US hearing weighs higher tariffs over alleged forced labour, targeting China
Business groups clash with labour advocates at USTR hearing over whether new tariffs would improve workers’ rights or raise costs
China’s labour practices came under scrutiny on Wednesday during a US government hearing on a proposal to impose tariffs on goods linked to forced labour, with participants divided over whether higher tariffs would effectively improve workers’ rights.
The Office of the United States Trade Representative (USTR) is holding a three-day public hearing from July 7 to 9 as part of its Section 301 investigation into the use of forced labour in international supply chains.
The investigation and the hearings are key steps to lead to tariffs ranging from 10 to 12.5 per cent on imports from 60 economies that Washington says have failed to prevent goods made with forced labour from entering global supply chains.
“China should have a higher rate [of tariffs],” said Qiang Li, founder of China Labor Watch. “If a country gets better, its rate should go down.”
Li, a long-time critic of China’s labour practices, testified that many Chinese workers face excessive overtime, inadequate workplace protections and limited access to insurance compared with workers in many Western countries.