Story perspectives

USTR Sets 12.5% Forced-Labor Tariffs on 60 Nations

7/25/2026

Summary

Story summary

U.S. Trade Representative Jamieson Greer announced forced-labor tariffs on 60 countries effective July 24 2026.
Duties are 12.5 % on 38 nations—including China—and 10 % on 22 nations—including Canada, replacing the expired 10 % duty under Section 301.
Exemptions cover steel, aluminum, automobiles and all U.S.–Mexico–Canada Agreement goods.
Brazil, Australia and the European Commission called the tariffs “unjustified,” echoed by Committee for a Responsible Federal Budget, which says they could raise nearly $1 trillion in ten years.

History

Historical Context

In 1994 the United States, Canada and Mexico launched NAFTA, instantly removing tariffs on over half of Mexico’s exports to the U.S. and creating one of the world’s largest free-trade blocs. After NAFTA was replaced by the USMCA in July 2020, the USTR under Jamieson Greer invoked the original exemption framework to levy 12.5 % duties on China and 10 % on Canada, echoing the historic tariff-free model.

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Story summary

U.S. Trade Representative Jamieson Greer announced forced-labor tariffs on 60 countries effective July 24 2026.
Duties are 12.5 % on 38 nations—including China—and 10 % on 22 nations—including Canada, replacing the expired 10 % duty under Section 301.
Exemptions cover steel, aluminum, automobiles and all U.S.–Mexico–Canada Agreement goods.
Brazil, Australia and the European Commission called the tariffs “unjustified,” echoed by Committee for a Responsible Federal Budget, which says they could raise nearly $1 trillion in ten years.

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