Canadian Government Cracks Down on Import of Goods Produced by Forced LabourIn 2021, CBSA took steps to curb the flow of goods made by forced labour into Canada. At an undisclosed time between March and November of this year, the Canadian government seized a shipment of Chinese-manufactured clothing that it identified as being made with forced labour. Few details are available as the importer is protected by confidentiality rules, however, we know that the shipment of women’s and children’s clothing was being imported into Quebec and is suspected of having been manufactured by members of the ethnic Uyghur minority under forced-labour conditions. This is the first shipment of its kind that has been intercepted and seized by CBSA.
On January 12, Global Affairs Canada introduced seven new measures to address alleged human rights abuses by the Chinese government. The new measures are:
- The Prohibition of imports of goods produced wholly or in part by forced labour;
- A Xinjiang Integrity Declaration for Canadian companies;
- A Business Advisory on Xinjiang-related entities;
- Enhanced advice to Canadian businesses;
- Export controls;
- Increasing awareness for Responsible Business Conduct linked to Xinjiang; and
- A Study on forced labour and supply chain risks.
More information about these new measures is available here.
The Integrity Declaration is available online through Global Affairs Canada. The declaration requires importers “to affirm that they are not knowingly sourcing products or services from a supplier implicated in forced labour or other human rights violations and committing to conduct due diligence on their suppliers in China to ensure there are no such linkages.”
From their website: By signing the Declaration, you also affirm that, to your knowledge, your company: abides by all relevant laws, respects human rights, and seeks to meet or exceed OECD Guidelines for Multinational Enterprises and the UN Guiding Principles; is not directly or indirectly sourcing products from Chinese entities implicated in forced labour or other human rights violations related to the XUAR; and commits to conduct due diligence on suppliers in China to ensure there are no such linkages.
The Business Advisory was issued the same day, informing importers about the heightened risks and responsibilities of supply chain management. The Advisory is clear that the onus for compliance is being placed squarely on Canadian importers: “The Government of Canada expects companies to take every step possible to ensure that their supply chains conform to Canadian law with respect to the prohibition on the import of goods produced by forced labour.”
The study on forced labour referred to in GAC’s seven new measures was conducted by the Labour Program of Employment and Social Development Canada (ESDC-Labour). No public report has been published, but CBSA Memo D9-1-6 was updated on May 28 to state that it has added information on the identification on prohibited goods from the study.
CBSA Memo D9-1-6 expressly prohibits the import of any goods into Canada that are “mined, manufactured or produced wholly or in part by forced labour”. The same memo also prohibits goods that are “manufactured or produced wholly or in part by prison labour” but makes an exception for goods produced by prison labour that are imported for personal, rather than commercial, use. Goods produced by forced or prison labour are classified under tariff item 9897.00.00.00 of the Customs Tariff. Goods that fall under this tariff item are prohibited from entering Canada under Section 136(1) of the Customs Tariff Act.
By Robin Smith, M.A., CCS
– Robin is a trade industry professional based in Victoria, BC.
In 2021, CBSA took steps to curb the flow of goods made by forced labour into Canada. At an undisclosed time between March and November of this year, the Canadian government seized a shipment of Chinese-manufactured clothing that it identified as being made with forced labour. Few details are available as the importer is protected by confidentiality rules, however, we know that the shipment of women’s and children’s clothing was being imported into Quebec and is suspected of having been manufactured by members of the ethnic Uyghur minority under forced-labour conditions. This is the first shipment of its kind that has been intercepted and seized by CBSA.
On January 12, Global Affairs Canada introduced seven new measures to address alleged human rights abuses by the Chinese government. The new measures are:
- The Prohibition of imports of goods produced wholly or in part by forced labour;
- A Xinjiang Integrity Declaration for Canadian companies;
- A Business Advisory on Xinjiang-related entities;
- Enhanced advice to Canadian businesses;
- Export controls;
- Increasing awareness for Responsible Business Conduct linked to Xinjiang; and
- A Study on forced labour and supply chain risks.
More information about these new measures is available here.
The Integrity Declaration is available online through Global Affairs Canada. The declaration requires importers “to affirm that they are not knowingly sourcing products or services from a supplier implicated in forced labour or other human rights violations and committing to conduct due diligence on their suppliers in China to ensure there are no such linkages.”
From their website: By signing the Declaration, you also affirm that, to your knowledge, your company: abides by all relevant laws, respects human rights, and seeks to meet or exceed OECD Guidelines for Multinational Enterprises and the UN Guiding Principles; is not directly or indirectly sourcing products from Chinese entities implicated in forced labour or other human rights violations related to the XUAR; and commits to conduct due diligence on suppliers in China to ensure there are no such linkages.
The Business Advisory was issued the same day, informing importers about the heightened risks and responsibilities of supply chain management. The Advisory is clear that the onus for compliance is being placed squarely on Canadian importers: “The Government of Canada expects companies to take every step possible to ensure that their supply chains conform to Canadian law with respect to the prohibition on the import of goods produced by forced labour.”
The study on forced labour referred to in GAC’s seven new measures was conducted by the Labour Program of Employment and Social Development Canada (ESDC-Labour). No public report has been published, but CBSA Memo D9-1-6 was updated on May 28 to state that it has added information on the identification on prohibited goods from the study.
CBSA Memo D9-1-6 expressly prohibits the import of any goods into Canada that are “mined, manufactured or produced wholly or in part by forced labour”. The same memo also prohibits goods that are “manufactured or produced wholly or in part by prison labour” but makes an exception for goods produced by prison labour that are imported for personal, rather than commercial, use. Goods produced by forced or prison labour are classified under tariff item 9897.00.00.00 of the Customs Tariff. Goods that fall under this tariff item are prohibited from entering Canada under Section 136(1) of the Customs Tariff Act.
By Robin Smith, M.A., CCS
– Robin is a trade industry professional based in Victoria, BC.