Uyghurs for Sale (ASPI) PDF Report

Uyghurs for sale ‘Re-education’, forced labour and surveillance beyond Xinjiang Vicky Xiuzhong Xu with Danielle Cave, Dr James Leibold, Kelsey Munro, Nathan Ruser Policy Brief...

Uyghurs for sale ‘Re-education’, forced labour and surveillance beyond Xinjiang Vicky Xiuzhong Xu with Danielle Cave, Dr James Leibold, Kelsey Munro, Nathan Ruser Policy Brief Report No. 26/2020 About the authors Vicky Xiuzhong Xu is a Researcher working with the International Cyber Policy Centre. Danielle Cave is Deputy Director of the International Cyber Policy Centre. Dr James Leibold is a non-resident Senior Fellow at the International Cyber Policy Centre. Kelsey Munro is a Senior Analyst working with the International Cyber Policy Centre. Nathan Ruser is a Researcher working with the International Cyber Policy Centre. Acknowledgements The authors would like to thank researchers Daria Impiombato, Sarah O’Connor and Emily Weinstein. A special thanks to Stephanie Zhang who spent an enormous amount of time on this project. We would like to thank all peer reviewers including Darren Byler, labour specialists and anonymous reviewers. Finally, we would like to thank ASPI’s International Cyber Policy Centre Director Fergus Hanson for his support and guidance. The UK Foreign and Commonwealth Office provided ASPI with funding of £10,000, which was used towards this report. What is ASPI? The Australian Strategic Policy Institute was formed in 2001 as an independent, non‑partisan think tank. Its core aim is to provide the Australian Government with fresh ideas on Australia’s defence, security and strategic policy choices. ASPI is responsible for informing the public on a range of strategic issues, generating new thinking for government and harnessing strategic thinking internationally. ASPI International Cyber Policy Centre ASPI’s International Cyber Policy Centre (ICPC) is a leading voice in global debates on cyber and emerging technologies and their impact on broader strategic policy. The ICPC informs public debate and supports sound public policy by producing original empirical research, bringing together researchers with diverse expertise, often working together in teams. To develop capability in Australia and our region, the ICPC has a capacity building team that conducts workshops, training programs and large-scale exercises both in Australia and overseas for both the public and private sectors. The ICPC enriches the national debate on cyber and strategic policy by running an international visits program that brings leading experts to Australia. Important disclaimer This publication is designed to provide accurate and authoritative information in relation to the subject matter covered. It is provided with the understanding that the publisher is not engaged in rendering any form of professional or other advice or services. No person should rely on the contents of this publication without first obtaining advice from a qualified professional. ASPI Tel +61 2 6270 5100 | Email [email protected] | www.aspi.org.au | www.aspistrategist.org.au facebook.com/ASPI.org @ASPI_ICPC © The Australian Strategic Policy Institute Limited 2020 This publication is subject to copyright. Except as permitted under the Copyright Act 1968, no part of it may in any form or by any means (electronic, mechanical, microcopying, photocopying, recording or otherwise) be reproduced, stored in a retrieval system or transmitted without prior written permission. Enquiries should be addressed to the publishers. Notwithstanding the above, educational institutions (including schools, independent colleges, universities and TAFEs) are granted permission to make copies of copyrighted works strictly for educational purposes without explicit permission from ASPI and free of charge. First published 1 March 2020. The text on page 5 and in the appendix was updated on 3 March 2020 to reflect responses from some of the companies named in the report. The text on pages 5 and 24, Figure 17 on page 24, and the text on page 34 of the appendix were amended on 6 March to reflect responses from a company named in the report. The appendix on p39 was updated on 19 March to reflect a response from a company named in the report. The appendix on p31 was updated on 14 April to reflect a response from a company named in the report. The text in Figure 17 on page 24 and the appendix on pages 34, 36, and 39 was amended on 5 June to reflect a response from a company named in the report. The report was amended on 28 July 2020 to remove The North Face from the list of brands, given their association with the relevant factory had ceased before the evidence indicates the factory had received Uyghur workers on a transfer scheme. The text on p37 was amended on 13 August 2020 to reflect a response from a company named in the report. Endnotes from number 257 on pg 52 and pg53 are re-numbered. The report was amended on 24 August 2020 to reflect a statement by a company named in the report; and to correct a broken web link. The text on page 32 and 39 was amended on 21 September 2020 to reflect a statement by a company named in the report. The text on page 38 and 39 was amended on 30 September 2020 to reflect a statement by a company named in the report. Figure 17 on page 24 and text on pages 5, 27 and 34 were updated on 20 October 2020 reflect a response from a company named in the report. The text on pages 5, 27, 36 and 52 was updated on 19 November 2020 to correct a translation error in a subsidiary company name. The text on page 31 and page 34 was changed on 18 December to reflect responses from companies named in the report. The text on page 25 and page 33 was changed on 11 January 2021 to reflect responses from companies named in the report. The text on page 42 was amended on 25 February 2021 to add cross-referencing between endnotes. The text on page 33 was amended on 16 March 2021 to reflect a response from a company named in the report. The text on page 38 was amended on 19 April 2021 to reflect a response from a company named in the report. The text on page 34 was amended on 5 August 2021 to reflect a response from a company named in the report. The text on page 31 was amended on 20 October 2021 to reflect a response from a company named in the report. The text on page 37 was amended on 21 June 2022 to reflect a response from a company named in the report. The text on page 38 was amended on 11 October 2022 to reflect a response from a subsidiary of a company named in the report. The parent company remains in the report due to its links to labour transfer schemes within Xinjiang under ‘Xinjiang Aid’. ISSN 2209-9689 (online), ISSN 2209-9670 (print). Cover illustration: Courtesy of Yip Wong. Uyghurs for sale ‘Re-education’, forced labour and surveillance beyond Xinjiang Vicky Xiuzhong Xu with Danielle Cave, Dr James Leibold, Kelsey Munro, Nathan Ruser Policy Brief Report No. 26/2020  Contents What’s the problem? 03 What’s the solution? 03 Executive summary 04 Forced Uyghur labour 06 Case study 1: Uyghur workers making Nike sneakers in Qingdao 08 Rendering ‘Xinjiang Aid’ (援疆)12 Xinjiang’s labour transfer program 14 Case study 2: From ‘re-education camps’ to forced labour assignments 18 Case study 3: ‘Re-educating’ Uyghur workers in Apple’s supply chain 21 Implications for the global supply chain 27 Recommendations29 Appendix31 Table 1: Transfers of Uyghurs out of Xinjiang 31 Table 2: Labour transfer schemes within Xinjiang under ‘Xinjiang Aid’ 38 Acronyms and abbreviations 40 Notes41 02 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang What’s the problem? The Chinese government has facilitated the mass transfer of Uyghur and other ethnic minority1 citizens from the far west region of Xinjiang to factories across the country. Under conditions that strongly suggest forced labour, Uyghurs are working in factories that are in the supply chains of at least 82 well-known global brands in the technology, clothing and automotive sectors, including Apple, BMW, Gap, Huawei, Nike, Samsung, Sony and Volkswagen. This report estimates that more than 80,000 Uyghurs were transferred out of Xinjiang to work in factories across China between 2017 and 2019, and some of them were sent directly from detention camps.2 The estimated figure is conservative and the actual figure is likely to be far higher. In factories far away from home, they typically live in segregated dormitories,3 undergo organised Mandarin and ideological training outside working hours,4 are subject to constant surveillance, and are forbidden from participating in religious observances.5 Numerous sources, including government documents, show that transferred workers are assigned minders and have limited freedom of movement.6 China has attracted international condemnation for its network of extrajudicial ‘re-education camps’ in Xinjiang.7 This report exposes a new phase in China’s social re-engineering campaign targeting minority citizens, revealing new evidence that some factories across China are using forced Uyghur labour under a state-sponsored labour transfer scheme that is tainting the global supply chain. What’s the solution? The Chinese government should uphold the civic, cultural and labour rights enshrined in China’s Constitution and domestic laws, end its extrajudicial detention of Uyghurs and other Muslim minorities in Xinjiang, and ensure that all citizens can freely determine the terms of their own labour and mobility. Companies using forced Uyghur labour in their supply chains could find themselves in breach of laws which prohibit the importation of goods made with forced labour or mandate disclosure of forced labour supply chain risks.8 The companies listed in this report should conduct immediate and thorough human rights due diligence on their factory labour in China, including robust and independent social audits and inspections. It is vital that through this process, affected workers are not exposed to any further harm, including involuntary transfers. Foreign governments, businesses and civil society groups should identify opportunities to increase pressure on the Chinese government to end the use of Uyghur forced labour and extrajudicial detentions. This should include pressuring the government to ratify the International Labour Organization’s (ILO) Convention on Forced Labour, 1930 (No. 29) and Protocol of 2014 to the Forced Labour Convention.9 Consumers and consumer advocacy groups should demand companies that manufacture in China conduct human rights due diligence on their supply chains in order to ensure that they uphold basic human rights and are not complicit in any coercive labour schemes. 03  Executive summary Since 2017, more than a million Uyghurs and members of other Turkic Muslim minorities have disappeared into a vast network of ‘re-education camps’ in the far west region of Xinjiang,10 in what some experts call a systematic, government-led program of cultural genocide.11 Inside the camps, detainees are subjected to political indoctrination, forced to renounce their religion and culture and, in some instances, reportedly subjected to torture.12 In the name of combating ‘religious extremism’,13 Chinese authorities have been actively remoulding the Muslim population in the image of China’s Han ethnic majority. The ‘re-education’ campaign appears to be entering a new phase, as government officials now claim that all ‘trainees’ have ‘graduated’.14 There is mounting evidence that many Uyghurs are now being forced to work in factories within Xinjiang.15 This report reveals that Chinese factories outside Xinjiang are also sourcing Uyghur workers under a revived, exploitative government-led labour transfer scheme.16 Some factories appear to be using Uyghur workers sent directly from ‘re-education camps’. The Australian Strategic Policy Institute (ASPI) has identified 27 factories in nine Chinese provinces that are using Uyghur labour transferred from Xinjiang since 2017. Those factories claim to be part of the supply chain of 82 well-known global brands.17 Between 2017 and 2019, we estimate that at least 80,000 Uyghurs were transferred out of Xinjiang and assigned to factories through labour transfer programs under a central government policy known as ‘Xinjiang Aid’ (援疆).18 It is extremely difficult for Uyghurs to refuse or escape these work assignments, which are enmeshed with the apparatus of detention and political indoctrination both inside and outside of Xinjiang.19 In addition to constant surveillance, the threat of arbitrary detention hangs over minority citizens who refuse their government-sponsored work assignments.20 Most strikingly, local governments and private brokers are paid a price per head by the Xinjiang provincial government to organise the labour assignments.21 The job transfers are now an integral part of the ‘re-education’ process, which the Chinese government calls ‘vocational training’.22 A local government work report from 2019 reads: ‘For every batch [of workers] that is trained, a batch of employment will be arranged and a batch will be transferred. Those employed need to receive thorough ideological education and remain in their jobs.’23 This report examines three case studies in which Uyghur workers appear to be employed under forced labour conditions by factories in China that supply major global brands. In the first case study, a factory in eastern China that manufactures shoes for US company Nike is equipped with watchtowers, barbed-wire fences and police guard boxes. The Uyghur workers, unlike their Han counterparts, are reportedly unable to go home for holidays (see page 8). In the second case study of another eastern province factory claiming to supply sportswear multinationals Adidas and Fila, evidence suggests that Uyghur workers were transferred directly from one of Xinjiang’s ‘re-education camps’ (see page 18). In the third case study, we identify several Chinese factories making components for Apple or their suppliers using Uyghur labour. Political indoctrination is a key part of their job assignments (see page 21). 04 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang This research report draws on open-source Chinese-language documents, satellite imagery analysis, academic research and on-the-ground media reporting. It analyses the politics and policies behind the new phase of the Chinese government’s ongoing repression of Uyghurs and other Muslim minorities. It provides evidence of the exploitation of Uyghur labour and the involvement of foreign and Chinese companies, possibly unknowingly, in human rights abuses. In all, ASPI’s research has identified 82 foreign and Chinese companies potentially directly or indirectly benefiting from the use of Uyghur workers outside Xinjiang through abusive labour transfer programs as recently as 2019: Abercrombie & Fitch, Acer, Adidas, Alstom, Amazon, Apple, ASUS, BAIC Motor, Bestway, BMW, Bombardier, Bosch, BYD, Calvin Klein, Candy, Carter’s, Cerruti 1881, Changan Automobile, Cisco, CRRC, Dell, Electrolux, Fila, Founder Group, GAC Group (automobiles), Gap, Geely Auto, General Motors, Google, Goertek, H&M, Haier, Hart Schaffner Marx, Hisense, Hitachi, HP, HTC, Huawei, iFlyTek, Jack & Jones, Jaguar, Japan Display Inc., L.L.Bean, Lacoste, Land Rover, Lenovo, LG, Li-Ning, Mayor, Meizu, Mercedes-Benz, MG, Microsoft, Mitsubishi, Mitsumi, Nike, Nintendo, Nokia, Oculus, Oppo, Panasonic, Polo Ralph Lauren, Puma, SAIC Motor, Samsung, SGMW, Sharp, Siemens, Skechers, Sony, TDK, Tommy Hilfiger, Toshiba, Tsinghua Tongfang, Uniqlo, Victoria’s Secret, Vivo, Volkswagen, Xiaomi, Zara, Zegna, ZTE. Some brands are linked with multiple factories. The data is based on published supplier lists, media reports, and the factories’ claimed suppliers. ASPI reached out to these 82 brands to confirm their relevant supplier details. Where companies responded before publication, we have included their relevant clarifications in this report. If any company responses are made available after publication of the report, we will address these online. ASPI notes that a small number of brands advised they have instructed their vendors to terminate their relationships with these suppliers in 2020. Others, including Adidas, Bosch and Panasonic, said they had no direct contractual relationships with the suppliers implicated in the labour schemes, but no brands were able to rule out a link further down their supply chain. The report includes an appendix that details the factories involved and the brands that appear to have elements of forced Uyghur labour in their supply chains. It also makes specific recommendations for the Chinese government, companies, foreign governments and civil society organisations. 05  Forced Uyghur labour The ILO lists 11 indicators of forced labour.24 Relevant indicators in the case of Uyghur workers may include: being subjected to intimidation and threats, such as the threat of arbitrary detention, and being monitored by security personnel and digital surveillance tools being placed in a position of dependency and vulnerability, such as by threats to family members back in Xinjiang having freedom of movement restricted, such as by fenced-in factories and high-tech surveillance isolation, such as living in segregated dormitories and being transported in dedicated trains abusive working conditions, such as political indoctrination, police guard posts in factories, ‘military-style’ management, and a ban on religious practices excessive hours, such as after-work Mandarin language classes and political indoctrination sessions that are part of job assignments.25 Chinese state media claims that participation in labour transfer programs is voluntary, and Chinese officials have denied any commercial use of forced labour from Xinjiang.26 However, Uyghur workers who have been able to leave China and speak out describe the constant fear of being sent back to a detention camp in Xinjiang or even a traditional prison while working at the factories.27 In factories outside Xinjiang, there is evidence that their lives are far from free. Referred to as ‘surplus labour’ (富余劳动力) or ‘poverty-stricken labour’ (贫困劳动力), Uyghur workers are often transported across China in special segregated trains,28 and in most cases are returned home by the same method after their contracts end a year or more later.29 Multiple sources suggest that in factories across China, many Uyghur workers lead a harsh, segregated life under so-called ‘military-style management’ (军事化管理).30 Outside work hours, they attend factory-organised Mandarin language classes, participate in ‘patriotic education’,31 and are prevented from practising their religion.32 Every 50 Uyghur workers are assigned one government minder and are monitored by dedicated security personnel.33 They have little freedom of movement and live in carefully guarded dormitories, isolated from their families and children back in Xinjiang.34 There is also evidence that, at least in some factories, they are paid less than their Han counterparts,35 despite state media claims that they’re paid attractive wages.36 The Chinese authorities and factory bosses manage Uyghur workers by ‘tracking’ them both physically and electronically.37 One provincial government document describes a central database, developed by Xinjiang’s Human Resources and Social Affairs Department and maintained by a team of 100 specialists in Xinjiang, that records the medical, ideological and employment details of each labourer.38 The database incorporates information from social welfare cards that store workers’ personal details. It also extracts information from a WeChat39 group and an unnamed smartphone app that tracks the movements and activities of each worker.40 06 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Chinese companies and government officials also pride themselves on being able to alter their Uyghur workers’ ideological outlook and transform them into ‘modern’ citizens, who, they say, become ‘more physically attractive’41 and learn to ‘take daily showers’.42 In some cases, local governments in Xinjiang send Chinese Communist Party (CCP) cadres to simultaneously surveil workers’ families back home in Xinjiang43— a reminder to workers that any misbehaviour in the factory will have immediate consequences for their loved ones and further evidence that their participation in the program is far from voluntary. A person with knowledge of a Uyghur labour transfer program in Fujian told Bitter Winter, a religious and human rights NGO, that the workers were all former ‘re-education camp’ detainees and were threatened with further detention if they disobeyed the government’s work assignments.44 A Uyghur person sent to work in Fujian also told the NGO that police regularly search their dormitories and check their phones for any religious content. If a Quran is found, the owner will be sent back to the ‘re-education camp’ for 3–5 years.45 The treatment of Uyghurs described in this report’s case studies is in breach of China’s Constitution, which prohibits discrimination based on ethnicity or religious belief,46 as well as international law. While we are unable to confirm that all employment transfers from Xinjiang are forced, the cases for which adequate detail has been available showcase highly disturbing coercive labour practices consistent with ILO definitions of forced labour. 07  Case study 1: Uyghur workers making Nike sneakers in Qingdao Figure 1: Uyghur workers at Taekwang Shoe Manufacturing waving the Chinese flag, October 2019 Source: ‘Strengthening patriotism education and building a bridge of national unity’ (加强爱国主义教育搭建民族团结连心桥), China Ethnic Religion Net (中国民族宗教网), 7 November 2019, online. In January 2020, around 600 ethnic minority workers from Xinjiang were employed at Qingdao Taekwang Shoes Co. Ltd (青岛泰光制鞋有限公司).47 Taekwang’s primary customer is the American multinational company Nike Incorporated.48 The Xinjiang workers are mostly Uyghur women from Hotan and Kashgar prefectures, which are remote parts of southern Xinjiang that the Chinese government has described as ‘backward’ and ‘disturbed by religious extremism’.49 At the factory, the Uyghur labourers make Nike shoes during the day. In the evening, they attend a night school where they study Mandarin, sing the Chinese national anthem and receive ‘vocational training’ and ‘patriotic education’.50 The curriculum closely mirrors that of Xinjiang’s ‘re-education camps’.51 The sprawling Taekwang factory compound is located in Laixi City, to the north of Qingdao in China’s Shandong province, and is owned by the Taekwang Group, a South Korean chemical and textile conglomerate (chaebol). Taekwang’s Laixi factory is one of the largest manufacturers of shoes for Nike,52 producing more than seven million pairs for the American brand annually.53 08 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Figure 2: Taekwang supply chain Source: A Laixi government committee press release stated that 9,800 Uyghur workers were transferred to Qingdao Taekwang Shoes in ‘more than 60 batches’ since 2007. ‘Strengthening patriotism education and building a bridge of national unity’ (加强爱国主义教育搭建 民族团结连心桥), China Ethnic Religion Net (中国民族宗教网), 7 November 2019, online. In June 2019, at the opening ceremony of the Taekwang night school, a government official from the local United Front Work Department54 office called on Uyghur workers to strengthen their identification with the state and the nation.55 The school is called the ‘Pomegranate Seed’ Night School (Figure 3), referencing a speech by Chinese President Xi Jinping in which he said ‘every ethnic group must tightly bind together like the seeds of a pomegranate.’56 Figure 3: Opening ceremony of ‘Pomegranate Seed’ Night School for ethnic minorities at Taekwang factory, June 2019 Source: ‘Municipal United Front Work Department’s “Pomegranate Seed” Night School: a look into Qingdao Taekwang’s Mandarin classes’ (市委统战部’ 石榴籽’ 夜校 走进青岛泰光举办普通话培训班), Laixi United Front (莱西统一战线), WeChat, 1 July 2019, online. 09  The Washington Post has reported that Uyghurs working at the factory were not allowed to go home for holidays.57 The newspaper also reported that Uyghur workers at the factory were sent there by the Xinjiang government, they did not choose to come to Qingdao, and that they were unable to practice their religion. Photographs of the factory in January 2020 published by the newspaper show that the complex was equipped with watchtowers, razor wire and inward-facing barbed-wire fences. Uyghur workers were free to walk in the streets around the factory compound, but their comings and goings were closely monitored by a police station at the side gate equipped with facial recognition cameras. The Uyghur workers at the Taekwang factory speak almost no Mandarin, so communication with locals is largely non-existent, according to the newspaper. They eat in a separate canteen or a Muslim restaurant across the road from the factory, where the ‘halal’ signs have been crossed out. They live in buildings next to the factory that are separate quarters from those of the Han workers.58 ASPI found evidence that inside the factories, the workers’ ideology and behaviour are closely monitored. At a purpose-built ‘psychological dredging office’ (心理疏导室), Han and Uyghur officials from Taekwang’s local women’s federation conduct ‘heart-to-heart’ talks, provide psychological consulting and assist in the uplifting of the ‘innate quality’ (素质) of the Uyghur workers—in order to aid their integration.59 Those offices and roles are also present in Xinjiang’s ‘re-education camps’.60 Figure 4: A study room called ‘Home of the Youth’ for ethnic minority workers at the Taekwang factory Source: ‘Blessed are those who work here in Laixi!’ (在莱西这里上班的人有福了!), In the palm of Laixi (掌上莱西), WeChat, 21 July 2019, online. 10 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Top Chinese government officials see the use and management of ethnic workers at Taekwang as a model worth emulating. Politburo Standing Committee member Wang Yang and China’s Minister for Public Security, Zhao Kezhi, sent a commendation memo to the management, according to a local media report in late 2019.61 From 2017 to 2018, according to official statistics, 4,710 Uyghur workers were transferred from Xinjiang to Shandong (almost double the government’s own target).62 The workers are closely monitored by party authorities. Officials from the local offices of the Public Security Bureau and United Front Work Department hold regular meetings with Shandong companies that hire “Uyghurs” to discuss the workers’ ‘ideological trends and any issues that have emerged’.63 Those agencies also have representatives stationed inside factories like Taekwang to report daily on the ‘thoughts’ of the Uyghur workers, manage any disputes and guard against spontaneous ‘mass instances’.64 In 2018, a recruitment notice said that Qingdao was looking for auxiliary police who are fluent in minority languages.65 In Xinjiang, auxiliary police officers are responsible for bringing people to detention camps and monitoring them when they are in detention.66 Figure 5: A July 2018 ‘farewell ceremony’ before 176 Uyghur workers left Qira county, Xinjiang for Qingdao to work at Taekwang Shoes Co. Ltd and Fulin Electronics Company Source: ‘Qira county organises 176 labourers for stable employment at Shandong enterprises’ (策勒县组织176名务工人员赴山东企业稳 定就业), Pomegranate Garden (石榴园), WeChat, 5 July 2018, online. In January 2018, local Hotan media published a ‘letter of gratitude’ from 130 Uyghur workers at Taekwang to the Hotan Prefecture government.67 In the letter, which was written in Mandarin, the Uyghur workers described themselves as being mired in poverty before being sent to Qingdao and express gratitude that they were now able to earn a monthly salary of Ұ2,850 (US$413, above the minimum wage in China).68 ASPI could not verify the wages received by the workers or the authenticity of the letter. The letter goes on to say that, since arriving in Qingdao, the workers had learned the dangers of religious extremism and now see a ‘beautiful life ahead of them’.69 11  Rendering ‘Xinjiang Aid’ (援疆) Working arrangements that uproot Uyghurs and place them in factories in eastern and central China are not new. Since the early 2000s, the Chinese government has mobilised wealthier coastal provinces and cities to develop frontier regions such as Xinjiang and Tibet, and actively encouraged the movement of workers in the name of promoting ‘inter-ethnic fusion’ (民族交融) and ‘poverty alleviation’ (扶贫).70 Uyghur workers’ participation in those programs is rarely voluntary. Even in the 2000s, well before the ‘re-education camp’ system was created, working and living conditions for transferred Uyghur workers were often exploitative, if not abusive.71 Rights groups criticised the programs as coercive, highlighting how they intentionally removed Uyghurs from their homes and traditional way of life, only to force the workers to endure the long working hours, poor conditions, predatory bosses and discriminatory attitudes of their Han co-workers.72 Concerned factory bosses significantly reduced the use of Uyghur labour after violent clashes between Han and Uyghur workers in a Guangdong factory led to a deadly riot in Xinjiang’s regional capital of Urumqi in July 2009.73 In response to the unrest, the Chinese government began holding regular national ‘Xinjiang Aid’ conferences in 2010.74 Financial subsidies and political inducements were offered to mobilise wealthier provinces and cities to pair up with cities and prefectures in Xinjiang in order to ‘aid’ the region’s development and stability.75 Provinces have since been encouraged to contribute to the aid scheme in various ways: “‘medical Xinjiang Aid’ (医疗援疆), ‘technology Xinjiang Aid’ (科技援疆), ‘educational Xinjiang Aid’ (教育援疆) and ‘industrial Xinjiang Aid’ (产业援疆).76 Following further violence and the mass detention of Uyghurs in early 2017,77 the ‘Xinjiang Aid’ agenda became a top political priority.78 Local governments and corporations were strongly encouraged to find employment opportunities for newly ‘re-educated’ Uyghurs, under a policy termed ‘industrial Xinjiang Aid’.79 ‘Industrial Xinjiang Aid’ seeks to assign work to ‘idle’ Uyghurs in the name of poverty alleviation, but it also shares the same indoctrination aims as the ‘re-education camp’ system: factory bosses are expected to fundamentally alter Uyghur workers by reforming their ‘backward qualities’ and sinicising them.80 In exchange, Uyghur workers are required to show ‘gratitude’ to the Communist Party and their Han ‘elder sisters and brothers’.81 12 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Companies across China can participate in industrial ‘Xinjiang Aid’ in two ways: opening up ‘satellite’ factories (卫星工厂) or workshops inside Xinjiang to absorb ‘surplus labour capacity’ (富余劳动力).82 According to China’s Xinhua News Agency, in the past few years, ‘Xinjiang Aid’ has seen some 4,400 enterprises set up in Xinjiang, providing nearly a million local jobs83 hiring Uyghur workers for their factories elsewhere in China through a range of labour transfer schemes. Some companies, such as Hao Yuanpeng Clothing Co. Ltd (浩缘朋服装有限公司)—a garment company headquartered in Anhui province that claims to supply Fila (Italy/South Korea) and Adidas (Germany)—are engaged in both those forms of industrial aid.84 By late 2018, cheap labour emerging from the ‘re-education camps’ had become an important driver of Xinjiang’s economy, according to an official statement by the Xinjiang Development and Reform Commission.85 There is now a direct pipeline of Uyghur workers from ‘vocational training’ and political indoctrination in Xinjiang to factory work across China. ‘For every batch (of workers) that is trained, a batch of employment will be arranged and the batch will be transferred’, a 2019 government work report from Karakax county reads.86 In some cases, labour transfers outside of Xinjiang are organised even before vocational training and political indoctrination start—to ensure ‘100% employment rate’ for the ‘trained’ Uyghurs.87 13  Xinjiang’s labour transfer program Data collected from Chinese state media and official government notices indicates that more than 80,000 Uyghur workers were transferred out of Xinjiang between 2017 and 2019. ASPI has mapped the available data on these transfers. The larger the arrow in Figure 6, the greater the number of people being transferred. Dotted lines represent known direct county-to-factory transfers. The diagram shouldn’t be considered comprehensive, but gives a sense of the scale and scope of the program.88 Figure 6: Uyghur transfers to other parts of China from 2017 to 2020 Source: ASPI’s International Cyber Policy Centre, which used a range of data sources, including local media reports and official government sources. The Chinese government’s official data on labour transfer includes transfers from southern Xinjiang to northern Xinjiang, transfers from Xinjiang to other provinces, and transfers to local factories. Depending on the county, labourers sent outside Xinjiang count for anywhere between 10%89 to 50%90 of all Xinjiang transfers. In recent years, transfers from Xinjiang to other parts of China have increased steadily. In 2017, according to state media reports, 20,859 ‘rural surplus labourers’ from Xinjiang were transferred to work in other provinces.91 Based on ASPI’s analysis of published data, an estimated 28,000 people were transferred for employment in 2018.92 In 2019, an estimated 32,000 people were transferred out of the region.93 Xinjiang authorities also claim to have repeatedly exceeded their labour transfer targets.94 The 2017 target was set at 20,000 and exceeded by 4%.95 In 2019, the target was set at 25,000 and reportedly exceeded by about 25%.96 14 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang ASPI analysed the volume of results returned by the Chinese search engine Baidu97 when we searched for keywords related to labour transfer schemes. Figure 7 illustrates a steady increase since 2014 (the year in which the so-called ‘Strike Hard Campaign against Violent Extremism’ was launched in Xinjiang), and an even more dramatic increase from 2017 as the ‘re-education’ process ramped up. This is a further suggestion that the labour transfer program has become an increasingly important political priority for the Chinese government in recent years. Figure 7: Number of Baidu search results for a variety of keywords relating to Xinjiang labour transfers, 2005 to 2019 Source: ASPI’s International Cyber Policy Centre Aside from political incentives, the business of ‘buying’ and ‘selling’ Uyghur labour can be quite lucrative for local governments and commercial brokers. According to a 2018 Xinjiang provincial government notice, for every rural ‘surplus labourer’98 transferred to work in another part of Xinjiang for over nine months, the organiser is awarded Ұ20 (US$3); however, for labour transfers outside of Xinjiang, the figure jumps 15-fold to Ұ300 (US$43.25).99 Receiving factories across China are also compensated by the Xinjiang government, receiving a Ұ1,000 (US$144.16) cash inducement for each worker they contract for a year, and Ұ5,000 (US$720.80) for a three-year contract.100 The statutory minimum wage in Urumqi, Xinjiang’s regional capital, was Ұ1620 (US$232.08) a month in 2018.101 In recent years, advertisements for ‘government-sponsored Uyghur labour’ also began to appear online. In February 2019, a company based in Qingdao published a notice advertising a large number of ‘government-led … qualified, secure and reliable’ Uyghur workers for transfer to some 10 provinces in China (Figure 8).102 15  Figure 8: Advertisement published by Qingdao Decai Decoration Co. claiming to supply government-sponsored Uyghur workers from Xinjiang to other provinces Note: The ad features a caricature of two dancing Uyghurs in traditional clothing. Source: ‘Our company provides a large number of government (sponsored) Xinjiang workers - labour dispatching company’ (我司提供大 量政府新疆工人劳务派遣公司), Qingdao Human Resources Website (青岛德才人力资源网), online. Translated from Chinese by ASPI. Another new advertisement claimed to be able to supply 1,000 Uyghur workers aged 16 to 18 years. It reads: ‘The advantages of Xinjiang workers are: semi-military style management, can withstand hardship, no loss of personnel … Minimum order 100 workers!’. The advertisement also said that factory managers can apply for current Xinjiang police to be stationed at their factory 24 hours a day, and that the workers could be delivered (along with an Uyghur cook) within 15 days of the signing of a one-year contract (Figure 9). 16 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Figure 9: Labour-hire advertisement offering young Uyghur workers under ‘semi-military style management’ Source: ‘1,000 minorities, awaiting online booking’ (1000少数民族,在线等预约), Baidu HR Forum (百度 HR吧), 27 November 2019, online. Translated from Chinese by ASPI. 17  Case study 2: From ‘re-education camps’ to forced labour assignments New evidence indicates that ‘graduating’ detainees from Xinjiang’s ‘re-education camps’ have been sent directly to factories to work in other parts of China. In such circumstances, it is unlikely that their work arrangements are voluntary. The Haoyuanpeng Clothing Manufacturing Co. Ltd (浩缘朋制衣有限公司, HYP) participates in ‘Xinjiang Aid’ both through its satellite factory103 in Xinjiang (established in 2018) and by exporting Uyghur workers to Anhui province, where it is headquartered. On HYP’s corporate website, it advertises strategic partnerships with the Italian–South Korean fashion label Fila, German sportswear companies Adidas and Puma, and Nike.104 In February 2018, HYP transferred 63 workers from Xinjiang to its Anhui factory in eastern China with plans to eventually transfer 500 in total.105 The transferred workers were all ‘graduates’ of the Jiashi County Secondary Vocational School (伽师县中等职业学校), according to a government report.106 ASPI’s analysis of satellite imagery and official documents suggest the ‘school’ had operated as a ‘re-education camp’ since 2017. The compound increased in size, adding new dormitories and factory warehouses while significant security features were added through the introduction of secure ‘military-style management’ (see Figure 10).107 Figure 10: Satellite image of Jiashi Vocational School, January 2018, with security infrastructure added since 2017 highlighted in orange Note: Multiple dormitory buildings and a teaching building appear to be completely fenced in and isolated in a style that resembles other political indoctrination camps. Additionally, five small factory warehouse buildings have been constructed in the enclosed area. Source: ASPI’s International Cyber Policy Centre. 18 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang A spokesperson from Adidas said the company does not have an active relationship with HYP and that they will further investigate the use of the Adidas signage. The transfer of Uyghur labour to Anhui was part of a ‘Xinjiang Aid’ project organised by the Guangdong government, which also involved HYP setting up a highly secure factory in Xinjiang’s Shule (Yengixahar) county (Figure 11).108 Figure 11: Satellite image of HYP’s factory in Shule (Yengixahar) county, Xinjiang Note: The factory is fully enclosed by perimeter fencing and has several residential dorm buildings further isolated by fencing. In addition there are several security posts throughout the facility. Source: ASPI’s International Cyber Policy Centre. In a recent interview, HYP President Zeng Yifa (曾亿法) told state media that he established a factory in Xinjiang because it was difficult to find young workers in other parts of China, or even abroad, concluding that: ‘Although the quality of North Korean workers is good, I’m reluctant to spend money on foreign workers. In the end, I chose Xinjiang.’109 HYP’s factory in Xinjiang, which has a large Adidas billboard on its facade (Figure 13), is surrounded by a 3-metre-high fence. The two entrances to the factory are guarded by security checkpoints, and at least five more security posts monitor the rest of the facility’s perimeter. It is unclear whether HYP’s factory in Anhui province has similar security features. 19  Figure 12: HYP’s supply chain Source: ASPI ICPC. See Appendix for supply chain information. Figure 13: Hao Yuanpeng’s Kashgar, Xinjiang factory. Source: Photos of company (企业展示), Hao Yuanpeng Clothing Co. Ltd (浩缘朋服装有限公司), online. 20 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Case study 3: ‘Re-educating’ Uyghur workers in Apple’s supply chain In December 2017, Apple’s CEO Tim Cook visited one of the company’s contractors—O-Film Technology Co. Ltd (欧菲光科技股份有限公司)110 —and posted a picture of himself at the company’s Guangzhou factory on the Chinese social media platform Weibo.111 O-Film manufactured112 the ‘selfie cameras’ for the iPhone 8 and iPhone X. The company also claims on its website to manufacture camera modules and touchscreen components for a number of other well-known companies including Huawei, Lenovo and Samsung.113 Figure 14: Tim Cook’s Weibo post from O-Film’s Guangzhou factory in December 2017 Tim Cook’s post on Chinese social media: ‘Say cheese! Getting a closer look at the remarkable, precision work that goes into manufacturing the selfie cameras for iPhone 8 and iPhone X at O-Film’. Source: online. 21  Prior to Cook’s visit, between 28 April and 1 May 2017, 700 Uyghurs were reportedly transferred from Lop county, Hotan Prefecture, in Xinjiang to work at a separate O-Film factory in Nanchang, Jiangxi province.114 As with other labour transfers from Xinjiang described in this report, the work assignments for the Uyghurs sent to Jiangxi were highly politicised. The workers were expected to ‘gradually alter their ideology’ and turn into ‘modern, capable youth’ who ‘understand the Party’s blessing, feel gratitude toward the Party, and contribute to stability,’ a local Xinjiang newspaper wrote.115 Once in Jiangxi, they were managed by a few minders sent by Lop county who were ‘politically reliable’ and knew both Mandarin and the Uyghur language.116 According to a now deleted press release,117 Cook praised the company for its ‘humane approach towards employees’ during his visit to O-Film, asserting that workers seemed ‘able to gain growth at the company, and live happily.’118 Five months later, in October 2017, the Hotan government in Xinjiang contacted O-Film, hoping to supply another 1,300 workers.119 On 12 December 2017, a Uyghur worker who claimed to have worked at O-Film said that there were more than a thousand Uyghur workers at the O-Film factory in Jiangxi.120 Figure 15: O-Film Supply Chain Source: ASPI ICPC. See appendix for supply chain source information. 22 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang O-Film is not the only Chinese factory using Uyghur labour to make parts for Apple and its suppliers. This report identifies three other factories in Apple’s supply chain. A local government document from September 2019 said that 560 Xinjiang labourers were transferred to work in factories in central Henan province—including Foxconn Technology (Foxconn)’s Zhengzhou facility.121 Foxconn, a Taiwanese company, is the biggest contract electronics manufacturer in the world, making devices for Apple, Dell and Sony, among others.122 The Zhengzhou facility reportedly makes half of the world’s iPhones and is the reason why Zhengzhou city is dubbed the ‘iPhone city’.123 It is unclear how the Uyghur workers are treated at the Zhengzhou facility. However, a September 2019 report by New York-based China Labour Watch said contract workers at Foxconn’s Zhengzhou factory—which includes Uyghur workers—put in at least 100 overtime hours a month.124 Over the past decade, Foxconn has been marred by allegations of worker exploitation and even suicides, including recently at its Zhengzhou facility.125 The company has also actively participated in the ‘Xinjiang Aid’ scheme.126 Figure 16: Uyghur workers arriving at Hubei Yihong Precision Manufacturing Co. Ltd Uyghur workers with Hubei Yihong Precision Manufacturing Co. Ltd on their transfer between Xinjiang and Xianning, Hubei. This photograph was taken outside of Wuchang train station in Wuhan, Hubei’s provincial capital, in May 2018. Source: online. On 17 May 2018, 105 Uyghur workers were transferred from Keriya county, Xinjiang, to Hubei Yihong Precision Manufacturing Co. Ltd (湖北奕宏精密制造有限公司, Hubei Yihong) in Xianning, Hubei province.127 Upon the workers’ arrival, a senior communist party official visited the Hubei Yihong factory. In a speech, he put forward three demands: for the workers to exercise gratitude to the 23  Communist Party, for the managers to increase surveillance and intensify patriotic education, and for the workers to quickly blend in.128 Hubei Yihong makes backlights and battery covers.129 It is a subsidiary of Dongguan Yidong Electronic Co. Ltd (东莞市奕东电子有限公司), whose website claims that its end customers include Apple and Huawei.130 While neither Hubei Yihong nor its parent company is included in Apple’s supplier list, Hubei Yihong’s website lists Goertek, which directly supplies Apple with AirPods, as one of its customers.131 Figure 17: Hubei Yihong Supply Chain Source: ASPI ICPC. See appendix for supply chain source information. In 2017, another electronics company that claims to make components for Apple’s supplier, Hefei Highbroad Advanced Material Co. Ltd (翰博高新材料（合肥）股份有限公司, Highbroad) signed a contract with the Hotan government to take in 1,000 Uyghurs each year for the next three years, according to the company’s vice president.132 Later that year, more than 500 Uyghurs from rural Guma county in Hotan Prefecture were transported to Hefei in Anhui province to begin work in Highbroad’s electronics factory.133 24 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang In 2018, 544 Uyghurs were transferred from Guma county to a Highbroad subsidiary, also in Hefei, called Fuying Photoelectric Co. Ltd (合肥福映光电有限公司).134 At Fuying, according to state media, Aynur Memetyusup, a young Uyghur woman, learned to improve her Mandarin and workplace discipline and to take daily showers that made ‘her long hair more flowing than ever.’ She is quoted as saying, ‘Like President Xi has said, happiness is always the result of struggle.’135 Figure 18: A picture of Aynur Memetyusup (first from left) in an after-work Mandarin class at Highbroad Advanced Material Co. Ltd in Hefei, Anhui province Source: ‘Uyghur girl helps her mom’s big dream come true’, China Daily, 6 August 2019, online. According to the company’s 2018 annual report,136 Highbroad’s main products are components for flat panel displays—the LCD and OLED screens used in many smartphones, tablets and computers. Highbroad notes that 79.19% of its operating revenue comes from sales to the Beijing-based multinational company BOE Technology Group Co. Ltd (京东方), which is one of the world’s largest producers of electronic displays. BOE is currently a major screen supplier to Huawei137 and is set to become Apple’s second-largest OLED screen supplier by 2021.138 BOE is currently listed on Apple’s supplier list.139 According to Highbroad’s website their customers include Japan Display Inc. and LG Display.140 Highbroad’s hiring ads141 and a Chinese LCD industry directory142 also claim that Highbroad’s end customers include other well-known companies including Dell, Lenovo, Samsung and Sony, and automobile manufacturers such as BMW, Jaguar, Land Rover, Mercedes-Benz and Volkswagen (Figure 18). Jaguar Land Rover says it investigated its supply chain and found it does not source directly from Highbroad, and was assured by its suppliers they do not source from the company. 25  Figure 19: Highbroad supply chain Source: ASPI ICPC. See Appendix for supply chain information. 26 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Implications for the global supply chain The rapid expansion of the nationwide system of Uyghur labour presents a new challenge for foreign companies operating in China. How do they secure the integrity of their supply chains and protect their brands from the reputational and legal risks of being associated with forced, discriminatory or abusive labour practices? Interwoven supply chains and the mixed nature of their workforces, which draw on both Han and Uyghur workers, make it particularly difficult for companies to ensure that their products are not associated with forced labour. These labour transfer schemes also present a challenge to the reputation of Chinese brands overseas. In all, ASPI’s research has identified 82 foreign and Chinese companies potentially directly or indirectly benefiting from the use of Uyghur workers outside Xinjiang through abusive labour transfer programs: Abercrombie & Fitch, Acer, Adidas, Alstom, Amazon, Apple, ASUS, BAIC Motor, Bestway, BMW, Bombardier, Bosch, BYD, Calvin Klein, Candy, Carter’s, Cerruti 1881, Changan Automobile, Cisco, CRRC, Dell, Electrolux, Fila, Founder Group, GAC Group (automobiles), Gap, Geely Auto, General Motors, Google, Goertek, H&M, Haier, Hart Schaffner Marx, Hisense, Hitachi, HP, HTC, Huawei, iFlyTek, Jack & Jones, Jaguar, Japan Display Inc., L.L.Bean, Lacoste, Land Rover, Lenovo, LG, Li-Ning, Marks & Spencer, Mayor, Meizu, Mercedes-Benz, MG, Microsoft, Mitsubishi, Mitsumi, Nike, Nintendo, Nokia, Oculus, Oppo, Panasonic, Polo Ralph Lauren, Puma, SAIC Motor, Samsung, SGMW, Sharp, Siemens, Skechers, Sony, TDK, Tommy Hilfiger, Toshiba, Tsinghua Tongfang, Uniqlo, Victoria’s Secret, Vivo, Volkswagen, Xiaomi, Zara, Zegna, ZTE. Some brands are linked with multiple factories. The data is based on published supplier lists, media reports, and the factories’ claimed suppliers. ASPI reached out to these 82 brands to confirm their relevant supplier details. Where companies responded before publication, we have included their relevant clarifications in this report. If any company responses are made available after publication of this report, we will address these online. A further 54 companies are implicated in what could be forced labour schemes within Xinjiang itself (see appendix)—some of which overlap with the 82 companies linked to forced Uyghur labour outside of Xinjiang. It is important to note that not all companies have the same levels of exposure to Uyghur forced labour. Some finished products are directly manufactured by these workers, while others pass through complicated supply chains. The appendix to this report lists 35 documented labour transfer programs under ‘Xinjiang Aid’ since 2017. The table includes the following information: transfers to factories in central and eastern provinces of China transfers to purpose-built factories within Xinjiang the number of people moved to the factories the products they make the companies the factories claim they supply. 27  In the past three years, the ‘re-education camp’ system in Xinjiang has drawn international condemnation. Now the culture and ethos of ‘re-education’ is being exported well beyond Xinjiang and married with practices that likely amount to forced labour. This report establishes that some workers employed through labour transfer schemes at factories across China are sourced directly from the ‘re-education camps’ in Xinjiang. Ethnic minority workers from Xinjiang who are not known to be former detainees may also be forced to work under threat of detention, the intimidation of family members and a range of restrictions on their freedom. The tainted global supply chain that results from these practices means that it is now difficult to guarantee that products manufactured in China are free from forced labour.143 We have found that a large number of Chinese and multinational companies are sourcing components or products from factories that proudly boast about their Uyghur workers, such as Taekwang144 and HYP.145 This situation poses new risks—reputational and legal—for companies and consumers purchasing goods from China, as products made in any part of the country, not just in Xinjiang, may have passed through the hands of forced labourers. This situation also creates new risks for investors in those companies—from private investors to wealth management funds—who may now find themselves indirectly linked to forced labour practices. 28 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Recommendations The response to the abuses identified in this report should not involve a knee-jerk rejection of Uyghur or Chinese labour. The problem is the policies that require Uyghurs to work under duress in violation of well-established international labour laws. It is vital that, as these problems are addressed, Uyghur labourers are not placed in positions of greater harm or, for example, involuntarily transferred back to Xinjiang, where their safety cannot necessarily be guaranteed. In light of this report’s findings, we make the following recommendations. The Chinese government should: give multinational companies unfettered access to allow them to investigate any abusive or forced labour practices in factories in China uphold the rights of all workers in China, especially those from vulnerable ethnic minorities, to determine how their labour is deployed and the conditions under which they leave their place of residence ratify the ILO International Labour Standards; structure a comprehensive grievance mechanism, including for the investigation of alleged cases of forced labour; provide victims with protection and remedies; and prosecute perpetrators uphold the legitimate rights of China’s citizens, including by protecting ethnic and religious rights enshrined in the Chinese Constitution.146 Companies using forced Uyghur labour in their supply chains could find themselves in breach of laws which prohibit the importation of goods made with forced labour or mandate disclosure of forced labour supply chain risks.147 Each company listed in this report should: conduct immediate and thorough human rights due diligence on its factory labour in China, including robust and independent social audits and inspections. The audits and inspections should include a stocktake of the conditions and current and ongoing safety of vulnerable workers if it finds that factories are implicated in forced labour, seek to use its leverage to address improper labour practices. In all cases where harm has occurred, it should take appropriate and immediate remedial action. Where it cannot, it should cease working with those factories ensure that it is fully transparent as it seeks to address all potential harms, including by reporting its due diligence and audit findings publicly. Foreign governments should: identify opportunities to increase pressure on the Chinese government to end the use and facilitation of Uyghur forced labour and mass extrajudicial detention, including through the use of targeted sanctions on senior officials responsible for Xinjiang’s coercive labour transfers review trade agreements to restrict commodities and products being produced with forced labour identify opportunities to pressure the Chinese government into ratifying the Convention on Forced Labour, 1930 (No. 29),148 Abolition of Forced Labour Convention, 1957 (No.105)149 and the Protocol of 2014 to the Forced Labour Convention.150 29  Consumers and civil society groups, including NGOs, labour unions and consumer advocacy groups, should: demand that companies that manufacture in China conduct due diligence and social audits to ensure that they’re not complicit in forced labour practices advocate for the recognition of continual, multilayered surveillance and monitoring of workers and their digital communications—both in and outside work hours—as an emerging and under-reported indicator of forced labour and an important human rights violation push brands to be more transparent about the make-up of their supply chains and the preventative measures they have put in place to ensure forced labour does not occur demand that companies make new public commitments, uphold current commitments, or both, to not use forced and coerced labour in their global supply chains and that they act quickly and publicly when such cases are identified. 30 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Appendix Table 1: Transfers of Uyghurs out of Xinjiang Transfers of Uyghurs out of Chinese factories involved International brands supplied Xinjiang by factory From 2014 to mid-2018, Xinjiang’s KTK Group KTK Group’s website says its Nilka county transferred 390 (今创控股集团 also known customers include Alstom, people to work in other provinces as Jiangsu Jinchuang Group) Bombardier, CRRC and Siemens, of China.151 In the first 6 months of is mainly involved in rail and the company is a strategic 2019, the county transferred 551 transportation equipment, partner with Alstom, Bombardier, people out of Xinjiang.152 including design, research and CRRC and Hitachi.156 development, and producing That included workers sent to A subsidiary of Chinese rail door systems, interiors, and other Changzhou, Jiangsu, dozens at manufacturer, CRRC Co. Ltd, is parts.155 a time.153 In July 2019, 41 Uyghur currently building157 Melbourne’s workers were transferred to KTK new high-capacity trains after Group in Changzhou.154 jointly securing158 a AU$2 billion (US$1.5 billion) contract with two other companies. In a 2021 statement Siemens reported: “As a result of the ASPI report, Siemens repeatedly reviewed compliance with our ethical requirements at the KTK Group as well – most recently (in 2020) through an external audit conducted by a prominent international audit entity. The reviews have revealed no indications of forced labour practices or other human rights violations on the part of our supplier. As an organisation we have many measures in place to support human rights and we have very clear expectations of our suppliers in all countries which also includes explicitly, ‘the prohibition of forced labor’.” 31  Transfers of Uyghurs out of Chinese factories involved International brands supplied Xinjiang by factory In May 2017, 1,200 people were O-Film Technology Co. Ltd Strategic partners listed on O-Film transferred from Lop, Hotan (欧菲光科技股份有限公司) Technology’s website include: Prefecture, out of Xinjiang—700 manufactures compact camera Acer, ASUS, Amazon, BAIC Motor, of them to Nanchang, Jiangxi, to modules and touchscreen Changan Automobile, Dell, GAC work at O-Film Technology Co. components for smartphones, Group (automobiles), Geely Ltd.159 laptops and cars.162 Auto, General Motors, HP, HTC, Huawei, Lenovo, LG, Meizu, Five months later, the Hotan Microsoft, Oppo, SAIC Motor, Government contacted O-Film Samsung, SGMW, Sony, Vivo, Technology hoping to supply Xiaomi and ZTE.163 another 1,300 workers.160 O-Film Technology also At the end of 2017, a Uyghur manufactured key components worker who claimed to have of iPhone 8 and iPhone X camera worked at O-Film Technology technologies for Apple in 2017164 said that there were more than and is currently on Apple’s a thousand Uyghur workers at supplier list.165 In 2017, Apple’s CEO the company.161 Tim Cook personally visited the company.166 Changan Automobiles has advised they do not have business ties with Nanchang O-Film and would investigate all suppliers for affiliations with O-Film. As reported in early 2019, 46 Nanjing Synergy Textiles Co. Ltd Victory City’s customers include workers (including Kazakhs)167 (南京新一棉纺织有限 Calvin Klein, Carter’s, Li-Ning, were transferred from Tekes 公司 / 南京新一棉纺织印染有限 according to a report by China county, Xinjiang, to work at 公司) is a wholly owned subsidiary Galaxy Securities, a Chinese Nanjing Synergy Textiles Co. of Victory City International brokerage and investment bank.170 Ltd in Nanjing in eastern China’s Holding Ltd Jiangsu Province.168 (冠华国际控股有限公司) and produces high-grade cotton, knitting yarns and CVC yarns.169 In 2018, Awat county transferred Hefei Meiling Co. Ltd (合肥美 In 2017, Meiling became an 1,554 people to factories out 菱股份有限公司) is a Chinese exclusive supplier of Italy’s of Xinjiang, including to Hefei electronics manufacturer.172 Candy.174 A 2017 Chinese media Meiling Co. Ltd in Anhui It produces refrigerators, report says Meiling supplies province.171 washing machines, freezers, fridges to Swedish Electrolux.175 air conditioners, kitchen appliances and other small home appliances.173 Between 2017 and November Dongguan Lvzhou Shoes According to a report from 2019, 491 workers were transferred Industry Co. Ltd (东莞绿洲鞋业 Taiwanese students interning at from Tumxuk City, Xinjiang 有限公司) is a shoe manufacturer the company, Dongguan Lvzhou to Dongguan Lvzhou Shoes under the Taiwanese Dalibu Shoes is the main manufacturer Industry Co. Ltd in eastern Group for the American brand China’s Guangdong Province.176 (大力卜集团).177 Skechers.178 32 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Transfers of Uyghurs out of Chinese factories involved International brands supplied Xinjiang by factory From April 2017 to June 2018, Youngor Textile Holdings Co. Youngor Group’s official website 2,048 Uyghur workers were Ltd (雅戈尔色纺科技公司) is a says that Youngor is in strategic transferred from Hotan Prefecture subsidiary of Youngor Group cooperation partnerships with in Xinjiang to 15 factories in Anhui Co. Ltd (雅戈尔集团股份有限公 several international brands, Province, including Youngor 司), producing textiles and textile including Cerruti 1881 and Zegna, Textile Holdings Co. Ltd.179 machinery.181 Youngor also owns and also owns the brands Hart a number of subsidiaries and Schaffner Marx and Mayor.183 At a ‘Xinjiang Aid’ meeting with factories in Xinjiang.182 Youngor’s Xinjiang company Anhui provincial government claims to supply Calvin Klein, representatives in 2019, Youngor Gap, Jack & Jones, Lacoste, Textile Holdings welcomed L.L.Bean, Marks & Spencer, Polo labour transfers and expressed Ralph Lauren, Tommy Hilfiger, interest in taking more transferred and Uniqlo.184 workers.180 From April 2017 to June 2018, Huafu Top Dyed Melange Yarn According to Chinese media, 2,048 Uyghur workers were taken Co. Ltd (安徽淮北华孚色纺／ Huafu’s long term customers from Hotan Prefecture in Xinjiang 华孚时尚有限公司) produces include Adidas, Abercrombie to 15 factories in Anhui Province, cotton, coloured fibres and & Fitch, Lacoste, Puma, Zara including Huafu Top Dyed melange yarn.186 and H&M.187 Adidas and A&F told Melange Yarn Co. Ltd.185 ASPI they recently stopped using Huafu. Victoria’s Secret parent company L Brands, advised it stopped sourcing from Huafu188 in January 2020 due to the supplier’s Xinjiang links; and that as of January 2021 it no longer sources any cotton from China. In March and April 2019, 131 Hubei Haixin Protective According to Hubei Haixin’s minority women were transferred Products Co. Ltd (湖北海兴卫 website, 60% of its products are from Karakax county, Xinjiang, 生用品集团有限公司) produces exported to Europe, 20% to the US to Hubei Haixin Protective disposable medical and protective and 15% to Asia.191 Products Co. Ltd in central products such as masks, gowns China’s Yuanshi town, Hubei and shoe covers.190 Province. At the factory, they undergo Mandarin classes three days a week.189 33  Transfers of Uyghurs out of Chinese factories involved International brands supplied Xinjiang by factory In November 2017, more than 500 Highbroad Advanced Material According to Highbroad’s Uyghur workers were transferred (Hefei) Co. Ltd (翰博高新材料（ website198, their customers from Guma county, Xinjiang, to 合肥）股份有限公司) produces include LG Display and Japan Highbroad Advanced Material backlight modules and LCD Display Inc. Highbroad’s hiring (Hefei) Co. Ltd in Hefei, Anhui.192 components for smart devices, ads199 and a Chinese LCD industry In 2018, 544 young Uyghurs were including phones, laptops and directory200 claim that Highbroad’s transferred from Guma county cars.194 end customers also include other to Highbroad subsidiary Hefei smart device companies such as Hefei Fuying Photoelectric Co. Fuying Photoelectric Co. Ltd, Dell, Lenovo, Samsung and Sony, Ltd (合肥福映光电有限公司) is a also in Hefei.193 and automobile manufacturers subsidiary of Highbroad.195 such as BMW, Jaguar, Land Most of Highbroad’s revenue Rover, Mercedes-Benz and comes from supplying the Chinese Volkswagen.201 Jaguar Land company BOE Technology Group Rover advises it has investigated Co. Ltd (京东方科技集团股份 and denies there is any use of 有限公司),196 which is one of the Highbroad components in its world’s biggest display makers.197 supply chains. 79.19% of Highbroad’s operating revenue comes from sales to the Beijing-based multinational company BOE Technology Group Co. Ltd (京东方). BOE is currently a major screen supplier to Huawei and is set to become Apple’s second-largest OLED screen supplier by 2021.202 BOE is currently listed on Apple’s supplier list.203 On 17 May 2018, 105 Uyghur Hubei Yihong Precision According to their website, workers were transferred from Manufacturing Co. Ltd Dongguan Yidong Electronic Keriya county, Xinjiang, to Hubei (湖北奕宏精密制造有限公司) is Co. Ltd supply directly to BYD, Yihong Precision Manufacturing a subsidiary of Dongguan Yidong Goertek, Mitsumi, TDK, Toshiba, Co. Ltd in Xianning, Electronic Co. Ltd BOE and Kyocera. It claims their Hubei province.204 (东莞市奕东电子有限公司) and end customers include Apple, produces precision parts for Cisco, General Electric, Google, A spokesperson for Hubei Yihong electronics such as backlights and Haier, HP, Huawei, Microsoft, in July 2021 said: “HY strongly battery covers.205 Mitsubishi, Nintendo, Oculus, denies having used forced labor; Oppo, Panasonic, Samsung, we provided equal pay to our Siemens, Sony, and ZTE.206 Uyghur employees and treated A spokesperson from General them with respect during their Electric said that the company employment, which ceased in has no record of ever having used July 2020.” Hubei Yihong or their subsidiary as a direct supplier. Hubei Yihong has taken down its company webpage since the publication of this report. Haier said the company is not in its supplier database. BYD denies using forced labour and provided this document as evidence that the products it sources through Dongguan Yidong are not sourced from Hubei Yihong. 34 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Transfers of Uyghurs out of Chinese factories involved International brands supplied Xinjiang by factory In February 2018, 63 workers were Haoyuanpeng Garment Group Haoyuanpeng’s website states transferred from the Jiashi County (安徽浩缘朋制衣集团公司) that the company’s customers Secondary Vocational School (伽 manufactures apparel such as include Adidas, Fila, Nike and 师县中等职业学校) near Kashgar, down jackets, casual pants and Puma.210 Adidas says that it has no in Xinjiang, to Haoyuanpeng children’s clothing, and owns direct relationship with HYP and Garment Group in eastern several companies around the that they’re investigating HYP’s Anhui Province.207 country, including one in Xinjiang use of their brand name and logo. called the Kashgar Haoyuanp Nike has denied any relationship ASPI’s analysis of satellite imagery Garment Co. Ltd (喀什浩缘朋服 with Haoyuanpeng in a media and official documents suggest 装有限公司).209 statement, online. the school has operated as a ‘re-education camp’ since 2017.208 As reported in August 2019, 192 Ningbo Aoboer Electric Supply chain information for this minority workers from Xinjiang Appliance Co. Ltd (宁波奥博尔 factory is not available. were working at Ningbo Aoboer 电器有限公司) manufactures Electric Appliance Co. Ltd in electrical sockets and Zhejiang Province.211 power adapters.212 In the first 8 months of 2018, Hefei Bitland Information Hefei Bitland’s website says 1,554 workers were reportedly Technology Co. Ltd the company’s cooperative transferred from Awat county, (安徽合肥宝龙达信息技术有限公 partners include Founder Group, Xinjiang, to factories in other 司) produces electronics such as Google, Haier, Hisense, HTC, HP, provinces, including to Hefei computers and smartphones.214 iFlyTek, Lenovo and Tsinghua Bitland Information Technology Tongfang.215 Co. Ltd in Hefei, Anhui.213 Haier said this factory is not in its supplier database. In the first 8 months of 2018, Sichuan Mianyang Jingweida According to local media,218 1,554 workers were reportedly Technology Co. Ltd (四川 Jingweida has supplied products transferred from Awat county, 绵阳经纬达科技有限公司) and services to brands including Xinjiang, to factories in other produces magnetoelectric Dell, Foxconn, Hisense, HP, provinces, including Sichuan components such as power and Huawei, Sharp, Toshiba and ZTE. Mianyang Jingweida Technology LAN modules used in laptops and Jingweida’s Chairman Wang Qiang Co. Ltd.216 home appliances.217 also claimed that the company had been working with Bosch.219 Unknown number of people were Fujian Meike Leisure Sports Supply chain information for this transferred from Hotan City to Goods Co. Ltd (美克国际控股有 factory is not available. Jinjiang, Fujian to work at Meike 限公司) manufactures shoes.221 Leisure Sports Goods in March 2019.220 In April 2018, 46 people who were Zhaoxing Outdoor Gears Co. Supply chain information for this ‘vocational school graduates’ were Ltd (兆兴户外用品有限公司) factory is not available. transferred from Payziwat county, in Fuzhou city, Fujian province, Xinjiang to work at Zhaoxing produces clothing and plastic Outdoor Gears Co. Ltd in Fuzhou, fabrics.224 Fujian Province.222 By April 2019, there were 99 Uyghur workers at the company.223 35  Transfers of Uyghurs out of Chinese factories involved International brands supplied Xinjiang by factory In the first half of 2019, 437 Uyghur QuanZhou Yilong Textile Co. Ltd Supply chain information for this workers were transferred to Fujian (泉州益龙纺织有限责任公司) factory is not available. Province from Hotan City, Lop manufactures children’s clothing, county, Makit county and other sportswear and loungewear.226 regions in Xinjiang.225 The workers were sent to different factories in Fujian including Quanzhou Yilong Textile Co. Ltd. As reported in late 2019, Haoxiangni Health Food Co. Ltd Supply chain information for this 30 minority workers were (好想你健康食品股份有限公司) factory is not available. transferred from Hami City, produces red dates, dried fruits Xinjiang, to Haoxiangni Health and other health foods.229 Food Co. Ltd in Zhengzhou, Henan province, for training and subsequent employment.227 In 2018, Haoxiangni Health Food Co Ltd launched a project that the company claimed would provide 200 local jobs in Xinjiang.228 As reported in late 2019, 560 Foxconn Technology, Foxconn has supplied brands Xinjiang workers were transferred a Taiwanese company, is the like Apple, Dell,232 Google,233 to work in factories in central biggest contract electronics HP,234 Huawei,235 Microsoft,236 Henan province, including manufacturer in the world.231 Nintendo,237 Sony,238 to Foxconn Technology in and Xiaomi.239 Zhengzhou, Henan province.230 Foxconn’s Zhengzhou, Henan facility reportedly makes half of the world’s iPhones and is the reason why Zhengzhou city is dubbed the “iPhone city”.240 Foxconn’s website says their brands and ‘marketing channels’ include Nokia and Sharp.241 In October 2018, 59 minority Jianhua Construction Materials Supply chain information for this workers were transferred Group (汤始建华建材（淮安）有 factory is not available. from Gulja county to Jianhua 限公司) says it’s a service provider Construction Materials Group in of concrete products.243 Huai’an, Jiangsu.242 In May 2017, 47 minority workers Jiangsu Rongwei Entertainment Bestway Global Holdings were transferred from Qapqal Xibe Products is a subsidiary of exports outdoor leisure Autonomous county, Xinjiang, to Bestway Global Holding Inc.245 products including inflatable Jiangsu’s Yancheng city to work at products, sporting goods and Jiangsu Rongwei Entertainment camping equipment to over 110 Products.244 countries.246 In December 2019, Bestway said it had stopped using workers transferred from Xinjiang in October 2019 due to concerns from its US management.247 36 Policy Brief: Uyghurs for sale: ‘Re-education, forced labour and surveillance beyond Xinjiang Transfers of Uyghurs out of Chinese factories involved International brands supplied Xinjiang by factory 130 people were transferred AcBel Polytech Co. Ltd Supply chain information for this from Nilka county, Xinjiang, to (康舒电子有限公司) produces factory is not available. Hubei Province to work at AcBel power supplies used in Polytech Co. Ltd in the first half of information technology, 2019.248 communications, consumer electronics and other areas.249 AcBel owns manufacturing sites in Taiwan, the Philippines, and Guangdong and Hubei Provinces in China.250 According to an official notice, Avary Holding Co. Ltd (淮安鹏 Supply chain information for this in late 2019, Mongolküre county 鼎控股股份有限公司) produces factory is not available. held a ‘job fair’ to organise printed circuit boards used labor transfers. Avary Holding in consumer electronics and Co. Ltd was among the automotive electronics.253 participating companies.251 In the first half of 2019, 111 people were transferred from Nilka county, Xinjiang, to Huaian, Jiangsu, to work at Avary Holding Co. Ltd.252 In March 2019, 236 workers were Tanyuan Technology Co. Supply chain information for this transferred from Nilka county, Ltd (碳元科技股份有限公司) factory is not available. Xinjiang, to work at Tanyuan manufactures heat dissipation Technology Co. Ltd in Wujin, and backplane solutions that are Jiangsu.254 used in consumer electronics.255 According to a 2019 local media Jinan Gude Electronics Device Supply chain information for this report, Uyghurs were transferred Co. Ltd (济南固锝电子器件有 factory is not available. from Makit county, Xinjiang, to 限公司) manufactures diodes, work at Jinan Gude Electronics rectifiers, and semiconductors.257 Device Co. Ltd, a factory in Jinan, Shandong.256 In early 2017, Qingdao Gaochang Qingdao Gaochang Electronic Supply chain information for this Electronic Co. Ltd, alongside four Co. Ltd (青岛高广电子有限公司) factory is not available. other factories, signed agreements manufactures home appliances with Makit county to employ a like gas stoves.259 total of 500 Uyghur workers. The agreement was signed prior to a three-month-long detention and political indoctrination program - to ensure ‘100% employment rate’ for the ‘trained’ Uyghurs.258 37  Table 2: Labour transfer schemes within Xinjiang under ‘Xinjiang Aid’ Labour transfer schemes Chinese factories involved International brands supplied within Xinjiang under by factory ‘Xinjiang Aid’ Shandong Ruyi Technology Shandong Ruyi Technology Ruyi’s subsidiaries include several Group Co. Ltd went into Xinjiang Group Co. Ltd (山东如意毛纺服 international luxury brands, such as early as 2010.260 装集团股份有限公司) is a Chinese as Acquascutum, and Renown.264 luxury clothing company.262 The By November 2019, Ruyi had Ruyi also owns the LYCRA company owns a number of reportedly employed 2,000 fibre company.265 factories in Xinjiang, including Uyghur workers across three Shihezi Ruyi Textile Co. Ltd (石河 counties in Xinjiang.261 子如意纺织有限公司) and Shule Ruyi Textile Co. Ltd (疏勒如意科