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China’s foreign ministry has imposed sanctions on Kharon, a US-based company specializing in data analysis related to alleged forced labor in the Xinjiang region.
On Tuesday, the ministry announced “countermeasures” against Kharon and its director of investigations for providing “so-called evidence for America’s illegal sanctions related to Xinjiang.” This move is part of China’s response to US actions aimed at addressing human rights concerns in the region.

Kharon, established by former US Treasury Department officials, clarified that it has no operations in China, labeling the sanctions as “largely symbolic” and stating they would not affect its ability to serve clients. The company affirmed its commitment to providing “objective, independent, and based on reliable sources” research and data analytics to assist global businesses in managing risks. Additionally, a former researcher from the US-based Center for Advanced Defense Studies is also targeted by the sanctions, which entail entry bans to China, including Hong Kong and Macau, and the freezing of Kharon’s assets in the country.
The sanctions come as companies increasingly rely on Kharon’s data to comply with the Uyghur Forced Labor Prevention Act (UFLPA), a US law enacted in 2021. The UFLPA aims to block goods from listed companies in Xinjiang from entering the US unless they can demonstrate no association with forced labor. This month, the US restricted imports from three additional Chinese firms, including one identified by Kharon as having participated in labor transfers involving thousands of workers.
As tensions escalate, the US accuses Beijing of operating labor camps for Uyghurs and other Muslim minorities in Xinjiang, allegations that China vehemently denies, labeling them “lies” and “false narratives.”
Beijing argues that these sanctions are part of a broader US strategy to undermine Xinjiang’s stability and hinder China’s development, highlighting the growing rift between the two nations over human rights and trade practices.