Halting imports from Chinese fishing companies on suspicion of forced labour

Subject: Halting imports from Chinese fishing companies on suspicion of forced labour

The US customs and border authority has imposed an import ban on the Dalian Ocean Fishing Co., Ltd on the basis of information pointing to the use of forced labour in its fishing operations. The authority states that in the course of its investigations it found that all eleven indicators of forced labour identified by the International Labour Organization’s Special Action Programme to Combat Forced Labour, including physical violence, withholding of wages and abusive working and living conditions, were being met. The ban is intended to help protect vulnerable workers and at the same time to improve the conditions of competition for companies processing fish and seafood in the US.

1. Does the above-named company also supply products to the European Union, and is the Commission examining the accusations with a view to taking similar action?

2. Will the Commission adopt an ambitious supply chain law, in line with the demands of the European Parliament, to ensure that import bans can be imposed systematically throughout the EU on products manufactured or obtained in circumstances which involve human rights abuses?

Answer given by Executive Vice-President Dombrovskis on behalf of the European Commission (27 August 2021)

According to Regulation (EU) 2017/625 and Regulation (EU) 2019/625 certain products can only enter the EU from third countries that appear on a Commission list. Only countries offering appropriate guarantees on animal and public health requirements are eligible. The Commission verifies these guarantees through questionnaires and on-the-spot audits.

In addition, certain products can only enter the EU from establishments approved by the third country authorities responsible for verifying compliance with EU animal and public health requirements.

According to the information available to the Commission, neither the Dalian Ocean Fishing Co. nor any of the vessels owned or operated by it (1) are authorised to export fish to the European Union (2), (3), (4).

Unlike the United States (5), the Commission does not have a legal basis to detain shipments of goods on the basis that they were made with forced labour. However, to promote sustainable and responsible value chains, the Commission announced, in its Trade Policy Review Communication of 18 February 2021 (6), that it would take action on forced labour.

In this respect the Commission is preparing a legislative initiative on mandatory human and labour rights and environmental due diligence. Subject to the impact assessment, this proposal will include effective action and enforcement mechanisms to ensure that forced labour does not find a place in the value chains of EU companies.

Furthermore, the Commission services and the European External Action Service recently published guidance on forced labour to assist EU businesses in taking appropriate measures in line with international due diligence guidelines (7).

⋅1∙ According to the IMO database.

⋅2∙ Not on the list published in accordance with the requirements of Article 127 of Regulation (EU) 2017/625 and Article 5 of Commission Delegated Regulation (EU)


⋅3∙ Regulation (EU) 2017/625, amending Regulations (EC) No 999/2001, (EC) No 396/2005, (EC) No 1069/2009, (EC) No 1107/2009, (EU) No 1151/2012, (EU)

No 652/2014, (EU) 2016/429 and (EU) 2016/2031, Regulations (EC) No 1/2005 and (EC) No 1099/2009 and Directives 98/58/EC, 1999/74/EC, 2007/43/EC, 2008/119/EC and 2008/120/EC, and repealing Regulations (EC) No 854/2004 and (EC) No 882/2004, Directives 89/608/EEC, 89/662/EEC, 90/425/EEC, 91/496/EEC, 96/23/EC, 96/93/EC and 97/78/EC and Decision 92/438/EEC (Official Controls Regulation) OJ L 95, 7.4.2017, p. 1‐142. ⋅4∙ Commission Delegated Regulation (EU) 2019/625 supplementing Regulation (EU) 2017/625 with regard to requirements for the entry into the Union of

consignments of certain animals and goods intended for human consumption. OJ L131, 17.5.2019, p.18-30. ⋅5∙ Section 307 of the US Tariff Act of 1930 (19 U.S.C. §1307.

⋅6∙ Trade Policy Review — An Open, Sustainable and Assertive Trade Policy; 18.2.2021 COM(2021) 66 final :

https://trade.ec.europa.eu/doclib/docs/2021/february/tradoc_159438.pdf

⋅7∙ New EU guidance helps companies to combat forced labour (europa.eu): https://ec.europa.eu/commission/presscorner/detail/en/IP_21_3664