Nigeria’s exports to the United States face a significant new trade hurdle after President Donald Trump announced a 12.5 per cent tariff on Nigerian imports over allegations that the country has not effectively prohibited goods produced with forced labour.

The decision was announced by the Office of the United States Trade Representative in Washington, D.C., on Thursday, 23 July 2026, following a months-long Section 301 investigation into the trade practices of 60 major US trading partners. The measure places Nigeria among countries facing the higher tariff rate under the new policy.

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The 12.5% Tariff on Nigerian imports decision forms part of a broader effort by the Trump administration to pressure trading partners into strengthening restrictions on goods linked to forced labour.

According to the USTR, economies that have already implemented, or formally committed to implementing, effective forced labour import bans will instead face a lower 10 per cent tariff.

Those countries include India, Indonesia, Malaysia, Mexico and the United Kingdom, alongside several others that Washington said had either adopted or pledged stronger enforcement measures.

The USTR said its decision followed investigations launched in May 2026 under Section 301 of the Trade Act.

The agency said it received more than 1,600 written submissions, heard testimony from more than 100 witnesses during public hearings and consulted over 45 governments before reaching its determination.

In a Federal Register notice, the USTR stated that Nigeria would be subject to a 12.5 per cent tariff on its products, except for goods covered by specified exemptions contained in Annex I and Annex II of the notice.

“Based on the findings in the investigation of Nigeria, considering the public comments, testimony, and the advice of the Section 301 Committee, as well as the advice of advisory committees, and in accordance with the specific direction of the President, the Trade Representative has determined to impose 12.5 percent tariffs on products of Nigeria,” the notice stated.

The USTR said the tariff level, together with the scope of exemptions, was considered appropriate to encourage the elimination of trade practices found to be actionable during the investigation.

US Trade Representative Jamieson Greer described the move as a decisive effort to strengthen global action against forced labour in supply chains.

“President Trump recognises that decades of moral suasion have not eradicated forced labour from global supply chains,” Greer said.

“The United States has had a forced labour import ban for nearly a century. It’s well past time for our trading partners to do the same.”

The latest action follows another significant shift in US trade policy after President Trump invoked Section 122 of the Trade Act of 1974 to introduce temporary universal tariffs when the US Supreme Court blocked a broader tariff programme pursued under the International Emergency Economic Powers Act.

The USTR said several categories of products would remain exempt from the new duties, including raw materials that could create domestic supply shortages, goods whose restriction could trigger wider economic disruption and products unavailable in sufficient quantities from US or alternative suppliers.

Additional exemptions were also granted where tariffs were judged unlikely to eliminate the practices under investigation.

For Nigeria, the decision adds fresh uncertainty to bilateral trade at a time when both countries have maintained commercial ties across energy, agriculture and manufacturing.

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While the US has framed the tariffs as an enforcement mechanism tied to labour standards rather than a broader trade dispute, Nigerian authorities are expected to assess the potential impact on exporters and future trade engagement with Washington.