The Importance of Supply Chain Mapping

With an increasing emphasis being placed by CBP on importers to know the source of every component and raw material in their supply chain, the agency now recommends that importers map their supply chain down to the fifth supplier level of raw materials to ensure that the product is free of forced labor. Beginning with the Customs Modernization Act in the mid-1990’s and now with a final rule published by CBP governing broker responsibilities in 19 CFR Part 111 and as part of their wider mission to update their regulations for today’s trade, there is a reinforcement and reiteration to importers – know where your goods are coming from.

According to the Global Slavery Index, the United States imports approximately $144 billion dollars worth of goods made with forced labor. These goods are, in fact, prohibited by Section 307 of the US Tariff Act and any goods that are reasonably suspected of being produced in such a way could be subject to a Withhold Release Order (WRO). A Withhold Release Order means that the goods will not be released for entry into the United States, and the goods could be subject to seizure and the IoR subject to steep fines.

It’s important to understand the definition of forced labor for these purposes. From the US Tariff Act: “All work or service which is exacted from any person under the menace of any penalty for its nonperformance and for which the worker does not offer himself voluntarily.” Menace could be anything from verbal threats, to withholding pay, deception, retention of identity documents, debt bondage, and even excessive overtime to more insidious acts like physical violence.

If we all do our part, we can keep ethically produced goods moving while eliminating the demand for forced labor supply.

Some suggested resources to help with supply chain mapping and compliance from the Department of Homeland Security (DHS) are as follows:

The U.S. Department of Labor’s Comply Chain

The U.S. Department of State’s Responsible Sourcing Tool

National Action Plan on Responsible Business Conduct

CBP’s forced labor website resources

CBP’s Withhold Release Orders and Findings

The appearance of forced labor for raw materials extends beyond Xingang and its cotton and photovoltaic cell industries. CBP has WRO actions in place for products from around the world. The requirement of importers to comply or risk denial of entry means that is extremely important that, working with our clients, Future Forwarding keeps the goods in your supply chain moving from raw material to final delivery to the customer, whether business or individual.

Future Forwarding Celebrating 45 Years

Future Forwarding rang in a landmark birthday by doing what we’ve always done, what we’re known for, delivering excellent service to our customers.

Future Forwarding was born in Leeds, England on a cold day in 1977. Our founders purchased a secondhand typewriter from a thrift store to create airbills for our very first client and their shipment from Switzerland. Unsurprisingly, that very first client is still with us today.

Longevity is something a lot of companies talk about but there’s proof of that in our client base, and in our employee roster. We opened our first office in the US twenty one years ago, and there are employees who were there day one and are still there. In our UK offices, there are employees who’ve been with the company thirty years or more.

That’s a testament to the kind of company culture you’ll find at Future Forwarding. Logistics is ultimately about people and relationships, and that’s the focus within the organization. President Colin Smith says, “Our core values are focused on a customer and employee-first model. We want to make the customer and employee experiences enjoyable. We’re building relationships.”

In the early years of our US presence, there was a strong connection between the north of England and the southern US based on textiles, from machinery, to yarn, and other raw materials. We started with an office with four people and 1800 square feet and in the last nineteen years, have expanded to over 800,000 square feet.

Future Forwarding has done a lot. From flying soccer balls to England’s team playing in Spain, to rackets to John McEnroe in New York, we’ve always been about service going hand in hand with innovation.

Now, as we look to the future and the next forty-five years, we’re spreading our wings even farther with organic growth into new, strategic markets, all while continuing to polish our current foundations of service and strong interpersonal relationships.

Happy Forty-Five, to all those who make us Future Forwarding!

Month: October 2022

The Importance of Supply Chain Mapping

Future Forwarding Celebrating 45 Years

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