Uyghur Forced Labor Disclosure Act

I 117TH CONGRESS 1ST SESSION H. R. 2072 To amend the Securities Exchange Act of 1934 to require issuers to make certain disclosures relating to the Xinjiang Uyghur Autonomous Region, and for other purposes. IN THE HOUSE OF REPRESENTATIVES MARCH 18, 2021 Ms. WEXTON (for herself, Mr. SHERMAN, Mr. CONNOLLY, Mr. DEUTCH, Mr. ESPAILLAT, Ms. NORTON, Mr. CICILLINE, Mr. SUOZZI, Mrs. LURIA, Mr. HASTINGS, and Mr. CARSON) introduced the following bill; which was re- ferred to the Committee on Financial Services A BILL To amend the Securities Exchange Act of 1934 to require issuers to make certain disclosures relating to the Xinjiang Uyghur Autonomous Region, and for other pur- poses. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Uyghur Forced Labor 4 Disclosure Act’’. 5 VerDate Sep 11 2014 04:49 May 19, 2021 Jkt 019200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H2072.IH H2072 kjohnson on DSK79L0C42PROD with BILLS 2 •HR 2072 IH SEC. 2. DISCLOSURE OF CERTAIN ACTIVITIES RELATING TO 1 THE XINJIANG UYGHUR AUTONOMOUS RE- 2 GION. 3 (a) IN GENERAL.—Section 13 of the Securities Ex- 4 change Act of 1934 (15 U.S.C. 78m) is amended by add- 5 ing at the end the following: 6 ‘‘(s) DISCLOSURE OF CERTAIN ACTIVITIES RELAT- 7 ING TO THE XINJIANG UYGHUR AUTONOMOUS REGION.— 8 ‘‘(1) IN GENERAL.—Not later than the end of 9 the 180-day period beginning on the date of enact- 10 ment of this subsection, the Commission shall issue 11 rules to require each issuer required to file an an- 12 nual report under this section or section 15(d) or a 13 proxy statement under section 14 to disclose in each 14 such report or proxy statement whether, during the 15 period covered by the report or proxy statement— 16 ‘‘(A) the issuer or any affiliate of the 17 issuer, directly or indirectly, engaged with an 18 entity or the affiliate of an entity to import— 19 ‘‘(i) manufactured goods, including 20 electronics, food products, textiles, shoes, 21 auto parts, polysilicon, and teas, that are 22 sourced from or through the XUAR; 23 ‘‘(ii) manufactured goods containing 24 materials that are sourced from or through 25 the XUAR; or 26 VerDate Sep 11 2014 04:49 May 19, 2021 Jkt 019200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H2072.IH H2072 kjohnson on DSK79L0C42PROD with BILLS 3 •HR 2072 IH ‘‘(iii) goods manufactured by an entity 1 engaged in labor transfers from the 2 XUAR; 3 ‘‘(B) with respect to any goods or mate- 4 rials described under subparagraph (A), wheth- 5 er the goods or material originated in forced 6 labor camps; and 7 ‘‘(C) with respect to each manufactured 8 good or material described under subparagraph 9 (A)— 10 ‘‘(i) the nature and extent of the com- 11 mercial activity related to such good or 12 material; 13 ‘‘(ii) the gross revenue and net prof- 14 its, if any, attributable to the good or ma- 15 terial; and 16 ‘‘(iii) whether the issuer or the affil- 17 iate of the issuer intends to continue with 18 such importation. 19 ‘‘(2) AVAILABILITY OF INFORMATION.—The 20 Commission shall make all information disclosed 21 pursuant to this subsection available to the public on 22 the website of the Commission. 23 ‘‘(3) REPORTS.— 24 VerDate Sep 11 2014 04:49 May 19, 2021 Jkt 019200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H2072.IH H2072 kjohnson on DSK79L0C42PROD with BILLS 4 •HR 2072 IH ‘‘(A) ANNUAL REPORT TO CONGRESS.— 1 The Commission shall— 2 ‘‘(i) conduct an annual assessment of 3 the compliance of issuers with the require- 4 ments of this subsection; and 5 ‘‘(ii) issue a report to Congress con- 6 taining the results of the assessment re- 7 quired under clause (i). 8 ‘‘(B) GAO REPORT.—The Comptroller 9 General of the United States shall periodically 10 evaluate and report to Congress on the effec- 11 tiveness of the oversight by the Commission of 12 the disclosure requirements under this sub- 13 section. 14 ‘‘(4) DEFINITIONS.—In this subsection: 15 ‘‘(A) FORCED LABOR CAMP.—The term 16 ‘forced labor camp’ means— 17 ‘‘(i) any entity engaged in the ‘mutual 18 pairing assistance’ program which sub- 19 sidizes the establishment of manufacturing 20 facilities in XUAR; 21 ‘‘(ii) any entity using convict labor, 22 forced labor, or indentured labor described 23 under section 307 of the Tariff Act of 24 1930 (19 U.S.C. 1307); and 25 VerDate Sep 11 2014 04:49 May 19, 2021 Jkt 019200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H2072.IH H2072 kjohnson on DSK79L0C42PROD with BILLS 5 •HR 2072 IH ‘‘(iii) any other entity that the Com- 1 mission determines is appropriate. 2 ‘‘(B) XUAR.—The term ‘XUAR’ means 3 the Xinjiang Uyghur Autonomous Region.’’. 4 (b) REPEAL.—The amendment made by this section 5 shall be repealed on the earlier of— 6 (1) the date that is 8 years after the date of the 7 enactment of this section; or 8 (2) the date on which the President submits to 9 Congress (including the Office of the Law Revision 10 Council) a determination that the Government of the 11 People’s Republic of China has ended mass intern- 12 ment, forced labor, and any other gross violations of 13 human rights experienced by Uyghurs, Kazakhs, 14 Kyrgyz, and members of other persecuted groups in 15 the Xinjiang Uyghur Autonomous Region. 16 Æ VerDate Sep 11 2014 04:49 May 19, 2021 Jkt 019200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6301 E:\BILLS\H2072.IH H2072 kjohnson on DSK79L0C42PROD with BILLS