US imposes new tariffs citing forced labor concerns
The United States has announced new tariffs ranging from 10% to 12.5% on imports from dozens of countries, including major trading partners such as the UK, EU, Canada, India, and China. The tariffs target countries that the US government says have failed to adequately address the importation of goods made with forced labor. This move follows a recent US Supreme Court decision that struck down many of former President Donald Trump’s previous import duties.
Why this matters
The new tariffs reflect the US government’s effort to combat forced labor in global supply chains and to protect American workers from what it describes as unfair competition. By imposing these duties, the US aims to pressure trading partners to enforce laws against forced labor and ensure that goods entering the US market are not produced under exploitative conditions. The tariffs affect nearly all US imports, highlighting the scale of the issue and the US commitment to addressing it through trade policy.
Key developments
- The US Trade Department announced tariffs of 10% on imports from countries including Canada, the EU, the UK, Indonesia, Mexico, Pakistan, and others.
- Imports from 45 other countries, including China and India, will face higher tariffs of 12.5%.
- The tariffs have not yet been enforced; the Trump administration must complete a formal process before implementation.
- The announcement follows an investigation launched in March by US Trade Representative Jamieson Greer, which found that 54 countries failed to legally prohibit imports made with forced labor, and six others failed to enforce such prohibitions effectively.
International responses
The UK government stated it is actively addressing forced labor in domestic and global supply chains and is engaged in ongoing discussions with the US. A UK spokesperson emphasized the actions being taken to prevent complicity in human rights violations.
China denied the allegations of forced labor, with a foreign ministry spokesperson calling the claims politically motivated and rejecting the use of tariffs as a justification. However, international human rights organizations have reported forced labor practices in China, particularly involving ethnic minorities in Xinjiang.
The European Commission described the tariffs as unjustified and reaffirmed its commitment to the trade deal agreed with the US under the previous administration.
Canada’s Prime Minister Mark Carney said the tariffs were expected and would not significantly affect Canadian exports to the US.
India’s trade experts suggested the tariffs are a pressure tactic amid ongoing trade negotiations and recommended India consider challenging the legal basis of the tariffs under US trade law.
Human rights perspectives
Human rights groups acknowledge the existence of forced labor in some countries and call for stronger enforcement and corporate accountability. Amnesty International highlighted that while trade measures can help address forced labor risks, they are not a substitute for effective enforcement and mandatory human rights due diligence.
The UK’s Independent Anti-Slavery Commissioner noted that UK laws do not sufficiently address forced labor in supply chains, estimating that the UK imports around £20 billion worth of goods potentially linked to forced labor annually.
Background
In February, the US Supreme Court invalidated many of the import duties imposed by former President Trump, including the so-called ‘Liberation Day’ tariffs. Following the ruling, Trump criticized the decision and announced a temporary global tariff, which remains at 10% and is set to expire in July unless extended by Congress.
The current tariffs are the second set announced since the Supreme Court ruling and come after a detailed investigation into the forced labor practices of 60 US trading partners.
Recommended reading
For more context, see related Peack News coverage and explainers linked below.
