{"id":541433,"date":"2026-07-24T05:20:29","date_gmt":"2026-07-24T05:20:29","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/541433\/"},"modified":"2026-07-24T05:20:29","modified_gmt":"2026-07-24T05:20:29","slug":"not-credible-us-hits-new-zealand-with-higher-12-5-tariff","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/541433\/","title":{"rendered":"&#8216;Not credible&#8217;: US hits New Zealand with higher 12.5% tariff"},"content":{"rendered":"<p class=\"body-paragraph articleLinkText  [&amp;_p]:tit-sub-xl tit-sub-xl md:[&amp;_p]:d-tit-sub-xl md:d-tit-sub-xl mb-[1.3rem]\">The US has imposed a new 12.5% tariff on New Zealand, as President Donald Trump looks to get around <a href=\"https:\/\/www.1news.co.nz\/2026\/02\/21\/nz-warns-of-considerable-uncertainty-after-us-tariff-ruling\/\" rel=\"nofollow noopener\" target=\"_blank\">a Supreme Court decision<\/a> that struck down his earlier &#8220;Liberation Day&#8221; tariffs.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">New Zealand joins 59 other economies, including the UK and Australia, in facing tariffs ranging from 10% to 12.5%.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">US trade representative Jamieson Greer said the new tariffs were designed to combat goods produced with forced labour \u2013 a claim that <a href=\"https:\/\/www.1news.co.nz\/2026\/07\/24\/us-hits-new-zealand-with-higher-125-tariff\/n-trumps-proposed-125-forced-labour-tariff\/\" rel=\"nofollow noopener\" target=\"_blank\">Trade Minister Todd McClay rebuked last month<\/a>.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">Under the new regime, countries assessed as having laws in place to combat forced labour, but not enforcing them effectively, face a 10% tariff \u2013 a group that includes the UK, Canada and Mexico. <\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">Countries without such laws on the books, including New Zealand, Australia, China, Japan, India and dozens of others, face the higher 12.5% rate.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">When US President Donald Trump\u2019s <a href=\"https:\/\/www.1news.co.nz\/2025\/04\/03\/live-updates-liberation-day-trump-to-announce-sweeping-new-tariffs\/\" target=\"_blank\" rel=\"nofollow noopener\">\u201cLiberation Day\u201d tariffs were announced in April<\/a> last year, New Zealand&#8217;s initial rate was 10%.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">The new tariffs are set to come into effect from just after 4pm on Friday (NZ time), when the 10% tariffs were set to expire.<\/p>\n<p>&#8216;Extremely disappointing&#8230; just not credible&#8217; \u2013 NZ Govt on tariffs<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">Prime Minister Christopher Luxon said it was, &#8220;extremely disappointing to see new US tariffs on New Zealand and 59 other countries. <\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;The US investigation did not provide meaningful evidence to support claims in relation to forced labour. Tariffs are not the way \u2013 they drive up costs and uncertainty for businesses,&#8221; he said.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;That\u2019s why we\u2019re pursuing trade agreements all over the world \u2013 to provide our exporters with security and keep growing our economy.&#8221;<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">In a statement to 1News, Trade Minister Todd McClay said the decision to impose tariffs was &#8220;very disappointing but not unexpected&#8221;, adding also that New Zealand rejected the basis for the move.<\/p>\n<p><img decoding=\"async\" src=\"https:\/\/www.newsbeep.com\/nz\/wp-content\/uploads\/2026\/07\/todd-mcclay-H42M4DJV4VCI7MJ43QUF57Y6WI.jpg\" alt=\"Todd McClay.\" width=\"800\" height=\"450\" loading=\"lazy\"\/><\/p>\n<p class=\"ImageMetadata__MetadataParagraph-sc-hi5x8q-0 cWTYyG image-metadata\">Todd McClay. (Source: 1News)<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;The US process was not rigorous. It\u2019s just not credible that imports created with forced labour play any measurable role in New Zealand\u2019s economy.&#8221;<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">McClay said New Zealand engaged in good faith with US authorities but the investigation &#8220;provides a legal pretext for broad tariffs rather than effectively combating forced labour&#8221;.<\/p>\n<p class=\"body-paragraph articleLinkText  lg mb-4\">&#8220;These actions create more uncertainty at a time when the world trading system is under real pressure. It is more important than ever that like-minded countries work together to strengthen trade and investment including reducing barriers that make it easier for everybody to trade.&#8221;<\/p>\n<p class=\"text-greyDarkFaded\">The morning&#8217;s headlines in 90 seconds, including Ryan Fox arrives back in NZ, and the political heckle that\u2019s going viral. (Source: 1News)<\/p>\n","protected":false},"excerpt":{"rendered":"The US has imposed a new 12.5% tariff on New Zealand, as President Donald Trump looks to get&hellip;\n","protected":false},"author":2,"featured_media":541434,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[138,219,111,139,69,66],"class_list":["post-541433","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-new-zealand","tag-newzealand","tag-nz","tag-us-politics"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/541433","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=541433"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/541433\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/541434"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=541433"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=541433"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=541433"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}