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US proposes new tariffs on Pakistan, 59 economies

The United States Trade Representative has proposed new duties of up to 12.5% on imports from 60 economies, including Pakistan and India, citing inadequate enforcement of measures against forced labour.

Irfan Shaikh by Irfan Shaikh
June 3, 2026
US proposes new tariffs on Pakistan, 59 economies
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The United States Trade Representative (USTR) has proposed new tariffs on imports from 60 economies, including Pakistan and India. US officials say the move targets countries that have failed to effectively prevent the import of goods made with forced labour.

The proposed duties range from 10% to 12.5%. The USTR will review public feedback before making a final decision.

Investigation targets major trading partners

The proposal follows investigations into several key US trading partners. These include China, the European Union, Japan, India, Vietnam, Taiwan and the United Kingdom.

US authorities examined whether these economies had taken meaningful steps to stop imports linked to forced labour. Officials also assessed the impact of such imports on American businesses and workers.

According to the USTR, 54 economies failed to establish and enforce adequate bans on goods produced with forced labour.

Pakistan among countries facing 10% duties

The USTR said Pakistan, Canada, Ecuador, the European Union, Indonesia, Mexico, Argentina, Bangladesh, Cambodia, El Salvador, Guatemala, Malaysia, Taiwan and the United Kingdom could face tariffs of 10%.

The agency plans to impose higher duties of 12.5% on the remaining 45 economies covered by the investigation.

US Trade Representative Jamieson Greer said trading partners must take stronger action against forced labour practices.

“The failure of our most important trading partners to address the importation of goods made with forced labour is unacceptable,” Greer said.

He added that the US wants to create fairer competition for American workers and businesses.

Several products will remain exempt

The proposal includes exemptions for selected products. Beef, coffee and certain fruits and nuts will not face the new duties.

The US will also exempt goods from Canada and Mexico that comply with North American trade rules. Some textile and apparel products will remain duty-free as well.

Public consultation opens before final decision

The USTR has invited businesses, industry groups and members of the public to submit comments by July 6. The agency will also hold public hearings before issuing a final ruling.

The announcement comes ahead of the July 24 expiry of a temporary 10% tariff introduced by President Donald Trump’s administration. The measure followed a Supreme Court ruling that struck down tariffs imposed under the International Emergency Economic Powers Act.

Tags: economyForcedLabourglobaltradePAKISTANTariffsTradePolicyTrumpUSTrade
Irfan Shaikh

Irfan Shaikh

Irfan Shaikh is the Editor and Publisher of Daily The AZB, covering business, economy, technology, corporate affairs and current affairs in Pakistan.

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