USTR proposes 12.5% additional duties on India, 53 other countries over forced labour import violations

US Trade Representative Proposes Additional Tariffs on India and 53 Other Countries Over Forced Labor Imports
The U.S. Trade Representative has proposed imposing an extra 12.5% tax on imports from 54 countries, including India, for not stopping the import of goods made using forced labor.
This move comes after investigations into 60 countries were launched due to their failure to enforce bans on products made with forced labor. U.S. Trade Representative Ambassador Jamieson Greer stated that this failure is unacceptable and puts American workers at a disadvantage in global trade.
India has denied the allegations and asked the U.S. to stop the investigations, suggesting these issues should be discussed during ongoing trade talks. Greer noted that while some countries have started taking steps to prevent forced labor imports, more action is needed globally.
The USTR found that 54 countries, including India, China, Japan, Brazil, Australia, the UK, and Saudi Arabia, have not effectively enforced bans on forced labor imports. Additionally, six economies—Canada, Ecuador, the European Union, Indonesia, Mexico, and Pakistan—were identified as failing to properly enforce such prohibitions.
For countries that have committed to enforcing these bans through trade agreements, the USTR proposed a 10% additional duty. For all other countries, including India, the proposed tax is 12.5%.
The USTR also introduced a plan to allow some textile and clothing imports from certain countries at lower tariffs. Interested parties are invited to submit comments and appear at hearings by July 7.