Vietnamese factories export despite sanctions

Investigations show that three clothing companies in Vietnam continue to purchase cotton from the Chinese group "Esquel" despite their being placed on the U.S. blacklist due to claims of connections to forced labor programs in the Xinjiang region. They do this by renaming companies and using different names. These companies have been supplying their products to the U.S. market, worth more than $5 million since sanctions were imposed on Esquel in November 2024, which prohibit it from selling products in the United States. Although the source of the cotton used has not been confirmed, mixing sources of cotton is a common practice in the industry. The companies continue to import their products into the U.S. market through suspicious supply chains, with ongoing sales to well-known brands such as Mogy and Rod & Gun.

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