The United States Trade Representative (USTR) has published notice of its intent to impose additional duties on products from 60 countries, stemming from its investigation under Section 301 of the Trade Act of 1974 related to forced labor. (91 FR 34272).
The USTR initiated the investigation under Section 301 on March 12, 2026, regarding the acts, policies, and practices of 60 countries related to the failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labor. The USTR has determined that all 60 countries investigated are actionable under Section 301. As a result, the USTR has proposed the following ad valorem duties on all products of the investigated countries, unless the product is otherwise exempted (see below for proposed exemptions):
- 10 percent duty for products of the following fourteen countries: Argentina; Bangladesh; Cambodia; Canada; Ecuador; El Salvador; the European Union; Guatemala; Indonesia; Malaysia; Mexico; Pakistan; Taiwan; and the United Kingdom.
- 12.5 percent duty for products of all other countries subject to this investigation: Algeria; Angola; Australia; The Bahamas; Bahrain; Brazil; Chile; People’s Republic of China; Colombia; Costa Rica; Dominican Republic; Egypt; Guyana; Honduras; Hong Kong, China; India; Iraq; Israel; Japan; Jordan; Kazakhstan; Kuwait; Libya; Morocco; New Zealand; Nicaragua; Nigeria; Norway; Oman; Peru; Philippines; Qatar; Russia; Saudi Arabia; Singapore; South Africa; South Korea; Sri Lanka; Switzerland; Thailand; Trinidad and Tobago; Türkiye; United Arab Emirates; Uruguay; Venezuela; and Vietnam.
The following are currently exempt from the additional duties proposed under this investigation, but are subject to modification:
- Goods provided in Annex A of the USTR Notice, notably:
- raw materials that if subject to the proposed additional tariffs could lead to the unavailability of domestic supply;
- products that could cause economy-wide disruptions if subject to the proposed additional tariffs; and
- certain products that cannot be grown or produced in sufficient quantities in the United States or obtained from other sources.
- All articles and parts currently subject to Section 232 tariffs.
- Informational Materials.
- Donations.
- Accompanied Baggage.
- USMCA-compliant goods of Canada or Mexico.
- Textiles and apparel articles that enter duty-free as a good of Costa Rica, the Dominican Republic, El Salvador, Guatemala, Honduras, or Nicaragua under CAFTA-DR.
The USTR is soliciting comments pertaining to the following:
- The specific products to be subject to increased duties, including whether products should be retained or removed from the scope of the action, or whether products currently listed in Annex A should be added to the scope of the action.
- Whether products listed in Annex A are appropriately excluded.
- The level of the increase, if any, in the rate of duty.
- Whether different tariff rates should be applied to a country that has made a commitment to the United States to impose and enforce a forced labor import prohibition; has imposed a forced labor import prohibition; or has imposed a partial regime with the effect of preventing the importation of certain forced labor goods.
- Implementation of a textile mechanism that would allow a certain volume of apparel and textile imports to enter the United States at a reduced Section 301 tariff rate, and whether a similar mechanism should apply to any other product or sector.
In commenting on the inclusion or removal of particular tariff subheadings subject to the proposed action, the USTR requests that comments address specifically whether the products under the tariff subheading are necessary raw materials that if subject to the proposed additional tariffs could lead to the unavailability of domestic supply; whether additional tariffs would cause serious dislocations in the supply of the products and could cause economy-wide disruptions, or other similar factors; and whether imposing additional tariffs on products under the tariff subheading would be practicable or effective in obtaining the elimination of the investigated acts, policies, and practices.
Key dates in the public comment process are as follows:
- June 22, 2026: Submit requests to appear at the hearings, along with a summary of the testimony, by this date.
- July 6, 2026: Deadline to submit written comments.
- July 7, 2026: Public hearings at U.S. International Trade Commission.
- Five days after the last day of the public hearings: Submit post-hearing rebuttal comments.
Clients are encouraged to evaluate the product coverage and potential impact of the proposed tariffs. Please contact one of our attorneys with any questions, and for assistance in preparing and submitting written comments or testimony to the USTR by the deadlines specified above.
Clients are reminded that the current Section 122 tariffs expire on July 24, 2026, and it is possible that the new tariffs proposed under this Section 301 investigation might be effective on or shortly after that date.
