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Ted Murphy: Enforcement Likely to Increase on Trade Laws for Chinese Inputs, Goods

Customs lawyer Ted Murphy, remarking on the nine-page letter from the House Select Committee on China regarding Uyghur Forced Labor Prevention Act and other customs issues (see 2401220005), said firms should be aware that enforcement of laws that affect trade with China is a top priority.

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"More specifically, companies in industries that have been identified as priority sectors for UFLPA enforcement should make sure that their UFLPA compliance efforts are tailored to the risks (which are evolving) and that they are prepared to respond to potential detention notices (e.g., are you sure that your suppliers will be able to provide you with the required supply chain tracing documentation?)," he blogged.

He said companies whose products include manganese, molybdenum, gold or other metals mined or processed by the 29 companies mentioned in the letter "should take the letter seriously and confirm whether any of these entities are in their supply chains (since there is now a higher likelihood of these entities being added to the UFLPA Entity List)."

And, he said, companies that manufacture outside China but with Chinese inputs "should be prepared to defend their country of origin declarations (e.g., by having reasonable care documentation that contains the legal analysis in support of those declarations, etc.). Increased trade enforcement is likely here to stay."