The Office of the U.S. Trade Representative has proposed new tariffs of up to 12.5% on imports from 60 economies, arguing that they have failed to adequately block goods produced with forced labor, according to the agency.
The proposal, issued under Section 301 of the Trade Act of 1974, would impose a 10% tariff on economies with full or partial restrictions on forced labor imports and a 12.5% rate on those without such measures. China, the European Union, Japan and many other U.S. trading partners could be affected, the report said.
U.S. Trade Representative Jamieson Greer said foreign governments' failure to curb forced labor imports creates an unfair competitive environment for American workers.
For nearly a century, the United States has prohibited the importation of goods made with forced labor. It is time for our trading partners to follow suit.
— United States Trade Representative (@USTradeRep) June 3, 2026
Today, Ambassador Greer determined that the acts, policies, and practices of 60 economies related to the failure to… pic.twitter.com/JWyRCDyXHL
The proposal follows the Supreme Court’s decision to strike down most of President Donald Trump’s earlier “Liberation Day” tariffs. Public comments will be accepted through July 6, with hearings scheduled for July 7.
Analysts told Reuters the move could reshape global supply chains, although exemptions for electronics and AI-related products may reduce the immediate impact. The European Union has criticized the proposal as unjustified.
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