Giant initiates petition process after US Customs blocks its bike and component imports

Giant Group has announced it will contact U.S Customs and Border Protection (CBP) to file a petition against a Withhold Release Order (WRO) detaining its bicycles, parts and accessories manufactured in Taiwan and being imported into the US.

On Wednesday, the CPB published a national media release detailing a WRO on Giant Manufacturing Co. Ltd.

The WRO was based on information that 'reasonably indicated forced labour use', and led to the CPB detaining bicycles, bicycle parts and accessories manufactured by Giant in Taiwan, and blocking them from being imported into the US.

The release states that the WRO was issued due to violations of Section 307 of the Tariff Act of 1930 (19 U.S.C. §1307), which prohibits U.S. imports of any product that was mined, produced, or manufactured wholly or in part by forced labour.

The CPB also stated that it had identified five International Labour Organisation forced labour indicators in its investigation of Giant, these were: abuse of vulnerability, abusive working or living conditions, debt bondage, withholding of wages and excessive overtime.

Giant Group's headquarters are in Taiwan, where it also has a manufacturing facility. The company also has facilities in China, the Netherlands, Hungary and Vietnam, amongst others.

Giant Group issued a statement on the 24th of September responding to the CBP's Withhold Release Order.

In response, it issued a four-point statement in which it reaffirmed its human rights commitment and confirmed the initiation of the petition process.

In it, Giant says it is "firmly committed to upholding human rights and labor protections," and that it has recently implemented a"Zero Recruitment Fee Policy," and upgraded employee housing."

Giant added that it has "established internal supervision mechanisms and third-party audits," to "ensure compliance with international standards."

"We will contact CBP to file a petition to seek the revocation of the WRO and explain that the Company has already adopted appropriate measures."

The statement continues, saying, "sales in other markets remain unaffected. In the short term, some shipments to the U.S. may experience delays or inspections. However, the company has activated contingency measures." It adds that the company is "planning to work closely with CBP and business partners to minimize the impact."

Giant says it "remains dedicated to protecting labor rights," and that it will "continually provide timely updates and maintain open communication with global stakeholders to foster a responsible and resilient industry environment."

According to US Customs and Border Protection, a WRO petition must include: credible audit results, a corrective action plan, implementation and evidence of forced labour indicator remediation and verification by independent third-party auditors. An 'unannounced independent, third-party audit' must also be included.