Most fashion brands can't promise their products aren't implicated, with concern spreading from fast-fashion and sportswear giants to major luxury groups. Thus, companies can expect that CBP will improve its detection and enforcement capabilities relative to the last two years of WRO enforcement. 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. He said Apple earlier this year ensured . 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. He said Apple earlier this year ensured that none of its other suppliers are using Uighur labor transferred from Xinjiang. 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. or https:// means youve safely connected to the .gov website. 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. Save my name, email, and website in this browser for the next time I comment. Companies in the labor transfer program are often in labor-intensive industries, so they asked: is the growing and labor-intensive P.P.E. 6901 note, established a rebuttable presumption that any goods, wares, articles, and merchandise mined, produced, or manufactured wholly or in part in the Xinjiang Uyghur Autonomous Region (XUAR) 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) are prohibited under section 307 of the Tariff Act of 1930 (19 U.S.C. 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. ASPI stated that it had found 27 factories in 9 Chinese provinces that are using Uyghur labor transferred from Xinjiang since 2017. The Commerce Department will continue to take firm, decisive action tohold China and other perpetrators of human rights abuses accountable.. Lets Examine. 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). 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. 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, 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. Coca-Cola, Nike, Apple, and other corporationsfought to weakenthe bills language, theNew York Timesreported in late November, arguing that the bill would harm the supply chains they rely on in China. This page was not helpful because the content, Strategy to Prevent the Importation of Goods Mined, Produced, or Manufactured with Forced Labor in the Peoples Republic of China, Notice on the Addition of Entities to the Uyghur Forced Labor Prevention Act Entity List. Most companies will require advance planning to assess the risks posed by the UFLPA and develop the compliance and due diligence mechanisms that will be needed to monitor supply chains and commercial partners. Do not buy products made with the tears of modern-day Uyghur slaves. Following near unanimous passage by Congress, President Biden signed into law the Uyghur Forced Labor Prevention Act, which seeks to untangle American supply chains from the forced labor of Uyghurs and other persecuted ethnoreligious minorities in China. Please immediately end any sourcing from companies complicit in using forced labor, and discontinue any business relations with them. 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. 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. Bean, Hugo Boss and Uniqlo are now determining how to root out abuse from their supply chains a challenge given how much . 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. 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). All the companies that responded said they required suppliers to follow strict labor . 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. (See here.) 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 Peoples Republic of China, or produced by certain entities, 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. 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. 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. However, existing CBP guidance for WROs indicates a demanding standard for documentation and tracing. 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. The problem is not Apples alone. The companies that broker this Uighur labor advertise that the workers are used to working in adversity, that they will stay the length of the contract. Apple found no evidence of forced labor anywhere we operate, a spokesperson told The Information. A .gov website belongs to an official government organization in the United States. Photo Uyghur Muslims by the Uyghur Human Rights Project. A lock ( 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. Forced labor has been a central part of China's campaign against the Uighurs for as long as I can remember. The Entity List is a tool utilized by BIS to restrict the export, reexport, and transfer (in-country) of items subject to the EAR to persons (individuals, organizations, companies) reasonably believed to be involved, or to pose a significant risk of becoming involved, in activities contrary to the national security or foreign policy interests of the United States. Share sensitive information only on official, secure websites. U.S. officials said the Labor Department had seen a nearly 70% increase in child labor violations since 2018, including in hazardous occupations. The Uyghur Forced Labor Prevention Act (UFLPA) was signed into law by President Biden on December 23, 2021. (See here.) 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. 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. Two other companies, GoerTek and. 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. 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. The ASPI found that 27 factories across nine Chinese provinces used the labor of Uyghurs forcibly transferred from Chinese-occupied East Turkestan since 2017. An investigation by the Associated Press published in June found that the Chinese government is committing demographic genocide against Uighur Muslims through forced abortions, birth control, mass detentions, and imprisonment. We have not identified additional exporters at this time but will continue to investigate and gather information about additional relevant entities. WASHINGTON Nike and Coca-Cola are among the major companies and business groups lobbying Congress to weaken a bill that would ban imported goods made with forced labor in China's Xinjiang. Hefei Bitland Information Technology Co. Ltd. Hoshine Silicon Industry (Shanshan) Co., Ltd., and Subsidiaries. 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. They are grouped into different categories and listed below. The laws rebuttable presumption means companies whose supply chains touch Xinjiangor utilize Xinjiang-exported laborwill have to demonstrate by clear and convincing evidence that their products are free of forced labor. Importers of record will have a path to overcome that rebuttable presumption by showing that the items are not mined, produced, or manufactured wholly or in part by forced labor and demonstrating other elements of compliance. Take action against global brands and companies complicit in forced labor by not buying their products. The ASPI found that 27 factories across nine Chinese provinces used the labor of Uyghurs forcibly transferred from Chinese-occupied East Turkestan since 2017. At least 570,000 Uighur Muslims are being forced to work in Chinese cotton fields that produce one-fifth of the world's supply, a new report says. 1307) to prevent the importation into the United States of goods mined, produced, or manufactured wholly or in part with forced labor in the Peoples Republic of China. This will involve opportunities for public comment and ultimately a report to Congressional committees by June 21, 2022 (the Task Force Strategy Report). . 1307) are not entitled to entry at any of the ports of the United States. 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. 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.. While some industries may have experience with conflict minerals, blood diamonds or child labor, not all compliance and ethics programs are designed to look at supply chain risks. While some of the enforcement specifics of the Uyghur Forced Labor Prevention Act will be clarified over the next six months, it is clear that grand statements from corporations are no longer enough. 83 global companies and brands are directly or indirectly benefiting from the use of Uyghur forced laborers in these factories. This situation poses new risksreputational and legalfor companies and consumers purchasing goods from China, as products made in any part of the country, not just in Xinjiang, may have passed through the hands of forced labourers, the authors said. 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. 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. 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. In a spring 2020 report report titledUyghurs For Sale, the Australian Strategic Policy Institute found that at least 83 popular, household-name brands are potentially directly or indirectly benefiting from the use of Uyghur workers outside Xinjiang through abusive labour transfer programs as recently as 2019.. 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 Peoples Republic of Chinaand the Federal Register Notice on the Addition of Entities to the Uyghur Forced Labor Prevention Act Entity List. CBP issued a Withhold Release Order (WRO) against cotton products and tomato products produced in Xinjiang based on information that reasonably indicates the use of detainee or prison . Even more to the point, how about forced labor right here in the U.S. with our prisons (especially the privatized ones), with our vagrancy laws, our with our use of cheap underpaid and unpaid foreign labor from the very groups that conservatives want to deport unless, of course, these conservatives can make more unbegotten money from their forced labor? Enforcement Priorities A .gov website belongs to an official government organization in the United States. The paper also described government incentives such as tax breaks and subsidies for Chinese companies to take Uighurs. Companies Prepare for the Uyghur Forced Labor Prevention Act (UFLPA) Stephan Becker, Benjamin Cote, Aaron Hutman, Moushami Joshi, Toochi Ngwangwa Pillsbury Winthrop Shaw Pittman LLP + Follow. The complexity and opacity of supply chains in China will complicate the due diligence process, as some products and materials made with forced labor in Xinjiang are repurposed in intermediary factories elsewhere in China, obscuring their origin. 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). 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. -- the side where the Uighur workers enter and exit, and live in dorms -- looks almost like a prison. Address: One Bowerman Drive Beaverton, OR 97005. 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. 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. Thus, it may be challenging for an importer to obtain an exception. 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. To directly support Save Uyghurs campaign to safeguard fundamental human rights, donate to our cause now. The year 2021 brought supply chain challenges to the center of the national conversation. ) or https:// means youve safely connected to the .gov website. The UK government must toughen measures to tackle modern slavery, including more penalties to compel businesses to ensure Uighur forced labour is not used in their supply chains, according to a . "Apple has zero tolerance for forced labor," Rosenstock said. LAIXI, CHINA - JANUARY 8, 2020: The fences along the side of the Qingdao Taekwang Shoes Co. factory [+] -- the side where the Uighur workers enter and exit, and live in dorms -- looks almost like a prison. Major international clothing brands like L.L. We call for an immediate end to these violations and pledge to work collaboratively with governments, civil society, unions, and multilateral organizations to achieve this goal., @Nike Shameful that an American brand like yours benefit from the labor of the Uyghurs. This op-ed was originally published by the New York Times on January 20, 2021. 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. They are grouped into different categories and listed below. Some companies have even advertised their ability to supply Uighur workers through online bookings. Apple spokesman Josh Rosenstock said the company has confirmed that Lens Technology has not received any labor transfers of Uighur workers from Xinjiang. 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. Primark has been involved in child labor and modern slavery scandals before. Companies need to implement robust preventative and transparency measures, with their compliance departmentsnot their communications departmentsleading the way. 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. As of April 2021, the following global companies and brands are profiting from their use of modern day Uyghur slavery. 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. Companies doing business in China should consider the following to prepare for the new requirements. Although journalists have in the pastlinked Western companies to forced Uighur labor, this is the first time the problem is made apparent on such a large scale, enveloping factories and supply chains across the country. Any violation of our policies has immediate consequences, including possible business termination. Yili Zhuowan Garment Manufacturing Co., Ltd. These categories appear likely to include additional manufacturers and intermediate supply chain participants outside of the XUAR. Whenever CBP determines that an exception is appropriate, it is required to make a report to Congressional committees within 30 days. Apple said it looks for forced labor as part of every assessment it conducts. Zara and Uniqlo owners face investigation over profiting from alleged Uyghur forced labor in China BY Angelina Rascouet, Geraldine Amiel and Bloomberg July 2, 2021, 10:14 AM UTC Leading fashion. Secure .gov websites use HTTPS 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. 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. We will continue doing all we can to protect workers and ensure they are treated with dignity and respect, the spokesperson said. A Chinese-dominated mining company has procured millions of dollars in American subsidies to extract lithium in the United States - but, given a dearth of U.S. processing capacity, the mineral is likely to be sent to China with no guarantee that the end product would return as . In January 2021, CBP issued a region-wide ban on all XUAR-produced cotton and tomato products, irrespective of the associated company. LockA locked padlock 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. Many consumers are now boycotting Primark, but the brand is still expanding. A lock 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. Share sensitive information only on official, secure websites. SHARE. A number of companies and brands have been linked to labor forced on Uighur Muslims by the Chinese government, according to multiple reports. Activists have launched a campaign accusing firms of . 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. The programs target the countrys Muslim minority population, particularly Uyghurs living in Xinjiang. From Company-Specific WROs to a Broader Import Ban in the XUAR On the Red Carpet at the 2022 Met Gala . The Save Uyghur Campaign would like to recognize BBC News for the release of The, Who Are the Uyghurs and Why Is China Being Accused of Genocide? BBC News, 21, Background Date of Birth: January 6th, 1987 National Identification Number: 652924198701060014 Chinese Official Name: Alimu, General contact / Media queries info@justiceforall.org, 27 E. Monroe St. #700, Chicago IL 60603, USA, , from the Australian Strategic Policy Institute, reveals a vast network of companies complicit in the mass detention of Uyghurs and other Turkic people. The companies supplied Apple with antennas, cables, and coatings, among other products and services, according to The Information. Many Chinese have called for boycotts,. Put On The Gas. 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. Under the Uyghur Forced Labor Prevention Act, which comes into effect on June 21, President Joe Biden's administration assumes anything made even partially in Xinjiang is produced with forced . Companies will need to comply with the law 180 days after its December 23, 2021 enactment. 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. Opinions expressed by Forbes Contributors are their own. 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. 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. 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. 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). Looking ahead, this focus on supply chain ethics appears to reflect a trend and not a blip. Lenovo also pointed to a 2018 audit by the Reliable Business Alliance in which OFILM scored very well. 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. 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. Fila LL Bean Hugo Boss Lacoste Li-Ning The North Face Skechers Tommy Hilfiger Victoria's Secret Zara Zegna Anta Jansport Clothing Brands Versace Jimmy Choo Michael Kors Chanel Costco Hanes Hermes Gucci Balenciaga Yves Saint Laurent The UFLPA also appears to envision a supply chain compliance program meeting certain minimum standards. Any dollar that goes to these brands is a dollar that goes into the factories profiting off of Uyghur forced labor. 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!.

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