U.S. Proposes Additional Tariffs on 60 Economies Over Forced Labor Concerns
6 verified5 unconfirmed
The U.S. Trade Representative has proposed additional tariffs of up to 12.5% on imports from 60 economies, citing failures to prohibit goods made with forced labor. The proposal, made under Section 301 of the Trade Act of 1974, would apply a 10% duty rate for economies with some level of forced labor trade prohibition and a 12.5% rate for the rest. USTR Ambassador Jamieson Greer said the failure of trading partners to address forced labor imports is “unacceptable” and creates an “unlevel playing field” for American workers. The tariffs are not final and are subject to a period of public comment and review. This action follows a U.S. Supreme Court ruling that struck down President Donald Trump’s earlier tariffs imposed under a different law. Separately, Trump and Chinese President Xi Jinping have agreed to establish a U.S.-China Board of Trade aimed at reducing tariff rates between the two countries.
What’s verified
The U.S. Trade Representative proposed additional tariffs of up to 12.5% on imports from 60 economies for failure to ban goods made with forced labor, under Section 301 of the Trade Act of 1974.
The proposal includes a 10% duty rate for economies with some level of prohibition on forced labor trade and a 12.5% rate for others.
USTR Ambassador Jamieson Greer stated that the failure of trading partners to address forced labor imports is “unacceptable” and creates an “unlevel playing field” for American workers.
The tariffs are not final and are subject to public comment and review.
The U.S. Supreme Court previously struck down President Trump’s earlier tariffs imposed under a different law, prompting the use of Section 301.
Trump and Chinese President Xi Jinping agreed to establish a U.S.-China Board of Trade aimed at reducing tariff rates.
Not yet confirmed
The proposal includes a separate textile mechanism allowing reduced rates for certain apparel and textile imports, according to a single source.
Exemptions for electronics and AI-related goods may soften the impact, per one source.
Public comment deadlines are July 6 and hearings July 7, per one source.
India and the U.S. were engaged in trade talks in New Delhi, per one source.
The administration previously proposed 25% tariffs on Brazil over other trade practices, per one source.
Key figures
Jamieson Greer, U.S. Trade Representative
Donald Trump, U.S. President
Xi Jinping, Chinese President
Sources: CNBC, dw.com, abcnews.com
