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November 22, 2021

Canada intercepts alleged forced labour clothing shipment from China

The Canada Border Services Agency (CBSA) has intercepted a shipment of women's and children's clothing from China that it has classified as being 'goods mined, manufactured or produced wholly or in part by forced labour'.

By Laura Husband

In an official statement, the Canada Border Services Agency (CBSA) explained the shipment of clothing was intercepted in the Quebec region due to forced labour concerns under tariff item number 9897.00.00 of the Schedule to the Customs Tariff.

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CBSA explained the goods will not be released to enter Canada’s market but may be exported or abandoned to the Crown by the importer.

The CBSA told Just Style importers of goods classified under tariff item number 9897.00.00 may appeal the classification, however, it will not share information about a specific person and/or entity. In addition, the Customs Act section 107 only allows the release of customs information under specific circumstances. The CBSA is bound by these parameters and will not divulge additional information that could directly or indirectly identify any person and/or entity.

A CBSA spokesperson told Just Style exclusively that the Employment and Social Development Canada (ESDC) Labour Program continues to work collaboratively with the CBSA to investigate shipments that have allegations of being made in part or fully by ‘forced labour’.

The US Senate passed legislation to ban the import of all products, including cotton and apparel fabrics from China’s Xinjiang region due to forced labour allegations in July.

However, a month later, a report claimed China’s Xinjiang Production and Construction Corps (XPCC) was continuing to profit from global markets despite both US and EU sanctions on cotton imports.

The Coalition to End Forced Labour in the Uyghur Region asked world leaders to ban the import of products tainted with Uyghur forced labour, including cotton and yarn, ahead of the G20 summit last month.

 

 

 

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What is the impact of China’s Zero-COVID lockdowns on economic activity, consumer goods and the foodservice industry?

While wanting to protect the country from being overwhelmed by Omicron, China’s adherence to a Zero-COVID policy is resulting in a significant economic downturn. COVID outbreaks in Shanghai, Beijing and many other Chinese cities will impact 2022’s economic growth as consumers and businesses experience rolling lockdowns, leading to a slowdown in domestic and international supply chains. China’s Zero-COVID policy is having a demonstrable impact on consumer-facing industries. Access GlobalData’s new whitepaper, China in 2022: the impact of China’s Zero-COVID lockdowns on economic activity, consumer goods and the foodservice industry, to examine the current situation in Shanghai and other cities in China, to better understand the worst-affected industry sectors, foodservice in particular, and to explore potential growth opportunities as China recovers. The white paper covers:
  • Which multinational companies have been affected?
  • What is the effect of lockdowns on foodservice?
  • What is the effect of lockdowns on Chinese ports?
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  • How might the Chinese government react?
  • What are the potential growth opportunities?
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