CBP in September identified 259 shipments valued at more than $102 million for further examination based on the suspected use of forced labor, including goods subject to the Uyghur Forced Labor Prevention Act and withhold release orders, the agency said in its most recent operational statistics update. The value of those shipments is up from August, when CBP identified 320 shipments worth more than $68 million (see 2309250036). Also in September, CBP seized 1,658 shipments that contained counterfeit goods valued at more than $280 million if the items had been genuine, the agency said.
A House subcommittee hearing on the government's implementation of the Uyghur Forced Labor Prevention Act zoomed in on de minimis shipments, low incidence of cotton isotopic testing and the slow pace of adding businesses to the UFLPA Entity List, which captures companies that accept labor transfers outside of Xinjiang.
Of more than 5,000 shipments stopped by CBP under the Uyghur Forced Labor Prevention Act, CBP has finished its analysis on about 4,600. And for nearly half, or 47%, importers were able to prove there was no link to Xinjiang in their supply chains, said Brian Hoxie, director of CBP's forced labor division.
The Uyghur Forced Labor Prevention Act is one of the most powerful laws, "in what it's been able to achieve in such a short time," said Howard Mendelsohn, chief client officer for Kharon, a risk intelligence service provider. It was implemented so quickly that almost $2 billion worth of imports has been detained, at least temporarily.
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A nonprofit organization that fights illicit networks that threaten global peace and security, C4ADS, is recommending that the Department of Homeland Security’s interagency Forced Labor Enforcement Task Force should place Xinjiang Nonferrous Metal Industry Group and its subsidiaries on the UFLPA entity list, as the group laid out evidence that the mines use labor transfers of Turkic minorities in Xinjiang province.
Trade lawyers and importers are wondering how the anti-stockpiling element of a two-year pause on trade remedy circumvention deposits will be enforced.