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. 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. 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). 925) Adidas Amazon private labels American Eagle Outfitters, Inc. Anta Sports Products Ltd. Burberry Group PLC (Burberry) Brands Can't Confidently Say No. Dont pretend theres not a problem in America. U.S. remote-control maker Universal Electronics Inc told Reuters it struck a deal with authorities in Xinjiang to transport hundreds of Uyghur workers to its plant in the southern Chinese city of . A .gov website belongs to an official government organization in the United States. Whenever CBP determines that an exception is appropriate, it is required to make a report to Congressional committees within 30 days. These legal developments also dovetail with broader ESG and corporate responsibility trends. Enforcement Priorities 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. Written by USCIRF Commissioner Nury Turkel. 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,. Almost all global clothing brands are implicated in the use of cotton sourced from Chinese-occupied East Turkestan (Xinjiang) as well. 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. 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. Share sensitive information only on official, secure websites. Any violation of our policies has immediate consequences, including possible business termination. 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. Opinions expressed by Forbes Contributors are their own. Looking ahead, this focus on supply chain ethics appears to reflect a trend and not a blip. 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 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. Chinas population of Uyghurs, the countrys Muslim ethnic minority, is largely concentrated in the Xinjiang region of China. 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. Questions regarding UFLPA may be submitted to
[email protected]. 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. 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. -- the side where the Uighur workers enter and exit, and live in dorms -- looks almost like a prison. Apr 9, 2022. Although state media are claiming Uighurs are being compensated for their work, the ASPI researchersfound they live in segregated dormitories, are unable to go home, and they undergo Mandarin and ideological training outside working hours, similarly to Uighurs in the internment camps. 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. 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. Some companies have even advertised their ability to supply Uighur workers through online bookings. 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. report from the Tech Transparency Project, including internment camps, constant surveillance, mass sterilization, and forced labor, Tesla faced criticism for opening a showroom in the Xinjiang region, Mark Zuckerberg says Meta now has a team building AI tools and personas, Whoops! , which revealed a vast network of companies complicit in the use of Uyghur forced labor throughout China. Nov. 17, 201801:48. They are grouped into different categories and listed below. 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, Secure .gov websites use HTTPS Companies will need to comply with the law 180 days after its December 23, 2021 enactment. Your companys response to the Washington Post, by your spokesperson has been disappointingly inadequate. 2023 Vox Media, LLC. This report must include both the goods and the evidence considered. Questions regarding UFLPA may be submitted to
[email protected]. 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. 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. Thus, companies can expect that CBP will improve its detection and enforcement capabilities relative to the last two years of WRO enforcement. Entities identified in sections (i) and (ii) above may serve as both manufactures and exporters. For the most up-to-date information on CBPs UFLPA implementation, please see our website at www.cbp.gov/trade/forced-labor/UFLPA. 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. Our government should tax these company at above the money they are saving by using known slave labor. Retail giants Nike and H&M are facing a backlash in China after they expressed concern about the alleged use of Uighur forced labour in cotton production. BuzzFeed News reported finding more than 100 detention facilities located beside factories. 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). 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!. 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). Companies doing business in China, especially those with supply chain touchpoints in Xinjiang, should consider how the new law will affect them. Lenovo also pointed to a 2018 audit by the Reliable Business Alliance in which OFILM scored very well. Amazon complies with the laws and regulations in all jurisdictions in which it operates, and expects suppliers to adhere to our Supply Chain Standards, Amazon spokesperson Erika Reynoso said in a statement to The Verge. July 21, 2022 July 20, 2022 RealClearWire. The paper also described government incentives such as tax breaks and subsidies for Chinese companies to take Uighurs. 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. The report estimates that more than 80,000 Uighurs were transferred to work in factories across China between 2017 and 2019. However, a vast majority of implicated brands and companies have not taken any steps to address their ties to Uyghur forced labor. 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. Any dollar that goes to these brands is a dollar that goes into the factories profiting off of Uyghur forced labor. Many consumers are now boycotting Primark, but the brand is still expanding. The Uyghur Forced Labor Prevention Act (UFLPA), hereafter referred to as the Act, was signed into law by President Biden on December 23, 2021. Lets Examine. Here are some of the 83 brands listed in the report as being connected to those factories using forced labor. All Rights Reserved, By submitting your email, you agree to our. Primark is an Irish fast-fashion retailer with headquarters in Dublin, also operating in the United States. This cotton is then exported around the world. The year 2021 brought supply chain challenges to the center of the national conversation. Click Share This Page button to display social media links. Crypto company Gemini is having some trouble with fraud, Some Pixel phones are crashing after playing a certain YouTube video. 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. 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. Secure .gov websites use HTTPS 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 People's Republic of China, or produced by certain entities, is prohibited by . 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). 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 problem is not Apples alone. Primark uses sweatshops to make very low-price clothing. 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. Build a Morning News Brief: Easy, No Clutter, Free! 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. We take allegations of human rights abuses seriously, including those related to the use or export of forced labor. Uyghur Forced Labor Prevention Act Fact Sheet, Uyghur Forced Labor Prevention Act Importer Overview, H.R. / Sign up for Verge Deals to get deals on products we've tested sent to your inbox daily. It is bothersome that millions of people, including myself, may be owning clothing that are made by modern day slaves. The rebuttable presumption goes into effect on June 21, 2022. Let the companies know youre using your power as the consumer to advocate for human rights by tagging them in social media and pushing them to address their complicity in Uyghur forced labor. 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,. Please note that if you do not receive a letter from CBP, this does not mean that your supply chain is free of forced labor. This statute expands on those earlier efforts and is likely to impact a large number of U.S. companies, non-U.S. companies engaged in manufacturing or distribution in the United States, and other importers. (LockA locked padlock) We invited Apple, Esprit, and Fila to respond; they did not. A .gov website belongs to an official government organization in the United States. / Sign up for Verge Deals to get deals on products we've tested sent to your inbox daily. Crypto company Gemini is having some trouble with fraud, Some Pixel phones are crashing after playing a certain YouTube video. The Commerce Department will continue to take firm, decisive action tohold China and other perpetrators of human rights abuses accountable.. Earlier this year, Tesla faced criticism for opening a showroom in the Xinjiang region and was also mentioned as an alleged customer of the aforementioned Lens Technology company in the TTP report from December 2020. A 2014 draft contract for Xinjiang laborers in Guangdong province obtained by the AP shows the government there offered companies 3000 RMB ($428.52) per worker, with an additional 1000 RMB ($142.84) for "training" each . These workers were transferred from labor camps in the Xinjiang region of western China, WaPo reported. 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. To sign up for updates or to access your subscriber preferences, please enter your contact information below. #SaveUyghur #SaveUyghur @JFAorg, Send letter to John Donahoe, the Chief Executive Officer at Nike World Headquarters, 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. Looking for U.S. government information and services? . In addition, CBP is subject to reporting requirements that likely will discourage easy granting of exceptions. Sign up for Verge Deals to get deals on products we've tested sent to your inbox daily. Thus, it may be challenging for an importer to obtain an exception. From Company-Specific WROs to a Broader Import Ban in the XUAR In January, the Trump administration said China was committed genocide against the predominantly Muslim Uyghurs and other ethnic and religious minority groups in Xinjiang.. 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. An official website of the U.S. Department of Homeland Security. Best practices for compliance and supply chain due diligence still are evolving. For some products and industries, it may be easier to track sources and seek certifications of product origin. An official website of the United States government. The 83 foreign and Chinese companies that ASPI has identified as directly or indirectly benefiting from the potentially abusive transfer programs for Uighurs include clothing brands such as Adidas, Gap, Tommy Hilfiger and Uniqlo; carmakers such as BMW, General Motors, Jaguar and Mercedes Benz; and tech giants such as Apple, Google, Huawei and Microsoft. Two top congressional Democrats, Sen. Jeff Merkley, D-Ore., and Rep. Jim McGovern, D-Mass., urged players to drop endorsement deals with Chinese sportswear companies that use cotton from Xinjiang . Forced labor has been a central part of China's campaign against the Uighurs for as long as I can remember. 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. Demand Nike and other listed companies to stop sourcing their products from Uyghur forced labor. 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. 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. There are watchtowers with cameras pointed in all directions and high barbed wire fences atop the walls. 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). 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? 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. However, existing CBP guidance for WROs indicates a demanding standard for documentation and tracing. ASPI stated that it had found 27 factories in 9 Chinese provinces that are using Uyghur labor transferred from Xinjiang since 2017. Companies need to implement robust preventative and transparency measures, with their compliance departmentsnot their communications departmentsleading the way. LockA locked padlock Apples supply chain has previously been linked to forced labor in China. Two other companies, GoerTek and. Official websites use .gov (LockA locked padlock) To directly support Save Uyghurs campaign to safeguard fundamental human rights, donate to our cause now. On the Red Carpet at the 2022 Met Gala . 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. Apple and Amazon arent the only US-based companies with ties to Xinjiang and forced labor, either. The Uyghur Forced Labor Prevention Act (UFLPA) was signed into law by President Biden on December 23, 2021. A lock ( I was born in a re-education camp at the height of China's infamous Cultural Revolution. 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. 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! He said Apple earlier this year ensured that none of its other suppliers are using Uighur labor transferred from 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. Do not buy products made with the tears of modern-day Uyghur slaves. 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. 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. You may opt-out by. They include. 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.
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