Key facts
- The US has imposed new tariffs on approximately 60 trading partners.
- Tariff rates range from 10% to 12.5% and are linked to forced labor concerns.
- These new tariffs replace expiring global tariffs.
- Countries with prohibited forced labor imports face a 10% rate, while others like China face 12.5%.
- Several nations, including the EU, Australia, and Brazil, have criticized the tariffs.
The Trump administration has imposed new tariffs of 10% and 12.5% on goods from approximately 60 trading partners, including China and the European Union, citing concerns over lax enforcement of forced labor bans. These new duties replace expiring global tariffs and are enacted under Section 301 of the Trade Act of 1974. Countries that have prohibited forced labor imports will face a 10% rate, while major economies like China will face a higher rate of 12.5%. The measures exempt certain products, including oil, gas, and fertilizer. The decision has drawn criticism from several nations. EU Foreign Policy Chief Kaja Kallas stated the tariffs are not grounded and called the move a negative surprise. Australian Trade Minister Don Farrell described the tariffs as 'completely unjustified.' Mexico's Economy Minister Marcelo Ebrard indicated no change in effective tariff rates for Mexico. Bank of France Governor Emmanuel Moulin noted increased uncertainty for world trade and negative implications for growth. Brazil's government called the tariffs arbitrary and unjustified, planning retaliatory measures and a WTO dispute. Malaysian Prime Minister Anwar Ibrahim expressed relief at the lower tariff rate for Malaysia and indicated further negotiations. Philippine Trade Minister Cristina Roque emphasized the country's strong policy against forced labor and the value of the trade relationship with the U.S.