The United States has imposed Section 301 tariffs on 60 economies, including India, for failing to prohibit and enforce a ban on the importation of goods made with alleged forced labour, the Office of the United States Trade Representative (USTR) announced on Thursday.
The Action
US Trade Representative Jamieson Greer took the final step at US President Donald Trump's direction, following investigations that included two rounds of public hearings and more than 2,100 public comments.
"President Trump recognises that decades of moral suasion have not eradicated forced labour from global supply chains," Greer said, adding that the US has enforced its own forced labour import ban for nearly a century and expects trading partners to do the same.
How The Investigation Unfolded
USTR launched the 60 investigations on March 12, 2026, at Trump's direction, examining whether countries' failure to impose and enforce forced labour import bans burdened US commerce.
Public hearings were held on April 28 and 29, alongside consultations with over 45 governments.
ALSO READ: Trump Says Close To Ordering Massive Iran Attack; 'Israel Will Join In 2 Mins When Asked'
On June 2, USTR determined the practices were unreasonable and actionable under Section 301(b), triggering a further comment period — over 1,600 submissions were received — and additional hearings from July 7 to 9, where more than 100 witnesses testified.
The Tariff Structure
Three tiers apply. A 10% duty covers economies that already have a forced labour import ban, have committed to one through a reciprocal trade agreement, or have a partial regime in place — this group includes India, Canada, Mexico, Bangladesh, Pakistan, Sri Lanka, the UK and others.
ALSO READ: India Defends Agri Tariffs, QCOs At WTO Policy Review
The European Union, Japan, Korea, Taiwan and Switzerland face 10 or 12.5% net of existing Most-Favoured-Nation rates on certain products. All other investigated economies face a flat 12.5%.
Exemptions
USTR said exemptions would apply to raw materials whose taxation could disrupt domestic supply, products unavailable domestically in adequate quantities, and select goods from countries, including India, that could encourage further compliance with forced labour prohibitions.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.