U.S. cites 60 countries for forced labor failures, imposes new tariffs up to 12.5%

USTR report says banned imports hurt U.S. business 

(Photo: Customs and Border Protection)

The United States is imposing new tariffs up to 12.5% on countries it claims aren’t doing enough to stop production of export goods by forced labor, saying it hurts U.S. businesses’ ability to compete globally.

A Section 301 report by the United States Trade Representative under the Trade Act of 1974 found 60 economies that failed to enforce a ban on imported goods produced with forced labor. That “burdens or restricts” U.S. commerce, it said.

“The failure of our most important trading partners to address the importation of goods made with forced labor is unacceptable,” said USTR Jamieson Greer, in a release. “This creates a dynamic where American workers are forced to compete globally on an unlevel playing field. We will no longer tolerate this disparity.”

Greer said that while some trading partners have taken initial steps to prevent the importation of forced labor goods, “each of our trading partners must do more to ensure that trade does not perversely encourage and entrench forced labor globally.”  

Greer wants 10% additional duties on countries that have taken some measures against forced labor trade, and 12.5% on all others. 

A hearing is scheduled for July 7.

Read more articles by Stuart Chirls here.

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Stuart Chirls

Stuart Chirls is a journalist who has covered the full breadth of railroads, intermodal, container shipping, ports, supply chain and logistics for Railway Age, the Journal of Commerce and IANA. He has also staffed at S&P, McGraw-Hill, United Business Media, Advance Media, Tribune Co., The New York Times Co., and worked in supply chain with BASF, the world's largest chemical producer. Reach him at stuartchirls@firecrown.com.