US Slaps 60 Nations Over Forced Labor Import Failures
Published Date: 7/28/2026
Presidential Document
Summary
No summary available.
Analyzed Economic Effects
5 provisions identified: 3 benefits, 2 costs, 0 mixed.
10% Tariff on 17 Named Economies
This July 23, 2026 memorandum directs a 10 percent ad valorem tariff on all goods of Argentina, Bangladesh, Cambodia, Canada, Ecuador, El Salvador, Guatemala, Honduras, India, Indonesia, Jordan, Malaysia, Mexico, Pakistan, Sri Lanka, the United Kingdom, and Trinidad and Tobago. The tariff applies to "all goods of the economy" for those named economies, subject to product exemptions listed in the Annex to the memorandum.
12.5% Tariff on Other Investigated Economies
For all other economies included in the investigations (i.e., the investigated economies not listed for the 10 percent rate or subject to MFN-net capping), the memorandum directs a 12.5 percent ad valorem tariff on goods of those economies. The memorandum describes this 12.5 percent duty as the applicable rate for "all other investigated economies."
MFN-Net Tariff Caps for Select Partners
For products of the European Union and Taiwan, the Trade Representative will set section 301 tariffs so that the sum of the MFN tariff plus the section 301 tariff equals 10 percent (if the product's MFN tariff is less than 10 percent) and will set a zero section 301 tariff if the MFN tariff is 10 percent or higher. For products of Japan, Korea, and Switzerland, the sum of MFN plus section 301 tariff will be 12.5 percent if the MFN tariff is less than 12.5 percent, and the section 301 tariff will be zero if the MFN tariff is 12.5 percent or higher.
Exemptions for Specific Products (Annex)
The memorandum directs exemptions from the tariffs for products listed in the Annex because they are (a) raw materials that could make domestic supply unavailable, (b) products that could cause economy-wide disruptions, (c) products not producible in sufficient quantity or price in the United States, (d) products for which tariffs would not be effective, or (e) certain products of specified economies that would encourage those economies to implement forced-labor prohibitions. The Trade Representative must modify the Harmonized Tariff Schedule of the United States (HTSUS) as provided in the Annex.
Textile/ Apparel TRQs for Four Countries
The memorandum directs the Trade Representative to establish tariff-rate quotas (TRQs), when feasible, for Bangladesh, Cambodia, Indonesia, and Malaysia with an initial duration of 3 years to allow a certain volume of specific textile and apparel (and U.S. cotton-based goods) to enter the United States free of the section 301 tariffs. The memorandum states establishing these TRQs is not feasible immediately but should be feasible by September 1, 2026, and until the TRQs are established imports of the specified textile and apparel will face the applicable section 301 tariff (10 percent).
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