USTR unveils first trade strategy to combat forced labour
20-1-2025
USTR UNVEILS FIRST TRADE STRATEGY TO COMBAT FORCED LABOUR
The United States Trade Representative (USTR) has released its inaugural ‘Trade Strategy to Combat Forced Labor’, a detailed plan for deploying trade mechanisms to fight forced labour practices.
USTR ambassador Katherine Tai unveiled the strategy, which outlines current and potential actions by the US to tackle the forced labour issue.
According to estimates from the International Labor Organization (ILO), Walk Free, and the International Organization for Migration, there are approximately 28m individuals subjected to forced labour worldwide on any given day.
USTR explained that previous trade policies operated under the assumption that liberalised trade would lead to universal prosperity and consequent improvements for workers.
However, it noted that without safeguards ensuring benefits for all, the past approach led to competitive practices that often resulted in the exploitation of workers, including forced labour.
Tai said: “Combatting forced labour has been a centrepiece of the Biden-Harris administration’s worker-centred trade policy. While there is more work to be done, this strategy is how USTR is driving a race to the top and addressing this form of unfair economic competition that hurts and dehumanises people all around the world.”
This new strategy is said to be integral to USTR’s wider agenda that prioritises workers in its trade policies. It was formulated to provide direction on harnessing trade to support global efforts against forced labour.
It aligns with President Biden’s 2024 Trade Policy Agenda and USTR’s Strategic Plan for Fiscal Years 2022–2026.
Biden’s 2024 Trade Policy Agenda is steered by four main goals
1. Crafting equitable trade policies through participatory processes
2. Leveraging all existing trade instruments to fight forced labour
3. Creating and applying novel trade mechanisms against forced labour
4. Strengthening collaborative international efforts with trading partners to address forced labour as an unfair commercial practice.
The USTR has outlined key priority actions corresponding to each objective, and said that many of them are already being put into action.
How USTR will achieve four priority actions and goals
1: The USTR will support the implementation of the Presidential Memorandum on Global Labor Rights through interagency collaboration and increased stakeholder engagement. Efforts will include outreach to workers, unions, civil society organisations, survivors, and industries to gather input on combating forced labour and addressing unfair competition. Additionally, the agency will actively participate in trade discussions as part of the Forced Labor Enforcement Task Force (FLETF) at DHS, DOL, and State, focusing on the Uyghur Forced Labor Prevention Act (UFLPA).
2: The US is focused on using trade laws, agreements, and programmes to combat forced labour. These tools include prohibitions on importing goods made with forced labour and efforts to address forced labour in supply chains. Effective use of these tools involves enforcement, diplomacy, and technical support. USTR will collaborate with trade partners to fully implement these measures and strengthen efforts to eliminate forced labour.
3: The USTR is actively seeking novel approaches and creating new mechanisms to address worker-related issues, particularly forced labour. The agency will forge trade agreements focusing on labour issues, including corporate accountability and forced labour in supply chains, through initiatives like the US-Taiwan Trade Initiative and IPEF. In partnership with the EU, the US will enhance the TALD to combat forced labour and promote human rights. Working with Japan, the US will lead efforts to advance labour rights and address forced labour in supply chains. The US will urge trade partners to adopt laws banning goods made with forced labour and explore improvements to Section 307 and UFLPA enforcement.
4: The USTR will work with WTO members to address forced labour in trade, including through policy reviews and negotiations. It aims to enhance transparency in fishing subsidies to combat forced labour at sea. The agency will also push for commitments to fight forced labour in supply chains and procurement, including in multilateral organisations. Forced labour will be emphasised as an unfair trade practice in global discussions.
The formulation of this strategy was a collaborative effort involving interagency partners along with committed representatives from labour and business sectors who strive to remove forced labour from US supply chains.
This involved an interagency evaluation of current trade policies and instruments at USTR’s disposal aimed at combating forced labour.
Earlier this month, the Uyghur Human Rights Policy Act was extended beyond its original 2025 expiration date.
By Just Style
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