Washington DC, March 11 -- The United States Trade Representative (USTR) office on Wednesday (local time) launched a sweeping investigation into manufacturing and industrial practices in 16 economies, including India, citing concerns over what it calls "structural excess capacity" that could distort global trade.

Announcing the move on a White House press call, Jamieson Greer said the probe would be conducted under Section 301 of the Trade Act of 1974, one of Washington's most powerful trade enforcement tools.

Greer said the investigation would examine "acts, policies and practices" in manufacturing sectors that may be leading to excessive production capacity disconnected from market demand.

"We expect that this investigation will unco...