Forced Labour: Chinese Authorities Caution Foreign Businesses against politicising operations

Foreign companies in China have been urged to not make rash moves or step into politics after the companies raised concerns about forced labour in Xinjiang, sparking a furious online backlash and boycotts.

H&M, Burberry (BRBY.L), Nike (NKE.N), Adidas (ADSGn.DE) and other Western brands have been hit by consumer boycotts in China since last week over comments about their sourcing of cotton in Xinjiang.

The growing rift comes as the United States and other Western governments increase pressure on China over suspected human rights abuses in the region.

“I don’t think a company should politicize its economic behaviour,” said Xu Guixiang, a Xinjiang government spokesman, at a news conference on Monday morning.

Chinese social media users last week began circulating a 2020 statement by H&M announcing it would no longer source cotton from Xinjiang.

H&M said at the time the decision was due to difficulties conducting credible due diligence in the region and after media and human rights groups reported the use of forced labour in Xinjiang – a charge that Beijing has repeatedly denied.

Reuters/Hauwa Abu