U.S. Customs Announcement: U.S. to Ban Goods Made In Xinjiang, China, effective June 21, 2022
The U.S. will be banning imports of all goods made in whole or in part from the Xinjiang Uyghur Autonomous Region in China starting June 21, 2022. Companies will need to use the next 180 days to ensure that their supply chains are not including goods from this area.
On December 23, 2021, President Biden signed the Uyghur Forced Labor Prevention Act (UFLPA) into law. This act deems all goods whether mined, produced, or manufactured in the XUAR, to be produced by forced labor. Even goods not imported directly from China may be detained. If the materials used to produce the imported goods are tied at any level to XUAR, to specific entities, or to specific commodities associated with forced labor in China your goods may be detained.
Under this new law, imported goods from the XUAR will be banned, unless CBP determines that:
1. The IOR has fully complied with CBP's guidance, as well as any regulations issued to implement the guidance.
2. The IOR has completely and substantively responded to all inquiries for information submitted by CBP so that they can determine whether the goods were made wholly, or in part with forced labor; and
3. The IOR confirms by clear and convincing evidence, that the goods were not made wholly or in part by forced labor.
Any goods from the XUAR that overcome the presumption of being made with forced labor, will be included in a public list to be issued by CBP 30 days after making such determination.
An interagency team called the "Forced Labor Enforcement Task Force" has also been put together and will be developing a strategy to prevent the importation of forced labor goods from China. They will also work to develop a strategy to prevent the below-listed items from coming through:
1. Goods from entities in the XUAR that produce goods with forced labor
2. Goods from entities working with the government of the XUAR to recruit, transport, transfer, harbor, or receive forced labor or Uyghurs, Kazakhs, Kyrgyz, or members of other persecuted groups out of the XUAR
3. Goods made wholly or in part by such entities
4. Goods from entities that exported products made with forced labor from China to the U.S.
5. Goods from facilities and entities, including the Xinjiang Production and Construction Corps, that source material from the XUAR or persons working with the government of the XUAR or the XPCC for purposes of a poverty alleviation program or pairing-assistance program or any other government labor scheme that uses forced labor.
The Forced Labor Prevention Act calls for the Task Force to provide guidance to importers with respect to the following:
1. "Due diligence, effective supply chain tracking, and supply chain management measures to ensure they do not import any goods made with forced labor from mainland China and especially from the XUAR.".
2. "The type, nature, and extent of evidence that demonstrates that goods originating in mainland China were not made wholly or in part in the XUAR.".
3. "The type, nature, and extent of evidence that demonstrates that goods originating mainland China, including goods detained or seized pursuant to Section 307, were not made wholly or in part with forced labor.".
If you have any issues or questions, please reach out to your local Janel office. Or you can reach out to the Janel Compliance team:
Sean McClung
Jodi Blitz