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Forced Labor Consequences for 5 Chinese Entities: Entity List Designations

Commerce Department Adds Five Chinese Entities to the Entity List for Participating in China’s Campaign of Forced Labor Against Muslims in Xinjiang

FOR IMMEDIATE RELEASEThursday, June 24, 2021

Office of Public Affairs

publicaffairs@doc.gov

The Department of Commerce’s Bureau of Industry and Security (BIS) added five Chinese entities to the Entity List for accepting or utilizing forced labor in the implementation of the People’s Republic of China’s campaign of repression against Muslim minority groups in the Xinjiang Uyghur Autonomous Region (XUAR).  This action targets these entities’ ability to access commodities, software, and technology subject to the Export Administration Regulations (EAR), and is part of a U.S. Government-wide effort to take strong action against China’s ongoing campaign of repression against Muslim minority groups in the XUAR.  

The entities to be added to the Entity List in connection with participating in the practice of, accepting, or utilizing forced labor involving Uyghurs and other Muslim minority groups in the XUAR are:

  • Hoshine Silicon Industry (Shanshan) Co., Ltd. 
  • Xinjiang Daqo New Energy Co., Ltd. 
  • Xinjiang East Hope Nonferrous Metals Co., Ltd. 
  • Xinjiang GCL New Energy Material Technology Co., Ltd.
  • Xinjiang Production and Construction Corps (XPCC)

This Entity List rule supplements other Entity List designations in October 2019, June 2020, and July 2020.  Including the rule announced today, these actions have added 53 parties specifically implicated in human rights abuses of ethnic minorities from Xinjiang, and 15 of these which were implicated in human rights abuses related to forced labor of ethnic minorities from Xinjiang. 

“As we made clear during this month’s G7 summit, the United States is committed to employing all of its tools, including export controls, to ensure that global supply chains are free from the use of forced labor and technology is not misused to abuse human rights,” said Secretary of Commerce Gina Raimondo. “The Commerce Department will continue to take firm, decisive action to hold China and other perpetrators of human rights abuses accountable.”

The Entity List is a tool utilized by BIS to restrict the export, reexport, and transfer (in-country) of items subject to the EAR to persons (individuals, organizations, companies) reasonably believed to be involved, or to pose a significant risk of becoming involved, in activities contrary to the national security or foreign policy interests of the United States.  Additional license requirements apply to exports, re-exports, and transfers (in-country) of items subject to the EAR to listed entities, and the availability of most license exceptions is limited. 

For more information, visit www.bis.doc.gov.

The XPCC designation is a tad odd – considering the firm is already on the SDN under the Global Magnitsky sanctions program,. And the rest are involved in China’s solar panel industry – which could have real implications for the U.S. solar industry.

Link:

Commerce Department Press Release

Categories: Bureau of Industry and Security (BIS) Updates China-related “sanctions” Entity List Export Control Human Rights Sanctions Xinjiang-related measures

eric9to5

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