 Trump administration imposes new tariffs on dozens of countries, citing forced labor concerns |
Source |
American Shipper |
Post Date |
07/24/2026 |
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The Trump administration imposed tariffs of up to 12.5% Friday on goods from 60 U.S. trading partners it accused of failing to crack down on forced labor.
Most of the trading partners are facing 12.5% tariffs, including Vietnam and China, but a lower 10% rate applies to 17 countries that have some prohibitions on forced labor, including the United Kingdom, Canada and Mexico. Five other trading partners ?including the European Union ?are facing some additional levy to get their total most-favored-nation tariff rate to either 10% or 12.5%.
Some imports are exempted from the levies, including oil and gas, things that arent produced in the U.S. or could cause economic disruptions, goods where a tariff wouldnt contribute to the elimination of unfair trading practices and goods like steel that are already covered by sector-specific tariffs. Many goods that comply with the U.S.-Mexico-Canada Agreement, a trade deal signed during the first Trump administration, are also exempt.
The new tariffs went into effect at 12:01 a.m. on Friday, when a separate set of 10% levies on most imports expired.
Almost immediately after the Supreme Courts February ruling, Mr. Trump ordered 10% tariffs on most global imports under a law called Section 122, which gives the president the power to deal with balance-of-payment issues. But that legal authority lasted for only 150 days.
The Section 122 tariffs were largely replaced by the new forced labor tariffs, which were issued under another legal authority known as Section 301. That law allows longer-lasting tariffs in response to unfair trade practices, but only if the government conducts an investigation, which U.S. Trade Representative Jamieson Greers office wrapped up this week.
Goods such as steel, aluminum and car parts are subject to tariffs under a separate law called Section 232. And yet another federal law ?Section 338 ?was invoked this week to slap tariffs on Canadian milk, alcohol and hockey equipment.
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