Washington, D.C. — US President Donald Trump on Thursday imposed fresh tariffs on imports from 60 economies over concerns related to forced labour practices, with India among 17 economies that will face a lower 10% tariff instead of the proposed 12.5% duty, according to the Office of the US Trade Representative (USTR).
Tariff Implementation Details
The new tariffs, imposed under Section 301 of the Trade Act of 1974, took effect at 12:01 am EDT on Friday, replacing the temporary 10% blanket tariff that expires at the same time, per USTR. Goods already in transit before the deadline will remain exempt until July 28, 2026.
Of the 60 economies covered by the action, 17 will face a 10% tariff, while the remaining 43 economies will be subject to a 12.5% levy. The full list of affected economies is shown in the table below:
| Country / Economy | Tariff Rate |
|---|---|
| Algeria | 12.5% |
| Angola | 12.5% |
| Argentina | 10% |
| Australia | 12.5% |
| The Bahamas | 12.5% |
| Bahrain | 12.5% |
| Bangladesh | 10% |
| Brazil | 12.5% |
| Cambodia | 10% |
| Canada | 10% |
| Chile | 12.5% |
| China, People’s Republic of | 12.5% |
| Colombia | 12.5% |
| Costa Rica | 12.5% |
| Dominican Republic | 12.5% |
| Ecuador | 10% |
| Egypt | 12.5% |
| El Salvador | 10% |
| European Union | 12.5% |
| Guatemala | 10% |
| Guyana | 12.5% |
| Honduras | 10% |
| Hong Kong, China | 12.5% |
| India | 10% |
| Indonesia | 10% |
| Iraq | 12.5% |
| Israel | 12.5% |
| Japan | 12.5% |
| Jordan | 10% |
| Kazakhstan | 12.5% |
| Kuwait | 12.5% |
| Libya | 12.5% |
| Malaysia | 10% |
| Mexico | 10% |
| Morocco | 12.5% |
| New Zealand | 12.5% |
| Nicaragua | 12.5% |
| Nigeria | 12.5% |
| Norway | 12.5% |
| Oman | 12.5% |
| Pakistan | 10% |
| Peru | 12.5% |
| Philippines | 12.5% |
| Qatar | 12.5% |
| Russia | 12.5% |
| Saudi Arabia | 12.5% |
| Singapore | 12.5% |
| South Africa | 12.5% |
| South Korea | 12.5% |
| Sri Lanka | 10% |
| Switzerland | 12.5% |
| Taiwan | 12.5% |
| Thailand | 12.5% |
| Trinidad and Tobago | 10% |
| Türkiye | 12.5% |
| United Arab Emirates | 12.5% |
| United Kingdom | 10% |
| Uruguay | 12.5% |
| Venezuela | 12.5% |
| Vietnam | 12.5% |
India’s Lower Duty
According to US officials, India qualified for the lower tariff after recent policy changes addressing imports made with forced labour. A US official told ANI that India had originally been slated for a 12.5% tariff, but following discussions on labour practices and New Delhi's policy changes, it was placed in the 10% category.
"India qualified for the lower tariff after recent policy changes addressing imports made with forced labour," a US official stated, as reported by ANI.
Background of the Action
The action follows investigations launched by the USTR on March 12, 2026, under Section 301 of the Trade Act to determine whether 60 economies had failed to prohibit or effectively enforce bans on imports made using forced labour. Section 301 allows the US government to investigate foreign trade practices and impose tariffs or other penalties if it determines they unfairly burden or restrict American commerce.
Implications for Trade Professionals
Importers and exporters trading with any of the 60 listed economies must immediately assess the applicable tariff rate and ensure compliance with the new duties. Goods already in transit before the July 24, 2026, effective date are exempt until July 28, providing a short window to adjust supply chains. Customs brokers should verify the correct tariff classification and ensure all documentation reflects the new Section 301 duty rates. Trade policy analysts should monitor further USTR announcements on forced labour enforcement, as additional economies or products could be targeted.
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