Corporate risk calculus re🇨🇳is being turned on its head. After decades in which cos most feared being locked out of one of world’s largst markts,Wstrn firms are starting to realize that even faintest link to Xinjiang’s “re-education camps” can be…
" their reputation (remember Volkswagen’s China CEO’s cringeworthy interview with the BBC?). As companies weigh the risk of doing business with Beijing, it’s a safe bet that many more will discreetly do a Stora Enso and leave."
"Beijing’s belligerence isn’t helping its cause — as orchestrated boycotts against even its mildest critics present yet another unpredictable risk to the bottom line.Campaign calling for H&M 2B boycotted erupted on Chinese social media.
"Swedish fast-fashion retailer was de-platformed from Chinese e-commerce sites.Its crime:in 2020,it mentioned that it was concerned about human rights in Xinjiang."
This puts cos in an untenable situation. Capitulate to Chinese pressure & face wrath of Wstrn consumers. Or speak out against human rights violations & risk retaliation from Beijing.
"Even for company executives who are convinced there’s no slave labor in their supply chain, just staying in China comes with reputational risk and exposure to the caprices of the Chinese government."
Pulling back from🇨🇳wil come at cost.Not only can it boast an enormous,growing consumr markt,it accts for 28% of world’s manufacturing-more than US,Japan & Germany put togethr.Whether co. is manufacturng or selling in🇨🇳,it will be hard to reduce reliance w/o also reducing revenues
"Shareholders will put up w/ a dip or two in share prices when Chinese anger erupts or Western consumers vote with their wallets,but not if it begins to happen regularly. Most of all, shareholders prize stability — and stability may no longer be possible on the Chinese market."

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More from @TheresaAFallon

7 Apr
“Chinese TV stations have been blurring out Western brand logos in their programmes, in a show of support for China's Xinjiang cotton campaign.”…
Chinese censors blurred Western brand logos on over 50 t-shirts in this footage. Image
CCP's relentless censorship leads to some amusing effects: "Episodes of popular variety shows such as Sisters Who Make Waves now feature singers and actors who look like they are floating on clouds, thanks to their blurred out shoes." Image
Read 6 tweets
7 Apr
"Turkish official said that shortages had not yet impacted relations between the 2 countries. But 'if China overpromises, in the future they may be more cautious,' added the official, who spoke on condition of anonymity to discuss sensitive diplomatic…
"Turkey has maintained delicate balance w/🇨🇳over past few yrs,toning down its criticism of Beijing’s crackdown on Muslim Uyghurs as Ankara seeks Chinese investment for its hobbled economy — and more recently, vaccine."
China is only slightly behind India,which last month announcd it was temporarily banning exports amid politicl criticism of vaccination efforts at home...Citing govt reports,China sent 60% of its productn of Sinovac & Sinopharm vaccine as aid to 53 countries & paid exports to 27.
Read 5 tweets
6 Apr
Digitized money looks like potential macroeconomic dream tool for issuing govt,usable to track ppl’s spending in real time,speed relief to disastr victms or flag criminal activityW/ it,Beijing stands to gain vast new powrs to tightn Xi’s authoritarian…
"The digital yuan could give those the U.S. seeks to penalize a way to exchange money without U.S. knowledge. Exchanges wouldn’t need to use SWIFT, the messaging network that is used in money transfers between commercial banks and that can be monitored by the U.S. government."
🇨🇳’s marketing for digital yuan kicks into high gear,an Englsh-language animatn circulatd online by CGTN shows man in US-flag shirt knockd out by digital yuan.“This is one of buildng blocks of🇨🇳’s move towrd world markt status & greatr involvmnt in settng framework of globl econ"
Read 5 tweets
6 Aug 20
.@PENamerica publishd explosive report that may put Hollywood on defensive.Titled "Made in Hollywood, Censored by Beijing," 94pg study details how mjr studios & directors increasingly make dcsns "based on an effort to avoid antagonizing Chinese officials."…
When was the last time you saw a movie about Tibet, human rights in China or even a film with a slightly negative Chinese character?
Paramount told producers of 2013's World War Z to remove scene in which characters speculate that a virus, which triggered zombie apocalypse, may hv originated in China. Film grossed $540mln globally, nvr received release in China, likely bcuz govt frowns upon themes of undead...
Read 6 tweets
4 Apr 20
Oops 🤯 Zoom admits user data ‘mistakenly’ routed through China
H/T @Leopard212…
Zoom sends sensitive date through China 🇨🇳 2/5 Image
Zoom sends confidential data to China 3/5 Image
Read 5 tweets
2 Feb 20
This is our future: countries w/ close ties to Beijing play down threat of #coronavirus. "Some governments have either played down the threat of the epidemic or openly worried about offending a superpower whose economic heft can propel their economies."…
Philippine President Duterte, "who has brought the Philippines closer to China while distancing it from the United States, said there was no reason to bar visitors from mainland China, bringing a barrage of criticism from local medical experts."
Even high-levl officials promote folk remedies. After FaceBook user in Myanmar wrote widely read tribute to onions as way to prevent transmission of #coronavirus, chief min U Myint Mg,shared on FB:"Chinese govt announcd people shld consume & hv on hand as many onions as they can”
Read 7 tweets

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