China condemned the U.S. expansion of the UFLPA Entity List, which added 43 Chinese firms, and rejected allegations of forced labour in Xinjiang. Beijing warned the move could disrupt global supply chains and pledged countermeasures, including blacklisting U.S. testing companies and sanctioning six U.S. firms. One named company, Applied DNA Sciences, has marketed cotton‑traceability tech tied to UFLPA compliance. New Chinese rules to curb perceived extraterritorial measures may complicate global due‑diligence efforts.
China Condemns U.S. UFLPA Expansion, Blacklists Six U.S. Firms and Warns of Countermeasures
China's Ministry of Commerce also warned that the US' actions will disrupt global supply chains
China’s Ministry of Commerce has strongly condemned the recent expansion of the United States' Uyghur Forced Labor Prevention Act (UFLPA) Entity List and announced blacklisting and sanctions against several U.S. firms, calling the U.S. measures "illegal" and warning of retaliatory steps.
The U.S. added 43 Chinese companies to the UFLPA Entity List in the largest single expansion since the list began to be enforced. Washington says the newly listed firms either have direct links to Xinjiang or are involved in activities such as sourcing raw materials from, or cooperating with, authorities in the Xinjiang Uyghur Autonomous Region.
China rejects the forced-labour allegations. In an official statement the ministry said:
"Xinjiang enjoys social harmony and stability and sustains economic development, with people living and working in peace and contentment. There is simply no such thing as so‑called forced labour in Xinjiang in any form."
The UFLPA operates under a broad presumption that goods produced in Xinjiang are made with forced labour and therefore are banned from entering the United States unless importers can demonstrate otherwise.
China’s Ministry of Commerce warned that the U.S. actions risk disrupting global supply chains and said Beijing would "take necessary measures" in response. Separately, China has announced a blacklist of U.S. compliance‑testing companies and imposed sanctions on six U.S. entities it says "assisted and supported illegal U.S. sanctions related to Xinjiang."
One of the named firms is Applied DNA Sciences; Chinese media reported the company has promoted cotton‑traceability technology as a tool to support implementation of the UFLPA. The ministry described the companies' actions as "egregious in nature."
The developments come after Beijing introduced new rules to counter what it calls "unlawful extraterritorial jurisdiction measures." Experts warn those rules could complicate efforts by global brands to comply simultaneously with Western due‑diligence laws and Chinese restrictions.
What This Means
This escalation highlights deepening trade and regulatory friction between Beijing and Washington. Importers, brands and compliance providers may face growing legal and logistical challenges as both sides tighten controls and pursue measures aimed at protecting economic and strategic interests.
Originally published by Just Style (GlobalData).
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