(The author is a Reuters Breakingviews columnist. The opinions expressed are their own.)

NEW YORK - U.S. chipmaker Intel is the latest multinational company to struggle with the geopolitics of doing business in China. The $207 billion technology group had to say sorry to defuse a social media backlash in the People’s Republic after telling suppliers they could not use products or labor from the Xinjiang region.

The company backtracked with a Chinese-language statement on Thursday saying it was complying with U.S. law rather than expressing Intel’s position on the issue. America and other Western countries have accused China of human rights abuses in Xinjiang.

Intel’s stance is mealy-mouthed. But U.S. companies operating in China can't be seen to take sides. Fashion chain H&M saw PRC sales fall  28% year-on-year in its 2021 second quarter after its statements about Xinjiang triggered a boycott. More than a quarter of Intel’s $78 billion of sales in 2020 came from customers in China. Even $2.9 trillion Apple has to walk a tightrope between Washington and Beijing. One day, one of the giants will fall off. (By Richard Beales)

(The author is a Reuters Breakingviews columnist. The opinions expressed are their own.)

 

(Editing by Lauren Silva Laughlin and Sharon Lam) ((SIGN UP FOR BREAKINGVIEWS EMAIL ALERTS: https://bit.ly/BVsubscribe))