US Tariffs on India: USTR Targets 60 Nations Over Forced Labour Import Rules

US Tariffs on India: The United States Trade Representative (USTR) plans to take trade action against 60 countries, including India, for failing to enforce bans on imports made with forced labour.

On Tuesday, the USTR said that, under Section 301 of the US Trade Act of 1974, the actions and policies of these 60 countries are "unreasonable and burden or restrict US commerce," and are therefore subject to US trade law.

US Tariffs on India: China, UK Also Among Countries Without Forced Labour Import Bans

Forced Labour Import Curbs: The USTR explained that these countries have not set up or enforced bans on imports made with forced labour.

The list includes Australia, Bahrain, Bangladesh, China, Japan, Kuwait, Saudi Arabia, Singapore, the United Kingdom, and the United Arab Emirates.

"The failure of our most important trading partners to address the importation of goods made with forced labour is unacceptable.

Labour Rights in Trade: This creates a situation where American workers have to compete globally on an uneven playing field," said U.S. Trade Representative Ambassador Jamieson Greer. The USTR is now proposing additional tariffs.

As a result, the USTR has proposed additional tariffs on products from these countries and is seeking public feedback.

US trade action India

The agency says countries that already have forced labour import bans, or plan to introduce them, could face a 10% tariff.

Others might face a 12.5% tariff. There is also a separate proposal for certain apparel and textile imports.

The USTR said it listened to nearly 60 witnesses and received about 500 comments during the public consultation before making its decision.

The USTR says that weak forced labour import bans make it harder to combat forced labour worldwide.

These weak bans also distort markets by enabling cheaper production, hurting businesses that avoid forced labour, and allowing some companies to get around current rules.

The EU and the US are holding trade talks at a sensitive time in their economic relationship. Both sides are working to finish the first part of a bilateral trade agreement.

USTR India: Market Access and Tariffs Dominate India-US Talks Ahead of USTR Decision

Officials from New Delhi and Washington have met several times recently to discuss key issues, including market access, tariffs, digital trade, and agriculture.

The USTR's proposed action follows months of trade tensions caused by US President Donald Trump's reciprocal tariff policy.

US Tariffs on India: India-US Trade Talks Gather Pace as Bilateral Commerce Surges Past $120 Billion

US Trade Action India: Earlier this year, India was among the countries facing possible higher tariffs, but Washington paused some measures to allow for talks.

New Delhi has reiterated its commitment to a balanced trade deal that advances mutual economic interests while preserving protections for critical domestic sectors. 

The United States, meanwhile, remains India's largest trading partner despite existing areas of contention.

Over the past few years, trade in goods between the two countries has topped $120 billion. Both governments say they hope to strengthen their economic ties even further.

The USTR will accept written comments on the proposed measures until July 6 and plans to hold public hearings on July 7 before making a final decision. 

The agency’s findings do not always lead to tariffs. However, Section 301 investigations can lead to duties, quotas, or other trade restrictions if the US administration decides to act.

India-US Trade Under Scrutiny as USTR Weighs Potential Section 301 Action

In recent years, trade in goods between the two countries has exceeded $120 billion, and both governments have often said they are committed to strengthening economic ties.

The USTR is accepting written comments on the proposed measures until July 6 and will hold public hearings on July 7 before making a final decision.

The agency's findings do not automatically mean tariffs, but Section 301 investigations can lead to duties, quotas, or other trade restrictions if the US administration decides to act.

US Trade Team In Delhi

India US Trade Relations: A team from the United States Trade Representative, led by chief negotiator Brendan Lynch, is in New Delhi for trade talks with India.

Their goal is to finalize an interim trade agreement based on the framework both countries set in February.

Darpan Jain, an additional secretary in the Department of Commerce, will lead the Indian side in the talks.

The commerce ministry says both countries are working out the details of the interim pact and are still discussing the proposed Bilateral Trade Agreement (BTA).

The agreement includes topics like market access, non-tariff barriers, customs and trade facilitation, investment promotion, and economic security cooperation.

Piyush Goyal Backs US Envoy’s Claim: India-US Trade Deal 99% Complete

US India Latest News: On Monday, Commerce and Industry Minister Piyush Goyal agreed with US Ambassador to India, Sergio Gor, on the latter’s recent statement that 99 per cent of the India-US trade deal is complete. “Mostly everything is finalized.

According to US Ambassador Gor, most of the agreement is ready, and discussions are now limited to minor points," he said.

Goyal also said it is still unclear how recent changes in US law will be reflected in the final agreement.