US Imposes New Tariffs on 60 Countries Including China, India, Pakistan Amid Forced Labor Concerns

The United States has announced new tariffs ranging from 10 to 12.5 percent on about 60 major trading partner countries, accusing them of insufficient action to curb forced labor. According to US Trade Representative Jamison Greer, the decision, directed by President Donald Trump, will take effect from Friday and cover 99.4 percent of the total US imports. The Trump administration is taking this measure under the 1974 Trade Act to protect labor rights and ensure fair competition, though economists warn this could lead to higher prices for everyday consumer goods. Kathmandu, July 24.
The US has decided to impose new tariffs between 10 and 12.5 percent on nearly 60 leading trade partners, including the UK, China, India, Pakistan, Canada, Japan, and the European Union, due to their inadequate efforts to prevent imports made with forced labor.
These tariffs follow the expiration on Friday of a temporary 10 percent import tax on foreign goods enacted earlier this year. This move marks a fresh phase in the global trade war initiated during President Trump’s second term. Previously, the US Supreme Court ruled several emergency tariffs illegal, prompting the administration to pursue new legal avenues.
Last month, the White House unveiled a proposal to levy additional tariffs of 10 to 12.5 percent against 60 countries for failing to combat forced labor effectively. On Thursday, US Trade Representative Jamison Greer announced these new tariffs will come into force on Friday, as ordered by President Trump.
The tariffs will target the top 60 US trading partners, representing 99.4 percent of total imports. Greer stated, “This step addresses human rights violations and unfair trade competition, helping improve conditions for workers worldwide.”
Greer explained that this authority is based on Section 301 of the 1974 Trade Act, which allows the US to impose trade restrictions or sanctions. Currently, the Trump administration already applies a 50 percent tariff on goods from Canada under Section 338 of the Tariff Act of 1930.
According to the US Trade Representative’s office, these new tariffs will apply to countries unable to stop imports produced with forced labor. These countries account for a significant share of US total trade and imports.
During his second term, Trump made curbing imports made with forced labor a key condition in multilateral trade agreements. So far, ten partner countries have agreed to restrictions, and some others joined after further investigations. Countries that have committed to banning forced labor–made goods will face a 10 percent tariff, whereas those that haven’t will be subject to a 12.5 percent tariff.
Greer praised the cooperating countries and hopes the restrictions will be effectively enforced. The White House emphasized these tariffs are necessary to protect American workers and ensure fair competition. President Trump asserts that import taxes promote domestic manufacturing, create jobs, and strengthen the economy.
However, economists caution that higher tariffs may increase prices on daily consumer goods like coffee and microwaves. Although importers initially pay these tariffs, the extra costs are likely to be passed on to consumers. Trump has also used tariffs to pressure countries such as Mexico not only on labor rules but across other trade issues.
Business groups and affected countries are expected to oppose this move, with many considering legal challenges or retaliatory tariffs. Meanwhile, the US administration is preparing further actions. The Trade Representative’s office is investigating 16 countries for overcapacity in production, many of which supply most imports to the US. The outcomes could lead to additional tariffs later this year.