US Customs and Border Protection (CBP) has taken significant actions to combat forced labor practices. Recently, CBP added 29 Chinese companies to the Uyghur Forced Labor Prevention Act (UFLPA) Entity List, prohibiting them from exporting goods to the United States (US). This brings the total to 107 Chinese-based companies.
These companies are suspected of using forced labor in the Xinjiang Uyghur Autonomous Region (XUAR). Furthermore, CBP has issued a Finding against Kingtom Aluminio S.R.L., a Chinese-owned entity in the Dominican Republic, due to evidence of forced labor in the production of aluminum extrusion and profile products. As a result, CBP will seize these products at all US ports of entry.
Globally, the International Labour Organization (ILO) estimates that approximately 28 million workers are trapped in forced labor conditions. This egregious practice not only exploits vulnerable individuals but also undermines American workers and ethical businesses, who face unfair competition from goods produced through forced labor and sold at artificially low prices.
The US Department of Homeland Security (DHS) and the Forced Labor Enforcement Task Force (FLETF) are working to eliminate forced labor practices in US supply chains. Importers must ensure that their supply chains are free from forced labor, as failure to comply with the UFLPA may result in the seizure of goods and other penalties. A full list of additions to the UFLPA Entity List can be found here. For further questions on the additions to the UFLPA Entity List, reach out to Mohawk Global Trade Advisors.