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Walmart, the world’s largest retailer, is encountering the fury of Chinese consumers because of its handling of business involving Xinjiang.
The Bentonville, Ark.-based company became the most recent Western company to attract anger on Chinese social media after internet users shared comments that purported to show that Walmart had stopped stocking products from Xinjiang in its China-based Walmart and Sam’s Club stores. Some said they had canceled their Sam’s Club memberships, while social-media accounts run by Communist Party-backed entities weighed in to criticize the company.
Nike and Intel have also navigated the political and humanitarian obstacle course.
Xinjiang, home to millions of mostly Muslim minorities, has become an ethical dilemma for U.S. multinationals doing business in China. The Biden administration has accused Chinese authorities of engaging in genocide and forced labor against religious minorities.
The Wall Street Journal reported on the geopolitical flashpoint.
China has rejected the allegations, saying its policies in the region are designed to prevent terrorism and protect national security.
Last week, Intel, the U.S. semiconductor giant, issued an apology to Chinese consumers, partners, and the public following an outcry on Chinese social media against the Santa Clara, Calif.-based company, which had asked suppliers through a letter published online to avoid sourcing from Xinjiang.
“We deeply apologize for the confusion caused to our respected Chinese customers, partners and the public,” Intel said in its statement posted on its social-media platforms in China.
The company didn’t specify which law it was seeking to comply with.
Last week, President Biden signed the Uyghur Forced Labor Prevention Act into law, following its near-unanimous passage in Congress. The law bans all imports to the U.S. from the region unless companies can certify that such products are free from forced labor.
As for Walmart, social media users wrote on domestic social-media platforms that they were unable to find products typically sourced from Xinjiang on online stores operated by Walmart and Sam’s Club China.
One Weibo user accused Walmart of “eating China’s rice, yet slapping our face.”
Some users posted that online customer service agents had told them such products, including red dates and apples, were out of stock.
The Wall Street Journal found no Xinjiang product listings on Walmart and Sam’s Club’s China e-commerce stores. However, a visit to a Walmart store in Beijing’s central business district on Saturday found red dates sourced from Xinjiang still stocked on its shelves.