US Detains $1.7 Billion in Shipments Under Forced Labor Law
One year after the enforcement of the Uyghur Forced Labor Prevention Act (UFLPA), a Kharon report reveals that approximately $1.7 billion worth of shipments destined for the United States have been detained. The UFLPA passed in 2021, aims to address concerns regarding forced labor in the Xinjiang Uyghur Autonomous Region and prohibits the shipment of products from that area to the United States. Enforcement of the law began in June 2022.
As of July 2023, U.S. Customs and Border Protection has detained 5,059 shipments from over five countries, with a significant portion originating from Malaysia, Vietnam, and China. Apparel, footwear, textiles, and industrial, manufacturing, and electronic goods have been the primary targets of these detentions. Between June and December 2022, 2,470 shipments were detained, with 1,127 denied and 1,082 released. In 2023, 606 shipments were denied, and 988 were released. Electronics constitute the majority of detentions in 2023, with 828 shipments detained in the first seven months.
The Department of Labor just ordered three cross-border logistics companies in San Diego to shell out $840,000 in back wages and fines to warehouse and transportation workers.