Importers of seafood products processed in China or adjacent regions should be aware that CBP is increasing scrutiny on the use of forced labor in seafood processing facilities. On June 11, 2024, the Department of Homeland Security (DHS) announced the inclusion of a seafood processor to the Uyghur Forced Labor Prevention Act (UFLPA) Entity List. The seafood processor, Shandong Meijia Group (also known as Rizhao Meijia Group), processes, sells and exports frozen seafood products, vegetables, quick-frozen convenience food and other aquatic foods. This company has supplied frozen seafood to U.S. and Canadian grocery stores such as H-Mart and Loblaws.
The Uyghur Forced Labor Prevention Act (Public Law No. 117-78), also known as the UFLPA, directs the Forced Labor Enforcement Task Force (FLETF) to develop a strategy for supporting enforcement of the prohibition on the importation of goods into the United States manufactured wholly or in part with forced labor in the People’s Republic of China, especially from the Xinjiang Uyghur Autonomous Region, or Xinjiang.
This addition to the UFLPA Entity List signals an increased focus on the seafood industry and the use of forced labor. It is imperative that importers examine their supply chains to ensure that forced labor is not being used at any stage of production of their goods.
Should CBP detain your goods based on UFLPA, your goods are presumed to be produced using forced labor and you must prove that they are not. The presumption is rebuttable, and, to overcome it, importers must, among other requirements in the UFLPA, respond to all CBP requests for information about merchandise under CBP review and demonstrate by clear and convincing evidence that the good, ware, article, or merchandise was not mined, produced, or manufactured wholly or in part by forced labor. Goods are detained until the presumption is overcome and are subject to seizure and forfeiture if the presumption of forced labor cannot be overcome.
CBP may consider evidence other than what is provided by the importer in determining whether there is clear and convincing evidence. The UFLPA also requires that importers demonstrate due diligence, effective supply chain tracing, and supply chain management measures to ensure that they do not import any goods made, in whole or in part, by forced labor, especially from the Xinjiang Region. This requirement extends throughout the entire supply chain, to include goods that may be shipped from elsewhere in the People’s Republic of China (PRC) and to third countries for further processing.
Resources
• UFLPA Operational Guidance for Importers
• CBP’s Uyghur Forced Labor Prevention Act