A major American brand’s refusal to do business in a Chinese region known for slave labor is drawing retaliation from Beijing.
Under U.S. federal law, PVH — an American company with brands including Calvin Klein and Tommy Hilfiger in its portfolio — cannot do business in the Xinjiang province of China, as the region is infamous for slave labor, internment camps for religious minorities and various human rights abuses. The U.S. law applies to all American companies, but China has opened an investigation into PVH that has raised concerns Beijing intends to retaliate against foreign firms who won’t do business in Xinjiang, according to The New York Times.
“Since this investigation is the first of its kind, companies in all sectors have been forced to reassess what it means for them,” Sean Stein, the chairman of the American Chamber of Commerce in China, told the Times. “Many are seeing higher risk.”
The Chinese Ministry of Commerce said last week that it had opened an investigation into PVH over allegations that the company was taking “discriminatory measures” against products made in Xinjiang, the Times reported. In Beijing’s view, Xinjiang is crucial to domestic and foreign business; roughly 85% of China’s cotton is produced in Xinjiang, and other products such as batteries, solar parts and textiles are developed in the province as well, according to the Department of Labor. […]
— Read More: dailycallernewsfoundation.org
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