China has rejected U.S. accusations of forced labor and criticized a new U.S. tariff proposal targeting dozens of trading partners, including itself, as a political move.
The response came a day after the Office of the U.S. Trade Representative (USTR) released findings from investigations into 60 economies and proposed additional tariffs linked to their handling of imports made with forced labor.
Chinese Foreign Ministry spokesperson Mao Ning said on Wednesday that forced labor does not exist in China and accused Washington of using the issue as a “pretext for political manipulation.”
“Economic and trade issues should be worked out through dialogue and consultation on the basis of equality, respect, and mutual benefit,” Mao told reporters in Beijing, according to a Foreign Ministry briefing.
China has denied allegations of forced labor, including in the Xinjiang region. Western governments, human rights organizations, and United Nations experts have raised concerns about forced-labor practices there.
The USTR determined that none of the 60 economies investigated effectively prevents the importation of goods made with forced labor.
“The failure of our most important trading partners to address the importation of goods made with forced labor is unacceptable,” U.S. Trade Representative Jamieson Greer said in a statement on Tuesday.
“This creates a dynamic where American workers are forced to compete globally on an unlevel playing field.”
According to the findings, six economies—Canada, Ecuador, the European Union, Indonesia, Mexico, and Pakistan—have laws restricting imports made with forced labor but do not enforce them effectively. The remaining 54 economies, including China, were found not to have comparable prohibitions in place.
The USTR has proposed additional tariffs of either 10 percent or 12.5 percent depending on the measures individual economies have adopted to restrict forced-labor imports. The agency is also considering exemptions for some raw materials and textile inputs.
The proposal remains under review. Public comments are due by July 6, with hearings scheduled for July 7.
The investigations were launched in March under Section 301 of the Trade Act of 1974, which allows the U.S. government to respond to what it considers unfair foreign trade practices.
The latest proposal adds a new chapter to longstanding trade tensions between Washington and Beijing, although it extends well beyond China. The USTR action covers many of the United States’ largest trading partners, including close allies and major economic rivals.
The United States has prohibited imports made with forced labor since the Tariff Act of 1930. In recent years, U.S. officials have increasingly linked the issue to supply-chain security, human rights concerns, and competition for domestic industries.
The USTR report identifies several sectors that it says present elevated risks, including polysilicon, which is used in solar panels, and cotton-processing supply chains.
The proposal also follows years of disputes over tariffs and trade enforcement. Previous U.S. tariff measures imposed under different legal authorities have faced court challenges, highlighting the legal and political complexities surrounding trade policy.
Although U.S. and Chinese officials have held talks on broader economic issues in recent years, progress has often been limited. The proposed tariffs add another source of friction to a relationship already shaped by disagreements over trade, technology, and market access.
Whether the new duties are ultimately imposed will depend on the outcome of the public consultation process and any final decision by U.S. trade authorities.
Reuters contributed to this report.
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