U.S. Imposes 10% Tariffs on India and 16 Other Nations Over Forced-Labour Concerns

On July 24, 2026, U.S. Trade Representative Jamieson Greer announced that the United States is imposing a 10 percent tariff on goods imported from India and 16 other economies under Section 301 of the Trade Act of 1974. The measure covers 17 countries, including Canada, the United Kingdom, Bangladesh and Pakistan, and takes effect a day before the expiration of a temporary 10 percent levy that was scheduled to end on that same date.

The Hindu

The tariffs address U.S. concerns that forced labour is used in the production of certain imports, a practice the administration describes as both a human-rights abuse and a distortion of trade. The Trump administration launched investigations after the Supreme Court in February ruled that earlier “reciprocal tariffs” using emergency powers were unlawful. On June 14, India amended its foreign trade policy to prohibit the import of goods produced with forced labour, a step cited by the United States in its justification.

The Hindu

India is the United States’ second-largest trading partner, with bilateral goods trade valued at nearly $141 billion in 2025, according to Commerce Department data. Of that total, Indian exports to the United States were $87.3 billion. The new 10 percent tariff will raise the cost of Indian-origin goods subject to the measure, potentially affecting a substantial share of that trade volume.

The Hindu

In a statement, Greer said the action is intended to correct forced-labour abuses and improve worker welfare worldwide. The USTR noted that the tariffs are being applied at President Donald Trump’s direction after India’s policy change. India has contested the USTR investigations, arguing that the issues should be addressed within the ongoing bilateral trade agreement negotiations.

The Hindu