CBP is ready for the June start date of the Uyghur Forced Labor Prevention Act, John Leonard, deputy executive assistant commissioner of the CBP Office of Trade told a textile conference audience. However, Leonard acknowledged that CBP won't have identified factories outside of the Xinjiang Uyghur Autonomous Region that employ Uyghurs or members of other persecuted groups by the start of enforcement. Those goods are also supposed to be blocked under the UFLPA.
The Uyghur Forced Labor Prevention Act and the likelihood that the EU will pass a due diligence directive requiring disclosure of forced labor risk for large companies are changing the paradigm of supply chain visibility, a top Labor Department official said during a webinar on human rights in global supply chains. Thea Lee, a long-time union official and now deputy undersecretary for international affairs in the Bureau of International Labor Affairs, said, "I do think that we are in a new era, and it will behoove most companies to start taking these steps to be able to have the eyes into their supply chain whether they are directly impacted right now by the EU directive or whether they are selling goods into the United States."
TUCSON, Arizona -- CBP will be issuing its guidance on the Uyghur Forced Labor Protection Act prior to the new law’s June 21 effective date, CBP Commissioner Chris Magnus said in remarks at the National Customs Brokers & Forwarders Association of America annual conference May 4. The guidance, which will “provide transparency to CBP’s operational approach,” will be out “very, very soon,” he said.
Florida's two U.S. senators, Marco Rubio and Rick Scott, introduced a bill that would require publicly traded companies to report any transactions with Chinese companies on the entity list or that are designated as military-industrial complex companies, and report their sourcing and due diligence activities for supply chains if their imported products have been "directly linked to products utilizing forced labor from Xinjiang, China." The senators, both Republican, announced the bill April 29, and said they have four other Republican co-sponsors.
The director of CBP's Office of Trade told an audience that importers who are considering importing a good that has a new supply chain and are concerned about running afoul of the ban on imports of goods made with forced labor can submit a request for a binding ruling that the product's supply chain is free of forced labor. CBP Executive Assistant Commissioner AnnMarie Highsmith, speaking at a webinar hosted by the University of Illinois Chicago School of Law on April 20, noted she was not presenting CBP's official position in her remarks.
Upcoming and much anticipated guidance on compliance with the Uyghur Forced Labor Prevention Act (UFLPA) could very well be less detailed than the trade community would like, so importers should treat it like “gravy” and focus on starting now on due diligence efforts in preparation for the new law’s effective date in June, customs lawyer Richard Mojica of Miller & Chevalier said.
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International Trade Today is providing readers with the top stories from last week in case they were missed. All articles can be found by searching on the titles or by clicking on the hyperlinked reference number.
CBP plans to send letters to "identified as having previously imported merchandise that may be subject" to the Uyghur Forced Labor Prevention Act, CBP said in an April 12 email. The UFLPA imposes a rebuttable presumption that goods from Xinjiang Uyghur Autonomous Region involve the use of forced labor as of June 21. Ahead June 21, CBP will use the "known importer letters" to "encourage those importers to address any forced labor issues in their supply chains in a timely manner," it said.
Academics and human rights organization employees are concerned about trade groups' requests at a public hearing on the implementation of the Uyghur Forced Labor Prevention Act.