Uyghur Forced Labor Disclosure Act

Key Points

• This bill would require any company registering securities on a stock exchange to disclose whether its supply chain includes goods sourced from the Xinjiang Uyghur Autonomous Region or produced using forced labor. Companies must document these links in registration applications, annual reports, and proxy statements.
• Companies would need to publicly list the name, address, and sourcing quantities from every smelter, refinery, farm, or manufacturing facility involved in producing goods linked to Xinjiang. An independent third-party auditor approved by the SEC must verify these disclosures before they are filed.
• If a company fails to comply with the rules or misrepresents its supply chain information, the stock exchange may reject its application and the company would be banned from reapplying for one year, making it very difficult to raise money from investors.
• The SEC must also make all disclosed information available to the public on its website, giving investors and the general public transparency into which companies have ties to forced labor in China's Xinjiang region.
• The law would automatically expire after 8 years, or sooner if the President certifies to Congress that China has ended mass internment, forced labor, and other gross human rights violations against Uyghurs and other persecuted groups in Xinjiang.