Products made with such labor will be covered by the laws rebuttable presumption, even if they are produced in other regions of China. The guidance referenced above under Section 2(d)(6) is not expected until closer to June 21, 2022, as part of the Task Force Strategy Report, and thus companies may not know for some time what are the due diligence, effective supply chain tracing, and supply chain management measures that will meet CBP standards. Zara and Uniqlo owners face investigation over profiting from alleged 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. Opinions expressed by Forbes Contributors are their own. Many companies will require advance planning to assess the business and legal risks posed to their supply chains by these rule changes, and develop appropriate compliance and due diligence mechanisms. Apple's longtime supplier accused of using forced labor in China The companies were listed over human rights violations and abuses of Uighurs and other Muslim minorities, according to a US government filing on Wednesday. Looking ahead, this focus on supply chain ethics appears to reflect a trend and not a blip. A lock ( ) or https:// means youve safely connected to the .gov website. Questions regarding UFLPA may be submitted to UFLPAInquiry@cbp.dhs.gov. Uyghur Forced Labor Prevention Act Becomes Law - ArentFox Schiff Thus, investment in supply chain due diligence, compliance and contractual requirements for commercial partners may emerge as a key development in 2022. China: Mounting concerns over forced labour in Xinjiang Apple, Foxconn, and 81 others are accused of using Uighur forced labor German companies accused of profiting from forced Uighur - euronews The Task Force Strategy Report will identify a list of high-priority sectors for enforcement, which at a minimum must include cotton, tomatoes and polysilicon. Whenever we find or receive proof of forced labor, we take action.. This enhanced enforcement already is underway. The Uyghur Forced Labor Prevention Act: What U.S. Companies with China Apples supply chain has previously been linked to forced labor in China. The list of well-recognized names includes Apple, Nike, Amazon, Samsung, Zara, H&M, Microsoft, Mercedes-Benz, Uniqlo, and more. In March 2020, the Australian Strategic Policy Institute (ASPI) published a report titled Uyghurs For Sale, which revealed a vast network of companies complicit in the use of Uyghur forced labor throughout China. All importers are expected to review their supply chains thoroughly and institute reliable measures to ensure imported goods are not produced wholly or in part with convict labor, forced labor, and/or indentured labor (including forced or indentured child labor). 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. Withhold Release Orders and Findings List, Trade Facilitation and Trade Enforcement Act, Best Practices for Applicability Reviews: Importer Responsibilities, Guidance on Executive Summaries and Sample Tables of Contents, https://www.cbp.gov/trade/forced-labor/UFLPA, Uyghur Forced Labor Prevention Act (UFLPA). The report accuses Amazon of continuing to work with these suppliers, despite evidence of their association with Uyghur labor camps. Apple spokesman Josh Rosenstock said the company has confirmed that Lens Technology has not received any labor transfers of Uighur workers from Xinjiang. From Company-Specific WROs to a Broader Import Ban in the XUAR Crypto company Gemini is having some trouble with fraud, Some Pixel phones are crashing after playing a certain YouTube video. The year 2021 brought supply chain challenges to the center of the national conversation. The factory, Haoyuanpeng Clothing Manufacturing Co. Ltd, lists Fila, Adidas, Puma and Nike among its clients. These categories appear likely to include additional manufacturers and intermediate supply chain participants outside of the XUAR. 83 Companies Linked to Uyghur Forced Labor - Save Uyghur - Save Uighur Task Force Strategy Report and Potential for Additional Parties Subject to Prohibitions 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. Law Firms: Be Strategic In Your COVID-19 Guidance [GUIDANCE] On COVID-19 and Business Continuity Plans. Baoding LYSZD Trade and Business Co., Ltd. Changji Esquel Textile Co. Ltd. (and one alias : Changji Yida Textile), Hetian Haolin Hair Accessories Co. Ltd. (and two aliases: Hotan Haolin Hair Accessories; and Hollin Hair Accessories), Hetian Taida Apparel Co., Ltd (and one alias: Hetian TEDA Garment), Hoshine Silicon Industry (Shanshan) Co., Ltd (including one alias: Hesheng Silicon Industry (Shanshan) Co.) and subsidiaries, Xinjiang Daqo New Energy, Co. Ltd (including three aliases: Xinjiang Great New Energy Co., Ltd.; Xinjiang Daxin Energy Co., Ltd.; and Xinjiang Daqin Energy Co., Ltd.), Xinjiang East Hope Nonferrous Metals Co. Ltd. (including one alias: Xinjiang Nonferrous), Xinjiang GCL New Energy Material Technology, Co. Ltd (including one alias: Xinjiang GCL New Energy Materials Technology Co.). Build a Morning News Brief: Easy, No Clutter, Free! Corporate giants including Nike face growing calls to cut ties with suppliers alleged to be using "forced labour" from China's Uighur people. 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. Some brands including Adidas, Bosch and Panasonic told ASPI they had no direct contractual relationships with the suppliers indicated in the report, but no one could rule out a link further down their supply chain. The TTP pinpoints five companies on Amazons supplier list (available as a CSV file in the small print below the pages supply chain map) that have been publicly denounced for being directly or indirectly connected to the forced labor of Chinas Uyghur population in the Xinjiang region. Products linked in whole or in part to these entities will be treated by CBP as having the same prohibitions as any products from the XUAR. 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). These legal developments also dovetail with broader ESG and corporate responsibility trends. 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. Are These Fashions Linked to Forced Labour? Brands Can't Confidently Call To House Republicans On Pharmaceutical Supply Chain Middleman Investigation. Companies Prepare for the Uyghur Forced Labor Prevention Act (UFLPA Many Chinese have called for boycotts,. As you are likely aware, Congress recently passed, and the President signed into law, the Uyghur Forced Labor Prevention Act (the Act). Amazon is reportedly using Chinese suppliers with ties to forced labor 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. Amazon is allegedly employing suppliers in China with links to forced labor, according to a report from the Tech Transparency Project (TTP), a research group owned by the nonprofit watchdog organization Campaign for Accountability (via NBC News). Read the FLETF'sStrategy to Prevent the Importation of Goods Mined, Produced, or Manufactured with Forced Labor in the Peoples Republic of China. Companies need to implement robust preventative and transparency measures, with their compliance departmentsnot their communications departmentsleading the way. TheAP investigation, based on interviews with 30 former detainees, family members, a former detention camp instructor, government statistics and state documents, found that the Chinese government seeks to dramatically lower the birthrates of Uighurs and other minorities while encouraging other populations to produce more children. In addition, CBP is subject to reporting requirements that likely will discourage easy granting of exceptions. These Brands Are Still Linked to Uyghur Forced Labor - Save Uighur Uyghurs for sale | Australian Strategic Policy Institute | ASPI (See here.) Primark has been involved in child labor and modern slavery scandals before. FACT SHEET: New U.S. Government Actions on Forced Labor in (LockA locked padlock) Any dollar that goes to these brands is a dollar that goes into the factories profiting off of Uyghur forced labor. Any dollar that goes to these brands is a dollar that goes into the factories profiting off of Uyghur forced labor. Major brands try to determine if cotton in their clothes is from Uighur What Is the U.S. Government Doing About Uyghur Forced Labor? The ASPI found that 27 factories across nine Chinese provinces used the labor of Uyghurs forcibly transferred from Chinese-occupied East Turkestan since 2017. ), Chinas forced work programs have been getting more attention over the past year, with new reports speaking to the growing scope of Chinas oppressive practices in Xinjiang. Apple found no evidence of forced labor anywhere we operate, a spokesperson told The Information. Companies doing business in China should consider the following to prepare for the new requirements. For further inquiries, please contact the UFLPA Entity List Team atFLETF.UFLPA.EntityList@hq.dhs.gov. Major solar companies including GCL-Poly, East Hope Group, Daqo New Energy, Xinte Energy and Jinko Solar are named in the report as bearing signs of using some forced labor, according to. We take allegations of human rights abuses seriously, including those related to the use or export of forced labor. 2023 Vox Media, LLC. A .gov website belongs to an official government organization in the United States. The presumption applies unless the Commissioner of U.S. Customs and Border Protection (CBP) determines that the importer of record has complied with specified conditions and, by clear and convincing evidence, that the goods, wares, articles, or merchandise were not produced using forced labor. The activists named 38 companies which they say, based on credible news investigations and news reports, have products connected to forced Uighur or Turkic Muslim labor. 4 Vocation Skills Education Training Center (VSETC), Tanyuan Technology Co. Ltd. (including five aliases: Carbon Yuan Technology; Changzhou Carbon Yuan Technology Development; Carbon Element Technology; Jiangsu Carbon Element Technology; and Tanyuan Technology Development), Xinjiang Production and Construction Corps (XPCC) and its subordinate and affiliated entities. Looking for U.S. government information and services? Click Share This Page button to display social media links. To sign up for updates or to access your subscriber preferences, please enter your contact information below. These workers were transferred from labor camps in the Xinjiang region of western China, WaPo reported. Meta backs new tool for removing sexual images of minors posted online, Mark Zuckerberg says Meta now has a team building AI tools and personas, Whoops! The American Companies Enabling China's Uyghur Genocide Dont accept innocent lives being taken from us., Nike has a long history of standing against bigotry, hatred and inequality in all forms, a Nike spokeswoman said in a May statement. Apple supplier Lens Technology accused of using forced labour in China Your companys response to the Washington Post, by your spokesperson has been disappointingly inadequate. WROs on materials like cotton (where an estimated 20 percent of world supply and 85 percent of Chinese supply is from the XUAR) and polysilicon (a key material in solar panels and the photovoltaic supply chain) reportedly are causing CBP to block broad categories of certain products incorporating those materials. Beginning on June 21, 2022, the UFLPA will require U.S. Customs and Border Protection (CBP) to presume that all goods from the XUAR and from entities listed pursuant to the UFLPA are made with forced labor and banned from import to the United States under Section 307 of the Tariff Act of 1930. Apple spokesman Josh Rosenstock said the company has confirmed that Lens Technology has not received any labor transfers of Uighur workers from Xinjiang. (LockA locked padlock) In addition to alleging Amazons use of suppliers connected to forced labor, the TTP also found a number of accounts selling Xinjiang-sourced cotton, the sale of which has been banned by the US government last year. As always, our focus is on making sure everyone is treated with dignity and respect, and we will continue doing all we can to protect workers in our supply chain, Rosenstock added. abercrombie & fitch, acer, adidas, alstom, amazon, apple, asus, b ai c motor, bmw, bombardier, bosch, byd, calvin klein, candy, carter's, cerruti 1881, changan automobile, cisco, crrc, Following a public comment period, the Forced Labor Enforcement Task Force will describe how companies can adequately demonstrate that their imports originating from China are not made with forced labor. What to Know - Effective June 21, 2022, 180 days after enactment of the Uyghur Forced Labor Prevention Act (UFLPA), a rebuttable presumption will apply that goods produced in whole or part in the Xinjiang Uyghur Autonomous Region (XUAR) of the People's Republic of China (PRC) are produced with forced labor and banned from US importation, unless the importer can provide "clear and convincing . Numerous sources, including government documents, show that transferred workers are assigned minders and have limited freedom of movement.. Companies will need to comply with the law 180 days after its December 23, 2021 enactment. Any violation of our policies has immediate consequences, including possible business termination.

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