Uniqlo's CEO Clarifies Stance on Xinjiang Cotton in BBC Interview

In a recent BBC interview, Uniqlo's CEO Tadashi Yanai stated that the global fashion chain does not utilize cotton sourced from Xinjiang, amid rising concerns over forced labor in the region. His remarks come as the company faces mounting pressure regarding its manufacturing practices in China.

In a landmark interview with the BBC, Uniqlo's chief executive, Tadashi Yanai, explicitly stated that the popular fashion retailer avoids using cotton from Xinjiang, China, in a move to enhance transparency in the company’s sourcing practices. This marks the first time Yanai has openly addressed this contentious topic, which has significant implications not only for the company but also for the broader global fashion industry.

Xinjiang cotton has been under scrutiny due to allegations of forced labor involving the Uyghur minority, leading to many international brands, such as H&M and Nike, distancing themselves from the product to comply with strict U.S. regulations introduced in 2022. Following backlash in China, several brands faced boycotts, while H&M products were removed from major e-commerce sites.

Previously, Yanai chose to maintain neutrality between the U.S. and Chinese perspectives on the issue, which helped Uniqlo retain popularity in China's lucrative retail space. However, he has since shifted his stance, making it clear to the BBC that the company does not include Xinjiang cotton in its garments, although he chose to withhold further political commentary on the topic.

Isaac Stone Fish, a China-focused business intelligence expert, underscores the increasing pressure on multinational firms like Uniqlo to take sides amid escalating tensions between Beijing and Washington. He predicts that political neutrality will be less tenable moving forward, particularly for companies operating extensively in China.

Despite facing challenges, such as competition from ultra-fast fashion brands like Shein and Temu, Yanai remains committed to Uniqlo's long-standing strategy of focusing on durable and essential clothing over seasonal fast fashion. He emphasized the importance of sustainable practices to mitigate resource wastage, stating there is no future for fast fashion’s fleeting approach.

With aspirations to become the world’s largest fashion retailer by surpassing Inditex, Uniqlo’s future growth trajectory hinges on expanding its reach in both China and Western markets, where shoppers are increasingly prioritizing ethical sourcing and human rights. As political dynamics shift, particularly with Donald Trump potentially returning to office and threatening higher tariffs on Chinese imports, Yanai's ambition may face fresh hurdles while navigating the delicate balance between business growth and ethical responsibility.