The US Trade Representative (USTR) has proposed (not yet implemented) imposing 12.5% additional tariffs on 54 countries — including India, China, Japan, Brazil, Australia, the UK, and Saudi Arabia — for failing to prohibit or effectively enforce bans on imports made with forced labor. The new tariffs target 99% of imports to the US.
The proposed tariff structure, the abc news says, is 12.5% for 54 countries with no forced labor import prohibition and 10% for 6 countries (Canada, EU, Mexico, Indonesia, Pakistan, Ecuador) that have bans but failed to enforce them effectively.
The Guardian reports, ” A spokesperson for the trade minister, Don Farrell, disputed the alleged findings.
“Australia has robust, comprehensive and world-leading legislation addressing forced labour and modern slavery,” the spokesperson said.
“Australia maintains our position that any tariffs on Australian exports to the United States are unjustified and inconsistent with our free trade agreement. We continue to use every opportunity to advocate that US tariffs imposed on Australia are unwarranted.”
India has denied the allegations and requested the US end the investigations, arguing these matters should be addressed through ongoing bilateral trade negotiations. A report in The Hindu says, “In response, the Indian government has said it “remains engaged” with the U.S. government regarding this development as well as the finalisation of an Interim Agreement on trade.”
The new tariff proposal follows investigations launched against 60 countries total over forced labor import enforcement concerns.
US Trade Representative Press Release, June 02, 2026.
Sources – May used including AI.
