US to impose 10–12.5% tariffs on 60 partners Friday
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- The US Trade Representative announced new tariffs of 10% or 12.5% on 60 trading partners set to take effect Friday, replacing a temporary 10% global tariff imposed in February after the Supreme Court struck down Trump's sweeping "reciprocal" duties.
- Jamieson Greer said decades of moral suasion have failed to eradicate forced labor from global supply chains, framing the move as enforcement of a US import ban that has existed for nearly a century.
- The 60 targeted partners—including Australia, Indonesia, the Philippines, Switzerland, Taiwan, and Thailand—account for about 99% of US imports, with rates calibrated to the seriousness of forced-labor allegations assessed by the administration.
- About 20 partners, including Britain, Indonesia, Malaysia, and Mexico, will face the lower 10% rate because the administration credits them with stronger legal steps against forced-labor imports.
- China will receive no preferential treatment, meaning its 12.5% tariff stacks on top of existing import taxes; Japan and South Korea also face the higher 12.5% rate but receive exemptions for items already taxed at 12.5% or higher.
- The expired tariff was authorized under Section 122 of the Trade Act of 1974, which caps presidential import taxes at 15% for 150 days, while the administration is exploring Section 301—a favorite first-term tool against Beijing—for more durable country-by-country duties.
- Sector-specific duties on national-security grounds, including automobiles and steel, remain unaffected by the new measure, and the administration is simultaneously probing excess industrial capacity in 16 economies including China, India, Japan, Vietnam, and the EU.
Why it matters: Roughly 60 trading partners covering 99% of US imports now face new forced-labor tariffs just as the Section 122 legal authority expires, pushing the administration toward Section 301 country-by-country duties—a framework previously used to justify higher levies on China. China draws the toughest treatment with no preferential rate, while key Asian allies Japan and South Korea get carve-outs for already-tariffed goods.
