Muji, a business unit of Japanese retailer Ryohin Keikaku Co. Ltd., is facing a 200,000-yuan fine for marking Taiwan as the "country of origin" on the packaging of clothes hangers imported last year, Reuters reported May 24, citing a statement from the Shanghai Administration for Industry and Commerce.
The regulator reportedly said the packaging violated Chinese advertising law, which warns against hurting China's dignity and interest. Delta Air Lines Inc. and Marriott International Inc. previously drew flak from Chinese regulators as well for not complying with the country's territorial claims, according to the report.
A Ryohin Keikaku spokesperson confirmed the report and said the issue has already been addressed.
Muji faced a similar incident earlier this year when Chinese regulators ordered the brand to destroy its furniture catalogs because the maps in these catalogs allegedly mislabeled Taiwan and did not feature the Diaoyu Islands, a group of islands in the East China Sea also claimed by Japan as its Senkaku Islands.
As of May 23, US$1 was equivalent to 6.39 Chinese yuan.
