U.S. Customs Border and Protection (CBP) is planning to add forced labor to its list of “Priority Trade Issues (PTIs),” according to the Commercial Customs Operations Advisory Committee (COAC) Forced Labor Working Group.

What are PTIs

The PTIs “represent high-risk areas that can cause significant revenue loss, harm the U.S. economy, or threaten the health and safety of the American people.” Currently, there are seven PTIs including trade agreements, import safety, revenue, and antidumping and countervailing duties. PTIs drive risk-informed investment of CBP resources, enforcement, and facilitation efforts.

The Approach

The COAC group will recommend a broader governmental approach on addressing forced labor. The COAC group will suggest that “CBP should utilize the expert resources of all relevant U.S. government agencies to develop a synchronized strategy, as well as engage more extensively in dialogue and priority setting with the trade.” They will also suggest that CBP expand its collaboration and communication with trade sectors and industries in identifying and sharing best practices.

How can you make sure that your company takes an active role in vetting current and potential suppliers? It is recommended that companies thoroughly examine their supply chain recruitment practices, especially if third party recruiters are being used. To learn more about vetting suppliers and managing your risk of incurring forced labor violations, contact Mohawk Global Trade Advisors.

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