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Business24 July 2026Edited by NaijaPodNews1:58

Nigerian exports hit with 12.5% US levy amid global labour crackdown

Nigerian exports hit with 12.5% US levy amid global labour crackdown
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The United States government has introduced a new trade policy that affects Nigeria and several other countries. As part of this policy, a 12.5% tariff will be imposed on goods imported from Nigeria into the United States. This decision was made by the Office of the United States Trade Representative, which has been investigating the use of forced labour in global supply chains. The investigation, which began in May 2026, covered 60 of America's largest trading partners and drew over 1,600 written submissions. More than 100 witnesses also testified during public hearings, and consultations were held with over 45 governments before the final decision was reached. According to the USTR, countries that have introduced or pledged to introduce restrictions on the importation of products made with forced labour will attract a lower tariff of 10%. Some of the countries that will benefit from this lower tariff include India, Indonesia, Malaysia, Mexico, and the United Kingdom. The USTR explained that the tariff structure is designed to encourage countries to take stronger action against forced labour. US Trade Representative Jamieson Greer stated that the policy is intended to promote the elimination of forced labour from global supply chains, noting that the United States has had a forced labour import ban in place for nearly a century. The latest trade measure is a follow-up to President Donald Trump's decision to invoke Section 122 of the Trade Act of 1974, which introduced temporary universal tariffs after the US Supreme Court blocked his administration's wider tariff proposal. The USTR has confirmed that Nigerian exports will be subject to the 12.5% tariff, except for products covered by specified exemptions. The agency has also granted further exemptions where imposing tariffs is considered unlikely to eliminate the trade practices identified during the investigations.

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US don bring new rule for Nigeria, say make we stop forced labour for our factories. We go see whether Nigeria go take action or just dey talk.

Source: Linda Ikeji's Blog

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