Companies should review existing and prospective agreements for potential liability under China's anti-foreign sanctions law, Evan Chuck of Crowell & Moring advised during a Practising Law Institute webinar on Sept. 26.
The EU has received assurances that Beijing will grant export licenses for shipments of gallium and germanium to European businesses despite the restrictions China placed on exports of the two metals in August (see 2307050018), European Commission Vice President Valdis Dombrovskis said this week. Dombrovskis also said the bloc is looking to sanction additional Chinese firms that may be skirting restrictions against Russia and is hoping to ensure its upcoming supply chain due diligence regulations don’t impose excessive compliance burdens on EU companies.
The top Republican on the House Select Committee on China asked the Biden administration to determine whether 13 Chinese government officials should be subject to sanctions and 25 entities should be added to the Uyghur Forced Labor Prevention Act Entity List for their ties to human rights abuses in Xinjiang.
Export Compliance Daily is providing readers with the top stories from last week in case you missed them. You can find any article by searching for the title or by clicking on the hyperlinked reference number.
The Supply Chain Agreement, one of the pillars of the Indo-Pacific Economic Framework for Prosperity, will ask participating countries to work together to:
Allegations that Diesel Canada, Hugo Boss Canada and Walmart Canada purchase garments that were made in part with Uyghur forced labor -- complaints that rely on Australian Strategic Policy Institute reporting in 2020 and Sheffield Hallam University reports -- will progress to a fact-finding investigation after the Canadian Ombudsperson for Responsible Enterprise (CORE) found that the companies' responses weren't satisfactory.
Contractual language against forced labor may not be enough to meet increasing supply chain due diligence regulations, particularly as the EU implements its corporate sustainability due diligence directive (see 2202230073 and 2306010022), Ernst & Young advisers said this week. Although there is still debate about how broadly the bloc’s new rules will be scoped, the advisers warned companies against blinding themselves to rising government expectations.
Canadian mining company GobiMin is "pleased" that the Canadian Ombudsperson for Responsible Enterprise (CORE) has "declined to pursue an investigation of GobiMin’s activities and that it recognized that GobiMin engaged in good faith with the CORE’s initial assessment," a company spokesperson said in an Aug. 22 email.
The Canadian Ombudsperson for Responsible Enterprise (CORE) will begin an investigation in response to a complaint accusing Ralph Lauren Canada LP of "using or benefiting" from Uyghur forced labor, CORE announced in a press release Aug. 15. This follows the publication of an Initial Assessment report for Ralph Lauren Canada detailing allegations that it has supply relationships with Chinese companies that use Uyghur forced labor.
Hong Kong-based apparel company Chagji Esquel Textile (CJE) and the Commerce Department filed a joint stipulation of dismissal on Aug. 11 in CJE's suit challenging its placement on the Entity List. The parties most recently filed a joint status report in June as they discussed the conditions related to the End-User Review Committee's July 2021 decision to drop the company from the Entity List (Changji Esquel Textile Co. v. Gina M. Raimondo, D.D.C. # 21-01798).