US launches trade probe against Nigeria, 59 others over forced labour imports

The United States has opened a formal trade investigation into Nigeria and 59 other countries, accusing them of failing to ban imports of goods produced with forced labour.

The probe, initiated on 12 March by the Office of the United States Trade Representative, is being conducted under Section 301 of the Trade Act of 1974. It will examine whether the trade practices of the affected economies are “unreasonable or discriminatory” and whether they harm American commerce.

Nigeria is listed alongside major economies including China, India, Brazil, South Africa, the United Kingdom, Canada and the European Union.

The USTR’s central argument is that countries which do not enforce import bans on forced-labour goods give producers of such goods an unfair cost advantage — allowing them to undercut American businesses in international markets. “In markets without forced labour import prohibitions, US exports are required to compete with products produced wholly or in part with forced labour,” the notice said.

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The scale of the problem underpinning the investigation is significant. The International Labour Organisation estimated in 2021 that roughly 28 million people were trapped in forced labour globally — a figure that had grown by about 2.7 million since 2016. Annual profits generated from forced labour in the private economy reached approximately $63.9 billion in 2024, according to the ILO.

Goods flagged as commonly linked to forced labour include agricultural commodities, textiles, minerals, fish products and palm oil.

The investigation will involve consultations with the governments of all named economies and public hearings at the US International Trade Commission in Washington beginning 28 April. Businesses, labour groups and other stakeholders have until 15 April to submit written comments through the USTR’s online portal.

If the investigation concludes that unfair trade practices exist, the US could impose additional tariffs or import restrictions on goods from the affected countries.

The probe adds to existing trade pressures on Nigeria. The country’s merchandise trade surplus fell sharply to ₦1.71 trillion in the fourth quarter of 2025, down from ₦3.42 trillion in the same period a year earlier, according to the National Bureau of Statistics. The decline was driven largely by falling crude oil exports, which dropped to ₦9.70 trillion — still more than half of total exports, but significantly lower than in previous quarters. Imports, meanwhile, continued to grow, rising to ₦17.25 trillion in Q4 2025 from ₦16.59 trillion a year earlier.