Essence of the Act:
This Regulation prohibits products made with forced labor from being placed on the EU market or exported from the EU. It establishes a comprehensive framework for investigating suspected cases of forced labor in supply chains, enforcing the prohibition, and requiring the withdrawal of non-compliant products. The regulation aims to improve the functioning of the internal market while contributing to the global fight against forced labor.Structure and Main Provisions:
The Regulation consists of six chapters covering:- General provisions including scope and definitions- Governance framework establishing a Union Network Against Forced Labour Products- Investigation procedures for suspected violations- Decision-making process for confirmed violations- Enforcement mechanisms including customs controls- Final provisions on penalties and evaluationKey Provisions:– Creates a risk-based approach to identifying and investigating products potentially made with forced labor- Establishes competent authorities in each Member State to investigate cases- Requires economic operators to provide information during investigations- Mandates withdrawal and disposal of products found to be made with forced labor- Sets up customs controls to prevent entry/exit of prohibited products- Creates a database of forced labor risks and a single information submission portal- Provides special support measures for SMEs- Requires Member States to establish penalties for non-compliance- Establishes international cooperation mechanisms- Protects whistleblowers who report violationsThe Regulation will fully apply from December 14, 2027, with some provisions taking effect from December 13, 2024. It creates a comprehensive system combining investigation, enforcement and international cooperation to eliminate forced labor products from the EU market.
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