USTR proposes 10-12.5% duties on 54 economies for forced-labor enforcement gaps
On June 5, 2026, the U.S. Trade Representative announced determinations in 60 Section 301 investigations targeting economies that have failed to impose or effectively enforce prohibitions on forced-labor goods. USTR found 54 economies wholly deficient and 6 partially deficient, determining the failures unreasonable and burdensome to U.S. commerce. The proposed remedy is additional duties: 10% for economies with some forced-labor safeguards (prohibition in place, trade-agreement commitments, or partial regimes), and 12.5% for all others. A textile mechanism would permit limited apparel and textile imports from affected economies at reduced tariff rates. USTR is requesting public comment and will hold hearings before finalizing action.
Photo: Anton Kudryashov / PexelsUSTR Initiates Forced-Labor Enforcement Section 301 Tariffs
On June 5, 2026, the U.S. Trade Representative issued determinations in 60 Section 301 investigations targeting economies' failure to impose and effectively enforce prohibitions on the importation of goods produced with forced labor. This action, initiated March 12, 2026, represents the largest forced-labor-focused tariff investigation to date.
Scope and Affected Economies
UST's investigation covered 60 economies worldwide. Of those:
- 54 economies have failed to impose and effectively enforce a forced labor import prohibition.
- 6 economies have failed to effectively enforce (but may have imposed) a forced labor import prohibition.
UST determined that each economy's failure is "unreasonable and burdens or restricts U.S. commerce," triggering Section 301 remedy authority.
Proposed Duty Rates
UST proposes additional duties on all products of investigated economies, with two-tier rates:
10% additional duties apply to economies that:
- Already impose a forced labor import prohibition, or
- Have taken commitments related to forced labor prohibitions through a reciprocal trade agreement, or
- Have imposed a partial regime with the effect of preventing importation of certain forced labor goods.
12.5% additional duties apply to all other investigated economies.
As stated in the Federal Register: "For economies that impose a forced labor import prohibition; have taken on commitments related to forced labor import prohibitions through an Agreement on Reciprocal Trade; or have imposed a partial regime with the effect of preventing the importation of certain forced labor goods, the Trade Representative proposes 10% as the rate of additional duties. For all other economies, the Trade Representative proposes 12.5% as the rate of additional duties."
Textile Carve-Out
UST also proposes a textile mechanism allowing a specified volume of apparel and textile imports from certain investigated economies to enter the United States at a reduced Section 301 tariff rate, providing some relief for affected chapters (61–62).
Exceptions
The notice references Annex A, which specifies products or economies excepted from the proposed duties, though Annex A details are not disclosed in this summary.
Comment Period and Hearings
UST is requesting public comments on the proposed actions and will hold public hearings before finalizing determinations.
What this means for shippers
If your suppliers are in the 54 economies found fully deficient or 6 found partially deficient, you face imminent additional duty exposure of 10–12.5% across most product categories, effective upon USTR finalization. Audit your sourcing geography now; if concentration in affected economies is high, file comments during the public-comment window (USTR will announce deadlines) or lobby for Annex A exceptions. Textile and apparel importers should monitor the finalized volume thresholds for the reduced-rate mechanism. Check your landed cost under proposed Section 301 duties.
