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All the companies that responded said they required suppliers to follow strict labor . 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. , which revealed a vast network of companies complicit in the use of Uyghur forced labor throughout China. Amazons suppliers are responsible for making Amazon-branded products, such as the Echo, Fire TV, Kindle, the wide range of affordable products sold as part of its Amazon Basics line, and more. The companies were listed over human rights violations and abuses of Uighurs and other Muslim minorities, according to a US government filing on Wednesday. (LockA locked padlock) 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. 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. 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. 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. Companies doing business in China, especially those with supply chain touchpoints in Xinjiang, should consider how the new law will affect them. In January 2021, CBP issued a region-wide ban on all XUAR-produced cotton and tomato products, irrespective of the associated company. An official website of the United States government. 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). The UFLPA includes a process for importers to show via clear and convincing evidence that an imported item from the XUAR or linked to additional listed entities was not mined, produced, or manufactured wholly or in part by forced labor. In addition to providing such evidence, Section 3(b) of the UFLPA requires (A) compliance with forthcoming guidance under Section 2(d)(6) on due diligence, effective supply chain tracing, and supply chain management measures to ensure that such importers do not import any goods mined, produced, or manufactured wholly or in part with forced labor from the Peoples Republic of China, especially from the Xinjiang Uyghur Autonomous Region; and (B) cooperation with CBP in completely and substantively answering inquiries and information requests. 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 . Looking for U.S. government information and services? 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. Primark has been involved in child labor and modern slavery scandals before. Check the below Frequently Asked Questions to see if your questions about UFLPA Enforcement may be answered here. 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. As of April 2021, the following global companies and brands are profiting from their use of modern day Uyghur slavery. 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. 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.). Apple said it looks for forced labor as part of every assessment it conducts. The UFLPA reflects an expansion of U.S. policy efforts over the past two years to address reported violations of human rights in the XUAR. BOE Technology Group, which supplies screens to Apple, and O-Film, which makes iPhone cameras, both use Uighur labor, either directly or through contractors, the report found. Companies need to implement robust preventative and transparency measures, with their compliance departmentsnot their communications departmentsleading the way. Written by USCIRF Commissioner Nury Turkel. Address: One Bowerman Drive Beaverton, OR 97005. 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. The ASPI found that 27 factories across nine Chinese provinces used the labor of Uyghurs forcibly transferred from Chinese-occupied East Turkestan since 2017. On the Red Carpet at the 2022 Met Gala . 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. 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. Here are some of the 83 brands listed in the report as being connected to those factories using forced labor. Senior China researcher explains why viewers should "stay away" from the 2022 Winter Olympics. Bean, Hugo Boss and Uniqlo are now determining how to root out abuse from their supply chains a challenge given how much . 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. 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 Act requires CBP to apply the rebuttable presumption unless the importer can overcome the presumption of forced labor by establishing, by clear and convincing evidence, that the good, ware, article, or merchandise was not mined, produced, or manufactured wholly or in part by forced labor. He said Apple earlier this year ensured . ) or https:// means youve safely connected to the .gov website. Click Share This Page button to display social media links. Including the rule announced today, these actions have added 53 parties specifically implicated in human rights abuses of ethnic minorities from Xinjiang, and 15 of these which were implicated in human rights abuses related to forced labor of ethnic minorities from Xinjiang. 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. A number of countries have also imposed sanctions on Xinjiang, with the US moving ban imports from Xinjiang altogether in December. 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.. The companies supplied Apple with antennas, cables, and coatings, among other products and services, according to The Information. 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). A .gov website belongs to an official government organization in the United States. 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. LockA locked padlock As of April 2021, the following global companies and brands are profiting from their use of modern day Uyghur slavery. Apples supply chain has previously been linked to forced labor in China. Do not buy products made with the tears of modern-day Uyghur slaves. Amazon suppliers must not use forced labor slave, prison, indentured, bonded, or otherwise, its standards read. 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. I understand that in some of these poor countries it may not be clear who may be violating human rights in some way but there should be minimum due diligence standards. The factory, Haoyuanpeng Clothing Manufacturing Co. Ltd, lists Fila, Adidas, Puma and Nike among its clients. 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.. 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. Companies will have limited time between now and June 21 to identify and manage both legal compliance and business risks. 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. 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. 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. Under conditions that strongly suggest forced labour, Uyghurs are working in factories that are in the supply chains of at least 82 well-known global brands in the technology, clothing and automotive sectors, including Apple, BMW, Gap, Huawei, Nike, Samsung, Sony and Volkswagen. A lock ( 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. We have not identified additional exporters at this time but will continue to investigate and gather information about additional relevant entities. All Rights Reserved, By submitting your email, you agree to our. 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). For some products and industries, it may be easier to track sources and seek certifications of product origin. 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. 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. Primark is an Irish fast-fashion retailer with headquarters in Dublin, also operating in the United States. 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. Two other companies, GoerTek and Hefei BOE Optoelectronics, are indirectly involved, and allegedly utilize suppliers that have been accused of using forced labor. Enforcement Priorities or https:// means youve safely connected to the .gov website. Dont pretend theres not a problem in America. Share sensitive information only on official, secure websites. The report accuses Amazon of continuing to work with these suppliers, despite evidence of their association with Uyghur labor camps. Those factories claim to be part of the supply chain of 83 well-known global brands., The Fair Labor Association has also written a statement calling to an end of all forced labor in East Turkestan: , The Fair Labor Association (FLA) is deeply troubled by credible reports of forced labor and other violations of fundamental human rights in the Xinjiang region of China. 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. 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. 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. CBP guidance for XUAR WROs, and standards like the ILO Indicators of Forced Labor can provide reference points. This report must include both the goods and the evidence considered. A lock Content created by The Daily Caller News Foundation is available without charge to any eligible news publisher that can provide a large audience. 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.