US Proposes 10% Tariff on Taiwan; Labor Ministry to Establish Forced Labor Review Mechanism
The U.S. Trade Representative (USTR) on June 2 cited Section 301 of the Trade Act to recommend a 10% additional tariff on Taiwan and 59 other economies over forced labor concerns. Taiwan's Ministry of Labor responded by stating it will work with the Ministry of Economic Affairs to establish a cross-ministerial review mechanism to restrict imports of forced labor goods and improve labor rights in supply chains.
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- 📰 Published: June 4, 2026 at 12:19
- 🔍 Collected: June 4, 2026 at 12:32 (13 min after Published)
- 🤖 AI Analyzed: June 6, 2026 at 16:13 (51h 40m after Collected)
(Central News Agency, Taipei, June 4, reporter Wu Xinyun) The U.S. government, citing forced labor, plans to invoke Section 301 of the Trade Act to impose a 10% tariff on Taiwan, the EU, and other economies. Taiwan's Ministry of Labor said today that it will establish a cross-ministerial review mechanism to restrict the import of forced labor goods, thereby improving labor rights in supply chains.
The Office of the U.S. Trade Representative (USTR) on June 2 (U.S. Eastern Time) released a report under Section 301 of the Trade Act of 1974 on the issue of "Import Prohibition of Forced Labor Goods," recommending additional tariffs of 10% or 12.5% on 60 economies worldwide. Taiwan is among 14 countries recommended for a 10% tariff rate.
In response to the USTR's announcement of the Section 301 "forced labor" investigation results, the Ministry of Labor stated today that based on current information, the U.S. announcement yesterday was a recommendation for 60 countries, not targeting Taiwan alone, and is not a final effective result.
The Ministry stated that Taiwan has made specific commitments on the issue of forced labor under the Taiwan-U.S. ART, and these commitments have been recognized by the U.S., which is why Taiwan is among the 14 countries recommended for the lower 10% tariff rate, lower than Japan and South Korea.
The Ministry of Labor said it highly values the international community's and supply chains' attention to and prevention of forced labor risks. It will subsequently establish a cross-ministerial review procedure with the Ministry of Economic Affairs. After a review decision, it will use the Trade Act as the legal basis to restrict the import of forced labor goods, thereby improving labor rights in the supply chain. (Editor: Chen Qingfang) 1150604
The Office of the U.S. Trade Representative (USTR) on June 2 (U.S. Eastern Time) released a report under Section 301 of the Trade Act of 1974 on the issue of "Import Prohibition of Forced Labor Goods," recommending additional tariffs of 10% or 12.5% on 60 economies worldwide. Taiwan is among 14 countries recommended for a 10% tariff rate.
In response to the USTR's announcement of the Section 301 "forced labor" investigation results, the Ministry of Labor stated today that based on current information, the U.S. announcement yesterday was a recommendation for 60 countries, not targeting Taiwan alone, and is not a final effective result.
The Ministry stated that Taiwan has made specific commitments on the issue of forced labor under the Taiwan-U.S. ART, and these commitments have been recognized by the U.S., which is why Taiwan is among the 14 countries recommended for the lower 10% tariff rate, lower than Japan and South Korea.
The Ministry of Labor said it highly values the international community's and supply chains' attention to and prevention of forced labor risks. It will subsequently establish a cross-ministerial review procedure with the Ministry of Economic Affairs. After a review decision, it will use the Trade Act as the legal basis to restrict the import of forced labor goods, thereby improving labor rights in the supply chain. (Editor: Chen Qingfang) 1150604