Esquel Group
{{Short description|Chinese textile manufacturing company}}
{{Infobox company|
| name = Esquel Group
| native_name = 溢達集團
| native_name_lang = zh
| logo =
| type = Private
| founder = {{ill|Yang Yuanlong|zh|楊元龍}}
| location = Hong Kong
| key_people = Marjorie Yang (Chair)
| industry = Textiles
| products =
| area_served =
| revenue =
| operating_income =
| net_income =
| subsid =
| homepage = {{Official URL}}
}}
{{Chinese
| order = ts
| t = 溢達集團
| s = 溢达集团
| j = jat6 daat6 zaap6 tyun4
| p = Yì Dá Jítuán
}}
Esquel Group ({{zh|t=溢達集團}}) is a Hong Kong–based textile and apparel manufacturer. It is the world's largest woven shirt maker, producing about 100 million shirts annually.{{cite news|title=100m shirts and counting: Textile maker Esquel embraces technology to cut costs and protect the environment|url=http://www.scmp.com/business/companies/article/2055169/100m-shirts-and-counting-textile-maker-esquel-embraces-technology|publisher=South China Morning Post|date=December 16, 2016|access-date=June 30, 2017|archive-date=July 11, 2017|archive-url=https://web.archive.org/web/20170711215649/http://www.scmp.com/business/companies/article/2055169/100m-shirts-and-counting-textile-maker-esquel-embraces-technology|url-status=live}}{{Update inline|date=November 2024}} Esquel supplies textile to companies such as Nike, Tommy Hilfiger, Li Ning, ANTA Sports, Fila, Giordano, Muji.{{Cite news|last1=Killing|first1=Alison|last2=Rajagopalan|first2=Megha|date=January 13, 2022|title=This Clothing Company Has Close Ties To Xinjiang, Where Forced Labor Is Rampant|work=BuzzFeed News|url=https://www.buzzfeednews.com/article/alison_killing/xinjiang-forced-labor-hugo-boss-esquel|access-date=January 18, 2022|archive-date=February 19, 2023|archive-url=https://web.archive.org/web/20230219125922/https://www.buzzfeednews.com/article/alison_killing/xinjiang-forced-labor-hugo-boss-esquel|url-status=live}}
Its head office is in {{ill|Harbour Centre (Hong Kong)|lt=Harbour Centre|zh|海港中心}} (海港中心), Wan Chai.{{cite web|url=https://www.esquel.com/#contactus|title=Contact Us|publisher=Esquel|accessdate=2022-06-24|quote=ESQUEL ENTERPRISES LTD. [...] 13/F Harbour Centre, 25 Harbour Road, Wanchai, Hong Kong|archive-date=2022-06-24|archive-url=https://web.archive.org/web/20220624073935/https://www.esquel.com/#contactus|url-status=live}} - [https://www.esquel.com/zh-hant#contactus Traditional Chinese address] {{Webarchive|url=https://web.archive.org/web/20220624042624/https://www.esquel.com/zh-hant#contactus |date=2022-06-24 }}: "溢達企業有限公司 [...]香港灣仔港灣道25號 海港中心13樓", [https://www.esquel.com/zh-hans#contactus Simplified Chinese address] {{Webarchive|url=https://web.archive.org/web/20220624042628/https://www.esquel.com/zh-hans#contactus |date=2022-06-24 }}: "溢达企业有限公司 [...] 香港湾仔港湾道25号 海港中心13楼"
History
The family owned business was founded in 1978 by family patriarch {{ill|Yang Yuan-loong|zh|楊元龍}}.{{cite news |date=May 16, 2016 |title=How the Esquel Group unexpectedly ended up all in the family |url=https://www.cnbc.com/2016/05/19/how-esquel-group-unexpectedly-ended-up-all-in-the-family.html |url-status=live |archive-url=https://web.archive.org/web/20170706025023/http://www.cnbc.com/2016/05/19/how-esquel-group-unexpectedly-ended-up-all-in-the-family.html |archive-date=July 6, 2017 |access-date=September 9, 2017 |work=CNBC |publisher=}} The opening of China that year had according to one of Yang's daughters led to the decision to establish the company.
= U.S. sanctions =
{{Further|United States sanctions against China|Xinjiang cotton industry}}
In July 2020, the United States Department of Commerce placed a Hong Kong–based subsidiary of Esquel Group on the Bureau of Industry and Security's Entity List for alleged use of forced labor of Uyghurs in Xinjiang.{{Cite news |last=Allen-Ebrahimian |first=Bethany |date=July 21, 2020 |title=Subsidiary of world's largest shirtmaker put on U.S. blacklist over Xinjiang ties |url=https://www.axios.com/hong-kong-shirtmaker-esquel-xinjiang-blacklist-uighur-forced-labor-1c5c7226-6668-4a6b-88c1-c344a4f3dd8f.html |url-status=live |archive-url=https://web.archive.org/web/20200722021830/https://www.axios.com/hong-kong-shirtmaker-esquel-xinjiang-blacklist-uighur-forced-labor-1c5c7226-6668-4a6b-88c1-c344a4f3dd8f.html |archive-date=July 22, 2020 |access-date=July 21, 2020 |work=Axios}}{{Cite web |last= |first= |date=July 20, 2020 |title=Commerce Department Adds Eleven Chinese Entities Implicated in Human Rights Abuses in Xinjiang to the Entity List |url=https://www.commerce.gov/news/press-releases/2020/07/commerce-department-adds-eleven-chinese-entities-implicated-human |url-status=live |archive-url=https://web.archive.org/web/20200721012800/https://www.commerce.gov/news/press-releases/2020/07/commerce-department-adds-eleven-chinese-entities-implicated-human |archive-date=2020-07-21 |access-date=2020-07-22 |website=U.S. Department of Commerce |language=en}} In July 2021, Esquel filed a lawsuit in the United States District Court for the District of Columbia against the U.S. government seeking removal from the Entity List.{{Cite web |date=2021-07-07 |title=Esquel Group sues US over subsidiary's inclusion on 'entity list' |url=https://www.scmp.com/news/china/article/3140093/esquel-group-sues-us-over-units-inclusion-entity-list-companys-chief |url-status=live |archive-url=https://web.archive.org/web/20230220081620/https://www.scmp.com/news/china/article/3140093/esquel-group-sues-us-over-units-inclusion-entity-list-companys-chief |archive-date=2023-02-20 |access-date=2021-07-07 |website=South China Morning Post |language=en}} In August 2021, Esquel was removed, with conditions, from the Entity List by the inter-agency End-User Review Committee, which is composed of representatives from the U.S. Departments of Commerce, State, Defense, Energy, and Treasury.{{cite news |last1=Bray |first1=Chad |date=August 4, 2021 |title=Nike's former supplier Esquel Group scores a rare win in a bid to remove Xinjiang unit from US forced-labour sanctions list |url=https://www.scmp.com/business/companies/article/3143728/hong-kongs-esquel-group-scores-win-its-bid-get-xinjiang-unit |archive-url=https://web.archive.org/web/20210817114945/https://www.scmp.com/business/companies/article/3143728/hong-kongs-esquel-group-scores-win-its-bid-get-xinjiang-unit |archive-date=August 17, 2021 |access-date=August 27, 2021 |work=South China Morning Post |publisher=}}{{cite web |title=15 CFR Appendix Supplement No. 5 to Part 744 - Procedures for End-User Review Committee Entity List and 'Military End User' (MEU) List Decisions |url=https://www.law.cornell.edu/cfr/text/15/appendix-Supplement_No_5_to_part_744 |website=Legal Information Institute |publisher=Cornell Law School |access-date=August 27, 2021 |archive-url=https://web.archive.org/web/20210827231619/https://www.law.cornell.edu/cfr/text/15/appendix-Supplement_No_5_to_part_744 |archive-date=August 27, 2021}} Several weeks later, Esquel resumed its lawsuit after failing to reach an agreement with the U.S. Commerce Department regarding the timetable for removal and the specifics of the conditions for removal.{{cite news |last1=Bray |first1=Chad |date=August 30, 2021 |title=Hong Kong shirtmaker Esquel Group resumes lawsuit in bid to remove Xinjiang unit from US forced-labour sanctions list |url=https://www.scmp.com/business/banking-finance/article/3146869/hong-kong-shirtmaker-esquel-group-resumes-lawsuit-bid |archive-url=https://web.archive.org/web/20210831082715/https://www.scmp.com/business/banking-finance/article/3146869/hong-kong-shirtmaker-esquel-group-resumes-lawsuit-bid |archive-date=August 31, 2021 |access-date=September 2, 2021 |work=South China Morning Post |publisher=}} In November 2024, Esquel Group was banned from importing into the United States under the Uyghur Forced Labor Prevention Act.{{Cite news |last=Vanderford |first=Richard |date=October 31, 2024 |title=Hong Kong's Esquel Group Added to U.S. Forced Labor Ban List |url=https://www.wsj.com/articles/hong-kongs-esquel-group-added-to-u-s-forced-labor-ban-list-fec7faa9 |url-access=subscription |access-date=November 1, 2024 |work=The Wall Street Journal}}
Facilities
Most of the company's manufacturing facilities are in China.{{cite news|title=Why A Chinese Clothes Maker Rejects Cheap Labor And Goes Green|url=https://www.forbes.com/sites/jnylander/2015/11/10/why-a-chinese-clothes-maker-rejects-cheap-labor-and-goes-green/#6f083dd87e2c|work=Forbes|date=November 10, 2015|access-date=June 30, 2017|archive-date=July 30, 2017|archive-url=https://web.archive.org/web/20170730010903/https://www.forbes.com/sites/jnylander/2015/11/10/why-a-chinese-clothes-maker-rejects-cheap-labor-and-goes-green/#6f083dd87e2c|url-status=live}}
Its operations in China like the rest of the textile industry in China have faced the constant pressure of rising labor costs and stricter environmental regulation. The company has strategy of upgrading or opening new facilities with better automation to counter the competitive pressure of rising wages. This strategy was noted by the South China Morning Post as different from some other competitors which sought to diversify operations by moving to other countries with lower labor costs.
References
{{Reflist}}