Integrity Declaration on Doing Business with Xinjiang Entities
Effective July 1st, 2020, Canada’s Customs Tariff Act and the Schedule to the Customs Tariff were amended to include a prohibition on the importation of goods produced wholly or in part by forced labour. The Government of Canada expects companies to take every step possible to ensure that their supply chains conform to Canadian law with respect to the prohibition on the import of forced labour.
The Government of Canada also expects Canadian companies active abroad to respect human rights, operate lawfully, and conduct their activities in a responsible manner consistent with international standards such as the UN Guiding Principles for Business and Human Rightsand the OECD Guidelines for Multinational Enterprises.
Given known risks with respect to forced labour, Canadian companies active not only in China but also around the world should be particularly vigilant to ensure that they operate in accordance with Canadian law, and conform with OECD and UN standards. The Government of Canada is deeply concerned by reports and documentary evidence of the repression of Uyghurs and other ethnic minorities by Chinese authorities in the Xinjiang Uyghur Autonomous Region (XUAR). Evidence suggests that forced labour of Uyghurs and other ethnic minorities is taking place across China and tainting global supply chains in a variety of industries. For more information about the human rights situation in Xinjiang and the risks of doing business with Xinjiang-related entities, please click Global Affairs Canada advisory on doing business with Xinjiang-related entities.
Canadian companies that are 1) sourcing directly or indirectly from Xinjiang or from entities relying on Uyghur labour, 2) established in Xinjiang, or 3) seeking to engage in the market, will be required to sign this Integrity Declaration on Doing Business with Xinjiang Entities prior to receiving services and support from the Trade Commissioner Service (TCS), beyond receiving a briefing of the risks of doing business in this market. This attests that you, on behalf of your company, are aware of Canadian law with respect to the prohibition of forced labour, that you recognize the Government of Canada’s expectations with respect to the OECD Guidelines and UN guiding principles, and that you are aware of the human rights situation in Xinjiang. By signing the Declaration, you also affirm that, to your knowledge, your company: abides by all relevant laws, respects human rights, and seeks to meet or exceed OECD Guidelines for Multinational Enterprises and the UN Guiding Principles; is not directly or indirectly sourcing products from Chinese entities implicated in forced labour or other human rights violations related to the XUAR; and commits to conduct due diligence on suppliers in China to ensure there are no such linkages. For information about the Declaration, please contact a trade commissioner.
1. (the “Company”), as represented herein by its duly authorized representative, hereby makes the following declaration on behalf of the Company and its Affiliates*.
2. I am aware of the human rights situation in Xinjiang Uyghur Autonomous Region (XUAR) and the elevated risk that this poses, and understand that the TCS expects Canadian companies and their affiliates active in China to operate in a manner that respects human rights, including with respect to forced labour, all applicable laws, as well as to operate transparently and in a manner that seeks to meet or exceed international standards such as the OECD Guidelines for Multinational Enterprises and the UN Guiding Principles for Business and Human Rights. I understand that the TCS will not provide trade support to any Canadian company that is found to be knowingly engaged in business conduct inconsistent with these standards with respect to the XUAR.
3. I have not knowingly sourced, directly or indirectly, products or services from a supplier implicated in forced labour or other human rights violations connected to the repression of Uyghurs and other ethnic minorities in the XUAR. We understand that any evidence that we have knowingly done so will be taken into account when the TCS considers whether to provide services.
5. This Declaration remains in effect for 5 years from the date it is signed. The company acknowledges that, during this period of validity, it has an ongoing obligation to report to the TCS any material changes to statements in this Declaration concerning its business practices pertaining to the XUAR.
6. The Company acknowledges that this completed Declaration does not constitute a commitment by the TCS to provide services. All services are provided at the discretion of the TCS.
*“Affiliate” as defined by the Canada Business Corporations Act:
(a) one body corporate is affiliated with another body corporate if one of them is the subsidiary of the other or both are subsidiaries of the same body corporate or each of them is controlled by the same person; and
(b) if two bodies corporate are affiliated with the same body corporate at the same time, they are deemed to be affiliated with each other.