UFLPA

What is UFLPA and the Scope of the Regulation?

The Uyghur Forced Labor Prevention Act (UFLPA), signed into law on December 23, 2021, took effect in the United States on June 21, 2022, to prohibit the importation of goods into the United States that were produced by forced labor, especially in the Xinjiang Uyghur Autonomous Region (XUAR) of China. In addition, the UFLPA ensures support for enforcing Section 307 of the Tariff Act of 1930, as amended (19 U.S.C. § 1307).

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What is Forced Labor and Its Importance in Supply Chains?

Forced labor is a serious and pervasive human rights issue affecting millions worldwide. According to the International Labor Organization (ILO), the Asia-Pacific region has the highest number of people in forced labor, followed by Africa and the Arab States, with a total of 28 million people being in slave labor in 2021.  

This problem is particularly prevalent in the global technology industry, where products are often produced through complex and fragmented supply chains involving many suppliers and subcontractors. It can occur at various stages of the semiconductor supply chain, including producing raw materials, such as silicon wafers, and assembling and testing finished products. In some cases, migrant workers may be recruited under pretenses and forced to work in hazardous conditions for little or no pay.

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How Does UFLPA Impact Importers?

As of June 21, 2022, the CBP will apply a rebuttable presumption that goods produced wholly or partially in the region or by entities identified in the enforcement strategy are not allowed to enter the U.S.  

An importer may request an exception to the rebuttable presumption from CBP. This will require clear and convincing evidence that its imported merchandise was not mined, produced, or manufactured wholly or partly by forced labor.

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What is the UFLPA Strategy?

The Uyghur Forced Labor Prevention Act (UFLPA) was enacted to strengthen the prohibition against importing goods made wholly or in part with forced labor into the United States and to end the systematic use of forced labor in the Xinjiang Uyghur Autonomous Region (Xinjiang).  

Among its mandates, the UFLPA charged the Forced Labor Enforcement Task Force (FLETF), chaired by the U.S. Department of Homeland Security (DHS), to develop a strategy for supporting the enforcement of Section 307 of the Tariff Act of 1930, as amended (19 U.S.C. § 1307) to prevent the importation into the United States of goods mined, produced, or manufactured wholly or in part with forced labor in the People’s Republic of China (PRC).

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How will CBP enforce the Uyghur Forced Labor Prevention Act?

CBP will employ a risk-based approach, dynamic in nature, that prioritizes the highest-risk goods based on current data and intelligence. The highest-risk goods are imported directly from the Xinjiang Uyghur Autonomous Region, or Xinjiang, into the United States and from entities on the UFLPA Entity List. CBP will also prioritize illegally transshipped goods with inputs from Xinjiang, as well as goods imported into the United States by entities that, although not located in Xinjiang, are related to an entity in Xinjiang (whether as a parent, subsidiary, or affiliate) and likely to contain inputs from that region.

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What is the UFLPA Restricted Entities List?

The following is the list of entities in Xinjiang that mine, produce, or manufacture wholly or in part goods, wares, articles, and merchandise with forced labor.

View the UFLPA Entity List

2023 Updates to the UFLPA?

In late December and early January, the US Customs and Border Protection (CBP) began initiating enforcement and issuing detention notices against aluminum products under the Uyghur Forced Labor Prevention Act (UFLPA) and appears to be expanding enforcement of the UFLPA to aluminum products.

Learn More About the 2023 UFLPA Updates

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