CBP modifies “withhold release order” to allow certain carpet and wool imports from Nepal

Carpets and hand-knotted wool products produced by a company in Nepal are admissible at all U.S. ports of entry, effective July 23, 2021.

Carpets and hand-knotted wool products produced by a company in Nepal are admissible

U.S. Customs and Border Protection (CBP) announced a modification to an existing “withhold release order” with regard to certain imports of carpets and hand-knotted products from Nepal.

According to a CBP release (July 26, 2021), carpets and hand-knotted wool products produced by a company in Nepal are admissible at all U.S. ports of entry, effective July 23, 2021.

CBP originally issued the withhold release order in July 1998 to prevent the importation of carpets and hand-knotted wool products from seven Nepalese companies based on information reasonably indicating that those products were made with the use of forced labor.

CBP modified the withhold release order after evaluating detailed information that a certain Nepalese company addressed all 11 indicators of forced labor in the production of its carpets and hand-knotted wool products, sufficiently showing that the company’s products are not made with the use of forced labor. These products may now be imported into the United States.

KPMG observation

This is the second time CBP has modified the withhold release order. The 1998 withhold release order remains in effect for carpets and hand-knotted wool products made by three other Nepalese companies.
 

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Steve Brotherton
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Luis (Lou) Abad
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Irina Vaysfeld
Principal
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Amie Ahanchian
Principal
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Christopher Young
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