New ban on products made with forced labor in Xinjiang, China

The Trump administration announced last week that it would ban all inbound shipments containing cotton or any cotton products – including textiles and apparel – originating from the Xinjiang Production and Construction Corps (XPCC) due to forced labor and human rights concerns.

The XPCC is a paramilitary organization that is responsible for most of the cotton production and harvest in the Xinjiang Uighur Autonomous Region (“XUAR”) of China. The U.S. Department of Agriculture estimates that XUAR’s cotton harvest accounts for more than 80 percent of China’s overall cotton production.

This action is the latest in the administration’s effort to combat forced labor and other human rights violations in the Xinjiang region, home to China’s Muslim Uyghur community.

In September of 2020, the U.S. Customs and Border Protection (CBP) announced it would detain imports suspected of being made with forced labor from the following entities in XUAR:

  • Xinjiang Junggar Cotton and Linen Co. and its subsidiaries – Cotton
  • Hefei Bitland Information Technology Co. – Computer parts
  • Yili Zhuowan Garment Manufacturing Co. – Apparel products
  • Baoding LYSZD Trade and Business Co. – Apparel products
  • Lop County No. 4 Vocational Skills Education and Training Center – All products
  • Lop County Hair Product Industrial Park – Hair products

In July of 2020, the administration listed the XPCC as a specially designated national (SDN) under U.S. sanctions laws enforced by the Office of Foreign Asset Controls (OFAC) by the Treasury Department; this bars all transactions that benefit the XPCC or its subsidiaries and affiliates with a 50-percent-or-greater controlling share by XPCC. The Commerce Department has also placed companies connected to the Xinjiang region on its Entity List subject to technology export controls.

In addition, the Senate may consider the House-passed Uighur Forced Labor Prevention Act (H.R.6210/S.3471) before the end of the year. As currently drafted, the bill includes the following provisions:

  • A requirement for the administration to develop an action plan to address forced labor in the XUAR.
  • A prohibition starting 120 days after enactment of the importation of all goods produced, in whole or in part, in the XUAR, based on a presumptive link to forced labor – unless the importer can provide clear evidence to the contrary.
  • A requirement that SEC-reporting companies include new disclosures about any nexus to the XUAR.

It is possible that the bill’s provisions could be amended before a final vote in the Senate. We will keep you posted on any developments.

To learn more about this important issue and the impact on outdoor companies, check out this OIA webinar from September.

Pandemic? Holiday Sales? Shortages? Landed Costs? How Traeger Grills Manages Supply Chain Planning in an Unmanageable World

Speakers: Anne Patterson, Principal at; Russ Graf, VP Channel Management North America at NETSTOCK; and Dustin Joyce, Director of Operations Planning at Traeger Grills

Sales are flamin’ hot at Traeger Grills, yet supply chain and inventory replenishment are keeping their cool. Learn how KPI-driven dashboard insight helps Traeger balance sales growth and inventory investment, keep customers happy and let planners focus on the big picture instead of spreadsheet minutia.

Brand recognition and market-share leadership have enabled Traeger to expand its grill product line as well as to diversify into accessories, apparel and consumables.  But with growth comes challenges: more SKUs, more suppliers, more product life cycles and – with the pandemic – exponentially more supply chain risk.

Learn how NETSTOCK’s cloud-based inventory management solution helps Traeger manage inventory by exception: what’s out of stock, what’s about to go out of stock and what’s excess – prioritized by inventory classification that cleverly marries cost with run rate and enables quick ordering, while at the same time optimizing transport.

With the pandemic still in play, consumers are queueing up for the holiday sales, said to have already begun in Q3. Learn how to audit and adapt your inventory strategy so that this year’s holiday season is a smooth one for your business and your supply chain is geared up for 2021.

Sponsor: This webinar is proudly sponsored by NETSTOCK inventory optimization software. Used by over 15,000 users in over 1,600 companies worldwide running over 40 different ERP systems, NETSTOCK brings enterprise-class planning to the mid-market with affordable subscriptions and 100 percent remote implementation.

Webinar: Gear Up: Key Strategies Outdoor Brands Need for Mitigating the Impact of Covid-19 on the Global Supply Chain

Speaker: Tom Cook, Managing Director, Blue Tiger International

The spotlight is on supply chain: volatile demand, uncertain supply, exploding transportation costs, 301 tariffs. Supply chain management has never had such an impact on profitability, and it’s never been more important for supply chain managers to know their options.

This webinar dissects the key issues that global supply chain managers face in light of the pandemic and presents options and time-proven recommendations for mitigating these challenges:

  • Reducing risk and spend in foreign purchasing and international sales
  • Tariff mitigation options: 12 considerations
  • Current state of global logistics: ocean, air, rail and truck
  • Working with 3PLs, forwarders and brokers


About the speaker: Tom Cook has over 30 years’ experience in helping companies all over the world manage their business models, supply chain risk and spend and import/export operations. Under Tom’s leadership, in May of 2019, Blue Tiger International won the president’s “E” Award for Export Service, the highest recognition any U.S. entity can receive for making a significant contribution to the expansion of U.S. exports. Tom serves as director of the National Institute of World Trade (NIWT), a nonprofit, 30+ year, corporate training school on global trade and supply chain management, and has authored 19 books on business management, global trade and business development.

Trade Advisory Council

OIATAC reviews U.S. trade policy, relevant federal legislation and international trade negotiations, develops federal trade policy that may affect OIA membership and recommends policy positions to OIA government affairs staff and OIA leadership. It is guided by OIA’s balanced trade agenda:

Reduce and eliminate tariffs on outdoor products:

 OIATAC has helped developed proposals to eliminate disproportionately high import tariffs assessed against outdoor apparel, footwear and equipment that have no domestically produced counterpart. Each proposal is thoroughly vetted to ensure it comports with the balanced trade agenda. These initiatives include:

  • The US OUTDOOR Act
  • Miscellaneous Tariff Bills (MTBs)
  • Trans-Pacific Partnership
  • Athletic Footwear Initiative

New markets for outdoor products:

 OIATAC helps identify new market opportunities, including efforts to eliminate trade barriers on U.S. exports to overseas markets and ensuring U.S. trade agreements provide reciprocal market access for American outdoor products.

Composition and Responsibilities

OIATAC is made up of OIA members engaged in the business of manufacturing, marketing, and/or distributing outdoor recreation products. It includes representatives from small, medium and large entities representing all segments of the industry, including manufacturing, importers and retailers. OIATAC is administered and supported by OIA government affairs staff.

OIATAC conducts monthly calls to review OIA’s trade agenda and holds in-person meetings at Outdoor Retailer Summer and Winter Market. It also participates in lobby efforts in Washington, D.C. to advance the industry’s trade agenda.