The United States Trade Representative's office announced Thursday that it is imposing new double-digit tariffs on more than 60 nations, including Canada. The move, which cites concerns over forced labour in supply chains, comes just hours before President Donald Trump's previous tariff measures were scheduled to expire.
Canada, Mexico, and the United Kingdom are among the countries facing a 10 per cent tariff. Other nations will see a 12.5 per cent levy. Certain products, such as oil and gas, and fertilizer, have been exempted from these new duties. Additionally, products that qualify for duty-free status under the Canada-U. S.-Mexico Agreement (CUSMA) will also be spared.
U. S. Trade Representative Jamieson Greer stated that decades of "moral suasion" had failed to eradicate forced labour from global supply chains, and that it was "well past time for our trading partners to do the same." The U. S. has maintained a forced labour import ban for nearly a century. Canada has previously indicated that its new legislation aimed at combating forced labour in supply chains should shield it from such tariffs. The Canadian government recently tabled Bill C-35, which aims to strengthen enforcement by creating a public list of products linked to forced labour in specific regions. The broader implications for Canadian businesses and the bilateral trade relationship remain to be seen as the situation develops.
