Trump Tariffs 2.0 Kick Off Today: US Slaps 10% Tariff on India Under Section 301 Forced Labor Action
U.S. President Donald Trump directed USTR to implement Section 301 tariffs on 60 economies over forced labor enforcement, taking effect July 24, 2026.
India secured a 10% tariff rate after updating its Foreign Trade Policy on June 14 to explicitly prohibit imports made through forced labor, avoiding a proposed 12.5% rate.
Seventeen economies including India, Canada, the United Kingdom, Mexico, Bangladesh, and Pakistan are in the lower 10% bracket; 43 others face 12.5%.
The tariffs exempt critical raw materials with domestic supply shortages and items that would cause macroeconomic shocks.
Bilateral trade between the U.S. and India stands near $141 billion, with ongoing negotiations for a comprehensive trade framework.
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