WASHINGTON: A new US tariff of 10% on Pakistan took effect Friday as Washington imposed forced-labour-related duties on 60 trading partners, covering 99.4% of US imports.
The tariffs began at 12:01 am Eastern Daylight Time on July 24. The United States Trade Representative said rates would range from 10% to 12.5%, subject to product exemptions.
Pakistan joined Britain, India, Bangladesh, Canada, Mexico, Malaysia, Indonesia and several other economies in the 10% category. Meanwhile, the European Union, Japan, South Korea, Taiwan and Switzerland face adjusted rates. These rates produce combined tariffs of 10% or 12.5%. On the other hand, other investigated economies received the higher 12.5% duty.
US Trade Representative Jamieson Greer said the action targeted economies that had failed to introduce or effectively enforce bans on imports made with forced labour.
The duties were imposed under Section 301 of the Trade Act of 1974 after USTR conducted investigations, consultations, public hearings and reviewed thousands of public comments.
The measures replaced a temporary 10% global tariff that expired Friday. President Donald Trump introduced that levy after the US Supreme Court ruled on February 20. The court stated that the International Emergency Economic Powers Act did not authorise the president to impose tariffs.
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Exemptions include goods already covered by Section 232 national-security tariffs, informational materials, donations, accompanied baggage and selected products considered essential to the US supply.
