US Imposes 12.5% Tariff on Nigerian Imports Over Forced Labour Claims

US Imposes 12.5% Tariff on Nigerian Imports Over Forced Labour Claims

The United States has imposed a 12.5 per cent tariff on imports from Nigeria as part of a new trade measure targeting 60 economies it says have failed to prohibit the importation of goods produced with forced labour.

The measure, announced on Thursday, July 23, 2026, by the Office of the United States Trade Representative (USTR), affects imports from 60 economies that Washington says have not “imposed and effectively enforced a prohibition on the importation of goods produced with forced labour”. Nigeria is among the countries subject to the higher 12.5 per cent tariff rate, while some nations that have adopted or committed to implement bans on imports linked to forced labour will face a lower 10 per cent rate. The move follows investigations launched by the USTR in May 2026 under Section 301 of the Trade Act of 1974 into 60 of the United States’ largest trading partners. According to the agency, it received more than 1,600 written submissions, held public hearings involving over 100 witnesses, and consulted more than 45 governments before announcing the tariffs.

US Trade Representative Jamieson Greer said the action was aimed at encouraging trading partners to strengthen measures against forced labour. “President Trump recognises that decades of moral suasion have not eradicated forced labour from global supply chains. The United States has had a forced labour import ban for nearly a century. It’s well past time for our trading partners to do the same,” Greer stated. Explaining the tariff structure, the USTR stated that 10 per cent is the appropriate rate for investigated economies that impose a forced labour import prohibition, have committed to impose such a prohibition through an Agreement on Reciprocal Trade, or have imposed a partial regime preventing the importation of certain forced labour goods. These economies include Argentina, Bangladesh, Cambodia, Canada, Ecuador, El Salvador, Guatemala, Honduras, India, Indonesia, Jordan, Malaysia, Mexico, Pakistan, Sri Lanka, Trinidad and Tobago, and the United Kingdom. The 12.5 per cent tariff applies to all other investigated economies, including Nigeria, Algeria, Angola, Australia, Brazil, China, Egypt, Japan, Morocco, South Africa, Saudi Arabia, Thailand, and Vietnam, among others. A full list published by Punch Newspapers shows that Nigeria is grouped with 46 other economies facing the higher tariff rate.

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A Federal Register notice issued by the USTR specifically confirmed that Nigeria would be subject to the 12.5 per cent tariff on its exports to the United States, except for products covered under listed exemptions. The notice stated: “Based on the findings in the investigation of Nigeria, considering the public comments, testimony, and the advice of the Section 301 Committee, as well as the advice of advisory committees, and in accordance with the specific direction of the President, the Trade Representative has determined to impose 12.5 percent tariffs on products of Nigeria, except as provided in Annex I and Annex II, Part A, of this Notice.” The notice added that the Trade Representative determined that the tariff rate and scope of exemptions are appropriate to obtain the elimination of the acts, policies, and practices determined to be actionable in the investigation.

The USTR clarified that certain categories of products would be exempted from the tariffs. These include raw materials whose restriction could trigger domestic supply shortages, goods capable of causing widespread economic disruption, products unavailable in sufficient quantities within the United States or from alternative suppliers, as well as selected imports from countries that have adopted or committed to enforcing bans on forced labour-related goods. Additional exemptions apply where the tariffs are not considered effective in addressing the trade practices identified during the investigations.

The new tariff regime comes after President Donald Trump invoked Section 122 of the Trade Act of 1974 to introduce a temporary universal tariff on imports following a US Supreme Court decision that blocked his administration’s broader tariff programme under the International Emergency Economic Powers Act. The Trump administration subsequently raised the rate to 15 per cent, with the temporary measure due to expire on Friday. For countries like Nigeria, the 12.5 per cent tariff comes on top of the existing 10 per cent baseline duty introduced under President Trump’s reciprocal trade framework, effectively raising total tariffs on Nigerian exports to the United States to 27.5 per cent.

The development comes as Nigeria continues efforts to expand non-oil exports and strengthen trade relations with major economies. If implemented, the additional tariff could make it more expensive for affected countries to sell products into one of the world’s largest consumer markets, raising concerns about trade competitiveness and export earnings. The USTR said the measure was aimed at levelling the playing field, arguing that countries that fail to prevent the import of goods produced with forced labour gain an unfair edge by allowing cheaper products to flood global supply chains. “The failure of our most important trading partners to address the importation of goods made with forced labour is unacceptable. This creates a dynamic where American workers are forced to compete globally on an unlevel playing field,” Greer said. Nigeria already has laws prohibiting forced and compulsory labour, including constitutional protections and anti-trafficking legislation, but enforcement remains a key issue in international assessments. Some US trading partners have already criticised the new tariffs. Japan’s chief government spokesman, Minoru Kihara, said Japan regrets that the measure imposes tariffs on Japan solely on the grounds that there is no ban on the import of products produced through forced labour. Brazil called the measure “completely arbitrary” and accused the USTR of manipulating an issue of great importance to human rights for protectionist purposes.

US Imposes 12.5% Tariff on Nigerian Imports Over Forced Labour Claims