trade news

CBP Detains Palm Oil From Two Indonesian Producers Over Forced Labor

Summer Brown

October 6, 2026

U.S. Customs and Border Protection (CBP) has issued Withhold Release Orders (WROs) against palm oil and palm oil derivative products from two Indonesian producers: Mitra Aneka Rezeki (MAR) and Hardaya Inti Plantation (HIP).

The orders were announced on September 29, 2026, and took effect immediately. CBP personnel at all U.S. ports of entry will now detain covered shipments.

Why CBP Acted

WROs are issued under Section 307 of the Tariff Act of 1930 (19 U.S.C. 1307), which bars imports of goods made wholly or in part with forced labor.

CBP said its investigation, which drew on interview transcripts, payroll slips, harvest quota information, photographs and reports from nongovernmental organizations and government agencies, identified multiple forced labor indicators, including:

  • Debt bondage
  • Withholding of wages
  • Deception
  • Excessive overtime
  • Abusive working and living conditions
  • Intimidation and threats
  • Retention of identity documents
  • Isolation

What Is Covered

The WROs apply to palm oil and derivative products produced by MAR and HIP. Palm oil and its derivatives are widely used in food products, cosmetics, personal care items, cleaning products and industrial chemicals, so the orders can reach importers who never buy crude palm oil directly.

Importers bringing in finished goods or ingredients containing palm-based inputs should determine whether any of that material traces back to MAR or HIP.

What Happens to Detained Shipments

When CBP detains a shipment under a WRO, the importer can:

  • Export the merchandise
  • Destroy the merchandise
  • Submit documentation demonstrating that the goods were not produced with forced labor

Proving admissibility generally requires detailed supply chain records tracing the product back to its source. Importers without that documentation ready may face lengthy detentions, storage costs and lost inventory.

What Importers Should Do Now

  1. Ask suppliers whether any palm oil or palm-derived ingredients originate from MAR or HIP.
  2. Review supply chain maps for food, cosmetic, personal care and chemical products containing palm-based inputs.
  3. Request mill- and plantation-level sourcing records where available.
  4. Prepare traceability documentation before shipments arrive rather than after detention.
  5. Notify your customs broker immediately if a shipment may involve either producer.
  6. Review supplier contracts for forced labor representations and remedies.

ASK Alba™: Contact the Alba team for help assessing palm oil exposure in your supply chain, preparing admissibility documentation or responding to a CBP detention.

Subscribe to the ASK Alba™ Trade Brief for the latest tariff, enforcement and customs-compliance updates.

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