US announces new sweeping tariffs on 60 trading partners over forced labor

• The Trump administration imposed new tariffs of 10% to 12.5% on imports from 60 trading partners, citing efforts to combat forced labor and protect US manufacturers.

The Trump administration announced a major new wave of import tariffs targeting 60 key trading partners. The duties, ranging from 10% to 12.5%, took effect at 12:01 a.m. Friday, replacing an expiring temporary global tariff program.

The White House framed the action under Section 301 of the Trade Act of 1974 as an effort to penalize foreign nations accused of failing to enforce strict prohibitions against forced labor. Senior administration officials characterized the measure as a direct stand against forced labor in global supply chains.

Breakdown of the new duties

The structure establishes a tiered tariff regime based on a country's enforcement of labor rights and domestic import prohibitions:

• 12.5% Tariff Rate: Applied to the majority of targeted trading partners, including major commercial hubs such as China and Vietnam, found to have insufficient anti-forced labor frameworks.
• 10% Tariff Rate: Applied to trading partners that maintain partial prohibitions or enforcement mechanisms, including Canada, Mexico, and the United Kingdom.
• Adjusted European Union Rate: Supplemental duties will bring the European Union's overall baseline rate into the 10% to 12.5% target range.

"Today's action will begin to correct what is both a human rights abuse and a distortive trade practice to improve the welfare of workers everywhere," said US Trade Representative Jamieson Greer.

Exemptions and legal strategy

The replacement of the previous 10% universal duty comes after the US Supreme Court struck down earlier, broader tariff initiatives. Tapping Section 301 provides the White House with a firmer statutory footing, as the law explicitly allows presidential intervention against foreign trade practices deemed "unreasonable" or "discriminatory".

Key exemptions built into the framework include:

• Energy Resources: Crude oil and natural gas imports are carved out to prevent domestic energy price spikes.
• USMCA-Compliant Goods: Many goods meeting rules of origin under the US-Mexico-Canada Agreement remain protected from the new levies.
• Sector-Specific Imports: Steel, aluminum, and other commodities already covered under separate Section 232 protective tariffs are excluded.
• Non-Domestic Goods: Products with no domestic American production capacity where immediate tariffs would disrupt local markets are spared.

Market impact and political debate

The trade move has reignited debate on Capitol Hill. Administration officials argue the tariffs protect US manufacturers from unfair foreign competition, while citing economic data showing stabilizing core inflation figures.

Conversely, congressional critics and supply-chain experts warn that expanded import taxes could ultimately raise costs for American consumers and invite retaliatory trade barriers from international partners.