Business

Apple supplier employees detained in ‘strange’ case in China

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Four employees of Taiwan’s Foxconn, the world’s largest iPhone assembler, have been detained in China under “quite strange” circumstances, Taiwan’s government said.

Taiwan’s Mainland Affairs Council, in a statement to Reuters on Thursday, said the four employees had been detained in China’s Zhengzhou, the capital of Henan province that is home to a major Foxconn plant assembling Apple’s (AAPL) iPhones, on suspicion of the equivalent of “breach of trust.”

“The circumstances of this case are quite strange,” it said.

The case may be connected to corruption and abuse of power by a small number of Chinese security officials, the council added, without giving details.

Foxconn declined to comment.

The council said Foxconn had stated the company had “suffered no losses and that the four employees had done nothing to harm the company’s interests.”

“This has seriously damaged the confidence of companies. We call on relevant departments on the other side of the Taiwan Strait to investigate and deal with it as soon as possible,” it said.

Calls to China’s Taiwan Affairs Office seeking comment outside of office hours went unanswered.

In June, Taiwan’s government raised its travel warning for China, telling its citizens not to go unless absolutely necessary, following a threat from Beijing to execute those deemed “diehard” Taiwan independence supporters.

China claims democratically governed Taiwan as its own territory, over the strong objections of the government in Taipei.

Taiwanese businesses have invested billions of dollars in China since the country began landmark economic reforms four decades ago, drawn by a common culture and language and much lower costs.

Read the full article here

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