On October 2, 2024, the U.S. Department of Homeland Security announced a ban on imports from two Chinese companies – a steel manufacturer and an artificial sweetener maker – after alleging that both firms were linked to forced labor in China’s Xinjiang region. The decision expanded the scope of the Uyghur Forced Labor Prevention Act, which aims to prevent goods produced with forced labor from entering the U.S. supply chain. According to reports, this is the first time a China-based steel company and an aspartame producer have been targeted under the act.

The ban underscores the U.S. government’s continuing efforts to combat human rights abuses in Xinjiang, where numerous reports have documented the forced labor of Uyghurs and other ethnic minorities. By adding these companies to its entity list, the U.S. sends a strong signal that products connected to forced labor will not be tolerated in American markets. The move also serves as a warning to other multinational corporations sourcing from China to conduct thorough due diligence on their supply chains to ensure compliance with human rights regulations.

The enforcement actions indicate that U.S. authorities are prepared to broaden their reach beyond textiles and agricultural goods to other sectors such as heavy industry and food ingredients. This approach could have significant implications for global supply chains, prompting companies worldwide to re-evaluate their procurement strategies to avoid exposure to forced labor allegations. The case also highlights the need for greater transparency and accountability from Chinese manufacturers regarding their labor practices.