CBP detains North Korea labour imports under CAATSA
US Customs and Border Protection (‘CBP’) says that it has ‘[begun] detaining merchandise produced or manufactured by [Chinese companies] Jingde Trading Ltd., Rixin Foods. Ltd., and Zhejiang Sunrise Garment Group Co. Ltd. at all U.S. ports of entry on Dec. 5, 2022,’ and that this enforcement action ‘is the result of a CBP investigation indicating that these companies use North Korean labor in their supply chains in violation of the Countering America’s Adversaries Through Sanctions Act (CAATSA).’
It said, ‘CAATSA prohibits the entry of goods, wares, and articles mined, produced, or manufactured wholly or in party by North Korean nationals or North Korean citizens anywhere in the world, unless clear and convincing evidence is provided that such goods were not made with convict labor, forced labor, or indentured labor under penal sanctions.’
CBP said that, pursuant to CAATSA, CBP will ‘detain merchandise from these entities at all U.S. ports of entry unless there is clear and convincing evidence that forced labor was not present at any stage of the production process. Evidence must be provided within 30 days of notice of detention. If the importer fails to provide clear and convincing evidence within this timeframe, the merchandise may be subject to seizure and forfeiture.’
CBP Office of Trade Executive Assistant Commissioner, AnnMarie R. Highsmith said, ‘North Korea’s forced labor system operates both domestically and internationally and supports the North Korean Government’s weapons of mass destruction and ballistic missile programs, and it is also a major human rights violation. Legally and morally, we cannot allow these goods into our commerce.’
