The United States has unveiled new tariffs ranging from 10% to 12.5% on dozens of its trading partners, including major economies like China, India, and the European Union. The move, announced Thursday and effective Friday, targets what the Trump administration describes as lax enforcement of forced labor bans.
US Trade Representative Jamieson Greer stated, "The United States has had a forced labor import ban for nearly a century, and rigorously enforces it; it's well past time for our trading partners to do the same." Greer added that "Today's action will begin to correct what is both a human rights abuse and distortive trade practice to improve the welfare of workers everywhere."
These new duties are set to take effect just as a temporary 10% global tariff expires. The previous temporary tariff, also 10%, was imposed under Section 122 of the Trade Act of 1974 for 150 days, a measure intended to address balance of payments crises, and is expiring on Friday. The White House is now utilizing the more durable Section 301 of the Trade Act of 1974, which grants the president authority to impose tariffs and other sanctions on countries found to engage in "unjustifiable," "unreasonable," or "discriminatory" trade practices.
In a separate development, the Trump administration is also investigating 16 economies over alleged excess industrial capacity, a situation experts warn could lead to additional tariffs.
The decision has drawn swift criticism from affected nations. Brazil, whose exports to the United States will face a 12.5% tariff under the new measures, condemned the decision as "completely arbitrary" and "unjustified." The Brazilian government warned it would immediately initiate procedures for countermeasures under its "Reciprocity Law" and escalate the issue to the World Trade Organization's dispute settlement mechanism.
Australia's Defense Minister Richard Marles expressed disappointment, telling ABC Radio that the new tariffs "made no sense." Under the new rules, import duties for Australian goods will increase from 10% to 12.5%. Japan also voiced its regret over the move, with a government spokesperson asserting that its "industry and trade are conducted in accordance with international rules."
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