Economist Podcasts Unpicking the thread: forced labour in Xinjiang
Sep 9, 2020
Henry Trix, a columnist for The Economist focusing on global business, joins international correspondent Daniel Knowles to discuss forced labor practices in Xinjiang. They unpack how human rights violations are pressuring Western companies reliant on the region’s cotton. The conversation shifts to the challenges of digitizing government systems after the pandemic, exploring both the benefits and risks of this transition. They also delve into the unique struggles faced by a tiny Alaskan town impacted by border closures, highlighting the tight-knit community's resilience.
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Xinjiang's Cotton Dominance
- Xinjiang produces 84% of China's cotton, and China is the world's biggest cotton exporter.
- This makes it challenging for companies to avoid Xinjiang cotton, even if they manufacture elsewhere.
Auditing Challenges in Xinjiang
- Auditors sent to Xinjiang factories face surveillance, hindering their ability to conduct proper inspections.
- This creates a black hole in supply chains, making it hard to verify the absence of forced labor.
Geopolitical Complications
- The Chinese government's unwillingness to address human rights concerns and the US's aggressive approach complicate matters for companies.
- Lack of diplomatic solutions further hinders companies' ability to navigate the issue.