The Trump administration has introduced new 10% and 12.5% tariffs on 60 trading partners, including the EU and China citing weak enforcement of forced labor bans. This move replaces an expiring 10% global tariff and has triggered widespread international backlash.
European Union Foreign Policy Chief Kaja Kallas firmly dismissed the forced labor claims, highlighting Europe's robust labor protections and calling the tariffs a "negative surprise" that violates prior trade agreements. Similarly, Australia’s Trade Minister Don Farrell labeled the duties "completely unjustified" and pledged to fight for their removal.
Brazil took the toughest stance, accusing the U.S. of manipulating human rights issues as a pretext for protectionism. The Brazilian government announced plans to trigger retaliation instruments and file a formal dispute with the World Trade Organization (WTO).
Some nations anticipate less immediate economic impact. Mexico’s Economy Minister Marcelo Ebrard noted that since the new tariff replaces an old one their effective rate remains unchanged. France expects the Turnberry agreement to shield Europe though officials warned the U.S. decision creates significant global economic uncertainty and threatens growth.
In Southeast Asia, Malaysian Prime Minister Anwar Ibrahim expressed relief that their 10% rate is relatively lower than what other nations face, though he promised further negotiations to protect national interests. Meanwhile Philippine Trade Minister Cristina Roque defended her country’s labor policies and emphasized the Philippines' vital role in stabilizing U.S. supply chains for electronics and agriculture.
