German carmaker has long resisted pressure from investors and human rights groups to exit the area
Volkswagen has sold its plant in Xinjiang following scrutiny over its presence in a region of China where Beijing has been accused of widespread human rights abuse. Europe’s largest carmaker on Wednesday cited “economic reasons” for selling the factory, which is run through a joint venture with Shanghai-owned SAIC, to a different state-controlled company.
The company did not respond to a request for comment from the Financial Times. VW has for years tried to justify its presence in Xinjiang — which aside from the factory in the city of Urumqi built in 2013, included a test track for cars in Turpan — and last year carried out an audit to rule out forced labour allegations.
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