China hits back at US forced labour blacklist as ‘classic act of coercion’

Beijing has vehemently rejected a recent decision by the United States to blacklist 43 Chinese companies for alleged forced labor in Xinjiang, labeling it as "classic economic coercion." This move, announced on Friday, marked the third wave of sanctions from Washington in a single week. The Department of Homeland Security expanded the entity list by 30 percent, impacting various sectors from food and cotton to pharmaceuticals, metals, and lithium production.

The Uygur Forced Labour Prevention Act (UFLPA), enacted in 2021, aims to target imports from the Xinjiang Uygur autonomous region and prevent goods produced through forced labor from entering the US market. State Department spokesman Tommy Pigott confirmed that the newly listed entities are linked to the production and sale of goods made in Xinjiang or with the labor of Uygurs and other specified groups.

China's Ministry of Commerce firmly denied the existence of forced labor in Xinjiang, vowing to protect the rights and interests of domestic firms. The ministry also highlighted a recent video call between Chinese and US officials, where they engaged in "candid, in-depth, and constructive exchanges on maintaining stable bilateral economic and trade relations."

China accused the US of reneging on diplomatic progress, stating that the sanctions run counter to the consensus reached during the leaders' conversation. Despite the US's claims regarding forced labor in Xinjiang, China has consistently dismissed these allegations as "lies," asserting that Chinese law explicitly prohibits forced labor.

The expanded list includes prominent companies like Hunan Aihua Group, Chacha Food Co, Xinjiang Tianhongji Technology Co, Tefeng Pharmaceutical Co, Tianshan Aluminum Group, and Henan Guorong Electronic Technology Co. These additions, the first under President Donald Trump's second term, bring the total sanctioned entities to 187, the highest since the act's implementation in 2021.

The Department of Homeland Security reported that over 24,300 shipments, amounting to nearly $1 billion, have been blocked since the act's inception. The US government emphasized that companies attempting to import goods produced with forced labor will face prosecution. Earlier this week, the US also imposed bans on imports of Chinese robots and power inverters, citing national security and supply chain concerns.