Fashion firms have rejected the use of the material due to the alleged forced labor in the sector
Consumers and Chinese authorities have criticized the decision and launched a boycott movement
Large multinational clothing and footwear firms are in the crosshairs of consumers and Chinese authorities for their rejection of one of the main nepal mobile number list products of the Xinjiang region. Brands such as Nike or H&M have denounced that this type of cotton is produced through forced labor that violates the fundamental rights of workers and has suspended its use in their manufacturing processes.
The main Chinese marketplaces have stopped showing H&M digital stores
For this reason, various e-commerce platforms in China , such as Taobao, JD.com, Tmall or Pinduoduo, have stopped showing the digital stores of the Swedish company. This comes after the Central Committee of the Communist Youth League of China criticized the company’s performance on the Weibo social network, known as “Chinese Twitter”. In the communication, the entity reproached H&M for spreading rumors and alleged false news about Xinjiang cotton while seeking to make money in the country.
China defends the cotton production of Xinjiang, a region that is home to the minority Uyghur and that produces 87% of that material. Thousands of Chinese consumers have joined the position of the League of Communist Youths who have shared the communication and launched a boycott movement , even proposing the expulsion of the brand from the country. In addition, state media have encouraged the rejection of the products of these companies, defending Xinjiang cotton, while service search applications, such as Dianping, have removed the results linked to both brands. On the other hand, famous personalities, such as actor Wang Yibo, broke their representation contract with Nike.
However, the decision of the firms is not new. Both made public last year their concern about the indications of forced labor and confinement in concentration camps highlighted by foreign investigations. H&M has even announced that it would end its employment relationship with one of its Chinese suppliers until the accusations made by a report that pointed to 82 Chinese and foreign companies of benefiting from the forced transfer of members of the Uighur minority were clarified.
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The boycott takes place in the same week that the European Union has approved sanctions against four individuals and one institution – the Public Security Bureau of the Xinjiang Production and Construction Corps – for alleged human rights violations against the Uighur minority that would be taking place in Xinjiang. Likewise, three other countries – the United States, the United Kingdom and Canada, have also announced sanctions against senior Chinese officials along the same lines. For its part, after hearing the news, Beijing has responded with sanctions against 10 individuals and four EU institutions in retaliation.
The conflict has already had consequences on the listing of Nike and H&M. The sports brand’s titles fell 4.76% at the beginning of the day on Thursday on Wall Street, while those of the Swedish company fell 2.2%. This commercial and geopolitical tension is also spreading to other brands, such as B2B Phone List Adidas, Zara, Gap or New Balance , which are being targeted by consumers and the Chinese authorities. Adidas fell 4.5% on the main German index, the DAX; and Inditex 1.6%. Instead, shares of Anta Sports Products rose more than 6% in Hong Kong after issuing a statement saying it will continue to use cotton from Xinjiang.