Congressman Suhas Subramanyam (D-VA-10) has reintroduced the No Funds for Forced Labor Act (H.R. 7516), a bipartisan bill aimed at stopping international financial institutions from funding projects that may use forced labor. The legislation specifically targets loans with a significant risk of involving forced labor or those operating in the Xinjiang Uyghur Autonomous Region, where reports indicate widespread forced labor affecting Uyghurs and other ethnic minorities.
“U.S. taxpayer dollars have no business propping up companies that exploit forced labor,” said Rep. Subramanyam. “It is the responsibility of Congress to prevent our taxpayer funded resources from supporting forced labor systems, including state-influenced entities in the Xinjiang Uyghur Autonomous Region. I am grateful to my predecessor Jennifer Wexton for her work last Congress to push this forward. I am also grateful to Chairman Moolenaar and Reps. Beyer (VA), Fitzpatrick (PA), Kim (CA), Krishnamoorthi (IL), McGovern (MA), Norton, and Nunn (IA) for joining me in this important effort to build on the great bipartisan work Congress has done to root out forced labor from our supply chains and work towards putting an end to this brutal practice.”
Rep. Zach Nunn (IA-03) commented on the bill’s intent: “The United States cannot condemn forced labor abroad while allowing American taxpayer dollars to support it in practice. No international loan backed by the United States should be tied to slave labor or state-sponsored abuses in Xinjiang. This bipartisan legislation ensures we use our leverage at international financial institutions to block those projects and demand real accountability.”
A report published by the Atlantic Council in 2022 found that the International Finance Corporation, part of the World Bank Group, had provided hundreds of millions of dollars in financing to companies operating in Xinjiang as part of its private sector development efforts. These institutions are partly funded by U.S. government contributions, meaning American taxpayer money could indirectly support companies involved with alleged human rights abuses.
Rushan Abbas, Founder and Executive Director of Campaign for Uyghurs and Chairwoman of the World Uyghur Congress Executive Committee, stated: “Campaign for Uyghurs strongly supports the No Funds for Forced Labor Act, which would prevent U.S.-backed international financial institutions from funding projects at significant risk of modern slavery. This legislation complements the Uyghur Forced Labor Prevention Act by ensuring that U.S. funding does not indirectly enable the CCP’s state-imposed forced labor, thereby closing a critical gap in efforts to combat such exploitation. It breaks my heart that my sister, Dr. Gulshan Abbas, who has been unjustly imprisoned by the CCP for seven and a half years, could be one of the victims of this modern slavery. We commend Representative Subramanyam’s leadership and urge Congress to pass this bill without delay.”
Omer Kanat, Executive Director of Uyghur Human Rights Project added: “The U.S. should make it a priority to keep goods made with Uyghur forced labor out of global supply chains. By ensuring American tax dollars are not funneled through international institutions into abusive projects, Congressman Subramanyam’s bill sends a strong message against the CCP’s horrific human rights abuses.”
Subramanyam serves on the Congressional-Executive Commission on China where he monitors human rights issues within China’s borders. Earlier this year he introduced another bipartisan measure—the Uyghur Human Rights Protection Act—to prioritize refugee status for affected groups from Xinjiang seeking asylum in America.
