Government previously said it was not aware of Singapore goods made from forced labour that were exported to the US
The United States is proposing new 12.5% tariffs on goods coming from Singapore and other economies after its trade agency found that they fell short of taking action when it comes to products made from forced labour.
Singapore and 53 other economies are being accused by the Office of the United States Trade Representative (USTR) of failing to impose and effectively enforce a prohibition on the importation of goods produced with forced labour.
Six other economies are also accused of failing to effectively enforce a prohibition on the importation of goods produced with forced labour.
"The failure of our most important trading partners to address the importation of goods made with forced labour is unacceptable," United States Trade Representative Jamieson Greer said.
"This creates a dynamic where American workers are forced to compete globally on an unlevel playing field."
Singapore's Ministry of Trade and Industry (MTI) previously rejected the USTR's claims in written comments to the trade agency in April, stating that there is no evidence of the country's role in supply chains of goods associated with forced labour to the US.
The MTI added it is not aware of any goods produced with forced labour that have been exported to the US from Singapore.
"Singapore does not condone the use of forced labour in supply chains and has a comprehensive framework to enforce against such illegal practices within our borders," the MTI previously said.
"Singapore has an effective implementation model underpinned by tripartism where workers have channels to advance their rights and whistle-blow, and businesses know their responsibilities and are held accountable."
USTR's proposed tariffs
The USTR's new tariffs are not yet to be implemented, with hearings to be held about the proposed actions on July 7.
The tariffs follow the 60 investigations initiated by the USTR in March, relating to the Section 301 of the Trade Act of 1974, which is designed to address unfair foreign acts, policies, or practices affecting US commerce.
The USTR said its probe found that Singapore and 53 other economies, including Australia, China, Brazil, Malaysia, New Zealand, among others, failed to impose and effectively enforce a prohibition on the importation of goods produced with forced labour.
Six other economies have also failed to effectively enforce a prohibition on the importation of goods produced with forced labour. They include Canada, Ecuador, the European Union, Indonesia, Mexico, and Pakistan.
These six economies are facing proposed 10% tariffs, while the rest are facing proposed 12.5% tariffs.
The new levies are being proposed after US President Donald Trump's reciprocal tariffs were struck down by the US Supreme Court in February.
Trump's response to the ruling was a 10% tariffs under the Section 122 of the Trade Act, but this is set to expire in July.