China has condemned the United States after Washington added three Chinese biotechnology and genomics companies to its Uyghur Forced Labor Prevention Act Entity List. The China US forced labour dispute intensified on October 29, 2026, after Beijing accused Washington of unfairly targeting Chinese businesses and undermining bilateral trade relations.
The companies affected are MGI Tech, BGI Genomics and Shenzhen BGI Technology, also known as BGI Group. The US government alleges that the companies are connected to forced labour involving Uyghurs and other ethnic minorities in China’s Xinjiang region. The companies have rejected the allegations, while China has repeatedly denied claims of forced labour in Xinjiang. <Cite refs={[“turn331466news12″,”turn331466news13”]}/>
Under the US restrictions, goods associated with the listed companies face import restrictions unless the applicable legal requirements for rebutting the presumption of forced labour are met. The decision adds another point of tension to the economic and technological relationship between Washington and Beijing.
Why Has China Condemned the US Forced Labour Decision?
China’s Commerce Ministry criticised the US decision to place the three companies on the forced labour list. Beijing argued that Washington was using human rights concerns as a pretext to restrict Chinese businesses and interfere with trade.
The ministry also said the move contradicted the understanding reached between the two countries’ leaders and could undermine economic and commercial relations.
China has consistently rejected allegations of systematic forced labour in Xinjiang. Its government maintains that employment practices in the region protect the rights of workers from different ethnic groups.
The latest response signals that Beijing considers the designation an issue involving both trade policy and national interests. Chinese officials said the country would take necessary measures to safeguard its interests, although the announcement did not specify the precise form those measures would take. <Cite refs={[“turn331466search0″,”turn331466search8”]}/>
Which Chinese Companies Have Been Added to the US List?
The US action names three companies associated with biotechnology, genetic sequencing and related technologies.
MGI Tech: The company develops genetic sequencing equipment and related technology. It rejected the US allegations and said it has zero tolerance for forced labour.
BGI Genomics: The company operates in genomics and genetic testing. It was included in the new designation, although it did not immediately respond to all requests for comment reported at the time.
Shenzhen BGI Technology (BGI Group): The US identifies this entity as BGI Group. The company denied engaging in forced labour and opposed the allegations made against it.
The US Department of Homeland Security alleged that the companies’ activities or sourcing relationships were connected to forced labour in Xinjiang. It also raised concerns about genetic testing, data and surveillance practices in the region.
These are allegations made by US authorities, not findings that should be presented as uncontested facts. The companies have disputed the accusations, and their responses are an important part of the story. <Cite refs={[“turn331466news13″,”turn331466news14”]}/>
What Is the Uyghur Forced Labor Prevention Act Entity List?
The Uyghur Forced Labor Prevention Act, commonly known as the UFLPA, is a US law designed to prevent goods linked to forced labour in Xinjiang from entering the American market.
The law establishes a rebuttable presumption that goods mined, produced or manufactured wholly or partly in Xinjiang—or by entities included on the relevant list—are prohibited from entering the United States unless the applicable legal requirements are satisfied.
US Customs and Border Protection enforces the import restrictions. Importers may need to provide evidence to rebut the presumption and demonstrate compliance with the law.
The list is part of Washington’s broader approach to addressing alleged forced labour in global supply chains. It can affect businesses beyond the companies directly named because manufacturers, distributors and importers may need to review sourcing, documentation and supplier relationships.
For companies involved in international trade, the designation can therefore create compliance challenges even before the wider commercial consequences become clear. <Cite refs={[“turn331466news12″,”turn331466search7”]}/>
What Does the US Say About Forced Labour in Xinjiang?
US authorities allege that forced labour affects Uyghurs and other ethnic minorities in Xinjiang and that certain businesses have participated in, facilitated or benefited from these practices.
In announcing the latest designations, US officials also raised concerns about the use of genetic information and related technologies in activities they described as supporting surveillance and repression.
China rejects the allegations and says the accusations are politically motivated. Beijing argues that Washington is using human rights issues to suppress Chinese companies and restrict its economic development.
The disagreement reflects a wider international dispute over labour rights, human rights monitoring, security and trade policy.
It is important to distinguish the positions of the two governments from independently established findings. The US has imposed legal restrictions under its domestic law, while China disputes the factual and political basis of the decision.
How Could the US Restrictions Affect Chinese Biotechnology Companies?
The restrictions could create additional challenges for the affected businesses when they sell goods in the United States or work with international supply chains.
Potential consequences include:
- Import barriers: Goods covered by the restrictions may be stopped unless the relevant legal requirements are met.
- Supply-chain reviews: Importers and distributors may need to examine sourcing records and supplier relationships.
- Compliance costs: Businesses may need additional documentation and legal support to demonstrate compliance.
- Commercial uncertainty: Buyers may reconsider contracts or seek alternative suppliers while assessing their obligations.
- International scrutiny: The designations could increase attention on the companies’ labour practices, data handling and business relationships.
The actual impact will depend on the products involved, the companies’ exposure to the US market and their ability to meet applicable requirements.
The restrictions do not automatically establish that every product associated with the companies was produced using forced labour. The legal presumption and the procedures for rebutting it must be considered in accordance with the law.
Will China Retaliate Against the United States?
China has said it will take necessary measures to protect its interests, but the precise form of any response was not specified in the reported announcement.
Possible areas of tension include trade restrictions, regulatory action and additional scrutiny of US companies operating in China. However, these are potential avenues rather than confirmed retaliatory measures in response to this specific decision.
There is relevant background to the dispute. In 2025, China placed US medical technology company Illumina on its Unreliable Entity List, creating restrictions around its business activities in the Chinese market. That earlier episode illustrates how trade and technology disagreements can lead to measures affecting companies on both sides. <Cite refs={[“turn331466search0″,”turn331466search10”]}/>
Whether Beijing announces further measures will depend on subsequent government decisions and the wider state of US-China relations.
What Does the Decision Mean for US-China Trade Relations?
The latest action adds pressure to a relationship already affected by disagreements over technology, national security, human rights and market access.
Biotechnology has become an important area of competition because genetic sequencing, medical data and advanced laboratory equipment have applications in healthcare, scientific research and national security.
Washington’s decision also demonstrates how human rights-related trade rules can affect companies in strategically important industries.
For China, the restrictions raise concerns about access to foreign markets and the treatment of Chinese businesses by US authorities. Beijing argues that such actions undermine economic cooperation.
For international businesses, the dispute highlights the importance of understanding different countries’ import rules and monitoring changes to restricted-entity lists.
The longer-term impact will depend on whether the two governments manage to contain the dispute or introduce additional measures.
How Could the Dispute Affect Global Medical Equipment Supply Chains?
Restrictions involving biotechnology and genomics companies may affect procurement decisions among importers, distributors and research organisations.
Businesses that purchase genetic sequencing systems or related products may need to assess whether particular goods are covered by US restrictions and what documentation is required.
Some buyers could explore alternative suppliers to reduce regulatory uncertainty. Others may review contracts and sourcing records before making purchasing decisions.
However, the extent of any disruption remains uncertain. The effects will vary by product, supplier, destination market and the availability of alternatives.
The episode also demonstrates why global medical and biotechnology supply chains require clear documentation. Companies operating across borders must account for changing trade rules, supplier risks and different regulatory requirements.
Conclusion
China’s condemnation of the US decision to add MGI Tech, BGI Genomics and Shenzhen BGI Technology to the Uyghur Forced Labor Prevention Act Entity List has renewed tensions between the two countries.
US authorities allege that the companies are connected to forced labour involving Uyghurs and other minorities in Xinjiang. The companies have rejected the allegations, and China maintains that Washington is using human rights concerns to target Chinese businesses.
The restrictions create additional compliance obligations for affected imports and could influence supply-chain decisions in biotechnology and genomics. China has promised to protect its interests, but the precise form of any further response remains uncertain.
The dispute will be important to watch as Washington and Beijing navigate their competing positions on human rights, technology and international trade.
Frequently Asked Questions
1. Why has China condemned the United States?
China condemned the US for adding three Chinese biotechnology companies to its forced labour-related entity list. Beijing argues that the move unfairly targets Chinese businesses and harms trade relations.
2. Which Chinese companies were added to the US list?
The companies are MGI Tech, BGI Genomics and Shenzhen BGI Technology, also known as BGI Group.
3. What is the Uyghur Forced Labor Prevention Act?
The UFLPA is a US law intended to prevent goods linked to forced labour in Xinjiang from entering the American market, subject to the law’s requirements and procedures.
4. Have the Chinese companies accepted the allegations?
No. MGI Tech and BGI Group have rejected the forced labour allegations. China has also denied the claims, while BGI Genomics did not immediately respond to all requests for comment reported at the time.
5. What happens when a company is added to the UFLPA Entity List?
Goods associated with listed entities face import restrictions under the law. Importers must satisfy the applicable legal requirements if they seek to rebut the presumption that the goods are connected to forced labour.
6. Could the dispute affect US-China trade?
Yes. The decision adds tension to trade relations and may prompt additional compliance reviews or responses. Any further retaliatory measures would need to be confirmed through official announcements.
7. Why is Xinjiang central to the dispute?
US authorities have raised allegations of forced labour involving Uyghurs and other ethnic minorities in Xinjiang. China rejects those allegations, making the region a continuing point of disagreement between the two governments.
