2022.08.24 WednesdayASPI stated that it had found 27 factories in 9 Chinese provinces that are using Uyghur labor transferred from Xinjiang since 2017. 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 . 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. Almost all global clothing brands are implicated in the use of cotton sourced from Chinese-occupied East Turkestan (Xinjiang) as well. July 21, 2022 July 20, 2022 RealClearWire. Apple said it looks for forced labor as part of every assessment it conducts. Rebutting the Forced Labor Presumption For licensing opportunities of our original content, please contact, Immigration Expert Says Bidens Immigration Plans Could Provide Amnesty for Millions of People, At Princeton, a Racial Reckoning and a Free Speech Battle. 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. The problem is not Apples alone. Put On The Gas. A lock As of April 2021, the following global companies and brands are profiting from their use of modern day Uyghur slavery. (See here.) Apple found no evidence of forced labor anywhere we operate, a spokesperson told The Information. 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. However, a vast majority of implicated brands and companies have not taken any steps to address their ties to Uyghur forced labor. The report listed popular 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 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. 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. 83 global companies and brands are directly or indirectly benefiting from the use of Uyghur forced laborers in these factories. Photo Uyghur Muslims by the Uyghur Human Rights Project. Major international clothing brands like L.L. Official websites use .gov 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.. 925) Adidas Amazon private labels American Eagle Outfitters, Inc. Anta Sports Products Ltd. Burberry Group PLC (Burberry) 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. (See here.) The enforcement strategy, and how much companies will need to do to satisfy the law, remains to be seen. Apple . 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. 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. 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. 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. He said Apple earlier this year ensured that none of its other suppliers are using Uighur labor transferred from Xinjiang. BuzzFeed News reported finding more than 100 detention facilities located beside factories. 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. 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. 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. 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. 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. Entities identified in sections (i) and (ii) above may serve as both manufactures and exporters. 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. 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. 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. All Rights Reserved, By submitting your email, you agree to our. 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.. Law Firms: Be Strategic In Your COVID-19 Guidance [GUIDANCE] On COVID-19 and Business Continuity Plans. 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. As the TTP points out, Amazons supply chain standards (PDF) specifically rule out forced labor. 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. These workers were transferred from labor camps in the Xinjiang region of western China, WaPo reported. Primark uses sweatshops to make very low-price clothing. The report accuses Amazon of continuing to work with these suppliers, despite evidence of their association with Uyghur labor camps. As of April 2021, the following global companies and brands are profiting from their use of modern day Uyghur slavery. Abercrombie & Fitch, Acer Adidas Alstom BAIC Motor BMW Bombardier Bosch BYD Calvin Klein Candy Carter's Cerruti 1881 Changan Automobile Cisco CRRC Electrolux Fila, Founder Group GAC Group (automobiles) Gap Geely Auto General Motors Goertek The Uyghur Forced Labor Prevention Act (UFLPA) was signed into law by President Biden on December 23, 2021. We will continue doing all we can to protect workers and ensure they are treated with dignity and respect, the spokesperson said. 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 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. 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.). The Commerce Department will continue to take firm, decisive action tohold China and other perpetrators of human rights abuses accountable.. 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. 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. They include. Nov. 17, 201801:48. manufacturing also using Uighur workers?https://t.co . 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,. A lock ( 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. 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.. 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). Crypto company Gemini is having some trouble with fraud, Some Pixel phones are crashing after playing a certain YouTube video. Companies doing business in China should consider the following to prepare for the new requirements. A .gov website belongs to an official government organization in the United States. Demand Nike and other listed companies to stop sourcing their products from Uyghur forced labor. 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. Please immediately end any sourcing from companies complicit in using forced labor, and discontinue any business relations with them. They are grouped into different categories and listed below. An official website of the U.S. Department of Homeland Security. For more information, visitwww.bis.doc.gov. There are watchtowers with cameras pointed in all directions and high barbed wire fences atop the walls. Read the FLETF'sStrategy to Prevent the Importation of Goods Mined, Produced, or Manufactured with Forced Labor in the Peoples Republic of China. 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). U.S. Customs and Border Protection (CBP) Issues Withhold Release Order (WRO): CBP has issued a WRO on silica-based products made by Hoshine Silicon Industry Co., Ltd., a company located in . For the most up-to-date information on CBPs UFLPA implementation, please see our website at https://www.cbp.gov/trade/forced-labor/UFLPA. 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. Crypto company Gemini is having some trouble with fraud, Some Pixel phones are crashing after playing a certain YouTube video. Yili Zhuowan Garment Manufacturing Co., Ltd. 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. . Secure .gov websites use HTTPS 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). 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. Whenever CBP determines that an exception is appropriate, it is required to make a report to Congressional committees within 30 days. 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 . 2023 Vox Media, LLC. 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. 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. Looking ahead, this focus on supply chain ethics appears to reflect a trend and not a blip. Share sensitive information only on official, secure websites. 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. Opinions expressed by Forbes Contributors are their own. 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. (LockA locked padlock) The ASPI found that 27 factories across nine Chinese provinces used the labor of Uyghurs forcibly transferred from Chinese-occupied East Turkestan since 2017. Official websites use .gov Please note that this notice may serve as an aggravating factor should CBP take enforcement action upon determining future violations of the Act.
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