China said Tuesday (September 24, 2024) it was investigating U.S. fashion group PVH Corp.
, which owns Tommy Hilfiger and Calvin Klein, for "unreasonably boycotting" cotton from its Xinjiang region, where Beijing is accused of widespread rights violations. The Commerce Ministry said PVH was suspected of "unreasonably boycotting Xinjiang cotton and other products ..
. without a factual basis, seriously damaging the legitimate rights and interests of relevant Chinese enterprises". Also Read: EU mulls sweeping forced labour | EXPLAINED PVH was "suspected of violating normal market trading principles" on products from Xinjiang, and "adopting discriminatory measures".
The Ministry said PVH must provide a response within 30 days to accusations that it had acted discriminatorily against Xinjiang-related products in the last three years. The statement gave no details of the punishment PVH could face but it could be added to China's "unreliable entity list" which could see it fined or banned from trading with the country. Responding to the probe, PVH said it complies with all legislation in places it operates.
"We are in communication with the Chinese Ministry of Commerce and will respond in accordance with the relevant regulations," the fashion group said in a statement. The investigation comes a day after Washington banned the sale of connected vehicles using Chinese technology. PVH's website states the company "follows the laws and regulations that are applicable wherever we do busin.
