Forced labor laws are rapidly becoming a source of geopolitical risk across global supply chains, according to a new report from Verisk Maplecroft.
The analysis warns that the risks are likely being underestimated and should now be treated as a priority by sourcing teams.
“The blind spot for many companies is that enforcement risk does not map cleanly to supplier-level labor risk,” says James Allan, head of corporate risk and sustainability at Verisk Maplecroft. “Even businesses with limited direct exposure can face sudden disruption if regulators target a product, a country, or an upstream link in the supply chain.”
Verisk Maplecroft
Key takeaways:
· The Forced Labor Index shows that significant proportions of imported goods into the United States and EU are coming from countries with high levels of forced labor risk.
· Between June 2022 and February 2026, U.S. Customs and Border Protection detained nearly 42,000 shipments under UFLPA — worth $3.94 billion — denying entry to more than 22,000 consignments across multiple sectors. The scope of enforcement has also been broad, with U.S. authorities detaining goods from over 11 industries and 16 countries for forced labor concerns.
· Across goods imported into the EU, an estimated $903 billion may be exposed to high or very-high forced labor risk, including 95% (or $44.7 billion) of apparel imports.
· While imports into the United States carry a relatively lower level of forced labor risk than those entering the EU, the exposure is still substantial, with over $1 trillion of imports facing elevated risk.
· The Top 6 import countries for apparel goods are all in Asia, five of which sit in the highest risk category of Verisk Maplecroft’s Forced Labor Index.
