Trump Imposes New Tariffs On 60+ Countries Over Forced Labour Concerns; India Faces 10% Import Levy

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US President Donald Trump has announced a new round of double-digit tariffs on imports from more than 60 of America’s trading partners, including India, China, the United Kingdom, Japan, and the European Union, citing their alleged failure to adequately enforce bans on goods produced through forced labour.

Under the new policy, imports from affected countries will face tariffs ranging between 10% and 12.5%, with the White House saying the move is aimed at protecting American workers and discouraging trade practices linked to forced labour.

The tariffs are scheduled to take effect at 12:01 a.m. Friday, coinciding with the expiry of temporary import taxes imposed after the US Supreme Court struck down Trump’s earlier “Liberation Day” tariffs introduced in April 2025.

India Retains 10% Tariff Rate

India will continue to face a 10% tariff under the new policy.

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The White House noted that countries including India, Sri Lanka, Cambodia, Guatemala, Honduras, and Trinidad and Tobago have either introduced forced labour import prohibitions or committed to strengthening such measures. As a result, they will remain subject to the lower 10% tariff, instead of the higher 12.5% rate.

The administration said the reduced rate is intended to encourage these countries to effectively enforce their newly adopted restrictions.

China, UK and Japan Face Higher Tariffs

Countries that do not have laws prohibiting imports of goods produced through forced labour—including China, the United Kingdom, and Japan—will face 12.5% tariffs on their exports to the United States.

The White House argued that these countries continue to benefit from products manufactured using forced labour rather than supporting fair labour practices and higher-paid American workers.

Some Imports Exempted

Certain categories of imports have been exempted from the latest tariff measures, including:

  • Goods covered under the US-Mexico-Canada Agreement (USMCA)
  • Oil and natural gas imports
  • Other specified products exempted under existing trade arrangements

US Defends New Trade Measures

US Trade Representative Jamieson Greer defended the decision, saying the United States has maintained and enforced a ban on forced labour imports for decades.

“The United States has had a forced labour import ban for nearly a century, and rigorously enforces it. It’s well past time for our trading partners to do the same.”

He added:

“Today’s action will begin to correct what is both a human rights abuse and a distortive trade practice to improve the welfare of workers everywhere.”

More Tariffs Expected Soon

According to a report by The Washington Post, the Trump administration is preparing another round of tariffs that could be announced in the coming weeks.

The proposed measures would target countries accused of heavily subsidising manufacturing industries, a practice Washington argues floods global markets with artificially cheap products and undermines American businesses.

The latest tariff package is part of the administration’s broader effort to rebuild trade barriers after the US Supreme Court invalidated key elements of Trump’s earlier tariff policy earlier this year.

Background

The Trump administration had initially imposed a temporary 10% global import surcharge after the Supreme Court struck down the “Liberation Day” tariffs in February 2026. That temporary measure expires on Friday and is now being replaced by the new country-specific tariff regime linked to forced labour enforcement.

The administration says the latest policy is designed to promote fair trade, strengthen labour standards globally, and reduce America’s dependence on imported goods.

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