UFLPA STRATEGY UPDATE: DHS PRIORITIZES NEW SECTORS & EXPANDS ENTITY LIST

The Department of Homeland Security (DHS) released an updated Uyghur Forced Labor Prevention Act (UFLPA) Strategy to Prevent the Importation of Goods Mined, Produced, or Manufactured with Forced Labor in the People’s Republic of China (PRC). Released July 9, 2024, the updated strategy continues to advance the enforcement of UFLPA two years on from implementation.

“Ending forced labor is a moral, economic, and national security imperative. Keeping goods made with forced labor out of our supply chains promotes American values of free and fair trade, the rule of law, and respect for human dignity, and addresses unfair competition for compliant U.S. and international manufacturers.”
U.S. Department of Homeland Security Fact Sheet

NEW SECTORS PRIORITIZED FOR UFLPA ENFORCEMENT

One of the more impactful additions to this year’s strategy is the identification of new sectors highly prioritized for enforcement. Aluminum, polyvinyl chloride (PVC), and seafood were all identified due to their higher risk of forced labor or state labor from the Xinjiang Uyghur Autonomous Region (XUAR). Included with these additions; apparel, cotton and cotton products, silica-based products, and tomatoes remain high priority sectors.

ADDITIONS TO ENTITY LIST ACCOMPANY NEW SECTORS

Accompanying the newly prioritized sectors, three new entities have been added to the UFLPA Entity List. This brings the total number of entities to 68 China-based companies facing restrictions on importing goods to the U.S. According to the DHS UFLPA Fact Sheet, 48 of the 68 entities were added within the last 13 months. Part of this increase can be attributed to an “improved and streamlined process” implemented by the Forced Labor Enforcement Task Force (FLETF) which looks to support expansion of the list and provide greater transparency for the trade community.

CBP SUPPORTS UFLPA STRATEGY WITH STRONG ENFORCEMENT
UFLPA, CBP, entities

Since implementation of UFLPA in June 2022, over 9,000 shipments have been reviewed by Customs and Border Protection (CBP) with a total value surpassing $3.4 billion. The CBP has worked to enforce UFLPA effectively while also facilitating legitimate trade into the U.S. without interruption.

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