Hyundai Motor protests to USTR Section 301 probe for potential double taxing

by Joonha Yoo Posted : April 20, 2026, 17:09Updated : April 20, 2026, 17:09
 This photo provided by Hyundai Motor shows the HQ of Hyundai Motor and Kia Motor located in Yangjae Seoul
This photo provided by Hyundai Motor shows the HQ of Hyundai Motor and Kia Motor located in Yangjae Seoul.
SEOUL, April 20 (AJP) - South Korea's Hyundai Motor Group has lodged a complaint with U.S. trade authorities over potential  double taxing, claiming additional duties under Section 301 could duplicate existing restrictions under other regulations. 

In its submission to U.S. Trade Representative Jamieson Greer, the automaker — which plans to invest $26 billion in the United States through 2028 — stressed its role in strengthening American supply-chain resilience as it “respectfully submits comments” on the Section 301 investigation into excess capacity and manufacturing sectors.

Section 301 of the U.S. Trade Act of 1974 allows Washington to impose tariffs or other restrictions on imports from countries deemed to engage in unfair trade practices. The so-called “Super 301” provision — historically used to identify and respond to priority foreign trade barriers — has been associated with broader and more aggressive enforcement measures.

In its filing, Hyundai said industries such as automobiles and steel, already subject to import curbs under Section 232 of the Trade Expansion Act of 1962, should not face additional tariffs under Section 301, citing the risk of redundant regulatory burdens.

The company argued that imposing further duties on inputs and components already covered by existing measures would increase production costs at U.S.-based facilities without materially improving domestic manufacturing capacity, employment, or supply chain resilience.

The submission is seen as reflecting broader group-level concerns, given Hyundai’s extensive U.S. exposure across automobiles, parts, steel, and construction.

In a separate filing, the Korea Automobile & Mobility Association (KAMA) highlighted the long-term economic contributions of Korean automakers in the United States.

The association said Hyundai Motor Group has invested more than $20 billion in the U.S. over the past four decades, supporting roughly 570,000 jobs. It added that the company plans to invest an additional $26 billion between 2025 and 2028, a move expected to create about 25,000 new jobs.

KAMA also noted that South Korea’s annual auto production has remained in the range of 3.5 million to 4.2 million units over the past decade despite rising global demand, contributing to a decline in the country’s global production ranking from fifth in 2020 to seventh in 2024.