Intel Removes "Ban on Using Products from Xinjiang, China" Clause from Partner Letter

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Hyunwoo Lee] It has been reported that the American semiconductor company Intel has deleted the mention of "not using products produced in the Xinjiang Uygur Autonomous Region of China" from a letter previously sent to its partners. This is interpreted as due to concerns over strong backlash from China and potential boycott movements.

According to the Wall Street Journal (WSJ) on the 10th (local time), Intel completely removed the content related to the Xinjiang Uygur Autonomous Region from the open letter sent to its partners last month. The letter originally included the statement, "Since several governments regulate products from the Xinjiang region, Intel hopes that its supply chain partners do not use any labor or goods from the Xinjiang region."

After the content of the letter became known and China strongly protested, Intel issued an apology statement. On the 23rd of last month, Intel clarified via WeChat, China's social networking service (SNS), that "the paragraph about Xinjiang in the letter was intended to comply with regulations and laws, and did not express any other meaning or position."

In a statement released that day, Intel only expressed a general position that "the United States and other jurisdictions where Intel operates will continue to comply with relevant laws and regulations." This measure is interpreted as considering the strong backlash within China, concerns about boycott movements, and potential sales declines in the market. Last year, 26% of Intel's sales were generated in China and Hong Kong, and about 10% of Intel's assets, factories, and facilities are located in China.

The U.S. political sphere has raised critical voices regarding Intel's recent action. U.S. Republican Senator Marco Rubio stated in a press release that "Intel's cowardice is a predictable result of economic dependence on China," and criticized, "Instead of humiliating apologies and self-censorship, supply chains should be moved to countries without human rights abuses and genocide."

The WSJ reported, "Ahead of the Beijing Winter Olympics to be held next month, Western politicians and human rights organizations are raising the issue of Uighur human rights and demanding sponsors such as Intel, Coca-Cola, and Samsung Electronics withdraw their sponsorship."

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