In an effort to combat forced labour, the US has prohibited imports from an additional five Chinese companies. These firms, based in China, are alleged to profit from the forced labour of Uighurs.
The Department of Homeland Security (DHS) has included these five companies on the Uighur Forced Labor Prevention Act (UFLPA) Entity List, increasing the total number to 73. Engaging in business with companies on this list is now illegal for American entities.
As per reports, there is also a wider ban in effect that applies to any goods partially produced with Uighur forced labour.
The newly added companies are:
– Rare Earth Magnesium Technology Group Holdings and its parent company, Century Sunshine Group Holdings from Hong Kong, were accused of procuring materials compromised by forced labour from Xinjiang.
– Kashgar Construction Engineering (Group) Co Ltd, Xinjiang Habahe Ashele Copper Co Ltd, and Xinjiang Tengxiang Magnesium Products Co Ltd were accused of directly using Uighur forced labour.
The DHS states that these additions are in line with its commitment to combat forced labour and to hold those responsible for what it describes as China’s “continuing genocide and crimes against humanity against Uyghurs and other religious and ethnic minority groups in the Xinjiang Uyghur Autonomous Region (XUAR).”
Effective August 9, 2024, the US Customs and Border Protection (CBP) will enforce a rebuttable presumption that goods from these companies are prohibited from entry into the US.
“As the DHS continues to identify more entities across various sectors that utilize or contribute to forced labour, we take action to exclude their contaminated goods from our national supply chains,” stated Alejandro N. Mayorkas, the US Secretary of Homeland Security.
What is UFLPA?
The UFLPA was enacted in December 2021, affecting a wide range of industries including apparel and electronics.
Robert Silvers, the DHS Under Secretary for Policy and Chair of the Forced Labor Enforcement Task Force (FLETF), emphasized the necessity for companies to perform due diligence and be aware of their product origins.
Furthermore, since 2021, the US government has levelled accusations of “genocide” against China for actions such as sterilizing women and detaining Uighurs in high-security camps in Xinjiang.