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  • Now, the retail giant H and M is facing a backlash and a potential boycott in China because it won't source it's cotton from Xinjiang province.

  • In a statement last year, H and M said that it was deeply concerned by reports of forced labor and discrimination against Xinjiang's Muslim minorities.

  • Then on Wednesday, the Chinese Communist Youth League posted this message on social media, saying spreading rumors to boycott Xinjiang cotton while wanting to make money in China.

  • Wishful thinking.

  • Shortly after H and M disappeared from two of China's major shopping platforms, Chinese state TV released photos mocking the H and M logo, calling it ridiculous.

  • And even celebrities have claimed they're breaking ties with the retailer.

  • Our correspondent, Robin Brandt, is in Shanghai and explains why this is happening now.

  • H and M is big here in Shanghai.

  • Speaker across China.

  • This is one of its multitude of locations in this country.

  • But what's striking about what we've seen in the last 24 hours is how quickly and how all of a sudden apparently this campaign, led by celebrity endorsers and led by some arms of the ruling Communist Party, has come out of nowhere.

  • Uh, And also what's so striking is how it's gathered pace in a matter of hours.

  • So this is all about H and M's proclamation going back last year, which you just referred to, uh, saying it wanted to purge its supply chain of cotton that was used and harvested in Xinjiang.

  • That's the Western province in China, where China is accused of abuses against the Muslim minority there.

  • Genocide is actually how now President Biden's administration has classified the abuses going on.

  • Um, so what's most intriguing is that all of a sudden, just a few days after coordinated sanctions were imposed by the U.

  • K, the U.

  • S.

  • And the European Union, we have arms of the Communist Party.

  • The celebrity endorsers happy to take hmm, money up until now, all of a sudden coming out of nowhere, bailing on the company and encouraging others to do the same.

  • And the other end of the scale you have retailers like Muji, the Japanese retailer.

  • We just bought this shirt there this morning on the label.

  • This actually refers to Xinjiang cotton, so they're at the other end of the scale in terms of what's going on.

  • But look, it's very serious, this kind of effort to use its economic clout.

  • This kind of retail nationalism is a very familiar tactic employed by China, employed by the party employed by its government and its serious Just ask the South Koreans.

  • They're chain store lot suffered very seriously, uh, in years gone by a diplomatic spat.

  • Just ask the Philippines as well the government there.

  • It's fruit exports suffered seriously here.

  • That was all about a diplomatic spat between its government Robin branch reporting there.

  • Now China's Foreign Ministry has accused foreign companies of malicious attacks on China based on rumors and lies and harmed China's interests.

  • About the situation in Xinjiang is the Foreign Ministry spokesperson.

  • The first Xinjiang cotton ranks among the best in the world, the losses on the companies that choose not to use it.

Now, the retail giant H and M is facing a backlash and a potential boycott in China because it won't source it's cotton from Xinjiang province.

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