US Opens Trade Investigation Against Nicaragua for Practices Linked to Forced Labor
The US government has activated a process under Section 301 of the Trade Act of 1974 to evaluate whether Managua and 59 other economies allow the entry of products made with forced labor.
TL;DR
- The USTR is investigating 60 economies, including Nicaragua, under Section 301 of the Trade Act of 1974.
- The investigation will assess if these countries effectively prohibit and restrict the import of goods produced with forced labor.
- The US claims that the failure of these countries to enforce such prohibitions creates unfair competition for American businesses.
- The investigation includes formal consultations with governments and public hearings scheduled for April 28, 2026.
- Potential consequences for countries found to be in violation could include trade restrictions or tariffs.