U.S. Slaps 12.5% Tariff on Nigerian Exports Over Forced Labour Concerns

*New duty takes effect July 24 as USTR cites failure to ban goods made with forced labour*

The United States has imposed a new 12.5% tariff on all products imported from Nigeria after determining that the country failed to establish and effectively enforce a ban on goods produced with forced labour.

The action was announced by the Office of the United States Trade Representative, USTR, in a notice issued on Thursday, following a Section 301 investigation into the trade practices of 60 economies, including Nigeria.

According to the USTR, Nigeria was among 54 economies found to have failed to prohibit the importation of goods produced wholly or partly with forced labour.

As a result, Nigerian exports to the U.S. market will now attract an additional 12.5% duty. The new tariffs take effect from 12:01 a.m. Eastern Time on July 24, 2026, with a short grace period for goods already in transit.

Products covered by specified exemptions outlined in the notice are excluded.

The USTR said economies that had already enacted and enforced forced labour import prohibitions, committed to doing so through an Agreement on Reciprocal Trade, ART, or implemented partial regimes would face a lower tariff rate of 10%.

Nigeria was placed in the higher tariff category alongside dozens of other countries that the U.S. said had not taken sufficient action.

The investigation was initiated in March 2026 under Section 301 of the U.S. Trade Act of 1974. It examined whether targeted economies had laws prohibiting the importation of goods produced with forced labour and whether such laws were being effectively enforced.

The USTR said it received more than 1,600 public comments and heard testimony from over 100 witnesses, including representatives of governments, industry groups, domestic producers and non-governmental organisations, before reaching its final decision.

The U.S. government noted that several countries, including Cambodia, Guatemala, Honduras, India, Sri Lanka and Trinidad and Tobago, introduced forced labour import prohibitions during the course of the investigation. 

Jordan committed to implementing similar measures through an Agreement on Reciprocal Trade.

*Exemptions Listed*

The notice provides exemptions for certain categories of goods, including:

– Informational materials 

– Donations 

– Accompanied baggage 

– Products already subject to Section 232 tariffs 

– Specific items identified in annexes where additional duties could disrupt U.S. supply chains or prove ineffective in addressing the underlying concerns