Luthai Textile Co Ltd

Lu Thai Textile Co Ltd (Shenzhen: 000726) was excluded by NBIM (Norway's sovereign wealth fund) on a conduct-based exclusion. The company is listed on the OpenSanctions database as a debarred entity, first seen in October 2023 with the NBIM exclusion still active as of January 2026.

Luthai Textile Co Ltd is a major Chinese textile manufacturer producing yarn-dyed fabrics, primarily for export to global apparel brands. The company's supply chain is deeply embedded in the Xinjiang region, a documented source of forced labor. The 2021 Sheffield Hallam University report "Laundering Cotton" identifies Luthai as a key supplier to international brands and details how Xinjiang cotton, which is tainted by state-sponsored forced labor programs targeting Uyghurs and other Turkic minorities, enters global supply chains through complex manufacturing and export networks. The report specifically names Luthai as a company that sources cotton from Xinjiang and processes it into fabric for export.

The forced labor system in Xinjiang involves coercive state programs, including "poverty alleviation" and "vocational training" initiatives, which systematically transfer Uyghur and other minority workers into factories under conditions of surveillance, restricted movement, and ideological indoctrination. Luthai's operations and sourcing in this region link the company directly to these human rights abuses. There is no public evidence of effective due diligence or remediation efforts by Luthai to identify, prevent, or mitigate forced labor in its Xinjiang supply chains, placing it at high risk of complicity under international standards and enforcement actions like the U.S. Uyghur Forced Labor Prevention Act.