Press "Enter" to skip to content

Trump renews tariffs, citing forced labor concerns

Key takeaways:

  • The Trump administration imposed new tariffs of 10% to 12.5% under Section 301 of the Trade Act of 1974 after a temporary 10% tariff regime expired Friday.
  • Australia, New Zealand, the European Union, Japan and China criticized or rejected the forced labor rationale for the new U.S. tariffs.
  • Democrats accused Trump of using forced labor as a pretext for tariffs, while Republican Sen. John Cornyn warned that tariffs on imports raise prices for Americans.

President Donald Trump imposed a new wave of tariffs on dozens of countries Friday, invoking forced labor concerns as his administration sought to preserve a central part of his trade policy after legal setbacks and the expiration of a temporary tariff regime.

The measures apply to many U.S. imports from major trading partners, including the United Kingdom, Mexico, Canada, Australia, India, China, Japan, New Zealand and European Union members. The Guardian reported that the tariffs cover more than 80 countries, while NPR reported they apply to more than 60. Countries targeted face duties of 10% to 12.5% on almost all U.S. imports.

The administration announced the tariffs hours before a temporary 10% duty on many countries was due to expire after midnight Friday. The new penalties are being imposed under Section 301 of the Trade Act of 1974, which allows the president to bypass Congress to impose tariffs meant to punish countries using forced labor to export goods to the United States.

U.S. Trade Representative Jamieson Greer defended the move Thursday, saying Trump “recognizes that decades of moral suasion have not eradicated forced labor from global supply chains.” Greer said it was “well past time” for countries around the world to eradicate the practice.

But the announcement drew immediate criticism from Democrats and objections from several U.S. allies, who rejected the administration’s forced labor rationale. The tariffs also revived warnings that Americans could face higher prices.

Richard Neal, the top Democrat on the House Ways and Means Committee, said forced labor is “a real and pervasive problem in our supply chains and demands serious enforcement,” but accused the administration of misusing the issue.

“Today’s forced labor justification is too convenient to be taken seriously,” Neal said. “It should never be cheapened into a pretext for a tariff policy built on dubious legal theories and personal grievances.”

The policy follows a 6-3 U.S. Supreme Court ruling in February that found many of Trump’s tariffs imposed under emergency powers were illegal. Administration officials then announced another 10% tariff regime under a different trade law, but those duties could last only up to 150 days and expired Friday. The latest tariffs are designed to replace them.

Australia, which faces a 12.5% tariff, called the decision “unjustified.” Trade Minister Don Farrell said Australia takes modern slavery seriously and has “some of the most progressive legislation anywhere in the world.” He called on Washington to reverse the tariffs.

New Zealand Prime Minister Christopher Luxon called the move “extremely disappointing,” saying the U.S. investigation “did not provide meaningful evidence” to support forced labor claims. “Tariffs are not the way – they drive up costs and uncertainty for businesses,” he said.

EU foreign policy chief Kaja Kallas also questioned the U.S. justification. “If you compare our labor laws to the ones of the United States, I mean, we have, people have paid vacations, we have very good conditions, labor conditions, for our employees, so it’s not really grounded,” she told Reuters.

The British government said the 10% tariffs represent “no negative change” for British exports, according to NPR, after former Prime Minister Keir Starmer secured lower tariff rates than many other countries and King Charles III obtained a reduction of the U.S. tariff on Scotch whisky to zero during an April White House visit. A government spokesperson said Britain takes forced labor “very seriously.”

Japan’s Chief Cabinet Secretary Minoru Kihara said it was “regrettable” that tariffs were imposed despite Japan’s industry and trade being in line with international rules. China, hit with 12.5% tariffs, condemned the measure. “Tariff wars and trade wars do not serve any parties’ interests,” Foreign Ministry spokesman Lin Jian said.

Republicans were divided. Rep. Jason Smith of Missouri, chair of the House Ways and Means Committee, praised the administration for holding countries accountable over forced labor. But Sen. John Cornyn of Texas told The Hill, “There’s no question that tariffs on imports raise prices on American products. So yeah, I’m concerned about that.”

Sources

Be First to Comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Share via
Copy link
Powered by Social Snap