Section 301 Action
6.
The USA initiated Section 301 action against China on 10 October 1991. Under USA trade law, Section 301 negotiations between the US and China had to be completed before 10 October 1992 or else China would face punitive duties on its exports to the USA.
7.
After many rounds of negotiations and threats of retaliation and counter-retaliation by the USA and China, an agreement was reached between the two sides on 9 October 1992. According to reports, China agreed to phase out 75% of
its import licences, quotas
quotas and non-tariff barriers within two years, and also agreed to introduce transparency into its trade rules, quotas, and technical standards.
Hong Kong Government Office
13 October 1992