US Proposes 12.5% Extra Tariff on India and 53 Countries Over Forced Labour Import Allegations
The United States Trade Representative (USTR) has proposed an additional 12.5% import duty on 54 countries, including India, over alleged failures to prevent goods produced using forced labour from entering their markets. The proposal follows investigations into 60 nations accused of not adequately enforcing restrictions on such imports.
US Trade Representative Ambassador Jamieson Greer stated that allowing goods linked to forced labour creates an unfair global trade environment and puts American workers at a disadvantage. He added that stronger enforcement by trading partners is necessary to ensure fair and ethical trade practices. The proposal includes countries such as China, Japan, Brazil, Australia, the UK, Saudi Arabia, and India, while some nations like Canada, the European Union, and Mexico were noted for having partial or weak enforcement mechanisms.
India has rejected the allegations and urged that the matter be addressed through ongoing bilateral trade discussions with the US. The proposed tariff structure suggests a 10% additional duty for countries with partial compliance or commitments, while others, including India, could face the full 12.5% duty if they lack adequate enforcement measures.
The USTR has also proposed hearings on the issue scheduled for July 7, with written comments accepted until July 6. Stakeholders can submit participation requests by June 22 as part of the consultation process.
