Trump plans broad new tariffs under trade law

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1–2 minutes

Summary

Trump administration outlined tariffs of 10% to 12.5% on dozens of countries under a forced labor trade investigation.

Why this matters

The proposed tariffs could affect prices, supply chains, and trade relations with major U.S. partners, including the European Union, China, Japan, and South Korea. The moves also signal how the administration plans to replace temporary tariffs that expire in late July.

The Trump administration said Tuesday it planned new tariffs on imports from much of the world under Section 301 of the Trade Act of 1974, part of a broader effort to replace tariffs imposed in 2025 that the Supreme Court struck down in February.

In a release Tuesday evening, the U.S. trade representative said 59 countries and the 27 member states of the European Union had failed to counteract goods made with forced labor and that the practice “burdens or restricts U.S. commerce” and could warrant action later this summer.

The proposal recommended a 10% duty for 14 countries and the entire EU. Another 45 countries, including China, Japan, and South Korea, were set for a 12.5% rate.

On Monday, the administration announced a 25% tariff on Brazil under the same authority.

The announcements signaled the start of a planned shift to more permanent tariffs. In February, Trump’s team imposed a temporary 10% global tariff under Section 122 of the Trade Act of 1974, but that authority expires in late July.

Other Section 301 investigations were also underway, including one on excess structural capacity involving several major trading partners and another focused on Vietnam. Both were scheduled to conclude in the coming weeks.

The forced labor report ran 98 pages and was based on 60 investigations.

Tuesday’s announcement included exceptions. It proposed “a textile mechanism” that would allow some apparel imports to face a lower rate. Exempted sectors also included energy and rare earth minerals, some food products such as beef and coffee, and aircraft parts.

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