US Proposes Tariffs on 60 Nations Over Forced Labor

The United States proposed additional tariffs of up to 12.5% on imports from India, Brazil, South Africa, China, Japan, the European Union, and 58 other major trading partners. The move is part of a broader investigation into unfair trade practices under Section 301 of the Trade Act of 1974.

The Office of the U.S. Trade Representative (USTR) stated that these countries have failed to impose and effectively enforce bans on goods made with forced labor, creating an 'unlevel playing field' for American workers. The proposed tariffs aim to address this issue, with a 10% duty rate for economies that have adopted full or partial prohibitions and 12.5% for others.

The proposal comes as U.S. and Indian trade officials engage in three days of talks in New Delhi. According to Reuters, the proposed tariffs are part of broader U.S. pressure tactics amid ongoing trade negotiations between India and the United States. The Indian government plans to raise concerns about these measures during the talks, seeking potential relief as part of a two-way trade deal.

Additionally, the Trump administration announced a proposed 25% tariff on several Brazilian imports, citing unfair trade practices related to digital trade, electronic payment services, and other issues. U.S. Trade Representative Jamieson Greer stated that Brazil's policies burden or restrict U.S. commerce. The tariffs would exempt beef, coffee, aircraft equipment, rare earth metals, and some fruits and vegetables.

The proposed tariffs are not immediate and will be subject to public comment and review. The USTR has requested written comments by July 6, followed by public hearings on July 7. This announcement follows the expiration of a temporary 10% tariff imposed in February after the Supreme Court struck down previous emergency tariffs.

The European Commission said the tariffs were unjustified and reiterated its commitment to the trade deal sealed with Washington last year. Bernd Lange, the chair of the European Parliament’s trade committee, described the US findings as “utterly absurd” given a 2024 EU law to ban imports of forced labour products.

South Africa's Trade Minister Parks Tau has asked Washington to provide evidence that South Africa is importing goods produced with forced labor. He said this information is necessary for South Africa to mount an effective response to the probe. The USTR report stated that while South Africa has a legal framework in place, it lacks measures that forbid legally the importation of goods produced with forced labour.

Australian Prime Minister Anthony Albanese criticized the proposed 12.5% tariff on Australian exports, asserting that Australia's modern slavery protections are already stringent. Albanese described an 'ideological disagreement' between Australia and the US on tariffs and noted no prior notice was given about Trump's new proposal.

Albanese argued that tariffs increase costs for consumers in the country imposing them and stated that free trade benefits the global economy. He highlighted that Australia exported over $48.5 billion worth of goods and services to the US in 2025, with beef and gold maintaining existing exemptions from US tariffs.

The USTR emphasized that the failure of key trading partners to address forced labor imports is unacceptable, creating an uneven global playing field for American workers. Trade Minister Don Farrell engaged with Ambassador Jamieson Greer at the OECD ministerial meeting in Paris, arguing that the new import tax on Australia was unjustified.