Daijiworld Media Network – Washington
Washington, Jun 3: The United States has proposed fresh tariffs on imports from India and 53 other countries, accusing them of failing to effectively prevent goods produced through forced labour from entering their markets.
The proposal, announced by the Office of the United States Trade Representative (USTR), follows investigations conducted under Section 301 into the trade practices of 60 economies. The USTR concluded that 54 countries, including India, had not introduced or adequately enforced measures to block imports linked to forced labour.
Under the proposal, these countries could face an additional import duty of 12.5 per cent on goods entering the US market.
US Trade Representative Jamieson Greer said the move was aimed at addressing what Washington views as an unfair trade environment that disadvantages American workers.
He argued that the continued importation of goods allegedly produced through forced labour creates an uneven playing field and called on trading partners to strengthen enforcement measures.
India has strongly contested the allegations and urged the US administration to withdraw the investigation. New Delhi has maintained that concerns relating to forced labour should be discussed within the framework of ongoing bilateral trade negotiations rather than through unilateral tariff actions.
The proposed tariffs come at a sensitive juncture, with Indian and US officials currently engaged in discussions to finalise a bilateral trade agreement aimed at expanding economic cooperation between the two countries.
Apart from India, countries such as China, Japan, Brazil, Australia, the United Kingdom and Saudi Arabia have also been included in the list facing the proposed 12.5 per cent duty.
The USTR further noted that several economies, including Canada, Mexico, Indonesia, Pakistan and the European Union, already have restrictions on forced labour-linked imports but may face a lower additional tariff of 10 per cent due to concerns over enforcement.
In a related move, the US has proposed a special textile mechanism that would allow limited volumes of apparel and textile imports from selected countries to enter the American market at preferential tariff rates.
The USTR has invited public comments on the proposal and will hold hearings beginning July 7 before taking a final decision on the tariff measures.