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US prepares orders blocking cotton, tomato imports from China’s Xinjiang over forced labour




US Customs and Border Protection officials have prepared orders to block imports of cotton and tomato products from western China’s Xinjiang region over allegations they are produced with forced labour, although a formal announcement has been delayed.


The Trump administration announcement of the actions, initially expected yesterday, has been put off until later this week because of “scheduling issues,” a CBP spokesman said.

The cotton and tomato bans along with five other import bans over alleged Xinjiang forced-labour abuses would be an unprecedented move by CBP and likely stoke tensions between the world’s two largest economies.


The “Withhold Release Orders” allow the CBP to detain shipments based on suspicion of forced-labour involvement under long-standing US laws aimed at combating human trafficking, child labour and other human rights abuses.


President Donald Trump’s administration is ratcheting up pressure on China over its treatment of Xinjiang’s Uighur Muslims. The United Nations has said it has credible reports that 1 million Muslims have been detained in camps in the region, where they are put to work.


China denies mistreatment of the Uighurs and says the camps are vocational training centres needed to fight extremism.


CBP Executive Assistant Commissioner Brenda Smith told Reuters that the effective import bans would apply to the entire supply chains involving cotton, including cotton yarn, textiles, and apparel, as well as tomatoes, tomato paste and other products exported from the region.


“We have reasonable but not conclusive evidence that there is a risk of forced labour in supply chains related to cotton textiles and tomatoes coming out of Xinjiang,” Smith said in an interview. “We will continue to work our investigations to fill in those gaps.”


US law requires the agency to detain shipments when there is an allegation of forced labour, such as from non-governmental organizations, she said.


The bans could have far-reaching effects for US retailers and apparel producers, as well as food manufacturers. China produces about 20 percent of the world’s cotton and most of it comes from Xinjiang. China also is the world’s largest importer of cotton, including from the United States.


The China Cotton Association, a trade body, declined to comment today.



A Beijing-based cotton trader said the impact may be limited as China brings in about 2 million tonnes of cotton and 2 million tonnes of cotton yarn from abroad each year, which may be sufficient to produce textiles for the United States. Xinjiang’s output is about 5 million tonnes.


“If Xinjiang cotton goes to the domestic industry and non-Western markets, the impact may be limited, it can probably still be digested,” he said.


In the short-term, it could also boost cotton imports into China, he added.


‘Abusive working and living conditions’


In March, US lawmakers proposed legislation that would effectively assume that all goods produced in Xinjiang are made with forced labour and would require certification that they are not.


In July, Washington issued an advisory saying companies doing business in Xinjiang or with entities using Xinjiang labour could be exposed to “reputational, economic, and legal risks.”


The State Department also said it sent a letter to top American companies including Walmart Inc, Apple Inc and Amazon.com Inc warning them over risks faced from maintaining supply chains associated with human rights abuses in Xinjiang region.


In a draft announcement seen by Reuters, the CBP said it identified forced-labour indicators involving the cotton, textile and tomato supply chains “including debt bondage, unfree movement, isolation, intimidation and threats, withholding of wages, and abusive working and living conditions.”


The agency’s orders would block cotton produced by the Xinjiang Production and Construction Corps, and apparel produced by Yili Zhuowan Garment Manufacturing Co Ltd and Baoding LYSZD Trade and Business Co Ltd It says those entities use prison labour from Chinese government-administered

“re-education” internment camps.


In addition, the proposed CBP orders would block imports of products made at the Lop County Industrial Park as well as the Lop County No. 4 Vocational Skills Education and Training Centre. The moves follow the detention on July 1 of hair extensions and other goods from the Lop County Meixin Hair Product Co

The CBP orders would also block imports of computer parts made by the Hefei Bitland Information Technology Co Ltd, based in Anhui, China.

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