Trump administration hits 60 economies with new tariffs

July 24, 2026 (MLN): The United States has imposed tariffs on 60 economies under Section 301 of the Trade Act of 1974, citing their failure to impose and enforce bans on goods produced with forced labor.

The duties stand at 10% for partners that have adopted or committed to import prohibitions on forced-labor goods, and 12.5% for those that have not, as per the Office of the U.S. Trade Representative.

The measure covers the top 60 US trade partners and 99.4% of American imports.

The action replaces a temporary 10% global tariff imposed under Section 122 of the trade act, which was due to expire on July 24.

That stopgap had been put in place after the Supreme Court in February ruled Trump's emergency-powers tariffs unlawful. The forced-labor probes give the administration what it considers a more durable legal footing for a baseline tariff following the earlier court challenge, according to CNBC.

Australia, China (including Hong Kong), Singapore and South Korea were placed in the higher 12.5% bracket, with Washington alleging these economies failed to prevent forced-labor goods from entering the US market.

Malaysia, Taiwan, Indonesia, Pakistan  and India were placed in the 10% bracket.

Canada was also placed in the 10% tier, with an exemption carved out for USMCA-compliant goods. Brazil's new 12.5% duty stacks on top of a separate 25% Section 301 tariff imposed earlier this month, rebuilding a combined 37.5% barrier  close to the 50% rate the courts had struck down last year.

Reactions from affected trading partners were largely critical  while no major partner has announced countermeasures as of yet.

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