Caixin
Jul 29, 2024 06:54 PM
BUSINESS

Chinese Firm Featured in ‘American Factory’ Film Denies Being Target of U.S. Probe

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Fuyao Glass Factory, Moraine, Ohio, U.S. Photo: VCG
Fuyao Glass Factory, Moraine, Ohio, U.S. Photo: VCG

The Chinese company featured in the Obama-backed documentary “American Factory” said it is “not the target” of a U.S. government investigation after law enforcement officers searched its subsidiary in the state of Ohio, according to an exchange filing.

Automotive-glass manufacturer Fuyao Glass Industry Group Co. Ltd. is cooperating with the investigation into a third-party labor services firm, the Chinese company said in a Monday stock exchange filing, which cited the U.S. government.

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  • Fuyao Glass Industry Group is cooperating with a U.S. government investigation into a third-party labor services firm, following a search at its Ohio subsidiary.
  • The investigation focuses on financial crimes, labor exploitation, and potential human smuggling, causing Fuyao’s shares to drop sharply.
  • The company gained fame from the Obama-backed documentary "American Factory" and heavily invests in U.S. operations, contributing significantly to its revenue.
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Who’s Who
Fuyao Glass Industry Group Co. Ltd.
Fuyao Glass Industry Group Co. Ltd. is a Chinese automotive-glass manufacturer featured in the Obama-backed documentary “American Factory.” It gained international fame for its Ohio plant, which faces an investigation into third-party labor services. In 2022, Fuyao invested $650 million in the U.S. for new production lines. Last year, it earned nearly half of its revenue overseas, with its American subsidiary contributing significantly to its profits.
Fuyao Glass America Inc.
Fuyao Glass America Inc., a subsidiary of Fuyao Glass Industry Group Co. Ltd., is based in Moraine, Ohio. It was recently searched by local and federal law enforcement agencies as part of an investigation into financial crimes and labor exploitation. The company gained international fame from the Obama-backed Netflix documentary "American Factory." Last year, its profit was $68 million, and it made a $650 million investment to expand production lines in the U.S.
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What Happened When
2019:
Fuyao gained international fame due to the Netflix documentary 'American Factory,' which depicted the lives of American workers at the Chinese company’s plant in Ohio.
2022:
Fuyao made an additional investment of $650 million in the U.S. to build more production lines for coated glass and tempered side windows used in vehicles.
By March 2024:
Fuyao released its annual earnings report, which showed that in 2023, the company earned nearly half of its revenue overseas, with its assets abroad accounting for about 37.8% of its total.
Earlier July 2024:
Dayton Daily News received a tip that raised questions about the recruitment company possibly providing workers to Fuyao improperly.
Friday, July 26, 2024:
Local and federal law enforcement agencies conducted a search of Fuyao Glass America Inc., a subsidiary based in Moraine, Ohio.
Friday afternoon, July 26, 2024:
Fuyao’s Ohio factory partially halted production during the search, which was completed.
Monday, July 29, 2024:
Fuyao announced in a stock exchange filing that it is cooperating with the investigation into a third-party labor services firm.
Monday, July 29, 2024:
Fuyao’s shares dropped sharply, down 5.92% in Shanghai and 7% in Hong Kong.
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