TASK Act

The "Transaction and Sourcing Knowledge Act," or TASK Act , aims to enhance transparency regarding corporate supply chains and operations in China. It directs the Securities and Exchange Commission (SEC) to mandate new reporting requirements for publicly traded companies as part of its evaluation of environmental, social, and governance (ESG) matters. Specifically, companies would be required to report on their sourcing and due diligence activities for products imported into the United States that are directly linked to forced labor from Xinjiang, China . The bill also mandates reporting on transactions with companies placed on the Department of Commerce's Entity List or designated by the Department of the Treasury as Chinese Military-Industrial Complex Companies . Furthermore, publicly traded U.S. companies with facilities in China must annually disclose whether a Chinese Communist Party committee exists within their operations and summarize its actions and corporate decision participation.