Walmart faces Chinese criticism over cybersecurity
Walmart faces Chinese criticism over cybersecurity

According to local media, Chinese authorities have criticized Walmart for its alleged violation of cyber security laws. It is the latest release from a US retailer that has come under fire from China for halting sales of products from Xinjiang.

At the end of November, the police in the southern Chinese city of Shenzhen discovered 19 faults in the Wal-Mart network system.

According to a report by China Quality News, with the support of the Chinese Market Inspectorate, the police accused him of slowing the repair of the holes.

The report said Walmart had ordered repairs, but did not mention any fines or details about the weaknesses.

This led to a number of new problems for the company, which came under fire last month after local media said it had intentionally removed Xinjiang products from its apps and stores.

Xinjiang is a growing conflict between Western governments and China. United Nations experts and human rights organizations estimate that more than a million people are being held in the camps, mostly Uighurs and other Muslim minorities.

China has denied allegations of forced labor or other abuses in the west of the country. She referred to these camps as professional centers to combat extremism. She said in late 2019 that everyone in the camp had graduated.

Since the incident in Xinjiang, Walmart has seen the termination of its Chinese subsidiary Sam's Club. China's anti-corruption agency also accuses retailers and Sam's Club of being stupid and short-sighted.

Chinese police condemn Walmart's breach of cybersecurity

Although Walmart has not publicly commented on the matter, a manager at Sam's Club told analysts, according to Reuters, that it was a misunderstanding and that he did not intentionally remove the product from Xinjiang.

According to Sam's Club, Chinese consumers cannot find products from Xinjiang because the app does not support product searches based on geographical names.

The controversy illustrates the difficult path of foreign companies in China. These companies are trying to balance geopolitical tensions between China and the West and the importance of China as a market and supply base.

Last December, Sam's Club was fined 10,000 yuan ($1,568) by the Shanghai-Shanghai market inspectorate.

In fact, he broke the Food Safety Act after discovering a frozen vegetable product that had no production or expiration date.

In addition to Walmart, Swedish fashion retailer H&M and US chip maker Intel have been criticized for adjusting their activities in Xinjiang, China, in recent months.

Tesla was criticized by the American Human Rights Organization for opening a showroom in Xinjiang last December.

Shortly after US President Joe Biden signed a law banning imports from Xinjiang for fear of forced labor, Chinese social media users went to Sam's Club.

For Walmart, China is a huge market. For the fiscal year ending Jan. 1, it had $11.43 billion in sales.

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