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Tue, Aug 4 2026 — 22:25 UTC telegram ↗ Join the wire

US Trade Partners Push Back Against New Forced Labor Tariffs

Australia, Japan, New Zealand and European nations rejected Washington’s latest Section 301 tariffs on goods from more than 80 countries, questioning the evidence behind forced labor allegations and warning of further strain on global trade.

Governments across the world pushed back on Friday against the latest round of tariffs imposed by the Trump administration, which targeted more than 80 countries with levies of 10 to 12.5 percent on goods under Section 301 of the Trade Act of 1974. Washington justified the measures by alleging that targeted nations failed to adequately restrict imports made with forced labor.

Australian Trade Minister Don Farrell rejected any suggestion that Australia, a major exporter of beef, gold and copper, was linked to forced labor practices. “We believe that amongst all of the countries in the world, Australia does take the issue of slavery, modern slavery, seriously, and will continue to do that,” Farrell told reporters in Adelaide, adding that Canberra will “continue to lobby the United States” to remove the tariffs.

New Zealand Prime Minister Christopher Luxon described the new duties as “extremely disappointing to see,” saying in a social media post that the US investigation “did not provide meaningful evidence to support claims in relation to forced labour.”

The latest measures arrived as a separate 10 percent global tariff on a broad range of imports expired at midnight Thursday, prompting accusations that the administration was again stretching the legal limits of US trade law. Trump has aggressively pursued tariffs as a centerpiece of his economic strategy, arguing they will revive domestic manufacturing and correct what he describes as unbalanced trade relationships. However, the approach has faced repeated legal setbacks, including the Supreme Court’s ruling that his earlier reciprocal tariffs were unconstitutional.

Japan’s Chief Cabinet Secretary Minoru Kihara objected to the administration’s claims directly. “It is regrettable that tariffs have been imposed on the grounds that Japan does not have a system prohibiting the import of forced labour products, even though Japanese industry and trade operate in accordance with international norms,” he said at a news conference. Kihara nonetheless confirmed that Tokyo had secured assurances from Washington that total tariffs on Japanese goods would not exceed the 15 percent ceiling established in last year’s US-Japan trade agreement.

A British government spokesman said the new policy would have “no negative change” on UK exports, noting that previous US-UK trade agreements exempt several industries from further tariffs. “We take forced labour very seriously to ensure that in global supply chains UK businesses are not complicit,” the spokesman said, adding that the US had “recognised the steps the UK is taking, which is why there are no additional tariffs for the UK under this announcement.”

The European Commission responded with cautious optimism, stating that the new policy appeared consistent with the EU-US trade agreement reached last year. “The EU notes positively the fact that this outcome is in line with the US tariff commitments agreed under the EU-US Joint Statement,” a Commission spokesperson said.

The tariffs represent the latest escalation in Trump’s trade strategy, which has simultaneously targeted both adversaries and long-standing allies. The administration’s use of Section 301, a trade law historically deployed against individual countries for specific unfair trade practices, represents a significant expansion of the statute’s scope. Trade experts noted that the broad application of forced labor allegations to more than 80 countries simultaneously is without modern precedent and could face legal challenges similar to those that overturned the earlier reciprocal tariff regime.

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