Volkswagen Sells Uyghur Region Plant Amid Rights Pressure

By Uyghur Times Staff

November 27, 2024, 2:24 PM EST

Volkswagen (VW) has announced the sale of its plant in the Uyghur region to state-owned Shanghai Motor Vehicle Inspection Certification (SMVIC), ending years of criticism over its presence in an area linked to human rights abuses against Uyghurs.

The German automaker stated the decision was driven by economic reasons, not political pressure. The plant, which had not produced cars since 2019, will transfer all employees to SMVIC.

The move comes as VW extends its partnership with Chinese automaker SAIC until 2040, planning 18 new models by 2030. While exiting the Uyghur region, VW continues to strengthen its position in China, the world’s largest auto market.

“This is a long-overdue step showing that human rights are non-negotiable,” said Janne Werning of Union Investment, one of the investors pushing for the exit.

VW’s decision highlights the challenges of balancing business goals with ethical accountability in a globalized market.