Inside the Global Exploitation Machine: How Chinese Companies are Mistreating Their Own Workers Abroad

Chinese Companies Exploiting Their Own Workers Abroad: A Disturbing Trend of Mistreatment and Exploitation

Chinese multinational companies are coming under increasing scrutiny for the mistreatment of their own workers in overseas operations. Alarming reports have surfaced about physical aggression, labor exploitation, and grossly unethical practices targeting Chinese employees working abroad for companies like BYD and Huawei. These incidents highlight a troubling pattern where Chinese companies impose harsh working conditions on their nationals, leading to exploitation on a shocking scale. What causes Chinese companies to treat their own people so harshly overseas, and why do these issues persist despite the public relations efforts by the companies involved? Let’s explore the complexities behind this alarming phenomenon.

BYD in Brazil: Chinese Workers Facing Violence and Exploitation

Based on reports from UOL, BYD’s factory in Camaçari, Bahia, Brazil, is currently facing serious allegations of worker mistreatment and physical violence. The Brazilian Ministry of Labor (MPT) has launched an inquiry into these claims, which suggest that employees face intense pressure to meet tight deadlines, with disciplinary measures involving physical aggression. An inspection on November 11 involved both a prosecutor and the Federal Police, and the authorities have since demanded detailed documentation from BYD and its subcontractors. These documents include employment contracts, visas for foreign workers, accident prevention plans, and occupational health reports.

The allegations primarily concern Chinese workers employed by Jinjiang Construction Group, a Chinese company assisting with the plant's construction. These workers, who traveled far from home, face grueling schedules with little opportunity to interact with the local community. A worker from Chengdu mentioned, "We are so busy at work that we don’t get time to see the town." The mistreatment exemplifies the harsh practices seen in many Chinese manufacturing plants. For instance, BYD’s Wuxi factory in China has seen workers protest against the elimination of overtime, which drastically reduced their income, highlighting the financial pressures that compel employees to work extended hours.

In response, BYD condemned the conduct of third-party contractors and banned the alleged aggressors from their facility. The company emphasized their long-standing commitment to worker welfare in Brazil, stating they are closely monitoring the situation and supporting affected workers, who continue working at the factory. BYD also pointed out that they are implementing enhanced supervision at construction sites to ensure compliance with legal standards and worker respect. Despite these promises, the investigation's outcome will play a key role in revealing how committed BYD truly is to maintaining ethical labor practices in their overseas operations.

BYD has invested a total of R$ 5.5 billion in the Bahia plant, with expectations to create over 20,000 direct and indirect jobs. CEO Stella Li is scheduled to visit Bahia on December 2, where new investments to expand operations in Camaçari will be announced. The Ministry of Labor (MPT) will analyze the requested documents, and depending on the findings, they may propose a Conduct Adjustment Agreement (TAC) or take legal action to address the issues.

Huawei: Double Standards in Overseas Operations

Huawei has also faced criticism for the way it treats its expatriate Chinese employees in overseas branches. These workers are expected to uphold Huawei’s infamous “wolf culture”—characterized by long working hours, high-pressure environments, and a relentless dedication to achieving corporate goals. These conditions often involve extended workdays and meetings during late nights or weekends. Meanwhile, locally hired employees are protected by the host country's labor regulations, which tend to enforce more humane working hours and better conditions.

In contrast, local employees are generally subject to labor laws and cultural norms of their respective countries, which may not align with Huawei’s internal practices. For instance, in Europe, local labor regulations mandate standard working hours and prohibit excessive overtime. This divergence creates challenges in cross-cultural communication and integration within the company, leading to disparities in expectations and workloads between Chinese expatriates and local staff.

Huawei has tried to bridge the gap between its local and Chinese expatriate staff through training programs in diversity management and cross-cultural awareness. These initiatives aim to enhance mutual understanding and foster a more cohesive working environment. However, the inherent differences in working cultures create challenges in fostering cohesive workplaces, leaving Chinese expatriates vulnerable to excessive workloads.

Other Examples of Overseas Labor Exploitation by Chinese Companies

The exploitation of Chinese nationals working overseas is not limited to BYD and Huawei—several other companies have been implicated in similar practices. At Tsingshan Holding Group’s Indonesia Morowali Industrial Park (IMIP), rapid expansion has led to compromised worker safety, resulting in an explosion that caused multiple fatalities and injuries. Reports suggest frequent accidents and a lack of adequate safety protocols, with many Chinese workers enduring dangerous and exploitative conditions. Non-profit organization Trend Asia recorded 101 deaths and 240 injuries in nickel facilities since 2015, with nearly half occurring at IMIP. The U.S. Department of Labor has also flagged Indonesian nickel production for forced labor practices.

Fast-fashion retailer Shein has also been accused of labor abuses, with reports uncovering employees working 75-hour weeks and enduring 17-hour shifts in violation of Chinese labor laws. In 2024, Shein acknowledged finding two instances of child labor in its supply chain, prompting scrutiny over its labor practices. Even Belt and Road Initiative (BRI) projects across Asia, Europe, and Africa have witnessed the abuse of Chinese workers, including wage withholding, forced labor, and inadequate safety practices. A China Labor Watch investigation found such violations to be routine in nickel production projects in Indonesia, and documented cases of Chinese workers stranded overseas during the COVID-19 pandemic, facing exploitation and lacking support.

Chinese nationals employed in Israel's construction industry have also reported exploitation, including high recruitment fees, withheld wages, and poor working conditions. Some workers paid up to $19,000 for work visas, often leading to debt bondage. Employers have been accused of confiscating passports and subjecting workers to exploitative practices.

Root Causes Behind the Exploitation of Chinese Workers Overseas

The phenomenon of Chinese companies exploiting their own nationals more severely than local employees in overseas operations stems from cultural, legal, and economic factors.

1. Cultural Norms and Work Ethos: Chinese companies often bring their domestic work culture abroad, imposing the "996" work ethic—9 a.m. to 9 p.m., six days a week—on Chinese expatriates. This work culture is seen as a necessity for achieving corporate competitiveness, and many workers see enduring hardship as part of their duty, particularly in state-owned enterprises or large corporations like Huawei or BYD, where loyalty to the company is emphasized.

2. Legal and Regulatory Constraints: Chinese expatriates are often caught in a "gray zone" where they fall outside the local labor laws that protect other workers. In developed regions, local labor protections prevent companies from imposing overly demanding conditions, while expatriates on special visas often face fewer protections, leaving them vulnerable to exploitation.

3. Economic and Strategic Drivers: To cut costs, companies overwork expatriate workers instead of hiring additional employees. By exploiting loopholes in labor laws and offering fixed salaries, they extract maximum output without paying overtime. Local employees are often hired under strict legal conditions that make exploitation risky and costly, whereas exploiting Chinese nationals, especially those on temporary assignments, involves less oversight and fewer consequences.

4. Psychological and Strategic Manipulation: Chinese companies hold higher expectations for expatriates, viewing them as cultural ambassadors who must maintain the company’s values abroad. This creates an implicit demand for greater work ethic and compliance. Additionally, these workers face language barriers, cultural unfamiliarity, and dependency on their employers for housing, visas, and employment, isolating them and making it difficult for them to advocate for their rights.

5. Historical and Structural Context: The legacy of China’s rapid industrialization promotes an ethos of self-sacrifice, which Chinese workers internalize. Additionally, companies often treat local employees better to project a positive image in the host country, creating a double standard in their labor practices.

Why This Exploitation Persists

The exploitation of Chinese workers in overseas operations continues for several reasons. Confucian cultural norms emphasize respect for hierarchy, discouraging workers from challenging their employers. Additionally, companies prioritize productivity and results over worker welfare, often leading to disregard for the rights and well-being of Chinese expatriates. Furthermore, international labor organizations and local governments do not consistently scrutinize how Chinese nationals are treated, which limits external pressure for change.

The Global Implications of Worker Exploitation

The mistreatment of Chinese workers in overseas operations has significant implications for the global working class. When workers fail to resist exploitation, they inadvertently normalize such treatment, setting a precedent that multinational corporations might replicate elsewhere. This can lead to a "race to the bottom" as companies exploit lenient labor practices in pursuit of profit, thereby eroding workers' rights worldwide.

Historically, progress in labor rights has been achieved through resistance—strikes, protests, and collective action. Without pushback, workers worldwide risk losing the bargaining power they need to secure better working conditions. The continued passivity of Chinese expatriates could lead to a global regression in labor standards and increase economic inequality, benefiting corporations at the expense of the working class.

How to Address Labor Exploitation and Empower Workers

To combat the exploitation of Chinese workers abroad, a collective and systemic effort is needed. Empowering workers with knowledge of their rights, building international solidarity, and promoting corporate accountability are key measures that must be taken to ensure fair treatment for all workers. Labor organizations and advocacy groups must support Chinese workers, while consumers can demand transparency and accountability from multinational companies.

Empowering Chinese Workers: Workers need access to information about labor laws and their rights, both domestically and abroad. Building solidarity networks among Chinese workers, collaborating with local unions, and leveraging social media can strengthen their position. Chinese workers abroad must be encouraged to connect with local support systems and international advocacy groups to gain leverage.

International Solidarity: Labor organizations worldwide must extend solidarity to Chinese workers, advocating for fair treatment and exposing abuses in international forums. Support from global unions and consumer advocacy can put pressure on corporations to reform their labor practices. Consumers in developed markets can also play a role by demanding accountability from corporations and pressuring them to improve labor practices in their supply chains.

Corporate Accountability: Governments and international bodies should enforce stricter labor regulations and penalize companies that exploit workers, regardless of their nationality. Enforcing labor protections across all workers, regardless of nationality, and advocating for cultural and systemic shifts within Chinese corporate structures can help balance efficiency with employee welfare. Better enforcement of labor rights can also deter companies from exploiting their expatriates.

Ultimately, Chinese expatriates deserve dignity, fair compensation, and protection from exploitation. For change to happen, companies must respect the rights of all workers regardless of nationality, and employees must be empowered to stand up against unethical practices. The fight for labor rights is a global one—and resistance in one place strengthens the movement everywhere.

The Global Impact of Passive Resistance

The notion that the passivity or "cowardliness" of exploited Chinese workers could contribute to worsening conditions for the global working class raises profound concerns about labor rights, global solidarity, and the ripple effects of normalized exploitation in a globalized economy.

1. Exploitation as a Contagious Model: When Chinese workers fail to resist exploitation by powerful corporations, it sets a precedent. Multinational companies observe that severe labor practices go unchallenged and may adopt similar strategies elsewhere to maximize profits. This normalization of exploitation pressures workers in other countries to accept lower standards to remain competitive, leading to a universal erosion of labor rights.

2. The Importance of Resistance in Shaping Labor Rights: Labor rights advancements have historically come through collective action, such as strikes, protests, and unionization. By not challenging exploitation, workers in any sector or country risk halting progress and reversing hard-won gains. In a globalized economy, labor markets are interconnected, and exploitation in one country can devalue labor elsewhere, undermining wages and working conditions across industries worldwide.

3. Consequences of Continued Passivity: If corporations find success in exploiting Chinese workers, they are incentivized to apply similar practices worldwide. Over time, this could erode international labor standards, creating a precedent for exploitative norms and undermining global solidarity. The expansion of precarious work arrangements, such as zero-hour contracts, gig work, and unpaid overtime, to other regions is also a potential consequence.

4. Encouraging Resistance: Empowering Chinese workers by providing education on rights, building solidarity networks, and collaborating with local unions are critical steps to encourage resistance. Labor organizations worldwide must extend solidarity to Chinese workers, while consumer advocacy can pressure corporations to adopt fair labor practices.

5. The Broader Ethical Implications: Accepting exploitation as a norm for any group perpetuates a worldview in which workers are commodities rather than human beings deserving of dignity and fair treatment. Standing against exploitation helps prevent the degradation of global labor standards and reinforces the principle that workers, regardless of nationality, deserve dignity, safety, and fair compensation.

If Chinese workers remain passive, the precedent of tolerating exploitation will likely cascade into other regions, undermining the global working class and perpetuating cycles of inequality and oppression. The struggle for labor rights is a shared one, and resistance anywhere strengthens the movement everywhere.