Trump imposes 10%–12.5% tariffs on 60 countries over forced labor enforcement failures

President Donald Trump has imposed new Section 301 tariffs ranging from 10% to 12.5% on imports from 60 countries, citing inadequate enforcement of forced labor bans. The levies take effect at 12:01 a.m. ET on July 24, 2026, immediately replacing temporary worldwide tariffs that were set to expire. The targeted countries account for 99% of U.S. imports. The move follows a February 2026 Supreme Court ruling that struck down broader tariffs imposed under the International Emergency Economic Powers Act (IEEPA), forcing the administration to refund importers who had paid those levies. Trump’s new tariffs are grounded in Section 301 of the Trade Act of 1974, a legal authority previously used to impose substantial tariffs on China during his first term. The administration has also launched an investigation into 16 countries—representing 70% of U.S. imports—alleging overproduction that depresses global prices and harms U.S. companies. The outcome of that probe could lead to additional tariffs. The White House argues that higher tariffs will bolster American manufacturing, reversing decades of trade policy favoring lower barriers. However, critics warn that the broad application of these tariffs risks raising consumer prices amid already high inflation, especially ahead of the November 3, 2026 midterm elections. Some products are exempt, including oil, gas, fertilizer, and goods covered under the U.S.-Mexico-Canada Agreement (USMCA). The administration claims that tighter enforcement by some countries has allowed for reduced tariff rates—such as India’s rate being lowered from 12.5% to 10%—but human rights advocates stress that enforcement and transparency will determine the actual impact on forced labor practices. According to the International Labor Organization (ILO), an estimated 27.6 million people were in forced labor globally on any given day in 2021. While advocates acknowledge that import bans can be an effective tool in combating forced labor, they caution that poorly enforced measures may become ineffective. Martina Vandenberg, founder of The Human Trafficking Legal Center, emphasized the need for a phased implementation to allow countries time to establish meaningful enforcement mechanisms. The Uyghur Forced Labor Prevention Act, passed in 2021, remains the most significant U.S. legislation targeting forced labor, prohibiting imports of goods made in China’s Xinjiang region or by designated entities.