The Office of the United States Trade Representative proposed fresh tariffs on 60 economies on June 2. The tariffs are up to 12.5% on imports from the countries after determining that all of
The Office of the United States Trade Representative proposed fresh tariffs on 60 economies on June 2.
The tariffs are up to 12.5% on imports from the countries after determining that all of them have failed to impose or effectively enforce a prohibition on goods made with forced labor.
The action, initiated under Section 301 of the Trade Act of 1974, targets some of the United States' most significant trading partners, including China, the European Union, Japan, India, and the United Kingdom.
"The failure of our most important trading partners to address the importation of goods made with forced labor is unacceptable. This creates a dynamic where American workers are forced to compete globally on an unlevel playing field," said Ambassador Jamieson Greer. "We will no longer tolerate this disparity."
Related: Analyst warns Trump tariff ruling could weaken dollar
The proposal creates a two-tier structure. Economies that have adopted a full or partial forced labor import prohibition, or committed to one through a reciprocal trade agreement, would face a 10% additional duty.
All others would be hit with 12.5%. A separate textile mechanism would allow a certain volume of apparel and textile imports from select economies to enter at a reduced rate.
Of the 60 economies, 54 were found to have outright failed to impose any prohibition on forced labor imports.
The remaining six, including Canada, Mexico, the EU, Indonesia, Ecuador, and Pakistan, were found to have prohibitions on paper but failed to effectively enforce them.
Written comments on the proposed actions are due by July 6, with public hearings scheduled for July 7. Parties seeking to testify must submit requests by June 22.
The latest tariff action is worth watching for crypto markets.
The most infamous tariff episode in recent years was on Oct. 10 2025, when over $19 billion was wiped out from the crypto market merely hours after U.S. President Donald Trump threatened to impose 100% tariffs on Chinese imports.
Moreover, this is not the first time in 2026 when the Trump administration has proposed tariffs on the European Union. Trump previously announced tariffs of up to 25% on eight European nations, including Denmark, Norway, Germany, and France, over the Greenland dispute in January 2026.
At that point, the crypto market witnessed a sharp slide, especially on the day of his appearance at the World Economic Forum in Davos, Switzerland.
Meanwhile, on June 2, another tariff directly hit crypto. The U.S. Treasury Department sanctioned four of the largest Iranian digital asset exchanges.
This included Nobitex, Wallex, Bitpin, and Ramzinex, who were accused of facilitating payments tied to Iran's terrorist activities, IRGC-linked ransomware actors, and sanctions evasion efforts across multiple jurisdictions.
Treasury Secretary Scott Bessent tied the action to the administration's broader Economic Fury campaign.
Related: Billionaire Bill Ackman proposes 'useful' tool to tackle Iran's internet shutdown
