The United States (US) has expanded its trade offensive, announcing a new round of tariffs on imports from 60 countries, including South Africa (SA), in a move that is expected to reshape global trade and further strain relations with several US partners.
The new tariffs, which take effect on Friday, replace the administration’s temporary 10% global tariff introduced earlier this year after the US Supreme Court ruled that US President Donald Trump’s previous emergency tariffs, imposed under emergency powers, were unlawful.
The White House has now turned to Section 301 of the Trade Act of 1974, arguing that the targeted countries have failed to do enough to prevent goods made with forced labour from entering global supply chains.
SA has been placed in the highest tariff tier, with a 12.5% duty on its exports to the US.
The Department of Trade, Innovation and Competition argued that it should not be subject to the new tariffs because it already had robust laws prohibiting forced labour, has ratified the International Labour Organisation’s core conventions, and has enforcement mechanisms to prevent goods produced with forced labour from entering its supply chains.
The Trump administration says the tariffs are designed to protect American workers.
But critics argue the measures are viewed as its latest effort to preserve its broader protectionist trade agenda after the courts blocked its earlier approach.
–SABC–
