US slaps fresh tariffs on China, over 50 other economies in latest wave

The United States imposed late on Thursday a fresh wave of tariffs against 60 economies, including China, Japan, South Korea, India and European Union member states, hours before a temporary 10 per cent blanket levy was due to expire. The tariffs, ranging from 10 to 12.5 per cent, are the outcome of a Section 301 investigation into forced labour, with Washington arguing that existing measures have failed to keep goods produced with forced labour out of supply chains. “Today’s action will begin to correct what is both a human rights abuse and distortive trade practice to improve the welfare of workers everywhere,” US Trade Representative Jamieson Greer said in a statement. China faces a 12.5 per cent tariff rate, while Japan, South Korea, Switzerland and the European Union are subject to tariffs ranging from 10 per cent to 12.5 per cent. Countries like Canada, Mexico, India, Indonesia and the United Kingdom face 10 per cent tariffs on top of their other US import levies. Experts say the forced labour allegations are a pretext for imposing tariffs as part of US President Donald Trump’s broader America-first trade agenda. Another Section 301 investigation under the 1974 Trade Act is ongoing, focused on excess industrial capacity in 16 economies, including mainland China, Taiwan, India, Japan, South Korea, Mexico, the European Union and several Southeast Asian countries. “Our trading partners will be disappointed with these results, but retaliation is not expected,” said Wendy Cutler, senior vice-president at the Asia Society and a former senior USTR official. “They will continue efforts, however, to reduce their dependence on the US market by forging trade deals among themselves without US participation.” Thursday’s move represents one of the most sweeping tariff actions since “Liberation Day” in April 2025, when Trump’s administration unveiled global tariffs targeting nearly every US trading partner, sparking market panic. This time around, the new levies are unlikely to trigger a similar reaction, with the caveat that Trump’s repeated declarations and climbdowns have lost some of their shock value. The USTR announcement comes after months of relative quiet and welcome respite for industries, marking a return to Trump’s favoured playbook. “It’s the uncertainty, not the rate, that’s the real cost,” said Ashley Kalyn, an international trade consultant with consultancy Peacock Tariff Consulting. “Every time one legal authority gets struck down, the administration pivots to another.” The administration has used the forced breather to hone workarounds that would let the self-described “tariff man” once again wield import taxes at will, analysts said, allowing him to maximise leverage and retribution unencumbered by investigations or vetting. The search for new tools became necessary after the US Supreme Court ruled Trump’s expansive levies under the International Emergency Economic Powers Act (IEEPA) unconstitutional in February. Thursday’s notification came hours before a sweeping 10 per cent tariff imposed under Section 122 – a levy introduced in February following the court’s ruling – was set to expire. There has been a growing list of trade measures announced in recent days, including new charges that target imports from Brazil and Canada. The administration imposed 25 per cent tariffs on roughly one-third of Brazilian imports, which took effect on Wednesday following a Section 301 investigation into alleged unfair trade practices. Brazil was targeted with tariffs even though Washington has maintained a long-standing trade surplus with the country. According to USTR figures, the US recorded a US$14.4 billion goods trade surplus with Brazil in 2025, up 112.8 per cent from 2024. In a separate move on Monday, underscoring his bid to bypass restrictions or precedent, Trump invoked Section 338 of the Tariff Act of 1930 to impose 50 per cent tariffs on a range of Canadian goods within 30 days, justified on the basis of Ottawa’s alleged “trade discrimination” against multiple US industries. The obscure 1930 trade enforcement provision, passed at the height of Depression-era protectionism, has never been used before and, in theory, gives Trump broader, faster and less restricted authority to levy tariffs than almost any other trade statute on the books. The Chinese Foreign Ministry on Friday pushed back against the latest US tariff measures. “We oppose all forms of unilateral tariffs,” said spokeman Lin Jian. “Tariff wars and trade wars serve no one’s interests.” However, people familiar with the matter told the South China Morning Post that the additional tariffs were unlikely to disrupt negotiations or derail President Xi Jinping’s expected visit to the US in September. China currently faces an effective tariff rate of just over 20 per cent, reflecting the temporary trade truce reached in November 2025, and the impact of the US Supreme Court’s ruling. Washington is now seeking to reinstate the import levies struck down by the court through a combined tariff of around 20 to 25 per cent under its Section 301 investigations. The tariffs announced on Thursday represent one component of that broader package. The latest tariffs were announced a day after Chinese Foreign Minister Wang Yi met US Secretary of State Marco Rubio on the sidelines of the Association of Southeast Asian Nations foreign ministers’ gathering in Manila. After the talks, Rubio confirmed that discussions included the implementation of newly created trade and investment boards, adding that both sides were working to make them operational. “I think that’s one of the potential concrete deliverables that we can have before September when that visit happens,” Rubio said. The board of trade was a key outcome of Trump’s visit to China in May, with both sides agreeing to establish a tariff-free mechanism that would cover up to US$30 billion in non-sensitive goods from each country. Meanwhile, those on the front lines are bracing for more uncertainty and upheaval. “Companies can price around a known number,” said Kalyn. “They can’t plan around a rate that’s flipped four times in five months. “Cash gets over-reserved, capital projects get delayed, and a lot of the manufacturing investment we hear about on paper still isn’t breaking ground.” There are some industries that are reviving domestic manufacturing, including semiconductors, pharmaceuticals and steel, in line with Trump’s vision of a blue collar renaissance, she said. But overall factory employment has fallen by 72,000 jobs since Liberation Day. “USTR has Section 301 investigations that could bring in a new tariff right behind it, so nobody’s celebrating,” Kalyn added. “Smaller importers mostly can’t afford to reshore, so they’re diversifying suppliers and stockpiling instead of relocating.”

US slaps fresh tariffs on China, over 50 other economies in latest wave

.css-1c6uqr6{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;overflow-wrap:break-word;}‘Forced labour’ duties replace Trump administration’s original sweeping levies but are unlikely to generate the same level of global shock

‘Forced labour’ duties replace Trump administration’s original sweeping levies but are unlikely to generate the same level of global shock