On November 19, the European Council has adopted a regulation banning products made using forced labour from entering, being exported, or sold within the European Union.
The new EU Forced Labour Regulation (FLR) represents a global effort to combat human rights abuses in international supply chains. It is estimated that 27.6 million people worldwide are trapped in conditions of forced labour.
A Comprehensive Approach to Combating Forced Labour
Originally proposed by the Commission in September 2022, the regulation’s scope is very broad, covering every stage of a product’s creation, from initial extraction to final manufacture. Whether a single component or an entire production line involves forced labour, the product can be banned from EU markets.
To this end, the European Commission will set up a database with information on high-risk areas and products. Based on an assessment of possible risks, the Commission (in the case of the use of forced labour outside the EU) or member state authorities (in the case of the use of forced labour within their territory) may initiate an investigation.1 The final decision to ban, withdraw or dispose of non-compliant product will be made by the authority that directed the investigation,2 and will be recognized across all EU member states, creating a unified enforcement mechanism.
Global Impact and Corporate Accountability
Companies operating globally will now face stringent requirements to demonstrate the ethical integrity of their supply chains. And they need to. The Global Slavery Index by Walk Free reveals that $468 billion of G20 imports, including electronics, textiles, and solar panels, are at risk of modern slavery.3 In agriculture too, the exploitation of migrant workers, often in conditions of forced labour, has long been a problem. Most forced labour occurs in private sector supply chains, although some are government-imposed.
Implementation and Timeline
The Council’s agreement marks the adoption of the regulation, which will be published in the Official Journal of the European Union before Christmas and will become fully operational three years after its entry into force ; giving companies time to review their supply chains if necessary. However, its success hinges on robust enforcement, sufficient resources, and continued international cooperation.
Samuel Poos, project manager of the Trade for Development Centre at Enabel.
- Commission’s proposal
- Council’s general agreement / negotiating mandate
- Forced labour products (background information)