Trump Administration Launches Trade Investigations into 60 Countries Over Forced Labor

U.S. Trade Representative Jamieson Greer launched a comprehensive investigation into forced labor practices across 60 countries and economies, including the European Union, the United Kingdom, Canada, and China. The probe, initiated under Section 301 of the Trade Act of 1974, aims to determine whether foreign governments have failed to implement sufficient measures to prohibit the production and export of goods made with forced labor. According to the USTR, the investigation will evaluate how these labor practices disadvantage U.S. workers and businesses by creating an unfair competitive environment. The list of targeted entities is extensive, encompassing major trading partners such as Australia, Israel, India, Qatar, Saudi Arabia, and Russia. Section 301 was famously utilized during the first Trump administration to impose multi-billion dollar tariffs on Chinese goods starting in 2018. Historically, the USTR uses these investigations to negotiate changes in foreign trade policies or justify the imposition of retaliatory duties. The Trade Act of 1974 provides the legal framework for the United States to enforce its rights under trade agreements and respond to certain foreign trade practices.

The move is widely interpreted as a strategic effort by the administration of President Donald Trump to rebuild tariff pressure following a significant legal setback in domestic courts. On February 20, 2026, the U.S. Supreme Court ruled that the president's previous attempt to impose broad global tariffs was illegal, stripping the executive branch of one of its primary economic tools. By launching specific investigations into forced labor and industrial overcapacity, the administration seeks a more resilient legal path to reintroduce trade barriers. „The probe aims to determine if foreign governments have taken sufficient steps to prohibit goods produced with forced labor” — Jamieson Greer via Reuters 60 (economies) — targeted in the forced labor investigation

Simultaneously, the USTR opened a second investigation focusing on industrial overcapacity among key trading partners, including China, the European Union, India, Japan, South Korea, and Mexico. This probe examines whether state-subsidized production in these regions has led to a glut of underpriced goods in the global market, threatening the viability of American manufacturers. Officials indicated that if the investigation finds evidence of unfair practices, new tariffs could be implemented as early as the summer of 2026. This dual-track approach signals a return to the aggressive trade posture that characterized President Trump's first term. U.S. Trade Policy Escalation 2026: — ; — ; —

International reactions to the announcements have been swift and critical, particularly from Beijing. China's foreign ministry spokesperson, Guo Jiakun, dismissed the allegations of overcapacity as a fabricated narrative intended to justify protectionism. Meanwhile, the European Commission acknowledged shared concerns regarding forced labor but pointed to its own regulatory framework, which is scheduled to take effect in December 2027. The inclusion of close allies like Canada and the UK in the forced labor probe has raised concerns about potential diplomatic friction within Western trade blocs. „The overcapacity claims are a false proposition and represent political manipulation” — Guo Jiakun via AP News U.S. Trade Strategy Shift: Legal Basis (before: Global executive orders (struck down), after: Section 301 investigations); Primary Target (before: General imports, after: Forced labor and overcapacity); Scope (before: Universal application, after: 60 specific countries/economies)

USTR European Commission