USTR Takes Action in Forced Labor Section 301 Investigations

WASHINGTON - Today, Ambassador Jamieson Greer is taking final action, at President Trump's direction, under Section 301 of the Trade Act of 1974 by imposing tariffs on 60 economies for their failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labor. Today's action comes after the Office of the United States Trade Representative's (USTR) investigations, which included two rounds of public hearings, more than 2,100 public comments, and engagement with our trading partners to remedy these longstanding concerns.

"President Trump recognizes that decades of moral suasion have not eradicated forced labor from global supply chains. 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," said Ambassador Greer. "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. I am encouraged by the trading partners who have moved quickly to adopt forced labor import prohibitions, and look forward to ensuring their effective enforcement."

To view the pre-publication version of the Federal Register Notice, click here.

To read USTR's Fact Sheet, click here.

Background

Section 301 of the Trade Act of 1974, as amended (Trade Act), is designed to address unfair foreign practices affecting U.S. commerce. Section 301 may be used to respond to unjustifiable, unreasonable, or discriminatory foreign government acts, policies, or practices that burden or restrict U.S. commerce. A Section 301(b) investigation examines whether the acts, policies, or practices are unreasonable or discriminatory and burden or restrict U.S. commerce.

At the specific direction of the President, on March 12, 2026, the U.S. Trade Representative initiated 60 investigations related to the failure of various economies to impose and effectively enforce a prohibition on the importation of goods produced with forced labor. On April 28 and April 29, 2026, USTR and the Section 301 Committee convened public hearings regarding these investigations. Pursuant to Section 303(a) of the Trade Act, USTR also held consultations with more than 45 of the governments of the economies subject to the investigations.

On June 2, 2026, the U.S. Trade Representative determined under Section 301 of the Trade Act that the acts, policies, and practices of the 60 investigated economies related to the failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labor is unreasonable and burdens or restricts U.S. commerce, and are thus actionable under Section 301(b) of the Trade Act. As a result of this determination, the U.S. Trade Representative proposed responsive action and invited the public to provide written comments on the proposed action by July 6, 2026. USTR received, reviewed, and analyzed over 1,600 written comments on the proposed responsive action. From July 7 to July 9, USTR also held public hearings regarding proposed responsive action in the investigations, at which over 100 witnesses provided testimony and responded to questions.

Consistent with the specific direction of the President, the U.S. Trade Representative has made the following determinations:

• 10 percent is the appropriate rate of Section 301 duties for investigated economies that (i) impose a forced labor import prohibition; (ii) have committed to impose and enforce such a prohibition through an Agreement on Reciprocal Trade; or (iii) have imposed a partial regime with the effect of preventing the importation of certain forced labor goods. These economies are: Argentina, Bangladesh, Cambodia, Canada, Ecuador, El Salvador, Guatemala, Honduras, India, Indonesia, Jordan, Malaysia, Mexico, Pakistan, Sri Lanka, Trinidad and Tobago, and the United Kingdom;
• 10 percent or 12.5 percent, net of Most-Favored-Nation (MFN) rate is the appropriate rate of Section 301 duties for certain products of the European Union, Taiwan, Japan, Korea, and Switzerland that are not otherwise exempted, as explained in greater detail in the Federal Register Notice; and
• 12.5 percent is the appropriate rate of Section 301 duty for all other investigated economies.

The U.S. Trade Representative has also determined, in accordance with the specific direction of the President, that product exemptions are appropriate for: (a) raw materials that if subject to these tariffs could lead to the unavailability of domestic supply; (b) products that could cause economy-wide disruptions if subject to these tariffs; (c) products that cannot be grown or produced in sufficient quantities or at reasonable prices in the United States or obtained from other sources; (d) certain products of Argentina, Bangladesh, Cambodia, Ecuador, El Salvador, the European Union, Guatemala, Indonesia, Jordan, Malaysia, Switzerland, Taiwan, or the United Kingdom that would encourage these economies to fulfill commitments regarding forced labor import prohibitions or to enact and effectively enforce a forced labor import prohibition; or (e) articles for which these tariffs may not contribute substantially to the elimination of the acts, policies, and practices of found to be actionable in the investigations.

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