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US Slaps Tariffs on 60 Partners Over Forced Labor Concerns
๐Ÿ‡ต๐Ÿ‡ฐ Pakistan /Economy & Trade

US Slaps Tariffs on 60 Partners Over Forced Labor Concerns

From Dawn · () English

Translated from English, summarized and contextualized by DistantNews.

At a glance

News Sources not specified New plan
  • The United States is imposing new tariffs on 60 trading partners, including Pakistan, India, China, and the EU, due to concerns over forced labor.
  • The tariffs, ranging from 10% to 12.5%, replace an expiring global duty and are designed to be more legally resilient.
  • Target countries have condemned the move, citing inconsistency with trade agreements and arguing the tariffs are unjustified.

The United States has announced new tariffs on 60 trading partners, including major economies like Pakistan, India, China, and the European Union, citing concerns over forced labor practices. These levies, effective Friday, replace a previous global duty rolled out by former President Donald Trump that expired on the same day. The new tariffs range from 10% to 12.5%.

U.S. Trade Representative Jamieson Greer stated that the United States has maintained a forced labor import ban for nearly a century and rigorously enforces it, emphasizing that it is time for trading partners to adopt similar measures. The targeted economies collectively represent the majority of U.S. trade. These measures were developed after a months-long investigation and are considered more resistant to legal challenges than previous actions.

The United States has had a forced labor import ban for nearly a century, and rigorously enforces it; itโ€™s well past time for our trading partners to do the same.

โ€” Jamieson GreerU.S. Trade Representative Jamieson Greer explained the rationale behind the new tariffs targeting forced labor practices.

Under the new determination, specific countries like Argentina, Bangladesh, Britain, Cambodia, Canada, Ecuador, El Salvador, Guatemala, Honduras, India, Indonesia, Jordan, Malaysia, Mexico, Pakistan, Sri Lanka, and Trinidad and Tobago will face a 10% duty. The European Union, Taiwan, Japan, South Korea, and Switzerland will have combined tariff rates of 10% or 12.5%, while China and 38 other nations will face a 12.5% rate.

regrets

โ€” Minoru KiharaJapanese government spokesman Minoru Kihara stated Tokyo's reaction to the new U.S. tariffs.

Target countries have reacted with swift condemnation. Japanese government spokesman Minoru Kihara expressed regret, questioning the sole grounds for the higher rate being the absence of a forced labor import ban. Australia's trade minister, Don Farrell, called the tariffs "unjustified" and inconsistent with their free trade agreement.

Certain goods, such as steel and aluminum already subject to sector-specific tariffs, will not be affected. Energy products, fertilizers, and goods covered by the US-Mexico-Canada free trade pact are also exempt. Pakistan had previously submitted detailed responses to the USTR regarding forced labor investigations. The U.S. is also investigating 16 economies for excess industrial capacity, which could lead to further duties.

unjustified

โ€” Don FarrellAustralia's trade minister Don Farrell described the U.S. tariffs.
DistantNews Editorial

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