The Trump administration has proposed new US tariffs on Pakistan and 59 other economies, citing concerns over the import and trade of goods allegedly linked to forced labour. The proposed measures could impose additional duties of up to 12.5% on selected imports entering the United States.
According to the Office of the United States Trade Representative (USTR), Pakistan is among a group of countries facing a proposed 10% tariff. Other economies included in the same category are Canada, the European Union, the United Kingdom, Mexico, Indonesia, Malaysia, Bangladesh, and Taiwan.
The proposal emerged from a Section 301 investigation into what Washington describes as unfair trade practices. US officials argue that insufficient action by trading partners to prevent forced labour in supply chains creates an uneven competitive environment for American businesses and workers.
Under the proposed framework, countries that have introduced partial measures or action plans would face a 10% tariff, while another group of 45 economies, including China and India, could be subject to tariffs of 12.5%. The US tariffs on Pakistan remain proposals and have not yet been finalized.
The USTR has opened a public consultation period that will continue until July 6, with a formal hearing scheduled for July 7. Feedback from governments, businesses, and other stakeholders will be considered before a final decision is announced.
Several countries have criticized the proposal. European officials described the findings as unjustified and pointed to existing legislation designed to prevent goods produced through forced labour from entering their markets. China also rejected the allegations and opposed additional tariffs.
For Pakistan, the proposed US tariffs on Pakistan could have implications for exports if implemented. However, the review process remains ongoing, and exemptions have already been proposed for several categories, including pharmaceuticals, aircraft parts, energy products, rare earth materials, and certain agricultural goods. The final outcome is expected to become clearer after the consultation process concludes.
