The Agency of Foreign Trade recommends that industry associations and enterprises exporting to Taiwan proactively update themselves on new regulations and requirements concerning forced labor.

On September 14, the Agency of Foreign Trade (Ministry of Industry and Trade) issued Official Dispatch No. 1211/XNK-THCS to industry associations and enterprises exporting to the Taiwanese market, notifying them that Taiwan (China) has instituted an import restriction framework targeting goods tied to forced labor.

The document states that on July 30, Taiwan’s Ministry of Economic Affairs (MOEA) and Ministry of Labor (MOL) issued two statutory guidelines: Operational Guidelines on Implementing Import Restrictions on Goods Involving Forced Labor, and Guidelines on the Establishment of the Review Council for Restricting Imports of Goods Produced by Forced Labor.

These two documents establish a unified legal framework to receive information from partner jurisdictions, conduct reviews, enforce import restrictions, and coordinate inter-agency action against goods suspected of being mined, produced, or manufactured using forced labor. Key elements of this new mechanism include:

Establishing a legal basis for import bans and controlling entry into Free Trade Zones

The MOEA regulations establish the statutory foundation to enforce import restrictions on goods tainted by forced labor under Paragraph 2, Article 11 of Taiwan's Foreign Trade Act. Concurrently, regarding goods deposited into Free Trade Zones (FTZs), the competent regulatory authority for each respective commodity class will invoke Subparagraph 10, Paragraph 1, Article 15 of the Act for the Establishment and Management of Free Trade Zones to mandate that introducing such goods into FTZs must obtain prior approval from the designated authorities.

Accordingly, the regulatory perimeter applies not only to standard import entries, but also encompasses the transfer and movement of cargo into Taiwan’s Free Trade Zones.

Establishing an inter-agency Review Council

Under the provisions, Taiwan will establish a 12-member Review Council on Restricting Imports of Forced Labor Goods to examine and adjudicate cases requiring import restrictions. The Council is co-convened by the heads of MOEA and MOL, or their authorized delegates. The four permanent members consist of representatives from MOEA, MOL, the Ministry of Finance, and the Office of Trade Negotiations (OTN). In addition, the Council includes delegates from departments covering the Interior, Foreign Affairs, Transportation, Agriculture, Health and Welfare, and the Mainland Affairs Council.

The Council is tasked with reviewing determinations made by partner nations regarding entities and goods linked to forced labor to initiate inquiries, assess decisions to impose, amend, or revoke import bans, and administer review procedures while steering coordination among relevant agencies.

Information processing workflows and provisional restriction measures

Once MOEA receives or collects intelligence from international partners on goods determined to involve forced labor, MOEA will transmit the dossiers to MOL for processing. Upon receipt, MOL will convene the Council’s permanent members to designate the responsible sector-specific authority, define required information, and assign operational tasks across respective bodies.

Prior to the Council issuing a final determination, the permanent members may resolve to impose provisional import restrictions against entities and merchandise potentially tainted by forced labor to prevent further entries into Taiwan during the review period. The maximum duration for provisional measures is 60 days.

Once provisional measures are activated, MOL transmits formal notifications to MOEA and designated competent authorities to publish import restriction orders under the Foreign Trade Act, alongside notices mandating prior authorization for entry into Free Trade Zones under the Act for the Establishment and Management of Free Trade Zones.

Review process and issuance of official determinations

Within 30 days of MOL receiving information forwarded by MOEA regarding a partner's determination, amendment, or rescission of findings on forced-labor goods, the Council must convene and adopt a formal resolution.

Within five days of the Council passing a resolution, MOL will forward the findings to MOEA and relevant competent bodies to issue formal notices restricting (or lifting restrictions on) imports, while simultaneously issuing (or revoking) prior-approval requirements for admitting affected goods into Free Trade Zones.

Covered scope

Under MOEA provisions, import restrictions target two distinct categories: entities engaged in forced or compulsory labor practices and the goods mined, produced, or manufactured by these entities as determined by the Review Council; and entities and merchandise potentially implicated in forced labor that are currently placed under provisional restrictions pending the Council's final ruling.

Should an international partner revise or retract a prior determination, the Council will conduct a reassessment, and MOEA will issue an official notice rescinding import restrictions in accordance with the Council’s resolution.

Implementation and enforcement

Under the mechanism, following the Council's formal determination, MOEA will issue import restriction notices (or repeal notices) pursuant to the Foreign Trade Act; concurrently, relevant sector authorities will issue (or revoke) prior-approval mandates for entry into Free Trade Zones.

According to information released by MOL, once import restriction orders take effect, Customs authorities will conduct inspection and surveillance at border checkpoints to intercept and block restricted consignments from entering Taiwan.

Against the backdrop of numerous global economies advancing responsible supply chain practices, Taiwan's new regulations are projected to heighten compliance demands on export enterprises, particularly regarding supply chain information governance and the capacity to furnish verifiable evidence across manufacturing processes.

Sectors with high import dependency must proactively track developments

The Agency of Foreign Trade advises industry associations and enterprises exporting to Taiwan—especially those in higher-risk sectors such as textiles and garments, footwear, seafood, agricultural produce, and industries with high exposure to imported raw materials—to proactively track and update themselves on Taiwan’s evolving forced labor mandates. Doing so ensures a full understanding of granular documentation, traceability, and supply chain accountability requirements, enabling timely operational adjustments in manufacturing, procurement, and export routines to reduce customs clearance friction and safeguard stable export flows.

Enterprises should enhance recordkeeping by rigorously compiling and archiving documents verifying raw material origins, manufacturing processes, workplace labor conditions, and supplier partnerships to ensure they can readily supply information and justifications whenever requested by competent authorities or commercial buyers.

Source: Bao Nong nghiep va Moi truong