India To Ban Import of Goods Made Using Forced Labour Amid US Probe
India has banned the import of goods made using forced labor to avoid potential new U.S. tariffs, which could reach 12.5%. The trade ministry's recent notification allows the government to prohibit such imports after investigations by India's foreign trade body to assess compliance, effective in 30 days.
- Republic Business
- 1 min read
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New Delhi: India has prohibited the import of goods produced using forced labour, the trade ministry said on Tuesday, in a move that could help avert new tariffs from a probe by the United States.
The Asian nation is one of the several countries facing proposed new U.S. trade tariffs of up to 12.5% over allegations they failed to prohibit import of goods produced with forced labor.
The ministry's notification, dated Monday, said it empowers "the central government to prohibit, by notification, the import of goods produced or manufactured, wholly or in part, through the use of forced labour".
India's foreign trade body will investigate whether imported goods were made using forced labour and, if evidence is found, recommend that the government ban imports of those products after consultations, according to the notification.
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The notification will come into force after 30 days.
Like most countries, the bulk of goods from India currently face a 10% U.S. tariff. But Washington is expected to introduce steeper tariffs through two separate probes into forced labour and excess industrial capacity.