WASHINGTON – In a bold move, the Trump administration is advocating for the imposition of tariffs exceeding 10% on goods from numerous major trading partners, following an investigation into the use of forced labor in imports.
The U.S. Trade Representative’s report, unveiled early Wednesday, targets countries such as Canada, Mexico, Taiwan, and the United Kingdom, proposing an additional 10% tariff due to their alleged failure to enforce bans on forced labor imports.
Meanwhile, a stiffer tariff of 12.5% is proposed for imports from China, Japan, India, South Korea, Brazil, Switzerland, and several other nations.
“The inability of our vital trading partners to curb the import of goods produced with forced labor is unacceptable,” stated USTR Ambassador Jamieson Greer. “This situation unfairly pressures American workers to compete on an uneven global playing field.”
Greer emphasized the need for international action, adding, “Our trading partners must intensify efforts to prevent trade from inadvertently supporting and perpetuating forced labor worldwide.”
This new wave of tariffs is expected to rattle key trading partners who have already faced a series of tariff measures since President Donald Trump resumed office last year.
Just two weeks ago, the European Union approved a tariff deal with the United States to cap tariffs on most EU exports at 15%. It followed intense debates among the EU’s 27 nations and threats by European lawmakers to block the agreement.
Trump recently returned from a visit to China, where he and its leader Xi Jinping discussed expanding market access for American businesses in China and increasing Chinese investment into U.S. industries. The two leaders agreed to set up separate boards of trade and investment — though few details were provided.
The new tariffs would not take effect immediately. They are subject to public comment and review.
The investigation into alleged failure to prevent imports of goods allegedly made by forced labor was conducted under Section 301 of the Trade Act of 1974. The strategy would enable Trump to skirt limits on his tariffs imposed by the Supreme Court.
The report defined forced labor as “work or service exacted from a person under the menace of any penalty for its nonperformance and for which the worker does not offer himself voluntarily.”
The Supreme Court ruled in February that Trump had overstepped his authority by using a different law – the International Emergency Economic Powers Act (IEEPA) of 1977 – to impose sweeping tariffs on U.S. trading partners.
The Trump administration has said it would appeal a federal judge’s order making all companies that paid the duties on those earlier tariffs eligible for refunds.
Earlier this week, the administration separately proposed 25% tariffs on imports from Brazil, charging that the world’s 10th-biggest economy engages in trade practices that are “unreasonable’’ and that “burden or restrict U.S. commerce.’’
The USTR said its investigation showed Brazil had lax anti-corruption enforcement and unfair tariffs of its own, among other things.
