Chinese Sweatshops Go Global: Workers Strike, Outrage Spreads

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Chinese companies operating abroad are facing mounting criticism over exploitative labour practices. In Italy, firms accused of running inhumane factories have drawn attention from local trade unions, which have supported workers in strikes, prompting intervention from labour authorities. Similar disputes have recently emerged at Chinese-owned factories in Cambodia and Vietnam, highlighting widespread dissatisfaction with low wages, long working hours, and harsh management practices.

In Prey Veng Province, Cambodia, 7,000 employees at the Chinese-owned TARAL garment factory went on strike in early October. The immediate trigger was a new management policy imposing a US$10 fine for being just one minute late, a significant sum for workers earning a monthly salary of only US$208, equivalent to nearly a week’s food expenses. Additional grievances included the removal of lunch subsidies, mandatory production quotas, penalties for failing targets, and restrictions on bringing water or medication into the factory. Workers blocked National Road 3 in protest, and the labour department eventually mediated, prompting the company to pledge to review fines and subsidy policies. The incident exposed widespread illegal practices, including “voluntary unpaid overtime,” with monthly hours far exceeding legal limits.

Meanwhile, in Ho Chi Minh City, Vietnam, the Chinese-owned Lihao Furniture Factory experienced a wage dispute in September. Management, largely Chinese, went collectively absent, leaving arrears of approximately RMB 2.46 million (USD 344,400) in wages, social insurance, and union fees. Around 500 workers staged a strike, with footage circulating widely online, pressuring authorities to intervene. The company subsequently paid owed wages, though outstanding social insurance and union contributions exceeding RMB 4 million (USD 560,000) remain unresolved.

Also in September, 1,300 employees at China-owned Southern Garment Factory in Dong Thap Province, Vietnam, staged a four-day strike demanding shorter working hours and higher pay. While the company agreed to adjust overtime policies, workers’ effective monthly pay remained around RMB 2,000 (USD 280), leaving many struggling to make ends meet.

From Cambodia to Vietnam, and even into Europe, Chinese enterprises are increasingly criticised for prioritising profit over human rights. Exploitative labour practices, including sweatshops, unpaid or underpaid work, excessive hours, and inhumane management, expose a disregard for local law and worker dignity. This model, masquerading as efficiency while normalising illegality, risks not only social and legal backlash but also reputational collapse for “Chinese capital” on the global stage.