Section 301 investigation

The US imposed a 10% tariff on EU goods following a Section 301 investigation into the bloc’s enforcement of forced labor bans. The tariff replaces a temporary measure and applies a 10% rate to partners with forced labor bans, including the EU and UK, while others face 12.5%. The European Commission expressed a mixed response, with some alignment to the US-EU Turnberry agreement and criticism from EU diplomatic chief Kaja Kallas.

The United States imposed new tariffs ranging from 10 to 12.5 percent on 60 countries, including China, Japan, South Korea, India, and European Union member states, citing a Section 301 investigation into forced labor. The tariffs replace a temporary 10 percent blanket levy set to expire, as Washington claims existing measures failed to prevent goods produced with forced labor from entering supply chains.

The U.S. is imposing 25% tariffs on Brazil, effective July 22, following a Section 301 investigation into Brazilian practices on digital trade, deforestation, and other issues.

Brazil’s industry confederation, the American Chamber of Commerce for Brazil, and the U.S. Chamber of Commerce jointly urged governments to avoid a 25% U.S. tariff on Brazil. The U.S. must decide by July 15 following a Section 301 investigation, with the deadline looming six days after a July 9 letter.

A US government hearing examined China's labor practices and a proposal to impose tariffs on goods linked to forced labor. The Office of the United States Trade Representative is conducting a Section 301 investigation into forced labor in international supply chains, with participants divided on the effectiveness of higher tariffs in improving workers' rights.

The US is using a threat of additional tariffs on Indian imports, citing forced labour supply-chain concerns, as a pressure tactic in trade negotiations. The Trump administration proposed a 12.5% tariff on products from India and other countries following a Section 301 investigation.