September 2026
Taiwan’s Executive Yuan Approves Rules Restricting the Importation of Goods Produced with Forced Labor
To implement the forced labor provisions of the Taiwan-U.S. Agreement on Reciprocal Trade signed in February 2026, the Executive Yuan on July 29, 2026, approved the Directions for Restricting the Importation of Goods Produced with Forced Labor (the “Operating Directions”) and the Directions for the Establishment of the Review Committee on Restricting the Importation of Goods Produced with Forced Labor (the “Committee Directions”). Under these Directions, an interagency Review Committee on Restricting the Importation of Goods Produced with Forced Labor (the “Review Committee”) has been established to determine whether to restrict the entry of goods produced with forced labor into the Taiwan market. The import restriction procedure and the applicable penalties are summarized below.
I、Procedures for Restricting the Importation of Goods Produced with Forced Labor
A. The MOEA Receives Information on Goods Produced with Forced Labor
After the Ministry of Economic Affairs (the “MOEA”) receives information from a partner country identifying goods as produced with forced labor, it must forward that information to the Ministry of Labor (the “MOL”), which will convene the Review Committee to decide whether to adopt measures restricting the importation of goods of a specified entity or of specified goods into Taiwan (Point 3, Paragraph 1 of the Operating Directions). For example, if the United States determines that certain goods were produced with forced labor, the review procedure described above may be initiated once the MOEA obtains the relevant information 1 .
B. Temporary Measures Adopted by the Standing Members of the Review Committee
Once the MOL receives information on goods produced with forced labor from the MOEA, it will convene the Review Committee to consider whether to impose import restrictions. Before the Review Committee formally resolves whether to impose import restrictions on an entity or goods involving forced labor, the standing members of the Review Committee may resolve to impose temporary import restrictions for a period not exceeding 60 days (Point 5, Paragraph 3 of the Committee Directions). In that event, the MOEA will temporarily restrict importation of the goods by public announcement under Article 11, Paragraph 2 of the Foreign Trade Act, and the competent authority for the relevant industry will, by public announcement under Article 15, Paragraph 1, Subparagraph 10 of the Act for the Establishment and Management of Free Trade Zones (the “Free Trade Zone Act”), require its approval before the goods may enter a free trade zone (Point 3, Paragraph 2 and Point 5 of the Operating Directions).
C. Review Committee Resolution to Restrict Importation
Within 30 days from the date on which the MOEA forwards information on goods produced with forced labor to the MOL, the Review Committee must decide whether to impose import restrictions on a specified entity or specified goods (Point 6 of the Committee Directions). If the Review Committee resolves to impose import restrictions, the MOEA and the competent authority for the relevant industry will, by public announcement under Article 11, Paragraph 2 of the Foreign Trade Act and Article 15, Paragraph 1, Subparagraph 10 of the Free Trade Zone Act respectively, restrict importation of the goods of the specified entity or of the specified goods and require the approval of the competent authority for the relevant industry before those goods may enter a free trade zone (Point 3, Paragraph 3 and Point 5 of the Operating Directions).
II、Procedures for Lifting Import Restrictions
A. Termination of Temporary Import Restrictions
Where the MOEA or the competent authority for the relevant industry has imposed temporary import restrictions by public announcement under Article 11, Paragraph 2 of the Foreign Trade Act or Article 15, Paragraph 1, Subparagraph 10 of the Free Trade Zone Act respectively, the temporary restrictions cease to have effect upon expiration of the period stated in the announcement. The temporary restrictions likewise cease to have effect if the Review Committee resolves to impose import restrictions before that period expires (Point 6 of the Operating Directions).
B. Lifting of Import Restrictions
Where the MOEA receives information from a partner country modifying or revoking a determination that goods were produced with forced labor, the MOL must convene the Review Committee and adopt a resolution within 30 days from the date on which it receives that information from the MOEA. If the Review Committee resolves to lift the import restrictions, the MOEA and the competent authority for the relevant industry must, upon receipt of the resolution, respectively rescind the announcements restricting importation of the goods and requiring the approval of the competent authority for the relevant industry before the goods may enter a free trade zone (Point 4 of the Operating Directions).
III、Penalties for Unlawful Importation of Goods Produced with Forced Labor
An importer that violates an import restriction announced under Article 11, Paragraph 2 of the Foreign Trade Act is subject to an administrative fine of NT$60,000 to NT$3,000,000, may be suspended from importing and exporting goods for one month to one year, and may even have its registration as an importer or exporter revoked (Article 28, Paragraph 1, Subparagraph 3 of the Foreign Trade Act). Customs will also order the importer to return the goods abroad (Article 96, Paragraph 1 of the Customs Act). A free trade zone enterprise that violates an approval requirement announced under Article 15, Paragraph 1, Subparagraph 10 of the Free Trade Zone Act is subject to an administrative fine of NT$30,000 to NT$300,000 imposed by Customs and may be ordered to ship the goods out of the free trade zone within 30 days, or the goods may be confiscated (Article 37, Paragraph 1 of the Free Trade Zone Act).
In addition, if Customs considers that an importer or a free trade zone enterprise has evaded import controls, Customs may, under Article 37, Paragraph 3 and Article 36, Paragraphs 1 and 3 of the Customs Anti-smuggling Act, impose on the importer or the free trade zone enterprise an administrative fine of up to three times the value of the goods and confiscate the goods.
IV、Conclusion
Under Point 4 of the Operating Directions, where a foreign government notifies the MOEA that a company’s goods involve forced labor and the Review Committee consequently resolves to restrict the importation of those goods into Taiwan, the company must first apply to that foreign government to have the forced labor determination lifted before Taiwan will lift its own import restrictions 2 . Companies should review the stages of their cross-border supply chains where forced labor may arise and reduce the risk that their goods become ineligible for importation into Taiwan on forced labor grounds.
［1］ Yeh Kuan-yu, Blocking Imports of Goods Produced with Forced Labor: Ministry of Labor and Ministry of Economic Affairs Establish a Review Mechanism, United Daily News (July 30, 2026), https://udn.com/news/story/7269/9661228 (last visited 2026/9/27).
［2］ Ou Hsin-meng, 30-Day Review Period for Goods Produced with Forced Labor: First Round of Cooperation with the United States Targets Origin Laundering, Economic Daily News (July 30, 2026), https://money.udn.com/money/story/7307/9661068 (last visited 2026/09/27).
I、Procedures for Restricting the Importation of Goods Produced with Forced Labor
A. The MOEA Receives Information on Goods Produced with Forced Labor
After the Ministry of Economic Affairs (the “MOEA”) receives information from a partner country identifying goods as produced with forced labor, it must forward that information to the Ministry of Labor (the “MOL”), which will convene the Review Committee to decide whether to adopt measures restricting the importation of goods of a specified entity or of specified goods into Taiwan (Point 3, Paragraph 1 of the Operating Directions). For example, if the United States determines that certain goods were produced with forced labor, the review procedure described above may be initiated once the MOEA obtains the relevant information 1 .
B. Temporary Measures Adopted by the Standing Members of the Review Committee
Once the MOL receives information on goods produced with forced labor from the MOEA, it will convene the Review Committee to consider whether to impose import restrictions. Before the Review Committee formally resolves whether to impose import restrictions on an entity or goods involving forced labor, the standing members of the Review Committee may resolve to impose temporary import restrictions for a period not exceeding 60 days (Point 5, Paragraph 3 of the Committee Directions). In that event, the MOEA will temporarily restrict importation of the goods by public announcement under Article 11, Paragraph 2 of the Foreign Trade Act, and the competent authority for the relevant industry will, by public announcement under Article 15, Paragraph 1, Subparagraph 10 of the Act for the Establishment and Management of Free Trade Zones (the “Free Trade Zone Act”), require its approval before the goods may enter a free trade zone (Point 3, Paragraph 2 and Point 5 of the Operating Directions).
C. Review Committee Resolution to Restrict Importation
Within 30 days from the date on which the MOEA forwards information on goods produced with forced labor to the MOL, the Review Committee must decide whether to impose import restrictions on a specified entity or specified goods (Point 6 of the Committee Directions). If the Review Committee resolves to impose import restrictions, the MOEA and the competent authority for the relevant industry will, by public announcement under Article 11, Paragraph 2 of the Foreign Trade Act and Article 15, Paragraph 1, Subparagraph 10 of the Free Trade Zone Act respectively, restrict importation of the goods of the specified entity or of the specified goods and require the approval of the competent authority for the relevant industry before those goods may enter a free trade zone (Point 3, Paragraph 3 and Point 5 of the Operating Directions).
II、Procedures for Lifting Import Restrictions
A. Termination of Temporary Import Restrictions
Where the MOEA or the competent authority for the relevant industry has imposed temporary import restrictions by public announcement under Article 11, Paragraph 2 of the Foreign Trade Act or Article 15, Paragraph 1, Subparagraph 10 of the Free Trade Zone Act respectively, the temporary restrictions cease to have effect upon expiration of the period stated in the announcement. The temporary restrictions likewise cease to have effect if the Review Committee resolves to impose import restrictions before that period expires (Point 6 of the Operating Directions).
B. Lifting of Import Restrictions
Where the MOEA receives information from a partner country modifying or revoking a determination that goods were produced with forced labor, the MOL must convene the Review Committee and adopt a resolution within 30 days from the date on which it receives that information from the MOEA. If the Review Committee resolves to lift the import restrictions, the MOEA and the competent authority for the relevant industry must, upon receipt of the resolution, respectively rescind the announcements restricting importation of the goods and requiring the approval of the competent authority for the relevant industry before the goods may enter a free trade zone (Point 4 of the Operating Directions).
III、Penalties for Unlawful Importation of Goods Produced with Forced Labor
An importer that violates an import restriction announced under Article 11, Paragraph 2 of the Foreign Trade Act is subject to an administrative fine of NT$60,000 to NT$3,000,000, may be suspended from importing and exporting goods for one month to one year, and may even have its registration as an importer or exporter revoked (Article 28, Paragraph 1, Subparagraph 3 of the Foreign Trade Act). Customs will also order the importer to return the goods abroad (Article 96, Paragraph 1 of the Customs Act). A free trade zone enterprise that violates an approval requirement announced under Article 15, Paragraph 1, Subparagraph 10 of the Free Trade Zone Act is subject to an administrative fine of NT$30,000 to NT$300,000 imposed by Customs and may be ordered to ship the goods out of the free trade zone within 30 days, or the goods may be confiscated (Article 37, Paragraph 1 of the Free Trade Zone Act).
In addition, if Customs considers that an importer or a free trade zone enterprise has evaded import controls, Customs may, under Article 37, Paragraph 3 and Article 36, Paragraphs 1 and 3 of the Customs Anti-smuggling Act, impose on the importer or the free trade zone enterprise an administrative fine of up to three times the value of the goods and confiscate the goods.
IV、Conclusion
Under Point 4 of the Operating Directions, where a foreign government notifies the MOEA that a company’s goods involve forced labor and the Review Committee consequently resolves to restrict the importation of those goods into Taiwan, the company must first apply to that foreign government to have the forced labor determination lifted before Taiwan will lift its own import restrictions 2 . Companies should review the stages of their cross-border supply chains where forced labor may arise and reduce the risk that their goods become ineligible for importation into Taiwan on forced labor grounds.
［1］ Yeh Kuan-yu, Blocking Imports of Goods Produced with Forced Labor: Ministry of Labor and Ministry of Economic Affairs Establish a Review Mechanism, United Daily News (July 30, 2026), https://udn.com/news/story/7269/9661228 (last visited 2026/9/27).
［2］ Ou Hsin-meng, 30-Day Review Period for Goods Produced with Forced Labor: First Round of Cooperation with the United States Targets Origin Laundering, Economic Daily News (July 30, 2026), https://money.udn.com/money/story/7307/9661068 (last visited 2026/09/27).
