CBP officials gave importers most of the credit for the quicker releases from detention when the government has decided there is no nexus to Xinjiang. In an interview in Boston on early implementation of the Uyghur Forced Labor Prevention Act, AnnMarie Highsmith, executive assistant commissioner of CBP's Office of Trade, said: "Importers are working harder to be prepared before their merchandise hits the water. They're learning their supply chains. They're simplifying their supply chains. I'd love to say it's us, but it's not. The importers are doing a better job."
House Ways and Means Chairman Jason Smith, R-Mo., is questioning why Chinese intellectual property and components used in U.S. assembly plants for electric vehicle batteries and solar panels should be eligible for tax credits under the Inflation Reduction Act.
A team at Sheffield Hallam University has identified 55,000 companies involved in the Xinjiang Uyghur Autonomous Region (XUAR), including 3,300 companies operating in textiles and 150 companies where there is "significant evidence of participation in state-sponsored transfer of legal labor," SHU professor Laura Murphy said at a hearing on April 18. The hearing was held by the Congressional-Executive Committee on China titled the "Implementation of the Uyghur Forced Labor Prevention Act & the Global Supply Chain Impact."
At a House Ways and Means Trade Subcommittee hearing, Democrats talked up their legislative proposals -- two bipartisan, two not -- as answers to confronting China's trade agenda, and expressed skepticism of witnesses' advocacy for ending permanent normal trade relations with China, while some Republicans expressed interest in that approach, and one seemed cautious.
CBP is taking steps to automate its detention processes with a focus on shipments detained for forced labor, said Lisa Santana Fox, director of CBP’s Fines, Penalties and Forfeitures Division. The effort follows December recommendations from the Commercial Customs Operations Advisory Committee, which said CBP should develop a single automated system for its detention and seizure process (see 2212080030).
BOSTON -- In breakout sessions on operational perspectives on the Uyghur Forced Labor Prevention Act and the technology that can help importers do UFLPA due diligence, CBP officials acknowledged that it's hard to provide the sort of evidence required to clear an applicability review after goods are detained.
CBP in March identified 400 shipments valued at more than $122.7 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 update. That's close to February's total of 481 shipments valued at more than $109 million (see 2303150067). CBP also seized 1,798 shipments that contained counterfeit goods valued at more than $335 million, and completed 29 audits that identified $24.7 million in duties and fees owed to the U.S. government for goods that had been improperly declared, the agency said.
Audience members looking for answers on how to navigate the rebuttable presumption of the Uyghur Forced Labor Prevention Act got no answers from a panel on human rights and "responsible business conduct," though they were told that if Sheffield Hallam University researchers can uncover links to forced labor in supply chains, it's not that hard for businesses to do the same.
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CBP, Trade Need Consensus to Get Through Short Window for 21CCF Customs Legislation, Ex-Staffer Says
With a short window for passing customs modernization legislation this year and uncertain prospects after that, it’s important that CBP and the trade community “stick the landing” of the 21st Century Customs Framework initiative and present a united front to Congress when a legislative proposal is submitted by CBP later this year, said John Drake, vice president-supply chain policy at the U.S. Chamber of Commerce.