Nigeria has been named among dozens of countries that could face new trade restrictions from the United States over concerns related to the importation of goods allegedly produced through forced labour.
The proposed action was announced by the Office of the United States Trade Representative (USTR) following the conclusion of a Section 301 investigation.
According to PM News, the agency said several countries had either failed to prohibit such imports or had not effectively enforced existing measures designed to prevent them.
According to the USTR, Nigeria is among 54 economies accused of lacking adequate laws or enforcement mechanisms to stop the entry of products linked to forced labour into their markets.
Other countries listed include Algeria, Egypt, Morocco, South Africa, China, India, Vietnam, Brazil and the United Kingdom.
The agency argued that inadequate action against forced labour creates unfair trading conditions by allowing lower production costs and distorting competition in international markets.
New measures could increase tariff costs for exports entering the American market from affected countries.
In a statement, US Trade Representative Jamieson Greer said: “The failure of our most important trading partners to address the importation of goods made with forced labour is unacceptable.” He added: “We will no longer tolerate this disparity.”
How could the new tariffs affect trade?
Under the proposal, countries found to be non-compliant could face additional duties ranging from 10 per cent to 12.5 per cent, depending on the level of compliance identified by US authorities.
The new charges would be added to an existing baseline tariff of 10 per cent. For Nigeria, this could potentially raise the total tariff burden on exports to the American market to as much as 27.5 per cent if the proposal is implemented. The proposed penalties have not yet been implemented. The USTR said the plan remains subject to a public consultation process before any final decision is made. The agency also identified six economies, including Canada, Mexico and the European Union, as jurisdictions that have legal frameworks addressing forced labour concerns but have allegedly failed to enforce them effectively.
