Navigating the EU Forced Labour Ban

In 2026, start prepare for the EU Forced Labour Regulation. Learn how it impacts your trade and how to get ready.

In an era where consumers and regulators alike demand radical transparency, the "hidden" human cost of global supply chains is finally coming into the light. The European Union has taken a definitive stand with the Forced Labour Regulation (FLR), a landmark legislative move that will fundamentally change how companies operate within and trade with the EU market.

Understanding the EU Forced Labour Regulation (FLR)

The FLR entered into force on December 13, 2024, and will apply from 14 December 2027. It is a comprehensive ban that prohibits economic operators from:

• Placing or making available products made with forced labour on the EU market.

• Exporting such products from the EU market.

The FLR establishes a rigorous framework including a two-step investigation process—a preliminary phase and a formal investigation phase—to identify and prevent products made with forced labour from entering or leaving the EU. For imported products, the European Commission leads the investigation, while Member State authorities handle products produced within the EU.

The Real-World Stakes: The "Scam Factories" of Myanmar

The urgency of this regulation is highlighted by modern crises like the "scam compounds" or "fraud factories" currently operating in Myanmar. These are not just remote criminal operations; they are industrialised hubs where thousands are held captive and forced to perpetrate global online fraud.

Victims are often lured by fake job advertisements, only to have their passports confiscated and be subjected to torture and 16-hour workdays. These operations demonstrate how easily forced labour can infect global supply chains, making the FLR’s risk-based assessments and investigative tools essential for modern trade.

Why Companies Must Act in 2026

With the 2027 application date approaching, the "wait and see" approach is no longer viable. Companies must prepare for several reasons:

1. Regulatory Compliance: Guidelines for the FLR’s implementation are expected by 14 June 2026, which will clarify roles and responsibilities for all economic operators.

   
   

2. Enforcement Risk: Decisions establishing a violation can lead to product bans, and failure to comply can result in financial penalties.

   
   

3. Operational Continuity: The regulation demands smooth collaboration among authorities and operators; failure to understand these requirements can lead to massive supply chain disruptions.

How We Help: Consulting, Training, and Intelligence

Navigating this complex landscape requires a proactive strategy. Our services are designed to bridge the gap between regulation and reality:

1. Specialist Advice & Support: We provide expert support specifically for EU forced labour compliance. We help you map your supply chain and conduct assessments to meet the upcoming EU standards.

2. Specialised Training: We offer training and capacity-building support most useful for economic operators to help them comply with the new regulation

3. Trade Intelligence – The Customs Watch EU: The EU Forced Labour Regulation is fully covered by our monitoring services. Our Strategic Intelligence Briefing, the Customs Watch EU tool tracks regulatory shifts and benchmarks to help you understand risk-based assessments and investigative standards and delivering critical updates on global enforcement trends and regulatory changes directly to your inbox.

   
   

Take the first step toward a compliant, ethical supply chain. We are currently offering a 30-day free trial of our Trade Intelligence services covering EU Forced Labour, too. Secure your business and your reputation today.