The Computer & Communications Industry Association (CCIA) has submitted comments to the Office of the United States Trade Representative (USTR) regarding its Section 301 investigation into China's actions affecting the legacy semiconductor industry. This move aligns with the U.S. government's broader efforts to identify and address practices that result in significant market distortions within this sector.
The CCIA supports these efforts but expresses concerns about the current approach of the investigation. The association highlights that analyzing such a complex industry requires more time, expertise, and policy tools than currently available in this investigation.
Jonathan McHale, Vice President for Digital Trade at CCIA, commented on the matter: “This investigation, rushed through in the final weeks of the previous Administration, suffers from a poorly defined scope and a timetable that cannot do justice to analyzing such a complex market. Moreover, it is not clear that remedies available under Section 301 would be effective in addressing purported harms. U.S. economic and national security interests in the semiconductor sector are better served through alternative policy tools.”
McHale's statement reflects CCIA's stance that while identifying unfair practices is crucial, using Section 301 may not be effective for addressing issues within the semiconductor industry.