Citing the example of Top Glove, which took about 14 months to reverse the Withhold Release Order (WRO), CBP’s acting executive director of trade remedy and law enforcement, Eric Choy, said this was key to modifying the order.
He said the longer the WRO is in place, the more evidence CBP will obtain to turn the order into a finding which can then be used to take legal steps to seize goods immediately upon entry.
“We really look forward to Sime Darby engaging and working with us to show what they have got on their audit. The key to moving forward on this is the company’s top officials’ persistent engagement with us to show that they are serious about remedying the situation,” he said.
Choy said this when asked on the matter during a press conference via zoom from Washington with selected media representatives last night. It was called to clarify the WRO which had hit Sime Darby and seven glove makers over forced labour.
Two of them have had the orders withdrawn after audits showed that they had remedied the situation.
After the ban was imposed on Sime Darby last month, plantation industries and commodities minister Zuraida Kamaruddin slammed the CBP, saying the move was “hasty and unfounded”.
She appealed to the US agency to provide flexibility to the company on the issue, adding that time should be given for an independent audit report to refute the allegations of forced labour.
Choy, who cited the action of Top Glove as exemplary, said the company proactively reached to the CBP from the highest levels of the company and worked closely with them, and followed through on strong commitments they made to provide better working conditions for their workers.
“Not only did they repay more than US$30 million (RM125 million) to workers trapped in debt bondage, they also made significant improvements to the living conditions and facilities.
“As a result, the CBP suspended the enforcement after forced labour was no longer being practised after verifying independently,” he said.
Choy said Malaysian Palm Oil Council chairman Larry Sng had travelled to Washington recently and met CBP officials, including him, for a meeting on the situation, adding that they had a good dialogue.
He said remedying forced labour findings was not an overnight process as it involved significant financial investment by the affected firms which meant they would have to restructure their companies in the process.
“CBP is very open to working and speaking with the affected companies again. We are very protective about engagements with the companies and can only speak freely about Top Glove because they have taken steps that we can been proud of.
“We need continuous engagement to show that movement has been made in these cases.”
Choy said the CBP truly wants Americans not to be consumers of goods that are manufactured against the values of the nation.
“I hope the companies that are subject to WRO work together with the CBP and take the corrective actions that are needed and once again enjoy the access to the US market.”
He added that it does not target any Malaysian company but only acts against those found to have used forced labour in their manufacturing processes.
Deputy executive assistant commissioner of CBP’s trade office John Leonard said the agency had stepped up its efforts over the last five years and that Malaysia has been a focus.
“We do it very pragmatically, carefully and we don’t target any import that does not have any reasonable evidence of forced labour. Some of the progress in this area in Malaysia has been encouraging.
“Malaysia launched its 2021–2025 national action plan to eliminate the use of forced labour. It has also ratified ILO’s Forced Labour Convention, which is good. They participated in global programmes to eliminate modern slavery and child labour, which are all positive signs,” he said.