Nigeria listed in US probe over forced labour import bans, faces potential tariff hikes

The Office of the United States Trade Representative (USTR) has identified Nigeria among 59 countries under scrutiny for failing to enforce bans on imports linked to forced labour. The finding comes after the completion of a Section 301 investigation, which concluded that these nations have not taken sufficient action to prevent goods made with forced labour from entering global supply chains. USTR described the situation as "unreasonable and burdens U.S. commerce," citing unfair competitive advantages created by lower production costs in affected countries.

Nigeria is grouped with Algeria, Egypt, Morocco, South Africa, China, India, Vietnam, the United Kingdom and Brazil in the report. The USTR stated that Nigeria and 53 other economies have not adequately prohibited or enforced restrictions on such goods. If the proposal moves forward, Nigeria's exports to the US could face additional duties of either 10 per cent or 12.5 per cent, on top of the current 10 per cent baseline tariff. This could raise the total tariff on Nigerian exports to 27.5 per cent, depending on compliance levels.

US Trade Representative Jamieson Greer said the failure of major trading partners to act on forced labour imports is "unacceptable" and declared, "We will no longer tolerate this disparity." The USTR highlighted that weak enforcement distorts trade fairness by benefiting countries where forced labour persists. Six economies, including Canada, Mexico and the European Union, were acknowledged as having rules but falling short on enforcement. The proposal is currently open for public consultation and has not been implemented.

💡 NaijaBuzz Take is AI-assisted editorial opinion, not established fact. Full disclaimer →