US holds Chinese goods, cites possible North Korean labor

Category: Business

Listening

Unlocking Word Meanings

Read the following words/expressions found in today’s article.

  1. indentured / ɪnˈdɛn tʃərd / (adj.) – required by a contract to work for someone for a certain period of time
    Example:

    The U.S. passed a law to end indentured labor and give workers the chance to have better work conditions and higher wages.


  2. gymnast / ˈdʒɪm næst / (n.) – someone who performs many physical exercises on a mat or on special equipment for an athletic competition
    Example:

    Gymnasts train hard to improve their flexibility and strength.


  3. jurisdiction / dʒʊər ɪsˈdɪk ʃən / (n.) – the power or right to make judgments about the law or to punish criminals
    Example:

    The court cannot decide on the case. It’s outside the court’s jurisdiction.


  4. briefing / ˈbri fɪŋ / (n.) – a meeting to give information or a set of instructions to someone right before he/she does something
    Example:

    The officers attended a briefing before their next mission.


  5. sovereign / ˈsɒv rɪn / (adj.) – describes money that is borrowed or invested by national governments
    Example:

    American sovereign funds will be invested in some African companies next year.


Article

Read the text below.

The U.S. customs agency says it is holding imported goods from Chinese sports brand Li Ning after an investigation indicated they were made by North Korean labor.


U.S. law prohibits imports of goods made in North Korea or by North Korean citizens without proof they weren’t made by forced labor, according to a notice from the U.S. Customs and Border Protection in Washington.


The goods will be forfeited if Li Ning Co. cannot provide “clear and convincing evidence” within 30 days that it wasn’t made by convict, forced or indentured labor, the agency said.


It gave no details of the investigation, what goods were affected or their value.


Li Ning, founded by a former Chinese Olympic gymnast of the same name, is one of China’s most prominent athletic shoe and clothing brands.


Phone calls Wednesday to its Beijing headquarters and investor relations office in Hong Kong weren’t answered.


When asked, a Chinese Foreign Ministry spokesman, Zhao Lijian, said he was not aware of that “specific situation.”


“China is firmly opposed to any form of long-arm jurisdiction and unilateral sanctions,” Zhao told reporters at a briefing.


Li Ning is among a group of Chinese and foreign shoe and clothing brands that have been caught up in controversy over using materials and labor from China’s northwestern region of Xinjiang. There, the ruling Communist Party is accused of detaining Muslim ethnic minorities and engaging in forced abortions and other abuses.


This month, Norway’s sovereign wealth fund announced it sold Li Ning shares due to the “unacceptable risk that the company contributes to serious human rights violations” in Xinjiang.


This article was provided by The Associated Press.


Viewpoint Discussion

Enjoy a discussion with your tutor.

Discussion A

  • Li Ning Co.’s goods are being held by the U.S. customs agency because they were reportedly made by North Korean labor. Do you think all countries should do the same to goods facing this controversy? Why or why not? Discuss.
  • Norway sold its Li Ning shares due to the “unacceptable risk that the company contributes to serious human rights violations” in Xinjiang. Do you think more foreign investors should take the same step? Why or why not? Discuss.

Discussion B

  • Do you think all companies should be required to disclose where their materials and labor come from? Why or why not? Discuss.
  • What do you think should happen to companies that would be proven to have ties to forced labor (ex. closed down, told to pay victims)? Why? Discuss.