In March 2020, US lawmakers introduced legislation intended to restrict imports from Xinjiang, China to the United States, citing allegations of mass detentions of minority groups and coercive labor in the region. China has responded, calling the allegations groundless. The US bill was proposed by a coalition of six Democrats and five Republicans in the House of Representatives, in a rare showing of bipartisanship in the US Congress. The bill, if passed, has the potential to impact a number of large US entities like Patagonia, Nike, and Tommy Hilfiger.
The measure came after a report by the Congressional-Executive Commission on China stated that “global supply chains are increasingly at risk of being tainted with goods and products made with forced labor from [Xinjiang].” Regardless of whether the bill is ultimately passed into law, certain industries are already feeling pressure to reexamine their supply chains. Prior to the introduction of the bill, industry groups asked the US government for guidance on how to proceed, specifically with regards to Xinjiang, calling the issue one of “unprecedented complexity.”
Globally, companies are increasingly recognizing the value of examining their business models and supply chains for things that can cause reputational harm. This is why GRI has developed advanced tools to help companies leverage the power of AI to monitor their reputations and get ahead of problems that may arise. Read more about GRI's reputational risk and supply chain solutions here.
