Trump administration proposes 10% or higher tariffs on major trading partners over forced labor concerns

WASHINGTON (AP) — The Trump administration on Wednesday unveiled a plan to slap additional tariffs of 10% or more on products from dozens of major trading partners, following a yearlong investigation into imports allegedly produced with forced labor.

The report from the Office of the U.S. Trade Representative (USTR) singles out Canada, Mexico, Taiwan and the United Kingdom for a 10% surcharge. A steeper 12.5% tariff is proposed for China, Japan, India, South Korea, Brazil, Switzerland and many other economies. The varying rates reflect what USTR calls the degree to which each partner has failed to enforce a 2021 law banning forced labor imports.

“The failure of our most important trading partners to address the importation of goods made with forced labor is unacceptable,” USTR Ambassador Jamieson Greer said in a statement. “This creates a dynamic where American workers are forced to compete globally on an unlevel playing field.” He added that “each of our trading partners must do more to ensure that trade does not perversely encourage and entrench forced labor globally.”

The probe was conducted under Section 301 of the Trade Act of 1974, a tool often used in past trade disputes. By relying on Section 301 rather than the International Emergency Economic Powers Act (IEEPA), the Trump administration appears to be trying to sidestep a February Supreme Court ruling that curbed the president’s ability to impose sweeping tariffs under IEEPA. The high court found that Trump had overstepped his authority when he used the 1977 emergency law to levy tariffs on a broad range of imports.

The proposed tariffs would not take effect immediately. They are subject to a 30-day public comment period and interagency review, meaning any final action could be weeks or months away. Still, the move is likely to strain trade relations with key allies and escalate tensions with Beijing, which already faces steep U.S. tariffs on billions of dollars in goods.

The report defines forced labor as “work or service exacted from a person under the menace of any penalty for its nonperformance and for which the worker does not offer himself voluntarily.” The administration argues that the failure to prevent such goods from entering global supply chains undermines American labor standards and manufacturing competitiveness.

Economists warn that the proposed tariffs could raise costs for U.S. importers and consumers, particularly for electronics, apparel and machinery sourced from affected countries. Business groups have urged the administration to prioritize enforcement mechanisms over broad tariff hikes, saying the latter risk triggering retaliatory measures.