[Image source=Reuters Yonhap News]

[Image source=Reuters Yonhap News]

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[Asia Economy Reporter Cho Hyun-ui] As the West raises issues regarding human rights abuses in the Xinjiang Uyghur region, China is retaliating by targeting companies operating within its borders.


The Wall Street Journal (WSJ) reported on the 2nd (local time) that it compiled similar cases over the past two years, starting with an incident at the end of last year where Chinese public and private sectors pressured the U.S. retail giant Walmart.


At the end of last month, Sam's Club, a membership-based supermarket affiliated with Walmart, became the target of a consumer boycott in China and faced sharp criticism from authorities.


The controversy began when Chinese netizens claimed that searching for "Xinjiang" on the Sam's Club app displayed the message "Sorry, no related products found," alleging that Walmart had deliberately removed Xinjiang agricultural products such as melons, raisins, pears, and jujubes from Sam's Club stores.


Walmart responded by citing inventory shortages, but some netizens treated the allegations as fact and launched a boycott.


This occurred after U.S. President Joe Biden recently signed a bill (effective in six months) that essentially bans the import of products from Xinjiang, and Sam's Club reportedly stopped handling Xinjiang products in consideration of the bill's intent.


On the 31st of last month, China's anti-corruption authorities?the Central Commission for Discipline Inspection and the National Supervisory Commission?issued an unusual warning to Walmart, urging them to "respect national sentiments."


U.S. semiconductor company Intel also issued an apology statement on the 23rd of last month after mentioning human rights issues concerning the Uyghur population in Xinjiang, which worsened public opinion in China. European brands such as H&M and Nike declared they would not use cotton produced in Xinjiang, resulting in a sharp decline in their sales within China.


The WSJ stated, "Companies are suffering unprecedented pressure from their home governments and consumers demanding compliance with social and environmental values." It explained that the scope for corporate maneuvering is shrinking as using Xinjiang products could lead to accusations of complicity in human rights abuses by Chinese authorities.



Furthermore, it reported, "China is raising issues regarding corporate conduct not only related to the Xinjiang region but also Taiwan and Hong Kong," adding that "with the Communist Party's strengthened information control, it is becoming increasingly difficult to grasp the economic realities, and the business environment is gradually deteriorating."


This content was produced with the assistance of AI translation services.

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