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Trump's new global tariff draws rebukes from trade partners over forced-labor justification

CNBC · back to the audit

U.S. trading partners from Canberra to Brasilia have rejected the forced-labor rationale behind President Donald Trump's new global tariffs, while most signaled they would keep negotiating rather than retaliate. The investigation is 'not a labor-standards exercise but a mechanism for exporting America's import ban on Chinese goods, as well as an attempt to recreate the tariff regime struck down by the Supreme Court,' the Peterson Institute for International Economics wrote earlier this week. The measure replaces a temporary 10% global tariff imposed under Section 122 of the trade act, which expires July 24, a stopgap put in place after the Supreme Court ruled Trump's emergency-powers tariffs unlawful in February.