Trump's Never-Ending Tariffs: India Again Faces Double-Digit US Duties Over 'Forced Labour'
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Trump renews double-digit tariffs on 60 countries, including India, citing forced labour concerns after shifting to new US trade laws.
By Pranjal Gupta
New Delhi, July 24: The United States will renew the global levy imposed on 60 countries immediately after the current timeline concludes at midnight on Friday. This time, the tariffs are expected to be more durable and remain in double digits. US President Donald J. Trump had imposed these charges on America's trading partners, alleging that they use forced labour to manufacture products exported to the United States. The countries affected include
India.
According to Section 301 of the Trade Act of 1974, the US President can impose sanctions if a country is found to be engaging in "unjustifiable", "unreasonable" or "discriminatory" trade practices.
Trump's forced labour initiative came after the US Supreme Court struck down his administration's broad reciprocal emergency tariffs, which ranged from 10 per cent to 50 per cent, imposed under the International Emergency Economic Powers Act (IEEPA).
As a result, the US government faced nearly $166 billion in refund claims from businesses, according to US media reports.
To prevent his broader tariff strategy from collapsing, Trump quickly pivoted to alternative legal provisions, including Section 122, which allows a temporary 150-day global surcharge, and newly launched Section 301 investigations into foreign trade practices.
The 60 countries covered by the order account for approximately 99 per cent of US imports.
How Much Tariff This Time?
The United States will impose tariffs ranging between 10 per cent and 12.5 per cent on imports from the 60 countries.
On Thursday, US Trade Representative Jamieson Greer, acting under Trump's direction, confirmed that the duties would now take effect.
"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," Greer said in a statement, according to the BBC.
Earlier this week, the Trump administration invoked a different provision, Section 338 of the Tariff Act of 1930, to impose 50 per cent tariffs on products imported from Canada.
On Thursday, the Office of the US Trade Representative said the latest tariffs were being imposed on trading partners "for their failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labour".
It added that the new duties apply to the top 60 US trading partners, covering 99.4 per cent of all US imports.
Meanwhile, Canadian Prime Minister Mark Carney said on Thursday that Canada is intensifying negotiations with the United States to secure a comprehensive trade agreement but is prepared to respond if President Trump's proposed 50 per cent tariffs on Canadian goods come into effect.
The tariffs, announced by Trump on Monday, are scheduled to take effect on 19 August."If these tariffs, or other measures, come into force, there's a full range of things that we can do in that regard," Carney said after meeting Canada's premiers and territorial leaders in Charlottetown, Prince Edward Island.
(With Agency Inputs)
