The Biden administration has initiated an investigation into labor and human rights abuses in Nicaragua, a move that could impact relations with the Central American country. The investigation, to be conducted by the U.S. Trade Representative, is in response to concerns over President Daniel Ortega's increasingly authoritarian rule.
The investigation, authorized under section 301 of the Trade Act of 1974, will focus on allegations of repressive acts by the Nicaraguan government that harm its own workers and people, undermine fair competition, and destabilize the region. The U.S. Trade Representative emphasized that the probe will also assess the impact of these abuses on commerce with the U.S. before any retaliatory actions are considered.
Credible reports from watchdog groups have highlighted politically-motivated arrests, forced labor, human trafficking, and repression of freedom of association and collective bargaining under Ortega's government. These actions are seen as exacerbating worker exploitation and hindering economic growth and trade opportunities.
Nicaragua's Vice President and government spokeswoman has not yet responded to requests for comment on the investigation. The country's membership in the Central America Free Trade Agreement could complicate any potential retaliatory measures due to its trade surplus with the U.S.
President Ortega's recent proposal for constitutional reforms, which would effectively make him and his wife 'copresidents' of Nicaragua, has raised further concerns. The proposed extension of the presidential term and the ongoing crackdown on dissent have led to mass imprisonments and forced exiles of opponents, including religious leaders and journalists.
The U.S. government's decision to open this investigation aligns with International Human Rights Day and reflects a broader effort to address labor and human rights abuses globally.