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US Imposes 10% Tariff on Pakistan Over Forced Labour Enforcement Concerns

by Web Desk
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Pakistan Among 18 Countries Facing New Duties

The United States has imposed a 10% tariff on goods imported from Pakistan as part of a new trade action targeting 60 trading partners over what the Trump administration says is inadequate enforcement of forced labour import bans .

Pakistan is among 18 countries assigned the 10% tariff rate, alongside India, Bangladesh, Canada, Britain, Malaysia, Mexico, Indonesia, Jordan, Sri Lanka, and several Latin American nations . The tariffs cover 99.4% of all US imports, although categories including oil and gas, fertiliser, certain food items, aircraft, critical minerals, and products already subject to national security tariffs are exempt .

Legal Basis and Timing

The new duties, introduced under Section 301 of the Trade Act of 1974, took effect on July 24, replacing a temporary 10% global tariff that expired after 150 days . The administration chose this legal mechanism after the US Supreme Court struck down Trump’s earlier “reciprocal” tariffs in February, as Section 301 has previously survived court challenges and is viewed as less legally vulnerable .

US Trade Representative Jamieson Greer stated that “the United States has had a forced labor import ban for nearly a century, and rigorously enforces it. It’s well past time for our trading partners to do the same” .

Impact and Response

The announcement has drawn criticism from several trading partners, with the European Union, Australia, Brazil, and Norway describing the tariffs as unjustified . Canada said it would continue engaging with Washington over the issue .

For Pakistan, the decision follows intensive diplomatic engagement in Washington this week. Finance Minister Muhammad Aurangzeb held talks with US officials on trade and investment, but sources said the newly announced tariffs could not be avoided because they apply to a broad group of countries rather than targeting Pakistan alone . The textile and apparel sector, a significant portion of Pakistan’s exports to the US, is expected to be particularly affected .

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