The U.S. Donald Trump administration imposed an additional 12.5% under the name of a "forced labor tariff," and the Japanese government expressed regret.

Container ships are docked at Tokyo Port./Courtesy of Yonhap News Agency

On the 23rd (local time), the Trump administration imposed a 10–12.5% "forced labor tariff" on 60 countries, including Korea and Japan, based on Section 301 of the Trade Act.

The same method applied to Japan as to Korea. If the most-favored-nation tariff rate by product is lower than 12.5%, the forced labor tariff is added to set the total tariff rate at 12.5%, and if it is already 12.5% or higher, no additional forced labor tariff is imposed.

In response, Cabinet Chief Secretary Minoru Gihara, the Japanese government Spokesperson, said at a press conference on the 24th, "Although our country (Japan)'s industry and trade are conducted in accordance with international rules, this measure to impose a tariff on our country on the grounds that there is no ban on importing products produced by forced labor is regrettable."

He added, "The agreement between Japan and the United States last year remains unchanged, and both sides share the understanding that they continue to be committed to its implementation," and "We confirmed from the U.S. side that it would not impose additional tariffs on Japan beyond last year's agreement."

In addition to the forced labor tariff announced that day, there is a possibility that the tariff rate will be raised further if the overproduction tariff to be announced later is added.

Japan and the U.S. governments agreed last year that for items with an existing tariff rate of less than 15%, the combined rate including additional tariffs would be capped at 15%.

Local media said that if an overproduction tariff is added in the future, whether the agreement will be observed will be the key question.

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