US tariffs and forced-labor scrutiny put Dominican exports under pressure
The United States has imposed tariffs of 10% to 12.5% on Dominican imports after a Section 301 investigation into controls on goods produced with forced labor. Separate US findings identify risks involving Dominican sugar cane, baked goods, coffee, rice and tomatoes, while a phytosanitary ban has closed the US market to Dominican mangoes.
Two US actions raise barriers for Dominican suppliers
Dominican exporters face a combination of higher US tariffs and intensified scrutiny of agricultural and manufactured goods linked to forced or child labor. Listín Diario reported that the Office of the United States Trade Representative announced tariffs on 60 economies on July 23, 2026, after finding that they had not established or effectively enforced bans on imports made with forced labor. The investigation began in March under Section 301 of the Trade Act of 1974 and included public hearings, government consultations and more than 2,100 submissions from organizations, companies and individuals.
The Dominican Republic is among the affected economies. According to AlMomento, the administration of President Donald Trump set tariffs of 10% to 12.5% on Dominican imports and those of other countries, effective July 24. El Dinero described the Dominican rate as 12.5%. Detailed findings from the Section 301 investigation have not been released, leaving exporters without a public product-by-product account of how the tariff decision was calculated.
Sugar supply chain faces the greatest exposure
The US Department of Labor’s 2024 List of Goods Produced by Child Labor or Forced Labor identifies Dominican baked goods, coffee, rice, tomatoes and sugar cane. Sugar cane has appeared on the list since 2009. AlMomento said the report identifies workers of Haitian origin or ancestry as those most affected by forced-labor conditions and extends its concerns to raw and refined sugar, molasses, rum, bagasse and furfural.
The commercial exposure is concentrated. Citing Dominican customs data, El Dinero reported that the United States receives 92.5% of the country’s cane-sugar exports, while Puerto Rico receives 7.2%. Because Puerto Rico is governed by US law, the measures potentially affect destinations accounting for 99.7% of those exports. US findings also flag goods that may contain inputs from the Dominican sugar industry, including beverages, confectionery, animal feed, paper, construction materials, biofuels, industrial chemicals, medicines and medical alcohol.
The International Labor Affairs Bureau said the indicators were observed on plantations operated by private companies, public entities and independent small producers. Its findings also point specifically to child labor in baked goods, coffee, rice, sugar cane and tomato production. AlMomento reported that the agency judged Dominican progress to be minimal, citing insufficient labor inspectors, a lack of targeted inspections and the exclusion of many children without identity documents from education and social programs.
Government responds as mango trade is halted
President Luis Abinader responded by issuing Decree 502-26, which creates an administrative procedure to prevent, identify and restrict imports into the Dominican Republic of goods produced wholly or partly with forced labor. El Dinero said the rules also apply to merchandise already shipped, held at ports or placed under a customs procedure before final entry into Dominican territory.
Exporters are simultaneously dealing with a separate phytosanitary restriction. El Dinero reported that US authorities prohibited imports of Dominican mangoes after the Animal and Plant Health Inspection Service had warned since 2023 about fruit-fly risks identified during farm audits. The US market takes 26.7% of Dominican mango exports. From 2021 through 2025, the sector generated US$200.6 million in exports, including US$53.6 million in sales to the United States, according to the Dominican Ministry of Agriculture.
Compliance costs spread beyond farms
The measures create risks for producers, processors and free-zone manufacturers at the same time. Sugar businesses face unusually high destination concentration, while food and industrial companies using cane derivatives may need stronger documentation on labor conditions and input origins. Mango growers must address a separate plant-health problem before recovering access to a market responsible for more than a quarter of their overseas sales. For Dominican exporters, restoring predictable access will depend on whether enforcement, traceability and phytosanitary controls satisfy US authorities.