Final answer:
The Escape Clause in U.S. commercial policy allows for temporary imposition of tariffs or quotas when domestic industries are harmed by import surges. It's a safety provision for American businesses to adjust to competition, and its implementation follows an investigation by the USITC.
Step-by-step explanation:
Under U.S. commercial policy, the Escape Clause results in the temporary implementation of protective measures, such as tariffs or quotas. This provision is triggered when domestic industries suffer or are threatened with serious injury due to a surge in imports. The clause is outlined in legislation like the Trade Act of 1974 and serves as a safety net for American businesses, allowing them time to adjust to increased competition from foreign producers. It is considered one of the remedies available under the safeguards mechanism.
When a U.S. industry invokes the Escape Clause, an investigation is typically conducted by the United States International Trade Commission (USITC). If it is determined that relief is warranted, the President has the authority to take actions deemed necessary to prevent or remedy the injury and to facilitate industry adjustment to import competition.