The administration imposed double-digit tariffs on more than 60 countries to address insufficient forced-labor import bans.
The administration announced new double-digit tariffs on more than 60 countries to address nations that have failed to effectively enforce prohibitions on forced-labor imports. These tariffs, which range from 10% to 12.5%, were levied under Section 301 of the Trade Act of 1974. By using these powers, the administration can establish permanent tariffs without requiring a formal vote from Congress. The new measures affect countries accounting for 99% of U.S. imports. While the administration justifies the move as a crackdown on forced labor, some critics argue the tariffs serve as a strategic replacement for previous temporary taxes. Several nations, including Brazil and Australia, have protested the move, calling the findings arbitrary. Additionally, the National Council of Textile Organizations expressed concern that specific carve-outs for countries like Bangladesh and Indonesia might disadvantage domestic manufacturers. Experts suggest that while the investigation into whether countries have bans is straightforward, determining the exact rationale for each specific tariff rate remains complex.