Canada鈥檚 border agency says it has detained about 50 shipments of cargo over suspicions they were products of forced labour under rules introduced in 2020 鈥� but only one was eventually determined to be in breach of the ban.

The Canada Border Services Agency provided the figures after being asked about a lawsuit against it by a Victoria solar firm, which says a shipment of solar panels worth more than $5 million was wrongfully detained over false suspicions they were made with forced labour in China.

Charge Solar Renewables Inc. says in a Federal Court lawsuit that the months it took to convince the agency to release the panels irreparably damaged its market position.

The CBSA declined an interview request, but said in an emailed statement that the 鈥渋mport prohibition respecting forced labour came into force in July 2020,鈥� and border agents classify goods on a 鈥渃ase-by-case basis.鈥�

It said that since 2021, 鈥渁pproximately 50 shipments have been intercepted and assessed.鈥�

鈥淎fter an extensive review of detailed supply chain information provided by importers, one shipment was intercepted and determined to be produced by means of forced labour and prohibited entry into the Canadian marketplace. The remaining shipments were permitted entry,鈥� it said.

One other shipment was abandoned at the Canadian border by the importer.

It said it was prohibited from naming any of the companies involved in the detentions, and it would not comment on the specifics of Charge Solar鈥檚 lawsuit, filed this month in Vancouver.

The lawsuit says Charge Solar had a supply contract with Chinese firm LONGi Green Energy Technology, and the panels were shipped to Vancouver, Toronto and Calgary between February and April 2024.

It says 47 containers were detained by border agents who told the firm it needed to show the panels worth more than US$3.8 million weren鈥檛 prohibited as goods made with prison or forced labour.

The company says it provided 鈥渢housands of pages鈥� of information to the agency about the manufacture of the panels, including affidavits from those along the supply chain attesting they weren鈥檛 made with forced labour.

The company, which did not respond to a request for comment, says in the lawsuit that it 鈥渟trongly opposed the detention of the goods.鈥�

The lawsuit says the holdup resulted in customers cancelling orders, while the agency 鈥渢ook an unprecedented step requiring Charge Solar to explain solar module supply chains.鈥�

It says similar or identical goods, some from the same supplier, that were imported by competitors weren鈥檛 subject to investigations or detentions, and as a result Charge Solar鈥檚 鈥渄ominant market share 鈥� was significantly and irreparably eroded.鈥�

The Charge Solar shipments were eventually released in June and July.

Charge Solar says the deal with LONGi involved products 鈥渙riginating in Vietnam.鈥�

However, forced labour researchers say LONGi has a 鈥渧ery high鈥� risk of exposure to forced labour in its products due to sourcing from China鈥檚 Xinjiang Uyghur Autonomous Region.

Researchers at the Helena Kennedy Centre for International Justice at Sheffield Hallam University in Britain said LONGi was 鈥渢he largest global supplier of solar wafers鈥� to companies that produce solar cells.

The researchers concluded the firm鈥檚 sourcing from Xinjiang in China鈥檚 west meant that its risk of exposure to forced labour in their products was 鈥渢ransferred to all users鈥� of its solar panels.

In March 2023, Global Affairs Canada issued an advisory to Canadian firms doing business in Xinjiang 鈥渢o bring attention to human rights violations in China affecting Uyghurs and other ethnic minorities from the Xinjiang Uyghur Autonomous Region.鈥�

The Uyghurs are a Muslim ethnic minority who have been the subject of 鈥渟erious human rights violations鈥� by China, according to a 2022 report by the United Nations High Commissioner for Human Rights.

Global Affairs issued the advisory 鈥渢o help Canadian firms and stakeholders understand the legal and reputational risks posed to companies whose supply chains engage with entities possibly implicated in forced labour.鈥�

William Pellerin, an international trade lawyer in Ottawa, said Canadian enforcement action against goods suspected of involving forced labour has paled in comparison with efforts in the United States.

The U.S. Uyghur Forced Labour Protection Act made it easier to take action on goods from Xinjiang believed to be made with forced labour, he said.

Much of the world鈥檚 polysilicon used in the production of solar panels comes from Xinjiang, Pellerin said.

鈥淭hat region really is very important to global supply chains across multiple sectors,鈥� he said.

He said the United States had detained 鈥渂illions鈥� worth of goods believed to involve forced labour, including 鈥渧ery large volumes of Chinese solar products.鈥�

鈥淚 think it behooves any party that is bringing in solar material from China to be extremely diligent in its supply chain and to ask all of the questions to make sure it has a full understanding going as far back as possible upstream into the input materials to make sure that your supply chain is as clean as possible,鈥� he said.

Pellerin said he couldn鈥檛 comment on the specifics of Charge Solar鈥檚 case, but any action against a government faces a 鈥渧ery high bar.鈥�

He said border guards and law enforcers had a 鈥渁 vast amount of discretion鈥� carrying out their duties.

LONGi did not respond to an emailed request for comment on the detention.