A group of Republican lawmakers is urging the immediate addition of Chinese battery companies Contemporary Amperex Technology Co. Ltd (CATL) and Gotion High Tech Co. Ltd to the U.S. entity list, citing alleged ties to forced labor in their supply chains, the Wall Street Journal reported.
CATL, which has ties to Ford, and Gotion, a supplier for Volkswagen, are being targeted for inclusion in the entity list under the Uyghur Forced Labor Prevention Act. This move would restrict the import of goods linked to what the U.S. government has described as an ongoing genocide of minorities in China’s Xinjiang region, though Beijing has denied these allegations.
Responding to the accusations, Gotion stated, “Any allegation that Gotion ‘uses or is related to forced labor is baseless and absolutely false,” emphasizing that its partner selection is based on “strict review mechanisms and evaluation criteria.”
Meanwhile, Volkswagen Group China has stated that it has no evidence of human rights violations related to its operations in China. A company spokesperson said Volkswagen is investigating the allegations, reiterating their commitment to thorough examination as done in the past. The spokesperson also clarified that Volkswagen China Investment Co. holds a 26% stake in Gotion, which is not involved in any U.S. projects or imports to the country.
CATL also denied the allegations, describing them as “groundless and completely false,” asserting that the company complies with all applicable laws and regulations. It added that business relations with some cited suppliers had ended long ago.