NZ could face 12.5% tariff in US crackdown on forced labour imports
New Zealand may soon face a 12.5% tariff from the United States as part of a crackdown on imports linked to forced labor. The U.S. Trade Representative has identified New Zealand among 54 countries that are not effectively enforcing prohibitions against such goods. Hearings regarding the proposed tariffs are scheduled for July 2026.
- ▪The U.S. is targeting 60 countries, including New Zealand, for failing to prevent imports made by forced labor.
- ▪A proposed 12.5% tariff could be imposed on New Zealand and other nations identified by the USTR.
- ▪Current New Zealand exports to the U.S. face a global tariff rate of 10%.
- ▪Trade Minister Todd McClay anticipates a U.S. investigation into New Zealand lamb imports.
- ▪The U.S. argues that countries not enforcing prohibitions on forced labor goods undermine fair trade practices.
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US President Donald Trump announces his "Liberation Day" tariffs at the White House on 2 April, 2025 in Washington, DC. Photo: CHIP SOMODEVILLA / Getty Images via AFP New Zealand could soon face a new 12.5 percent tariff from the United States, as the Trump administration cracks down on 60 countries it says aren't doing enough to prevent the importation of goods made by forced labour. The United States Trade Representative (USTR) says 54 economies - including New Zealand - "have failed to impose and effectively enforce a prohibition" on goods produced with forced labour, which it says "is unreasonable and burdens or restricts U.S. commerce".
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