economyWednesday, June 3, 20262 sources

US Proposes 12.5% Additional Tariffs on India Under Section 301

The USTR announced additional tariffs under Section 301, citing India's failure to prevent goods allegedly made with forced labor. The move comes as U.S. trade officials finalize a trade deal with India. The proposal adds to existing tariffs and complicates negotiations.

The USTR released findings from 60 investigations under Section 301, identifying India among 54 economies lacking adequate measures to prevent forced labor imports. The report claims India does not have sufficient mechanisms to block such goods. The USTR proposed additional duties of 12.5% on goods from these countries, including India.

Timelines

US-India Strategic Economic PartnershipUS-India Strategic Economic Partnership: Trade and Tariffs

Sources

IndependentTimes of IndiaJun 3, 01:33 PM
Trump’s 12.5% additional tariffs move under Section 301: What does it mean for India

The Section 301 probe launched by the US in March 2026 is a known variable in India’s trade deal talks with America. Yet, the proposal to impose duties on around 60 countries assumes significance at a time when a delegation from the US is in India to finalise terms of the India-US trade deal.

IndependentTimes of IndiaJun 3, 07:28 AM
More Trump tariffs? US names India in its Section 301 findings; proposes additional duties

The USTR released the outcome of 60 investigations conducted under Section 301, identifying India among 54 economies that, according to its assessment, do not have adequate measures in place to prohibit or effectively prevent the import of goods allegedly produced using forced labour.