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US Targets India and 59 Other Economies with New Tariff Proposals Over Forced Labour Issues
US Proposes New Tariffs Against India, 59 Other Economies, Over Forced Labour Import Curbs
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The United States Trade Representative (USTR) has proposed trade actions against 60 economies, including India, citing their failure to effectively prohibit imports of goods produced with forced labour. This proposal includes additional tariffs of 10% to 12.5% on affected products, amid ongoing trade negotiations between the US and India.
- 01The USTR's proposal targets 60 economies, including India and China, for not enforcing prohibitions against forced labour goods.
- 02Ambassador Jamieson Greer emphasized the need for trading partners to ensure fair competition by addressing forced labour practices.
- 03The proposed tariffs include an additional 10% for economies that have made commitments to prohibit forced labour imports, and 12.5% for others.
- 04The investigations began in March 2026, with extensive testimonies and comments collected by the USTR.
- 05Countries like Canada, the EU, and Mexico are also mentioned for failing to enforce prohibitions on forced labour imports.
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The United States Trade Representative (USTR) has announced plans to initiate trade actions against 60 economies, including India, due to their inability to impose effective prohibitions on the importation of goods produced with forced labour. This decision, articulated in a statement on Tuesday, cites Section 301 of the Trade Act of 1974, asserting that the practices of these economies create an unfair competitive environment for American workers. USTR Ambassador Jamieson Greer criticized the failure of key trading partners to adequately address this issue, stating that the U.S. will not tolerate such disparities. The proposed measures include additional tariffs of 10% for economies that have made commitments to address forced labour and 12.5% for those that have not. The USTR has conducted investigations since March 2026, gathering testimonies from nearly 60 witnesses and over 500 comments. The list of affected economies includes notable countries such as China, Australia, and the United Kingdom, alongside India.
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The proposed tariffs could significantly affect trade dynamics, potentially increasing costs for imports from targeted economies, including India.
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