US hearing weighs higher tariffs over alleged forced labour, targeting China

The United States government convened a hearing Wednesday to consider a proposal for higher tariffs on goods allegedly produced with forced labor, with a significant focus on China. The three-day public hearing, hosted by the Office of the United States Trade Representative (USTR) from July 7 to 9, is a component of a broader Section 301 investigation into the use of forced labor within international supply chains.

This investigation and the subsequent hearings are critical steps that could lead to the imposition of tariffs ranging from 10 to 12.5 percent on imports from approximately 60 economies. Washington asserts these nations have failed to prevent goods manufactured under forced labor conditions from entering global supply chains.

During the hearing, participants expressed divided opinions on the potential effectiveness of higher tariffs in improving workers' rights. Qiang Li, founder of China Labor Watch and a vocal critic of China's labor practices, testified that "China should have a higher rate [of tariffs]. If a country gets better, its rate should go down." Li detailed issues faced by many Chinese workers, including excessive overtime, inadequate workplace protections, and limited access to insurance when compared to their counterparts in many Western countries.

The USTR's investigation aims to identify and address the use of forced labor, a practice that undermines fair competition and violates fundamental human rights. The outcome of the hearings is expected to inform future trade policy decisions regarding imports from countries implicated in such practices.

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China should have a higher rate [of tariffs]. If a country gets better, its rate should go down.