KUALA LUMPUR, July 24 -- Malaysia will face a 10 per cent tariff imposed by the United States under Section 301 of the Trade Act of 1974, following a broad investigation into forced labour practices across dozens of trading economies.

The Ministry of Investment, Trade and Industry (Miti) confirmed today that Malaysia is one of 17 economies to qualify for the lower 10 per cent rate, while other targeted economies will be subject to a steeper 12.5 per cent tariff.

This more favourable rate acknowledges the United States Trade Representative's (USTR) recognition of Malaysia's commitments to implement and enforce laws prohibiting the importation of goods made with forced labour.

The new duty takes effect at 12:01 am US Eastern time on July...