Between January 22, 2022, and June 21, 2022, the Forced Labor Enforcement Task Force established under the U.S.-Mexico-Canada Agreement Implementation Act, in consultation with the Secretary of Commerce and the Director of National Intelligence, will undertake a process that will result in a strategy for supporting enforcement of Section 307 of the Tariff Act of 1930 (19 U.S.C. Bean, Hugo Boss and Uniqlo are now determining how to root out abuse from their supply chains a challenge given how much . Check the documents below for UFLPA Applicability Review best practices, as well as guidance on executive summaries and sample tables of contents for Applicability Review submissions. Meet The Company Bridging Synthetic Biology Innovation With The World Of Insurance To Ensure Safe Food Production, Theres A New Species Of Magic Mushroom - Named After Paul Stamets, Absci Takes Its Generative AI Antibody Design Platform To Europe, Meet The Startup Thats Putting Ice Factories In Shipping Containers For Winn-Dixie Supermarkets. Effective June 21, 2022, in an effort to address forced labor concerns, U.S. law will broadly prohibit imports of products from Chinas Xinjiang Uyghur Autonomous Region (XUAR), along with additional companies determined to be related to supply from that region. The entities to be added to the Entity List in connection with participating in the practice of, accepting, or utilizing forced labor involvingUyghurs and otherMuslim minority groups in the XUAR are: This Entity List rule supplements other Entity List designations in October 2019, June 2020, and July 2020. As the TTP points out, Amazons supply chain standards (PDF) specifically rule out forced labor. Thus, investment in supply chain due diligence, compliance and contractual requirements for commercial partners may emerge as a key development in 2022. Pillsbury Winthrop Shaw Pittman LLP var today = new Date(); var yyyy = today.getFullYear();document.write(yyyy + " "); | Attorney Advertising, Copyright var today = new Date(); var yyyy = today.getFullYear();document.write(yyyy + " "); JD Supra, LLC. Companies doing business in China, especially those with supply chain touchpoints in Xinjiang, should consider how the new law will affect them. In March, Apple cut ties with another supplier over allegations it was connected to coercive government labor programs. As your company has previously imported merchandise from locations or entities potentially subject to the Act, you are being notified that subsequent entries of such merchandise may result in, among other things, suspension or removal from the Customs Trade Partnership Against Terrorism (CTPAT) program, seizure, forfeiture and/or penalties, or other appropriate action under the customs laws. We invited Apple, Esprit, and Fila to respond; they did not. A .gov website belongs to an official government organization in the United States. The list of 83 companies includes over 30 technology brands "directly or indirectly benefiting" from using Uighur workers a veritable who's who of consumer electronics, such as Acer,. Workers can be jailed for refusing to join the work programs, the report says, and those enrolled in the programs are often moved far from their homes. Amazon is reportedly using Chinese suppliers with ties to forced labor (LockA locked padlock) Please be aware that this is CBPs importer guidance, which provides transparency to CBPs operational approach, and not the Forced Labor Enforcement Task Forces Strategy, which will provide additional importer guidance, required by the UFLPA. The enforcement strategy, and how much companies will need to do to satisfy the law, remains to be seen. They include. Any violation of our policies has immediate consequences, including possible business termination. The Department of Commerce's Bureau of Industry and Security (BIS) added five Chinese entities to the Entity List for accepting or utilizing forced labor in the implementation ofthePeoples Republic ofChinas campaign of repression against Muslimminority groups in the Xinjiang Uyghur Autonomous Region(XUAR). Apple supplier Lens Technology accused of using forced labour in China A comprehensive listing of entities in the XUAR that use forced labor, entities that work with the XUAR government to facilitate the use of forced labor, a list of products produced by those entities, a list of entities that exported those products, a list of entities that source material from the XUAR and a plan for updating those lists. Task Force Strategy Report and Potential for Additional Parties Subject to Prohibitions In June remarks, Coca-Cola CEO James Quincysaidhe was outraged, sad, frustrated, angry over the death of George Floyd and promised that the company stands with those seeking justice and equality., Nike has also spoken out against racism in the U.S., particularly in a May 2020 ad thaturged viewersFor once, dont do it. Major international clothing brands like L.L. However, a vast majority of implicated brands and companies have not taken any steps to address their ties to Uyghur forced labor. We hope that by sharing this film we can serve as a catalyst to inspire action against a deep issue in our society and encourage people to help shape a better future.. The Chinese government forcibly relocates Uyghur men and women away from their homes and existing jobs to cotton fields. (See here.) It is incumbent upon you as an importer to apply due diligence, effective supply chain tracing, and supply chain management measures to ensure that such imports are free from any goods mined, produced, or manufactured wholly or in part with forced labor from the Peoples Republic of China, especially from the XUAR. The Tech Transparency Projectsaid a glass supplier was using forced labor in December; Apple said it had seen no evidence of forced labor. Looking ahead, this focus on supply chain ethics appears to reflect a trend and not a blip. Using Amazon's June 2021 supplier list, the TTP said it found five of the companies on the list had publicly known links to forced labor programs called "labor transfers," which. Primark is an Irish fast-fashion retailer with headquarters in Dublin, also operating in the United States. China: US Law Against Uyghur Forced Labor Takes Effect | Human Rights Watch Build a Morning News Brief: Easy, No Clutter, Free! Uyghur Forced Labor Prevention Act Becomes Law - ArentFox Schiff Some companies have even advertised their ability to supply Uighur workers through online bookings. In 2022, legal developments look to focus the attention of the business community on ethics in the supply chain and introduce new due diligence and compliance challenges. On December 23, 2021, President Biden signed into law the Uyghur Forced Labor Prevention Act (UFLPA) to prevent goods made with forced labor in the Xinjiang Uyghur Autonomous Region (XUAR) of China from entering the U.S. market. As we made clear during this months G7 summit, the United States is committed to employing all of its tools, including export controls, to ensure that global supply chains are free from the use of forced labor and technology is not misused to abuse human rights, said Secretary of Commerce Gina Raimondo. This elevated standard will require the importer to not only use due diligence in evaluation of its supply chain, but also to respond completely and substantively to CBP requests for information regarding entries it may review. The Act establishes a rebuttable presumption that the importation of any goods, wares, articles, and merchandise mined, produced, or manufactured wholly or in part in the Xinjiang Uyghur Autonomous Region of the Peoples Republic of China, or produced by an entity on a list required by clause (i), (ii), (iv) or (v) of section 2(d)(2)(B) of the Act, is prohibited by Section 307 of the Tariff Act of 1930 and that such goods, wares, articles, and merchandise are not entitled to entry to the United States. Law Firms: Be Strategic In Your COVID-19 Guidance [GUIDANCE] On COVID-19 and Business Continuity Plans. Uighurs placement in factories outside Xinjiang has been conducted under a central government policy known as Xinjiang Aid. Factory bosses receive cash compensations for each Uighur worker they employ. Products made with such labor will be covered by the laws rebuttable presumption, even if they are produced in other regions of China. U.S. officials said the Labor Department had seen a nearly 70% increase in child labor violations since 2018, including in hazardous occupations. Here are some of the 83 brands listed in the report as being connected to those factories using forced labor. This report must include both the goods and the evidence considered. The Washington Postreported Tuesdaythat Apple supplier Lens Technology uses Uighur workers in its factories, according to documents obtained by the Tech Transparency Project. A .gov website belongs to an official government organization in the United States. China: Mounting concerns over forced labour in Xinjiang CBP guidance for XUAR WROs, and standards like the ILO Indicators of Forced Labor can provide reference points. Several Apple suppliers may have used forced labor in China, according to The Information. To embed, copy and paste the code into your website or blog: Your first step to building a free, personalized, morning email brief covering pertinent authors and topics on JD Supra: [HOT] Read Latest COVID-19 Guidance, All Aspects [SCHEDULE] Upcoming COVID-19 Webinars & Online Programs, [GUIDANCE] COVID-19 and Force Majeure Considerations, [GUIDANCE] COVID-19 and Employer Liability Issues. As the TTP notes, China uses what it calls labor transfers to transport Uyghurs from the Xinjiang region to factories throughout China, forcing them into labor programs the TTP says are often coercive and connected to a network of mass internment and reeducation camps., Five suppliers have been publicly denounced for being connected to the forced labor. Lop County Meixin Hair Products Co., Ltd. Nanjing Synergy Textiles Co., Ltd. (including two aliases: Nanjing Xinyi Cotton Textile Printing and Dyeing; and Nanjing Xinyi Cotton Textile), No. / Sign up for Verge Deals to get deals on products we've tested sent to your inbox daily. (Washington, DC) - The United States government should vigorously enforce a new law that aims to prevent imports linked to forced labor by Uyghurs and other persecuted groups in China, Human . The coalition has published an extensive list of brands it claims continue to source from the region, or from factories connected to the forced labour of Uighur people, including Gap, C&A,. Take action against global brands and companies complicit in forced labor by not buying their products. Major brands try to determine if cotton in their clothes is from Uighur For othersparticularly complex products with long, disparate supply chainsupgrading supply chain due diligence may require investment and management attention, as the companies may not previously have had a commercial need to track the sources of every upstream component and material. China is using the 2022 Winter Olympics to "legitimize its human rights abuses," a human rights . Share sensitive information only on official, secure websites. Looking for U.S. government information and services? Photo Uyghur Muslims by the Uyghur Human Rights Project. Section 307 of the Tariff Act of 1930 currently prohibits the importation of all goods, wares, articles, and merchandise mined, produced or manufactured wholly or in part in any foreign country by forced labor. Under 19 U.S.C. This cotton is then exported around the world. These Brands Are Still Linked to Uyghur Forced Labor - Save Uighur 6256 - Uyghur Forced Labor Prevention Act, DHS Press Release on UFLPA Public Comment Period, Federal Register Notice Seeking Public Comment. Senior China researcher explains why viewers should "stay away" from the 2022 Winter Olympics. The latest report titled Uyghurs For Sale, from the Australian Strategic Policy Institute, reveals a vast network of companies complicit in the mass detention of Uyghurs and other Turkic people. The Act, codified under 22 U.S.C. Let the companies know youre using your power as the consumer to advocate for human rights by tagging them in social media and pushing them to address their complicity in Uyghur forced labor. Apr 9, 2022. Companies will need to comply with the law 180 days after its December 23, 2021 enactment. Companies will have limited time between now and June 21 to identify and manage both legal compliance and business risks. Are These Fashions Linked to Forced Labour? Brands Can't Confidently Address: One Bowerman Drive Beaverton, OR 97005. Xinjiang workers have also been placed in factories that are part of Apples supply chains, including a plant in Guangzhou visited by Apple CEO Tim Cook in December 2017. Lenovo also pointed to a 2018 audit by the Reliable Business Alliance in which OFILM scored very well. There are watchtowers with cameras pointed in all directions and high barbed wire fences atop the walls. Many of these companiesprolifically spoke outagainst racial injustice following the death of George Floyd in May. Check the below Frequently Asked Questions to see if your questions about UFLPA Enforcement may be answered here. The TTP found that three Amazon suppliers Luxshare Precision Industry, AcBel Polytech, and Lens Technology have reportedly used forced labor themselves. In March 2020, a damning report from the Australian Strategic Policy Institute revealed that the Chinese government was forcing hundreds of young Uyghur women to. Specifically, this will include: (i) a list of entities in the Xinjiang Uyghur Autonomous Region that mine, produce, or manufacture wholly or in part any goods, wares, articles and merchandise with forced labor; (ii) a list of entities working with the government of the Xinjiang Uyghur Autonomous Region to recruit, transport, transfer, harbor or receive forced labor or Uyghurs, Kazakhs, Kyrgyz or members of other persecuted groups out of the Xinjiang Uyghur Autonomous Region; (iv) a list of entities that exported products described in clause (iii) from the Peoples Republic of China into the United States [being products mined, produced, or manufactured wholly or in part by entities on the list required by clause (i) or (ii)]; (v) a list of facilities and entities that source material from the Xinjiang Uyghur Autonomous Region or from persons working with the government of the Xinjiang Uyghur Autonomous Region or the Xinjiang Production and Construction Corps for purposes of government labor scheme that uses forced labor. The UFLPA will replace the existing case-by-case implementation of WROs on companies operating in and product categories from the XUAR with a broad U.S. import ban and rebuttable presumption of the involvement of forced or otherwise prohibited labor. Demand Nike and other listed companies to stop sourcing their products from Uyghur forced labor. BuzzFeed News reported finding more than 100 detention facilities located beside factories. An official website of the U.S. Department of Homeland Security. Secure .gov websites use HTTPS 1307) are not entitled to entry at any of the ports of the United States. Two other companies, GoerTek and Hefei BOE Optoelectronics, are indirectly involved, and allegedly utilize suppliers that have been accused of using forced labor. A number of countries have also imposed sanctions on Xinjiang, with the US moving ban imports from Xinjiang altogether in December. Looking for the presence of forced labor is part of every supplier assessment we conduct, including surprise audits, spokesman Josh Rosenstock told Apple. Commerce Department Adds Five Chinese Entities to the Entity List for Opinions expressed by Forbes Contributors are their own. Hoshine Silicon Industry (Shanshan) Co., Ltd. Xinjiang East Hope Nonferrous Metals Co., Ltd. Xinjiang GCL New Energy Material Technology Co., Ltd. Xinjiang Production and Construction Corps (XPCC). (Photo by Anna Fifield/The Washington Post via Getty Images). Nov. 17, 201801:48. They added: The tainted global supply chain that results from these practices means that it is now difficult to guarantee that products manufactured in China are free from forced labour., This is a BETA experience. . ASPI stated that it had found 27 factories in 9 Chinese provinces that are using Uyghur labor transferred from Xinjiang since 2017. The rebuttable presumption goes into effect on June 21, 2022. #SaveUyghur #SaveUyghur @JFAorg, Send letter to John Donahoe, the Chief Executive Officer at Nike World Headquarters, Save Uyghur Statement on the Xinjiang Police Files and The Faces from Chinas Uyghur Detention Camp, HUMAN RIGHTS GROUP DISMAYED AT IMAMS VISIT TO CHINA, FEARING IT IS BEING USED TO FURTHER PROPAGANDA ABOUT STATE OF UYGHURS, Justice For Alls Save Uyghur Campaign Calls on Assistant Secretary Noyes to Get Uyghurs Released from Thailand, Community Alert For Uyghurs: China Relentlessly Targeting You for its Surveillance Campaign.