To uphold tariffs, Trump resorts to new legal arguments on forced labor

Washington is once again wielding tariffs, this time leveraging a clause related to forced labor to impose new duties on goods from dozens of countries worldwide. This strategic shift comes just hours after the legal basis for President Donald Trump's previous import tariffs expired.

The previous tariffs, largely enacted under emergency economic powers, were significantly curtailed by a Supreme Court decision earlier this year. The administration has been ordered to refund billions of dollars to companies affected by those tariffs. However, Trump signaled his intent to continue his protectionist trade policies by finding an alternative justification.

The new tariffs, reportedly around 10 percent, are now being applied under Section 301 of the Trade Act, which allows the US to take action against countries that do not adequately prevent the import of goods produced with forced labor. The administration argues this creates unfair competition for countries that adhere to stricter labor laws.

While the move aims to pressure trading partners and uphold Trump's economic agenda, experts caution that these new tariffs may also face significant legal hurdles. The strategy highlights the administration's determination to maintain its trade policies despite ongoing legal setbacks and the upcoming election cycle, which is heavily focused on affordability.