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๐Ÿ‡ฌ๐Ÿ‡ง United Kingdom /Economy & Trade

Trump Threatens Tariffs on 60 Countries Over Forced Labor Allegations

From The Guardian · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Named sources Context piece
  • Donald Trump has threatened tariffs on 60 countries, including the UK and EU, over alleged failures to prevent goods made with forced labor from entering their markets.
  • The EU has pushed back, stating it expects the US to honor a previous tariff agreement and arguing that these new levies breach its spirit.
  • The proposed tariffs aim to circumvent previous court rulings that found Trump's earlier tariffs illegal, while investigations into labor laws in 60 countries are ongoing.

Former U.S. President Donald Trump has escalated his trade policy by threatening tariffs on goods from 60 countries, including major partners like the UK, EU, Canada, Japan, Norway, Taiwan, and China. The proposed levies, ranging from 10% to 12.5%, target countries allegedly failing to prevent imports of products made with forced labor. This move represents a significant attempt to revive Trump's signature trade protectionism.

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

โ€” Jamieson GreerU.S. Trade Representative explaining the rationale behind the proposed tariffs.

The European Union has immediately responded, asserting its expectation that the U.S. will respect the tariff agreement reached last July. Brussels argues that these "stealth tariffs" violate the spirit of that agreement, which aimed to de-escalate trade tensions. The EU maintains it shares U.S. concerns about forced labor but considers tariffs imposed on these grounds unjustified.

These proposed tariffs come after the U.S. Supreme Court ruled in February that the president's "liberation day" tariffs were illegal. Although Trump responded by imposing across-the-board 10% tariffs, a U.S. trade court later found those unlawful as well. The current proposal, however, allows Trump to potentially bypass these court-imposed limitations by framing the tariffs around the issue of forced labor, a move experts had predicted he would pursue.

We fully share US concerns about forced labour but consider tariffs imposed on these grounds to be unjustified.

โ€” European CommissionStating the EU's position on the proposed U.S. tariffs.

Jamieson Greer, the U.S. trade representative, stated that the failure of key trading partners to address the importation of goods made with forced labor is unacceptable, creating an unlevel playing field for American workers. The investigations are being conducted under Section 301 of the Trade Act of 1974. According to a report, only Canada, Ecuador, the EU, Indonesia, Mexico, and Pakistan have not been found to be failing in imposing a prohibition on forced labor imports. However, the White House considers Canada to be failing in its enforcement, and the EU's comprehensive ban on forced labor imports is not set to take effect until December 2027, potentially subjecting both to tariffs.

We expect the US to fully respect the terms of that agreement.

โ€” European CommissionReferencing the tariff deal entered into last July.
DistantNews Editorial

Originally published by The Guardian in English. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.