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. Antony J. Blinken, Secretary of State June 21, 2022 Starting today, U.S. Customs and Border Protection (CBP) will begin to implement the Uyghur Forced Labor Prevention Act's provisions to prohibit imports made by forced labor into the United States of products made in Xinjiang. Thus far, the U.S. government has deployed Withhold Release Orders (WROs), export control restrictions pursuant to the Entity List, and sanctions designations under the Global Magnitsky Human Rights Accountability Act, which have targeted several large Chinese companies including the Xinjiang Production and Construction Corps (XPCC), as well as categories of products. The UFLPA mandates a review and strategy-development process expected to result in the identification of additional parties whose products will be presumed to derive from forced labor and banned from import. "Apple has zero tolerance for forced labor," Rosenstock said. Since the release of the ASPIs report, numerous companies and brands have released statements regarding their connections to Uyghur forced labor, with some taking direct action to end their complicity in supply chains corrupted by modern day slavery. 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. 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 . 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. The US Department of Commerce said the . Address: One Bowerman Drive Beaverton, OR 97005. Call To House Republicans On Pharmaceutical Supply Chain Middleman Investigation. DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. This action targets these entities ability to access commodities, software, and technology subject to the Export Administration Regulations (EAR), and is part of a U.S. Government-wide effort to take strong action against Chinas ongoing campaign of repression against Muslim minority groups in the XUAR. 1307, CBP is authorized to issue WROs to ban imports on goods and merchandise produced wholly or in part from forced or indentured labor, including child labor or convict labor. Uyghur Forced Labor Prevention Act Fact Sheet, Uyghur Forced Labor Prevention Act Importer Overview, H.R. 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. All work must be voluntary, and workers must be free to leave work and terminate their employment or other work status with reasonable notice.. Over several years, the group has been subject to a number of human rights abuses within the country, including internment camps, constant surveillance, mass sterilization, and forced labor. Additional license requirements apply to exports, re-exports, and transfers (in-country) of items subject to the EAR to listed entities, and the availability of most license exceptions is limited. An official website of the United States government. Check the below Frequently Asked Questions to see if your questions about UFLPA Enforcement may be answered here. Yili Zhuowan Garment Manufacturing Co., Ltd. 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. Whenever we find or receive proof of forced labor, we take action.. The report accuses Amazon of continuing to work with these suppliers, despite evidence of their association with Uyghur labor camps. Thus, companies can expect that CBP will improve its detection and enforcement capabilities relative to the last two years of WRO enforcement. Our government should tax these company at above the money they are saving by using known slave labor. DHS issued a Notice Seeking Public Comments in the Federal Register on January 24, 2022 on methods to prevent the importation of goods produced using forced labor from the People's Republic of China, specifically from the Xinjiang Uyghur Autonomous Region. The tech industry at large relies on suppliers in China, and The Information reports that these companies have also worked with Microsoft, Amazon, Google, and Facebook, among others. CBP is urging importers to be proactive and closely review their supply chains to ensure any goods or materials are not sourced from the XUAR in violation of the Act. As for population statistics, China lists Xinjiang's population at 24.5 million, including 12 million Uyghurs and 11 million Chinese as well as one million Kazakhs, Kyrgyz, Huai, and other ethnic. The list of well-recognized names includes Apple, Nike, Amazon, Samsung, Zara, H&M, Microsoft, Mercedes-Benz, Uniqlo, and more. Coca-Cola and Nike both pushed back on the NYT report in statements to the Daily Caller, arguing that they did not lobby against the Uyghur Forced Labor Protection Act or source products from Xinjiang. Share sensitive information only on official, secure websites. Several Apple suppliers may have used forced labor in China, according to The Information. Photo Uyghur Muslims by the Uyghur Human Rights Project. ASPI stated that it had found 27 factories in 9 Chinese provinces that are using Uyghur labor transferred from Xinjiang since 2017. However, each company and industry will have unique risks and therefore we may see bespoke risk assessments, supply chain ethical goals and resulting due diligence approaches. One of the suppliers operated in Xinjiang, the region of China predominantly populated by Uyghurs and where the most egregious human rights violations have reportedly taken place. Several major companies have reportedly fought efforts to end the practice of forced labor specifically the Uyghur Forced Labor Prevention Act, which passed the House by a vote of 403-6 in September. The factory, Haoyuanpeng Clothing Manufacturing Co. Ltd, lists Fila, Adidas, Puma and Nike among its clients. Most fashion brands can't promise their products aren't implicated, with concern spreading from fast-fashion and sportswear giants to major luxury groups. Among the required elements of the Task Force Strategy Report are lists of entities meeting the characteristics outlined at Section 2(d)(2)(B) of the UFLPA at (i), (ii), (iv) and (v). This cotton is then exported around the world. manufacturing also using Uighur workers?https://t.co . 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,. The Biden administration has been vocal about human rights in China and other jurisdictions, and efforts to enforce supply chain ethics appear to have bipartisan support. The law places the burden of proof on companies to demonstrate that any imports mined, produced, or manufactured wholly or in part in the Xinjiang Uyghur Autonomous Regionor involving entities exporting labor from Xinjiangwere not made using forced labor. 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. In one case, a batch of graduates from a so-called vocational training center in south Xinjiang were transferred directly to a factory in the eastern Anhui province, according to a government report. The Act, codified under 22 U.S.C. As your company has previously imported merchandise sourced from locations or entities potentially subject to the Act, you are being notified that any future entries of such merchandise may be subject to CBP enforcement action, including seizure, forfeiture and/or penalties, or other appropriate action under the customs laws. Companies will have limited time between now and June 21 to identify and manage both legal compliance and business risks. Stop sourcing from Qingdao Taekwang immediately. Apple, whichhas saidthat it is is committed to donating to organizations that challenge racial injustice and mass incarceration, has protested that it rigorously audits companies in its supply chain to make sure that Apples products arent derived from forced labor, saying in a statement to WaPo that Apple has zero tolerance for forced labor.. This report estimates that more than 80,000 Uyghurs were transferred out of Xinjiang to work in factories across China between 2017 and 2019, and some of them were sent directly from detention camps, a summary of the report said. Adding to these challenges, the efforts to comply with or plan for the UFLPA may cause a number of companies to consider their policies for supply chain ethics and due diligenceissues that may tie into broader environment, social and governance (ESG) efforts. One such ad, claiming to be able to supply 1,000 Uighur workers aged 16 to 18 years, read: The advantages of Xinjiang workers are: semi-military style management, can withstand hardship, no loss of personnel Minimum order 100 workers!. However, existing CBP guidance for WROs indicates a demanding standard for documentation and tracing. In advance of June 21st, CBP will be issuing letters to importers identified as having previously imported merchandise that may be subject to the Act to encourage those importers to address any forced labor issues in their supply chains in a timely manner. ChatGPT Swears It Can Optimize Your Inventory. Many consumers are now boycotting Primark, but the brand is still expanding. 83 global companies and brands are directly or indirectly benefiting from the use of Uyghur forced laborers in these factories. An April 2021 report co-authored by Human Rights Watch and Stanford Law School details "crimes against humanity," including mass detention, forced labor, torture, and cultural and religious erasure. Further complicating the matter are Chinas poverty alleviation and pairing assistance programs, some of which forcibly relocate Uyghur and other minorities as laborers outside of Xinjiang. Keep in mind also this is part of the problem with China, it is hard for other countries or supply chains to compete with no labor costs. ASPI stated that it had found 27 factories in 9 Chinese provinces that are using Uyghur labor transferred from Xinjiang since 2017. Apples supply chain has previously been linked to forced labor in China. (LockA locked padlock) 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. The TTP found that three Amazon suppliers Luxshare Precision Industry, AcBel Polytech, and Lens Technology have reportedly used forced labor themselves. Brands Can't Confidently Say No. U.S. officials said the Labor Department had seen a nearly 70% increase in child labor violations since 2018, including in hazardous occupations. Six of the seven suppliers were said to participate in work programs operated by the Chinese government, The Information reports, which human rights groups describe as frequently offering cover for forced labor. We will continue doing all we can to protect workers and ensure they are treated with dignity and respect, the spokesperson said. 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. 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 United Nations estimates that, since 2017, China has forcibly placed an estimated 1.5 million Uyghur and Turkic Muslims in prison camps across the Xinjiang Autonomous Region. Here are some of the 83 brands listed in the report as being connected to those factories using forced labor. To directly support Save Uyghurs campaign to safeguard fundamental human rights, donate to our cause now. For the most up-to-date information on CBPs UFLPA implementation, please see our website at www.cbp.gov/trade/forced-labor/UFLPA. The estimated figure is conservative and the actual figure is likely to be far higher., In factories far away from home, they typically live in segregated dormitories, undergo organised Mandarin and ideological training outside working hours, are subject to constant surveillance, and are forbidden from participating in religious observances, the report summary continued. The Washington Postreported Tuesdaythat Apple supplier Lens Technology uses Uighur workers in its factories, according to documents obtained by the Tech Transparency Project. 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. Xinjiang Junggar Cotton and Linen Co., Ltd. Xinjiang Production and Construction Corps (including three aliases: XPCC; Xinjiang Corps; and Bingtuan) and its subordinate and affiliated entities, Aksu Huafu Textiles Co. (including two aliases: Akesu Huafu and Aksu Huafu Dyed Melange Yarn), Hefei Bitland Information Technology Co., Ltd. (including three aliases: Anhui Hefei Baolongda Information Technology; Hefei Baolongda Information Technology Co., Ltd.; and Hefei Bitland Optoelectronic Technology Co., Ltd.), Hefei Meiling Co. Ltd. (including one alias: Hefei Meiling Group Holdings Limited), KTK Group (including three aliases: Jiangsu Jinchuang Group; Jiangsu Jinchuang Holding Group; and KTK Holding). In the last fiscal year, 835 companies were found . SHARE. CBP guidance for XUAR WROs, and standards like the ILO Indicators of Forced Labor can provide reference points. To sign up for updates or to access your subscriber preferences, please enter your contact information below. Companies need to implement robust preventative and transparency measures, with their compliance departmentsnot their communications departmentsleading the way. Written by USCIRF Commissioner Nury Turkel. Do not buy products made with the tears of modern-day Uyghur slaves. The period coincides with Chinas campaign ofmass internment of ethnic minorities in Xinjiang, which the government says is needed to root out terrorism and separatism. Activists have launched a campaign accusing firms of . An official website of the United States government. As you are likely aware, Congress recently passed, and the President signed into law, the Uyghur Forced Labor Prevention Act (the Act). Versace Jimmy Choo Michael Kors Chanel Costco Hanes Hermes Gucci Balenciaga Yves Saint Laurent Bottega Veneta Alexander McQueen Kate Spade, BMW General Motors Jaguar Land Rover Volkswagen, Muji Kohls Macys Nordstrom Target Tesco TJ Maxx Marshalls HomeGoods Walmart Sams Club Flipkart Bonobos Walt Disney, Acer ASUS Dell HP Huawei Lenovo LG Microsoft Oppo Samsung Sony Xiaomi Cisco Electrolux. 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. For some products and industries, it may be easier to track sources and seek certifications of product origin. For the most up-to-date information on CBPs UFLPA implementation, please see our website at https://www.cbp.gov/trade/forced-labor/UFLPA. or https:// means youve safely connected to the .gov website. CBP has released importer guidance to assist the trade community in preparing for the implementation of the UFLPA rebuttable presumption that goes into effect on June 21, 2022. Nike, Adidas, Apple, Microsoft and Samsung are among 83 multinationals that have been linked to forced labor by Uighurs in factories across China, according to a new study by the Australian. It 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 People's Republic of China, or produced by certain entities, is prohibited by . Please immediately end any sourcing from companies complicit in using forced labor, and discontinue any business relations with them. 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. I am a journalist writing about China manufacturing and trade. Official websites use .gov 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. A number of companies and brands have been linked to labor forced on Uighur Muslims by the Chinese government, according to multiple reports. A lock Products made with such labor will be covered by the laws rebuttable presumption, even if they are produced in other regions of China. Looking for the presence of forced labor is part of every supplier assessment we conduct, including surprise audits, spokesman Josh Rosenstock told Apple. The UFLPA also appears to envision a supply chain compliance program meeting certain minimum standards. Thereport listedpopular clothing companies Abercrombie & Fitch, Adidas, Gap, Calvin Klein, H&M, L.L.Bean, Lacoste,Nike, The North Face, Polo Ralph Lauren, Puma, Skechers, Tommy Hilfiger, Zara, and Victorias Secret, as well as General Motors, Goertek, Land Rover, Mercedes-Benz, Volkswagon, and more. The law places the burden of proof on companies to demonstrate that any imports "mined, produced, or manufactured wholly or in part" in the Xinjiang Uyghur Autonomous Regionor involving entities. 83 global companies and brands are directly or indirectly benefiting from the use of Uyghur forced laborers in these factories. Apple, which has saidthat it is committed to donating to organizations that challenge racial injustice and mass incarceration, is not the only company to come under scrutiny for its links to slave 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. 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. A lock ( The UFLPA now would effectively apply the presumption of forced labor to all goods made in the XUAR without the need for CBP to issue WROs. In any future CBP enforcement action related to such merchandise, CBP will take into consideration the fact that you have been provided this notice in determining appropriate administrative remedies. 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 programs target the countrys Muslim minority population, particularly Uyghurs living in Xinjiang. The report did not document factories using Uyghur labor. The entities to be added to the Entity List in connection with participating in the practice of, accepting, or utilizing forced labor involving Uyghurs and other Muslim minority groups in the XUAR are: Hoshine Silicon Industry (Shanshan) Co., Ltd. Xinjiang Daqo New Energy Co., Ltd. Xinjiang East Hope Nonferrous Metals Co., Ltd. I was born in a re-education camp at the height of China's infamous Cultural Revolution. It is bothersome that millions of people, including myself, may be owning clothing that are made by modern day slaves. The UFLPA Entity List can be found in the Strategy to Prevent the Importation of Goods Mined, Produced, or Manufactured with Forced Labor in the People's Republic of China and the Federal Register Notice on the Addition of Entities to the Uyghur Forced Labor Prevention Act Entity List. Apple and Amazon arent the only US-based companies with ties to Xinjiang and forced labor, either.
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