US signals fresh 10% to 12.5% tariffs on dozens of countries 'soon,' says Jamieson Greer
US Trade Envoy Jamieson Greer announced that new tariffs on multiple countries will be implemented soon, as President Trump's temporary global levy is set to expire. He highlighted the lack of enforcement on forced labor laws in many nations.
US Trade Representative Jamieson Greer on Tuesday said that new tariff measures targeting dozens of countries could be announced soon, as President Donald Trump's temporary global tariff regime is set to expire later this week.
"The US has laws to prohibit trading goods with forced labour. Other countries, most don't have a law; those that do don't really enforce it," he told CNBC. “We expect to see some action soon.” However, he could not specify a timeline.
He further said that the new action will cover the vast majority of US trade. The comments come as the Trump administration recently proposed a wave of new tariffs of 10% to 12.5% on goods from countries over alleged failures to act against forced labour.
Quick answers to key questions
The US plans to impose new tariffs of 10% to 12.5% on imports from dozens of countries due to alleged failures to act against forced labour, as indicated by US Trade Representative Jamieson Greer.
The US is initiating new tariffs to address issues related to forced labour practices in the supply chains of various countries, emphasizing a commitment to prevent trade with entities involved in such practices.
The new tariffs could reignite tensions with trading partners, including China and India, particularly as they have previously been critical of US trade policies, potentially leading to retaliatory measures.
Yes, businesses should prepare for potential changes in tariffs, as the new actions could significantly impact import costs and trade strategies in a matter of days.
Section 301 of the Trade Act of 1974 allows the US to impose tariffs in response to unfair trade practices; it is the legal framework under which the upcoming tariffs on goods from multiple countries are being proposed.
The clock is ticking on President Donald Trump's temporary 10% global tariff, introduced in February under Section 122 of the Trade Act of 1974 after the Supreme Court invalidated his broader "Liberation Day" tariff policy. The measure is scheduled to lapse at 12:01 a.m. ET on Friday unless Congress acts to extend it—a move widely seen as unlikely. Even so, the Trump administration has already begun laying the groundwork to preserve its broader tariff strategy through new trade actions.
In early June, the Office of the US Trade Representative proposed more tariffs of up to 12.5% on imports from 60 economies. The new duties, brought under another section of the 1974 trade law, Section 301, would be imposed in response to alleged forced labour.
Tensions with trading partners
Meanwhile, the moves could reignite tensions with trading partners, including the European Union, China, Taiwan, Vietnam and Japan.
The move also comes as Washington last week announced a 25% tariff on various Brazilian products, while setting a 50% duty on many Canadian goods.
Behind the scenes, senior officials have been counselling the president to maintain stability with trading partners and honour the deals that Washington struck with them to reduce their tariffs in 2025, according to two people familiar with the matter told Financial Times
Trump’s attempt to renew his trade war comes at a time of escalating hostility between the US and Iran, which has roiled global energy markets and risks broadening into a regional conflict.
The war has inflicted economic pain on ordinary Americans, pushing petrol prices back to above $4 per gallon this week and risking inflaming voter frustration over the high cost of living.
(With inputs from CNBC, FT and agencies)
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