10 percent tariff on Bangladeshi products, the new decision of the United States is effective
The United States has implemented new tariffs on the products of 60 trading partners of the world, including Bangladesh. The levy came into effect on Friday (July 24) due to allegations of not properly implementing the Forced Labor Prohibition Act. 10 percent and 12.5 percent duty has been imposed on goods depending on the country.
The United States has imposed new tariffs on the products of 60 trading partner countries, including Bangladesh, to prevent the import of products produced by forced labor. In this system, effective from Friday (July 24), duty will be paid at the rate of 10 percent and 12.5 percent depending on the country.
According to a Reuters report, the move is seen as the latest initiative to restore the near-global tariffs announced by US President Donald Trump during his election campaign.
The new tariffs were announced in a notice published in the Federal Register on Thursday (July 23). It said the new tariffs would apply to about 99.4 percent of total U.S. imports. However, several products including oil and gas, fertilizers and some food products will remain exempt from this duty.
The new duty is imposed under Section 301 of the Trade Act of 1974. The Trump administration claims that it will be possible to maintain minimum tariffs on almost all US imports despite the Supreme Court's previous ruling.
Trump imposed a 10 percent temporary tariff for 150 days after the Supreme Court's February ruling. The new tariffs went into effect on Friday at 12:01 a.m. ET when those tariffs expired. However, goods transported till July 28 will be exempted from the new duty.
US Trade Representative Jamieson Greer said that for almost a century, the US has banned the importation of products produced by forced labor. Now is the time for trading partners to take similar action.
According to the final decision, 10 percent duty has been imposed on the products of 17 countries including Bangladesh, Argentina, United Kingdom, Cambodia, Canada, India, Indonesia, Malaysia, Pakistan, Sri Lanka.
On the other hand, in the case of European Union, Taiwan, Japan, South Korea and Switzerland, the total effective tariff rate will be 10 percent or 12.5 percent in combination with the existing 'Most Favored Nation' or MFN tariff.
Apart from this, 12.5 percent duty has been fixed on the products of 38 other countries. China is also on this list. The tariffs have been imposed on China over allegations of forced labour, but Beijing has denied the allegations.
