The US says in a new report that Canada is failing to stop foreign goods made with forced labour from entering its market, a finding that coincides with Washington’s probe into the matter, which could lead to more tariffs. The 2026 National Trade Estimate Report on Foreign Trade Barriers from the US government says it appears Canada is importing goods that cost less than they should because they were made with forced labour. It’s an early indication of how the US will rule on Canada. …US customs policy treats all goods from China’s Xinjiang region as though they were made with forced labour unless importers can provide “clear and convincing evidence” to the contrary. …Canada passed a law, the Fighting Against Forced Labour and Child Labour in Supply Chains Act in 2024 and requires government and businesses to annually report on steps they have taken. However, the US report said that Canada’s measures are not working. [to access the full story a Globe and Mail subscription is required]

Related news In:

• Bloomberg Economics: US Targets Canada’s Cloud-Computing Move as Trade Irritant
• Market Screener: Western Forest Products 2025 Report – Fighting Against Forced Labour and Child Labour in Supply Chains Act