U.S. hits 60 economies with forced-labor tariffs under Section 301

According to CNBC, the U.S. Trade Representative imposed tariffs on 60 economies under Section 301 of the Trade Act of 1974, with rates of 10% for partners that have adopted or committed to import prohibitions and 12.5% for those that have not. The duties cover the top 60 U.S. trade partners and 99.4% of American imports, replacing a temporary 10% global tariff under Section 122 that expires July 24. Australia, Brazil, Chile, Canada and New Zealand rejected Washington's forced-labor rationale, but most said they would keep negotiating rather than retaliate. Australian Trade Minister Don Farrell said the tariffs were unjustified and should be removed, while Brazil called them arbitrary and unjustified and said it remained open to talks. Chile said the measure was inconsistent with its labor standards and said it would seek exclusions for key exports. Canada, in the lower 10% tier with an exemption for USMCA-compliant goods, said the move was not unexpected and that it would continue engaging constructively. New Zealand said it disagreed with the investigation's findings, and no major partner has announced countermeasures.