US Imposes New 'Forced Labour' Tariffs on 60 Nations, Botswana Unaffected

Washington has launched a fresh wave of tariffs targeting 60 trading partners, citing insufficient action against forced labour in global supply chains. The move, effective immediately, replaces a temporary tariff regime that expired at midnight Friday. Botswana is not on the list, but the policy signals a hardening of US trade enforcement that could reshape global commerce.

What the New Tariffs Mean for Global Trade

The United States will apply tariffs of 10 to 12.5 per cent on imports from 60 countries, covering 99 per cent of all US imports. The administration of President Donald Trump argues these measures are necessary to combat forced labour, which the International Labour Organization estimates affected 27.6 million people worldwide in 2021.

Rights groups broadly support such import bans as a tool against exploitation, though some caution that countries need time to build effective enforcement systems. The US Trade Representative's office has also opened a separate inquiry into whether 16 countries, representing 70 per cent of US imports, have flooded markets with cheap goods.

Which Countries Are Affected

The tariffs apply at different rates. Seventeen economies, including India, Canada, Mexico, and the United Kingdom, face a 10 per cent rate. A higher 10 to 12.5 per cent rate applies to the European Union, Taiwan, Japan, South Korea, and Switzerland. Brazil and Chile face the full 12.5 per cent rate.

India's rate was reduced from 12.5 to 10 per cent after it tightened its forced labour rules since the tariffs were first proposed last month, a senior US administration official told the Associated Press.

Why Botswana Is Not on the List

Botswana's absence from the tariff list is notable. The country's strong labour protections and relatively small export volume to the US likely explain its exclusion. However, the broader trend toward trade enforcement should concern all nations. When major economies like the US use trade policy to enforce labour standards, it sets a precedent that could eventually reach smaller trading partners.

The Legal Basis and Political Pushback

The tariffs are imposed under Section 301 of the Trade Act of 1974, a law that allows the president to act against countries using unfair trade practices. This legal route is seen as more durable than the temporary 10 per cent worldwide tariffs it replaces, which were imposed under a different law that only allows such measures for 150 days.

USTR chief Jamieson Greer defended the policy, saying 'it's well past time for our trading partners to do the same,' pointing to the US's own long-standing forced labour import ban. But Democratic Representative Richard Neal pushed back, arguing the forced labour justification was being used as cover for a tariff plan built on shaky legal ground.

How Brazil and Chile Have Responded

Brazil, facing a 12.5 per cent rate, called the move unfair and said it would consider retaliatory tariffs and take its case to the World Trade Organization. Chile, also facing 12.5 per cent, said its labour protections were already strong and that the US measure did not match its own standards.

What Products Are Exempt

Oil, gas, and fertiliser are not covered by the new tariffs. Goods that already qualify for duty-free treatment under the US-Mexico-Canada Agreement are also spared.

What This Means for Botswana

For now, Botswana's exports to the US remain unaffected. But the broader message is clear: global trade is becoming more politicised, and labour standards are increasingly used as a tool of economic policy. Botswana should continue strengthening its own labour enforcement to avoid future scrutiny, while also watching how this affects regional trade partners like South Africa, which may face similar pressures.

Analysts say more Section 301 tariffs are likely to follow, meaning this is not a one-off action but a shift in US trade policy that will have lasting consequences.