US Blocks Imports From Three Chinese Biotech Companies
The United States will block imports from three Chinese biotechnology companies beginning Thursday after the Trump administration accused them of links to forced labor involving persecuted ethnic minorities in Xinjiang. The Department of Homeland Security (DHS) added BGI Group, BGI Genomics and MGI Tech to a federal trade blacklist under the Uyghur Forced Labor Prevention Act.
According to a Federal Register notice cited by Bloomberg, the designation creates a presumption that goods associated with the companies are produced using forced labor. Importers must provide sufficient evidence to overcome that presumption for their shipments to enter the United States.
DHS said the companies either obtain materials from Xinjiang or have worked with the regional government in activities involving the recruitment, transportation, transfer, harboring or receipt of forced labor. The department identified Uyghurs and other persecuted ethnic groups among those potentially affected.
In its announcement Wednesday, DHS cited what it described as credible information from corporate and government reporting indicating that the companies had supported genetic testing in Xinjiang.
"The collection and analysis of genetic material facilitate the monitoring, surveillance, and repression of ethnic minorities by the government of the People's Republic of China, including the abhorrent practice of forced labor," the Department of Homeland Security said.
BGI Group rejected the allegations in a statement Wednesday, denying that its operations involved forced labor.
"has not engaged in any form of forced labor." BGI Group said.
The company also emphasized its opposition to the practice.
"we firmly oppose all forms of forced labor." BGI Group said.
DHS said BGI Group holds controlling stakes in BGI Genomics and MGI Tech. BGI Group is known for its genetic sequencing technologies and is based in Shenzhen, in southern China.
The restrictions come amid broader US efforts to limit China's access to sensitive technologies and address alleged human rights abuses. The Treasury Department proposed new restrictions last week on US investments in biotechnology, artificial intelligence and supercomputing involving countries such as China.
The trade measures also precede an expected meeting next month between Chinese leader Xi Jinping and President Donald Trump in Shenzhen. Xi could travel to Florida in December for the Group of 20 leaders summit, where another meeting with Trump is anticipated as both governments seek to maintain stability during a trade truce.
US officials have raised concerns about BGI Group for several years, citing its alleged links to the Chinese government and potential access to extensive genetic data. The company has maintained that it is privately owned, does not provide services to patients in the United States and does not have access to Americans' genetic data.
Congress previously failed to pass legislation specifically barring BGI from working with federally funded medical providers. However, lawmakers approved a related provision late last year requiring the compilation of a list of biotechnology companies considered security concerns, without naming specific businesses.
The Pentagon has also designated BGI Group, BGI Genomics and MGI Tech as Chinese military companies, a classification that can damage their reputations and affect their commercial relationships.
The restrictions fall under the Uyghur Forced Labor Prevention Act, which former President Joe Biden signed into law in late 2021. The legislation was enacted amid allegations of human rights abuses against Uyghurs and other Muslim minorities in Xinjiang, which the Chinese government has rejected as false.
In August, the Trump administration expanded the blacklist by adding 43 Chinese companies, bringing the total number of listed entities to 187. Homeland Security Secretary Markwayne Mullin has pledged to protect American workers from foreign competitors benefiting from forced labor.
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