On June 2, the Office of the United States Trade Representative announced a proposal for new tariffs of up to 12.5% on imports from 60 economies, including significant trading partners like China, Israel, the United Arab Emirates, and Saudi Arabia. This action stems from these countries' failure to effectively prohibit the importation of goods produced with forced labor, as outlined under Section 301 of the Trade Act of 1974. The proposed tariffs will implement a two-tier structure: countries with partial or full prohibitions on forced labor imports will incur an additional 10% duty, while those without will face 12.5%. Of the 60 targeted economies, 54 have not enforced any prohibitions, while six others have ineffective measures. Written comments on the proposal are due by July 6, and public hearings are set for July 7. The implications of these tariffs are particularly noteworthy for the crypto market, which has previously reacted sharply to tariff announcements, as seen in October 2025 when a threat from President Trump led to a $19 billion loss in the sector.