The Chinese Exclusion Act of 1882 holds historical significance as the first federal law to restrict immigration based on ethnicity. It targeted Chinese laborers in response to growing anti-Chinese sentiment, particularly on the West Coast, where economic competition and racial prejudices caused strife. The Act symbolized a shift in U.S. immigration policy, reflecting broader nativist attitudes that questioned the assimilation of non-European immigrants. Its legacy included heightened racial discrimination and set a precedent for future exclusionary immigration laws. The Act was not repealed until 1943, underscoring the long-lasting effects of racial bias on immigration practices and policies in the U.S.