U.S. retailers and distributors cutting ties with Chinese processors due to forced labor allegations has stymied demand for Chinese-processed products, according to the director of a major processing operation in northern China.
“There has been a notable impact on demand due to the unwarranted and baseless allegations of ‘forced labor’ within the Chinese processing sector by some U.S. media,” the executive, who declined to be named, said.
His remarks reference reporting from the Outlaw Ocean Project on the use of Uyghur forced labor at certain processing plants – revelations which, along with several U.S. seafood purchasers cutting ties with the processors named in the report, has resulted in NGOs pushing for formal sanctions against the processors.
The Chinese processor is forecasting higher prices for U.S. companies purchasing whitefish due to a recent U.S. executive order imposing a ban on imports of Russian-origin seafood processed in third countries. This ban, the processor said, “is likely to pose additional challenges for Chinese processors.”
“These developments are expected to reshape the global whitefish supply-demand landscape in 2024,” he said. “Both Chinese processors and numerous U.S. seafood businesses will encounter significant hurdles. Notably, the lack of competition in the U.S. seafood supply chain may lead to increased whitefish prices, placing an added burden on consumers.”
The executive order has not just created a divide between China and the U.S., but it has also created escalating tension within the U.S. domestic market, with the feud between the order’s supporters and detractors leading to altercations that have gotten personal.
Nevertheless, the Chinese processor believes consumers will ...
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