The Senate has kicked off the complicated process of coordinating and passing multi-committee legislation designed to bolster US technological capabilities, expand the US political, diplomatic and economic toolkit for dealing with China and curb China's growing geopolitical influence. The effort has garnered strong bipartisan support and is likely to yield landmark legislation that will be enacted with strong bipartisan support and the backing of the Biden administration.
President Joe Biden recently announced his International Climate Finance Plan as a follow up to his January 2021 Executive Order on Tackling the Climate Crisis at Home and Abroad. Among other things, the plan is supposed to be a boon to US companies, particularly manufacturers of products and technologies viewed as environmentally beneficial. Accordingly, the Export-Import Bank is expected to play a key role in helping the administration to achieve its stated goals.
New legislation may soon expand the jurisdiction of the Committee on Foreign Investment in the United States as part of a broader push by Congress to position the United States to out compete China in the coming decades and counter China's increasing global influence. The draft Strategic Competition Act 2021 calls for hundreds of millions of dollars in funding for foreign military sales and Indo-Pacific security initiatives and seeks to deter further human rights and anti-democratic actions by China.
Now that United States Trade Representative Katherine Tai has officially assumed office, there have been some early developments to take ownership of both the ongoing investigations regarding digital service taxes and the EU Airbus dispute. These developments are consistent with Tai's goal of rebuilding US alliances while continuing to address the challenges posed by China and other countries.
It has been almost three years since the 25% duties on steel imports and the 10% duties on aluminium imports pursuant to Section 232 of the Trade Expansion Act 1962 were first imposed and legal challenges are proliferating and there is renewed legislative interest in Section 232 reform. This article highlights legal challenges worth following and provides an update on the status of World Trade Organisation litigation and recent legislative proposals for Section 232 reform.