WASHINGTON: The United States Trade Representative (USTR) has proposed fresh import duties on 60 economies, including Pakistan and India, citing what it describes as inadequate efforts to prevent the entry of goods produced through forced labour.
Under the proposal, Pakistan would face an additional 10 per cent tariff, while India and several other countries could be subject to duties of up to 12.5 per cent. The measures are currently open for public consultation before any final decision is taken.
The initiative follows investigations launched by the US administration into numerous trading partners, among them China, the European Union, Japan and other major economies. The reviews examined whether these countries had effective mechanisms in place to block imports linked to forced labour and assessed the impact on American businesses and workers.
According to the USTR, 54 economies were found to have failed in establishing and enforcing adequate prohibitions against such imports. This category includes China, India, Vietnam, Taiwan and the United Kingdom. Meanwhile, Pakistan, Canada, Mexico, Indonesia, Ecuador and the European Union were cited for not effectively enforcing existing restrictions.
USTR chief Jamieson Greer said the continued importation of goods made through forced labour places American workers at a competitive disadvantage and undermines fair trade practices. He stressed that Washington expects its trading partners to take stronger action to eliminate forced labour from global supply chains.
The proposed 10 per cent tariff would apply to imports from Pakistan and several other countries, including Bangladesh, Malaysia, Cambodia, Argentina, Guatemala, El Salvador, Taiwan and Britain. A higher duty rate of 12.5 per cent has been recommended for the remaining nations covered by the investigation.
However, the plan includes a number of exemptions. Certain agricultural products such as beef, coffee, fruits and nuts would not be affected. In addition, goods from Canada and Mexico that qualify under the North American trade agreement, along with selected textile and apparel products, would remain exempt.
Stakeholders have until July 6 to submit written feedback, after which the USTR will conduct public hearings before reaching a final determination.
The announcement comes ahead of the July 24 expiry of a temporary 10 per cent tariff introduced by the Trump administration in February, shortly after the US Supreme Court invalidated tariffs imposed under the International Emergency Economic Powers Act.
