In the past few years, we have always seen the number 337 in the media, and it is still an investigation conducted by the United States against Chinese companies, especially the Chinese companies investigated by 337. What a good fruit to eat, so let’s talk about what 337 means now.

The 337 investigation is an investigation initiated by the U.S. International Trade Commission to companies from other countries that have trade relations with the United States out of trade protection for its own country, and it also adopts sanctions to deal with those under investigation. company, the legal basis for sanctions is Section 337 of the Tariff Act of 1930, so it is called a Section 337 investigation.

This clause stipulates that if there are foreign goods imported into the United States, no matter what channel the goods enter the United States, if the goods infringe the patent, trademark, copyright, and design rights of the American company, , as well as technology, etc. As long as this clause is violated, the United States has the right to investigate the importing company.

However, although it contains a lot of content, almost all of the many investigations in the United States so far have All involved are patent rights and nothing else. After all, if trademark rights and copyrights are infringed, it will be handled by customs and other agencies. All in all, any product that infringes upon the interests of local American companies will basically be investigated.

It doesn’t matter whether you are right or not, as long as local American companies feel that your product infringes upon them, they can directly complain to the U.S. International Trade Commission. To protect domestic companies, foreign companies basically All companies will lose the lawsuit, and after losing the lawsuit, the company's products will no longer be able to enter the United States for sale.

The background of the origin of this local enterprise protection system is that when the "Tariff Act" was written, the U.S. economy was in a state of sluggishness, so in order to protect the country's trade, it must be selfishly enacted. Policy, so everyone knows what the Americans think, but there is nothing we can do. After all, they are indeed the most powerful country.

In addition to the 337 investigation, the United States has also enacted many different laws in foreign trade to deal with foreign companies. It can be said that they are comprehensive and bring the rogue spirit to the extreme. For example, we often heard in the past few years The anti-monopoly laws and anti-dumping investigations that have been introduced are all examples of the United States' strong performance in the trade war, and it also maintains the attitude that it will not lose a penny.

Once Luxshare Precision is investigated by Section 337, it will basically not be able to escape the fine, and it will not be able to sell things to the United States, so it will be a very big blow to the company.