China has blacklisted PVH, the parent company of American fashion brands Calvin Klein and Tommy Hilfiger, placing it on the country’s “unreliable entities list.” The move comes as part of China’s broader economic retaliation against the United States following the implementation of 10% tariffs on Chinese imports by former President Donald Trump.
The Chinese Ministry of Finance announced the decision, claiming PVH had discriminated against and interfered with the operations of Chinese businesses. However, specific details of the allegations were not provided. Along with PVH, China also blacklisted US biotech firm Illumina.
Being placed on the “unreliable entities” list could prevent PVH from conducting business in China or result in fines and other penalties. Experts suggest that targeting PVH is significant, as it marks the first time a consumer brand has been included on the blacklist, whereas previous listings were mainly defense companies.
PVH responded by criticizing China’s decision and stated that it would work with authorities to resolve the issue. The company has a notable presence in China, with Calvin Klein stores spread across the country. In 2023, China accounted for 6% of PVH’s revenue and 16% of its profit, making the country an essential market for growth.
Analysts believe that PVH’s exclusion of Xinjiang cotton from its supply chain may have contributed to China’s decision. The US had banned imports linked to forced labor in the Xinjiang region under President Joe Biden’s administration. Human rights groups have reported that Uyghur and other Muslim minorities in the region have faced forced labor and internment in mass camps—claims that China has repeatedly denied.
China had previously investigated PVH for violating “normal market transaction principles” by refusing to source Xinjiang cotton. While the government has framed the move as an economic measure, some experts see it as a response to PVH’s compliance with US restrictions on goods from Xinjiang.
Despite the setback, PVH remains focused on strengthening its brand presence in China. CEO Stefan Larsson emphasized China’s importance as a key market, noting that both Calvin Klein and Tommy Hilfiger remain underdeveloped in the region. The long-term impact of China’s decision on PVH’s operations remains uncertain.
