*China鈥檚 Central Commission for Discipline Inspection warns Walmart鈥檚 taking down 鈥榓ll products from a region without a valid reason hides an ulterior motive, reveals stupidity and short-sightedness, and will surely have its own bad consequences鈥�

Isola Moses | 绿帽献妻

Sequel to United States (US) President Joe Biden鈥檚 recent approval of a bill banning companies from selling products made with components from the Xinjiang province of China, unless they can prove forced labour was not involved, amid rising trade cum diplomatic tensions between the two leading world鈥檚 economies.

绿帽献妻 gathered both the US and the United Nations (UN) have accused China of suppressing the predominantly Muslim Uighur population in the Asian country.

Walmart superstore in China聽 聽Photo: Reuters

Subsequently, the Central Commission for Discipline Inspection, the Chinese Communist Party鈥檚 anti-corruption watchdog, has rejected suggestions that inventory management was behind the shift at Sam鈥檚 Club, Walmart鈥檚 members-only chain in the country, agency report said.

Specifically, China has issued a stern warning to Walmart Incorporated, following allegations that the company鈥檚 warehouse stores in the country stopped selling items from Xinjiang, mounting pressure on the retail giant amid rising tensions with the United States over the western province of China.

Why US bans goods made in China鈥檚 Xinjiang region

It is recalled that amid worsening trade relations between Beijing and Washington, President Biden Thursday, December 23, 2021, had signed a bill banning products made in China鈥檚 Xinjiang region because of China鈥檚 alleged oppression of its largely Muslim Uighur minority population.

Buoyed by members of the United States Congress, the law passed in both the House of Representatives and the Senate by unanimous votes earlier December last year.

It was learnt the law predominantly imposes a near-blanket ban on the import to the US of goods from Xinjiang by requiring suppliers to first prove their products were not made with forced labour.

Similarly, UN experts and rights groups have estimated that over a million people, mainly Uighurs and members of other Muslim minorities, had been imprisoned in recent years in a vast system of camps in Xinjiang, report stated.

The US and many rights groups have called it 鈥済enocide鈥�.

Consumers鈥� 鈥榩ractical actions鈥� to companies鈥� boycott of Xinjiang items

In a direct reaction to US law banning to companies from trading in the Chinese province鈥檚 products, China鈥檚 Central Commission for Discipline Inspection in a statement via its Web site Friday, December 31, 2021, said that the country鈥檚 consumers would respond with 鈥減ractical actions鈥� if the company (Walmart) doesn鈥檛 鈥渞espect the feelings of the Chinese people.鈥�

Sam鈥檚 Club, Walmart鈥檚 members-only chain in China聽 聽Photo: GI

The latest warning underscores how Walmart and US businesses are becoming ensnared in geopolitical tensions over Xinjiang, where the US and UN have accused China of suppressing the predominantly Muslim Uyghur population, according to report.

The commission further noted: 鈥淭o take down all products from a region without a valid reason hides an ulterior motive, reveals stupidity and short-sightedness, and will surely have its own bad consequences,鈥� the Central Commission for Discipline Inspection said in a statement on its Web site.

Walmart in China鈥檚 competitive supermarket industry

Walmart, report stated, now faces a highly competitive supermarket industry in China, its largest foreign market except for Mexico.

Consequently, though the Bentonville, Arkansas-based company pioneered the hypermarket format in China decades ago, pressure is growing from local rivals, such as e-commerce giant Alibaba Group Holding Limited as a direct after-effect of the growing tensions between the US and the Asian country.

Meanwhile, Chinese social media platforms have reportedly erupted in criticism of Sam鈥檚 Club as consumers accused the company of de-stocking items from Xinjiang.

绿帽献妻 reports Xinjiang has become a tricky issue for foreign multinationals, as brands such as Hennes & Mauritz and Nike Incoporated have been boycotted for saying they won鈥檛 use Xinjiang cotton, with the Swedish retailer being taken off local e-commerce platforms for its stance.

Intel Corporation also apologised to Chinese consumers late December 2021, after asking suppliers not to use any labour or products sourced from Xinjiang to ensure compliance with the US law.

However, Chinese officials have denied that forced labour is used in Xinjiang, and described the US legislation interference in the country鈥檚 domestic affairs.

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