The Council on Ethics recommends that the observation of the Taiwanese company Nien Hsing Textile Co Ltd be terminated.
Nien Hsing produces yarn, fabric and apparel in Taiwan, Vietnam, Lesotho and Mexico. In July 2018, the company was placed under observation due to the risk of systematic abuse of labour rights at the company’s textiles factories.
During the observation period, Nien Hsing has taken significant steps to improve working conditions at its factories and is now working more systematically to prevent labour rights abuses at its factories. Overall, this indicates a shift in the company’s corporate culture which is necessary for sustained improvements. The Council concludes that the observation of Nien Hsing be terminated.
The Council submitted its recommendation on 17 December 2021. Norges Bank published its decision to terminate the observation of the company on 7 March 2022.