Costco Stops Selling Baby Clothes From Chinese Firm
October 09 2019 - 4:26PM
Dow Jones News
By Allison Prang
Costco Wholesale Corp. (COST) has stopped selling children's
sleepers from a company that is one of five firms with a withhold
release order from U.S. Customs and Border Protection because of
how the company's products are made.
Last week, U.S. CBP said it issued five orders Sept. 30 "based
on information obtained and reviewed by CBP that indicates that the
products are produced, in whole or in part, using forced
labor."
One of those orders was on clothing made by Xinjiang, China's,
Hetian Taida Apparel Co. According to the Associated Press, Costco
Wholesale Corp. (COST) started importing Hetian Taida's baby
pajamas in September.
Costco said in a statement Wednesday it has suspended the sales
of those sleepers "pending further investigation and
developments."
"The sleepers that had been on sale at Costco until very
recently were sourced from factories outside the Xinjiang region
and without connection to the entity that was recently named as the
subject of a detention order by the Customs and Border Patrol," the
company said.
Write to Allison Prang at allison.prang@wsj.com
(END) Dow Jones Newswires
October 09, 2019 16:11 ET (20:11 GMT)
Copyright (c) 2019 Dow Jones & Company, Inc.
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