clauses. Early action provides flexibility; waiting for tariff finalization limits options.

How long will the tariff implementation process take?

The article does not specify exact timelines for implementation. However, USTR Section 301 investigations typically involve public comment periods, negotiations, and formal notice before enforcement begins. This often spans weeks to months. Supply chain professionals should monitor USTR announcements closely and assume a 60–90 day window before tariffs take effect, though this varies by country and product category.

Are there any exemption or mitigation mechanisms for affected companies?

The article does not mention specific exemption processes. However, historically, the USTR has provided product exclusion processes that allow companies to petition for relief from tariffs on specific goods. Importers should prepare detailed business cases and engage industry associations to coordinate exclusion requests if tariffs are finalized. Early participation in public comment periods is critical.

Trade Policy & Tariffs

High Impact

USTR Proposes New Section 301 Tariffs on 60 Countries

Jun 3, 2026

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The signal

S. Trade Representative's Office has proposed sweeping new Section 301 tariffs affecting 60 countries, creating significant uncertainty in global trade flows as existing Section 122 duties approach their expiration date. S. trade protectionism, extending beyond traditional trade disputes to encompass a broader range of trading partners. For supply chain professionals, the timing is critical—companies relying on imports from these regions face potential cost increases, route reconsideration, and complex compliance decisions during a period of elevated economic uncertainty.

The scope of this proposal is unprecedented in its breadth. S. trade relationships. This approach signals a long-term strategic recalibration that will likely persist regardless of which specific tariffs ultimately take effect. S.

government views import management and domestic industrial policy. Operationally, this development demands immediate action on three fronts: (1) tariff-impact modeling across supplier networks to quantify landed cost increases; (2) supply base diversification to reduce concentration risk in tariff-affected countries; and (3) contingency scenario planning for route changes, nearshoring opportunities, or alternative sourcing strategies. Companies with lean just-in-time supply chains face particular vulnerability. The window for proactive repositioning is narrow—organizations that act decisively in the coming weeks will have more options than those waiting for tariff details to be finalized.

Frequently Asked Questions

What This Means for Your Supply Chain

Simulation Suggestion

immediate

What if landed costs increase 15% for imports from affected countries?

Model a scenario where all imports from the 60 targeted countries experience a 15% average tariff increase. Simulate the impact on landed costs for each product category, supplier, and sourcing region. Recalculate procurement budgets, identify margin pressure points, and determine which product lines require price increases to maintain profitability.

Run this scenario

Simulation Suggestion

this month

What if you shift 30% of sourcing from tariff-affected countries to alternative suppliers?

Model a nearshoring or Friend-Shoring scenario where 30% of current volume from the 60 targeted countries is redirected to alternative suppliers in lower-tariff or domestic regions. Simulate changes in lead times, unit costs, quality KPIs, and supply chain resilience. Compare total landed costs including tariffs vs. alternative sourcing scenarios.

Run this scenario

Simulation Suggestion

this week

What if tariffs are phased in over 90 days instead of immediate implementation?

Model a phased tariff implementation scenario where duties increase gradually over a 90-day period (e.g., 5% on day 1, 10% by day 45, 15% by day 90). Simulate the impact on cash flow, inventory management, and supplier negotiations. Determine optimal timing for pre-tariff inventory builds vs. supply chain disruption risk.

Run this scenario

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How operators model end-to-end supply chains to see how tariffs, supplier shocks, and regulatory changes ripple across cost, service, risk, and time.

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Frequently Asked Questions

What This Means for Your Supply Chain

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