Trump Administration Proposes Heavy Tariffs on India and 59 Other Countries Over Forced Labour Concerns

USTR plans additional duties on imports from 60 economies, including China and Bangladesh, citing non-compliance with forced labour restrictions

The United States proposed trade measures against 60 countries, including India, for failing to restrict forced-labour imports.

USTR stated that these countries’ policies negatively impact American businesses. They recommended additional duties to protect U.S. industry.

This announcement coincides with ongoing bilateral trade negotiations between India and the United States.

List of Affected Economies

Among 54 key economies, India, China, Bangladesh, Australia, Japan, Bahrain, Kuwait, Saudi Arabia, Singapore, the UK, and UAE are included.

USTR officials, including Trade Representative Jamison Greer, highlighted that continued import of forced-labour goods creates unfair competition for U.S. workers.

Proposed Tariff Rates

For countries already enforcing forced-labour restrictions, USTR proposes 10% additional duties. For others, rates could reach 12.5%.

The proposal also contains specific measures for textiles and apparel imports, including differentiated duties based on compliance.

Investigation and Evidence

USTR began the investigation on March 12, 2026, collecting testimonies from around 60 witnesses and reviewing 500 public comments.

The agency assessed all evidence before finalizing recommendations, emphasizing that non-compliance could harm U.S. labor and industry competitiveness.

Implications

If implemented, these tariffs could affect import pricing, bilateral trade volumes, and ongoing negotiations between the United States and India.

Analysts suggest that affected countries must either demonstrate compliance with forced-labour restrictions or prepare for economic consequences.