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Trade Advisory

UFLPA Trade Advisory

An updated information notice about the Uyghur Forced Labor Prevention Act (UFLPA) Region Alert enhancement to the Automated Commercial Environment (ACE) is now live on CBP.gov. U.S. Customs and Border Protection (CBP) will deploy the…

  • UFLPA Trade Advisory
  • Dec 23, 2021
Published Dec 23, 2021

An updated information notice about the Uyghur Forced Labor Prevention Act (UFLPA) Region Alert enhancement to the Automated Commercial Environment (ACE) is now live on CBP.gov. U.S. Customs and Border Protection (CBP) will deploy the UFLPA Region Alert enhancement to ACE on March 18, 2023. For more information on the deployment, please review the information notice.

Crane Trade Services can assist you with questions regarding this matter. For assistance please contact CWTSConsulting@craneww.com.

Uyghur Forced Labor Prevention Act Region Alert

The Uyghur Forced Labor Prevention Act (UFLPA) Region Alert enhancement to the Automated Commercial Environment (ACE) will be deployed by U.S. Customs and Border Protection (CBP) on a date to be determined. The enhancement will provide an early notification to importers of goods that may have been produced in the Xinjiang Uyghur Autonomous Region (XUAR), which would be subject to UFLPA restrictions per H.R. 6256. This enhancement includes electronic data interchange (EDI) impacts.

What will change for trade users?

Three new validations will be performed when:

  • The People’s Republic of China (CN) is selected as a manufacturer’s country of origin for entry
  • CN is selected as a manufacturer’s country of origin when a Manufacturer Identification Code (MID) is created
  • An existing MID with country of origin ‘CN’ is updated

The validations will be:

  • Postal code will be a required field
  • Users will receive an error message if the postal code provided is not a valid Chinese postal code
  • Users will receive a warning message when a Uyghur region postal code has been provided

Why is CBP checking postal codes?

UFLPA establishes a rebuttable presumption that the importation of any goods, ware, articles, and merchandise mined, produced, or manufactured wholly or in part of Xinjiang, or mined, produced, or manufactured by certain entities on the UFLPA Entity List, is prohibited by 19 U.S.C. § 1307, and that such goods, wares, articles, and merchandise are not entitled to entry into the United States.

What do trade users need to do?

If the user receives a warning message, they should notify the importer(s) of the rebuttable presumption established by UFLPA.

Importers may request an exception to the rebuttable presumption from CBP during a detention, after an exclusion, or during the seizure process as described in the UFLPA Operational Guidance for Importers on page 9.

Previously created MIDs will not need to be updated, however, when the manufacturer country is China, the system will generate an error message for the user to transmit postal code.

What additional resources are available?

Crane Trade Services can assist you with questions regarding this matter. For assistance please contact CWTSConsulting@craneww.com

An information notice about the Uyghur Forced Labor Prevention Act (UFLPA) Region Alert enhancement to the Automated Commercial Environment (ACE) is now live on CBP.gov. U.S. Customs and Border Protection (CBP) will deploy the UFLPA Region Alert enhancement to ACE on a date to be determined. For more information on the deployment, please review the information notice.

Crane Trade Services can assist you with questions regarding this matter. For assistance please contact CWTSConsulting@craneww.com.

Update: On Hold - The Deployment of Uyghur Forced Labor Prevention Act (UFLPA) Region Alert is Postponed

The deployment of the Uyghur Forced Labor Prevention Act (UFLPA) Region Alert is postponed until further notice. The Office of Trade is actively working with impacted users to address concerns. A follow-up CSMS message will be issued once a new deployment date is determined.

For more information on this and other upcoming deployments, please follow the updated ACE Development and Deployment Schedule link.

The Uyghur Forced Labor Prevention Act (UFLPA) was signed into law by President Biden on December 23, 2021, and went into effect on June 21, 2022.

It establishes a rebuttable presumption that the importation of any goods, wares, articles and merchandise mined, produced, or manufactured wholly or in part in the Xinjiang Uyghur Autonomous Region of the People's Republic of China, or produced by certain entities, is prohibited by Section 307 of the Tariff Act of 1930 and that such goods, wares, articles, and merchandise are not entitled to entry to the United States.

The rebuttable presumption will apply, and U.S. Customs and Border Protection (CBP) will ban imports unless an importer can demonstrate that it:

CBP has released importer guidance to assist the trade community in preparing to implement the UFLPA rebuttable presumption.

The UFLPA Act also has made an impact on C-TPAT requirements for 2022. The new forced labor requirements for CTPAT Trade Compliance partners are as follows:

  • Risk-based mapping
  • Code of Conduct
  • Evidence of Implementation
  • Due diligence and training
  • Remediation
  • Shared best practices

It is crucial that importers immediately analyze their supply chains and vet their suppliers to showcase that there are no links within their supply chains to the Xinjiang Uyghur Autonomous Region of the People's Republic of China.

If you need any assistance or guidance, please get in touch with our team. Please email us at CWTSConsulting@craneww.com.

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