It's hard to please the Chinese if you cross any of their red lines, like talking about Hong Kong or against alleged atrocities against the Uygur population of the country. US chip giant Intel is realizing it the hard way after it told its suppliers not to source products or labour from Northwest China's Xinjiang Uygur Autonomous Region.

The company later apologized, realizing that it could face the heat for its stance. On Thursday, the chip-maker said that it "deeply" regretted and apologized for the letter requesting all suppliers to ban the use of products and labor from the Uygur region.

But it is not cutting much ice with the Chinese. For instance, Chinese pop singer Wang Junkai ended his association with Intel saying that "national interests are above all else." (https://www.globaltimes.cn/page/202112/1243183.shtml)

Intel, in a letter, had said that it was "required to ensure that its supply chain does not use any labour or source goods or services" from Xinjiang. (https://www.intel.com/content/www/us/en/supplier/governance/forms/documents/annual-supplier-letter-english.html)

The backlash was swift. For instance, Global Times, the Communist party-backed tabloid, accused Intel of biting "the hand that feeds it." It went on to add that companies that act against China have to pay the price. (https://www.globaltimes.cn/page/202112/1243084.shtml)

According to the Chinese netizens, the company apologized because of the fear of its interests getting hurt in the country. For instance, in 2020, 26 percent of the company's revenue came from the Chinese mainland and Hong Kong and nearly 10 percent of the company's properties, factories and equipment are located in China. (https://www.globaltimes.cn/page/202112/1243162.shtml)

Several western companies have faced heat in China over Xinjiang in the past. For instance. the Swedish fashion retailer H&M was the target of Chinese media and public after it said that its products were not sourced from Xinjiang. Many Chinese star actors and musicians stopped endorsing H&M, Tommy Hilfiger, Adidas, Nike, Converse and Calvin Klein as they made similar claims. [https://www.hollywoodreporter.com/news/chinese-stars-dump-nike-adidas-and-hm-as-beijing-attacks-western-fashion-brands-over-xinjiang] Some were forced to walk back on their stance.
[https://edition.cnn.com/2021/03/25/business/hm-nike-xinjiang-cotton-boycott-intl-hnk/index.html]

China could be using the same strategy to pressurize Intel