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EO 13786Executive OrderTrump 45 · R

Executive Order 13786

Omnibus Report on Significant Trade Deficits

This executive order directs the Secretary of Commerce and U.S. Trade Representative, within 90 days, to produce a comprehensive report identifying countries with significant U.S. trade deficits in goods and analyzing the causes and effects of those deficits. The report must assess unfair trade practices, impacts on manufacturing and defense industrial bases, employment effects, and national security risks from imports.

Federal Register Open PDF 82 FR 16721

Impact dates

  1. Omnibus Report on Significant Trade Deficits due to President

Key directives

  • Secretary of Commerce and USTR shall prepare and submit Omnibus Report on Significant Trade Deficits within 90 days
  • Report must identify foreign trading partners with significant 2016 U.S. goods trade deficits
  • Report shall assess major causes of trade deficits per enumerated factors (differential tariffs, non-tariff barriers, injurious dumping, subsidization, IP theft, forced technology transfer, worker rights/labor standards denial, other discrimination)
  • Report shall assess whether trading partners impose unequal burdens or unfair discrimination on U.S. commerce
  • Report shall assess effects on manufacturing and defense industrial base production capacity and strength
  • Report shall assess effects on U.S. employment and wage growth
  • Report shall identify imports and trade practices that may impair national security
  • Commerce and USTR may hold public meetings and seek comments from state/local/NGO stakeholders including manufacturers, workers, consumers, service providers, farmers, ranchers
  • Consultation required with Secretaries of State, Treasury, Defense, Agriculture, Homeland Security, and other relevant agency heads

Who is ordered

Timeline

Immediate

  • EO signed; interagency consultation process begins
  • Commerce and USTR authorized to hold public meetings and seek stakeholder comments

Near term (90d)

  • Omnibus Report on Significant Trade Deficits due to President by June 29, 2017
  • Report must identify foreign trading partners with significant 2016 goods trade deficits
  • Report must assess causes: tariffs, non-tariff barriers, dumping, subsidies, IP theft, forced technology transfer, labor standards

Long term

  • Potential basis for future trade enforcement actions or renegotiations
  • Possible use to justify Section 232 or other national security-related trade measures
  • May inform subsequent tariff decisions or bilateral/multilateral trade pressure campaigns

Risks & tensions

  • Report's findings could be used to justify unilateral tariffs or trade restrictions, creating friction with trading partners
  • Vague threshold for 'significant trade deficit' leaves discretion to administration
  • National security framing (Sec. 2(e)) may later be invoked for Section 232 actions, though EO does not explicitly authorize such steps
  • Stakeholder consultation process may be selective or symbolic; 'may hold' is permissive not mandatory
  • No enforcement mechanism if report is delayed or ignored
Executive Order 13786: Omnibus Report on Significant Trade Deficits · Executive Orders