- On 16 February 2026, China Labor Watch filed complaints with US Customs and Border Protection (CBP) and submitted evidence to BAFA under the German Supply Chain Due Diligence Act (LkSG), alleging forced labour at supplier Shunjia Toys’ Xinfeng facility, which produces Labubu toys.
- The full BAFA submission has not been published. A January 2026 investigative report into Shunjia Toys’ Xinfeng factory appears to form the basis of the Labubu complaint.
Key forced labour allegations in the report
- Excessive overtime – Overtime exceeded 100 hours per month, reaching up to 145 hours during peak periods.
- Withholding of wages – Wage deductions were imposed for infractions. Wages were withheld as punishment for perceived low productivity. Workers leaving within three months also reportedly had USD 85 deducted from their wages.
- Deception – Workers reportedly signed blank contracts with key terms left unfilled and unexplained.
- Abusive working and living conditions – Dormitories housed 5–8 workers per room.
Other key findings
- Underage workers (16–17) – Workers under 17 were reportedly subjected to the same hours and targets as adults
- Use of dispatched workers beyond legal limits – Dispatched workers comprised approximately 30% of the workforce, exceeding the statutory 10% limit
- Occupational health and safety concerns – Workers reported restricted restroom breaks, lack of paid sick leave, lack of adequate PPE, exposure to chemical dust, unsanitary break rooms, high temperatures and ergonomic strain
- Verbal sexual harassment of female workers was common
- Discrimination – Recruitment staff discouraged Hui and Uyghur applicants from applying.