US Slaps 12.5% Tariff on Nigerian Imports Over Forced Labour Claims

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The United States has imposed a 12.5 per cent tariff on imports from Nigeria, part of a broader trade measure targeting 60 economies that Washington says have not banned the importation of goods produced with forced labour.

The Office of the United States Trade Representative announced the tariff on Thursday. Nigeria is among the countries facing the higher 12.5 per cent rate, while India, Indonesia, Malaysia, Mexico and the United Kingdom will pay a lower 10 per cent after adopting or committing to bans on forced labour-linked imports.

Background of the Tariff

The measure stems from investigations launched in May 2026 by the USTR into 60 of America’s largest trading partners. The probe was conducted under Section 301 of the Trade Act. The USTR determined that these countries have not “imposed and effectively enforced a prohibition on the importation of goods produced with forced labour.”

The tariff applies to all imports from Nigeria, though the USTR statement did not specify which Nigerian products are most affected. Nigeria’s major exports to the US include crude oil, cocoa, and agricultural products, but the tariff could also hit manufactured goods.

What This Means for Nigeria

For Nigerian exporters, the 12.5 per cent tariff raises the cost of selling into the US market. It could reduce demand for Nigerian goods and hurt foreign exchange earnings. The move also puts pressure on the Nigerian government to enact and enforce forced labour prohibitions to qualify for the lower 10 per cent rate enjoyed by countries like India and the UK.

The decision comes amid ongoing trade tensions globally. Nigeria has faced similar accusations over labour practices in sectors such as mining and agriculture. However, the Nigerian government has not yet issued an official response to the USTR announcement.

Impact on the Naira and Businesses

If Nigerian exports to the US decline due to the tariff, it could reduce dollar inflows and put additional pressure on the naira. Businesses that rely on US markets may need to diversify or absorb higher costs. Meanwhile, the lower tariff for countries that have adopted forced labour bans could incentivise Nigeria to align its policies, potentially opening the door for future tariff reductions.

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