Almost a quarter of German companies operating in China planned to relocate production from the country in 2019, according to a report by the German Chamber of Commerce in China. For example,

Adidas has halved its Chinese manufacturing since 2010, with much of the production moving to Vietnam, and pledged in July last year to cut all ties with suppliers implicated in a report that uncovered forced labour being used in some factories.

Like Apple, Adidas also felt the impacts of Vietnam’s rising COVID-19 infection rate, which has stalled production since mid-July and is expected to cause losses of up to $600 million (£431m) during the latter half of 2021. Adidas also saw its sales plummet on Chinese ecommerce giant Alibaba after the company took a stand against the treatment of Uyghurs in the Xinjiang region. In April, sales dropped 78% compared to the same period in 2020, according to Morningstar Inc.


1 Comment

  1. A suggestion regarding terminology: China is a plastic term and can be improved upon. In this article, I assume from the context but it is not clearly stated, China means “Mainland China” or the area and population governed by the Chinese Communist Party through the tool of the government called the People’s Republic of China and DOES include Hong Kong and Macao SARs but does NOT include Taiwan. When spokespersons for the CCP tool PRC say “China” they mean the Mainland and the SARs and Taiwan. What I am suggesting is close sensitivity to what is intended when the term “China” appears so that readers attention is correctly directed as it were. So are, for example German companies leaving the PRC and its SARs and Taiwan? I would bet not but it isn’t clear so I wouldn’t make a large bet. Thanks for the good work. Here’s how I describe it when I have to: The CCP-controlled PRC. Or the totalitarian Han Chinese Communist Party-controlled Peoples Republic of China’s government says whadevah. The CCP is totalitarian and is developing into a “Han” thing ala Carl Schmitt. I’d say it is “Nazifying” or “Hitlerifying” with Xi Jinping’s Emperorship when before it didn’t have the racial Han aspect and the lifelong ruler aspect. Finally, in the PRC-controlled area of China much labor is forced even if it tries to appear not so. Cheers


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