@Risk

Yesterday, I posted about contaminated honey imported from China.

Now, there’s news that GE is recalling about 181,000 front-loading washing machines that were built there.

The problem with the washers? A wire can break in the machine and make contact with a metal part on the washtub while the machine is operating, posing fire and shock hazards to consumers. GE says that it is aware of seven incidents in which flames escaped the units and caused minor smoke damage. No injuries have been reported. (more…)

Contaminants in the China supply chain are making headlines again.

Earlier this month, federal marshals seized 64 drums of imported bee’s honey from a Philadelphia distribution center because FDA testing of the honey showed that it contained the potent antibiotic chloramphenicol. In the United States, chloramphenical is not approved for use in food, animal feed, or food-producing animals. (more…)

If you’re considering doing business in China, do yourself a favor and spend a few minutes with Kevin O’Marah’s new blog post, “Six Reasons to Worry About China in Your Supply Chain.”

After carefully making the point that it’s China’s government –and not its people –that is the root cause of the problems, O’Marah outlines a half dozen reasons why anyone who is thinking about major investments in China needs to proceed with caution.

Weigh the pros and cons carefully, he explains, because doing business in China is definitely a mixed bag.

There’s no doubt that China offers some significant advantages. “China is a great market to sell into and a fantastic source for everything from steel to t-shirts,” O’Marah says.

But, there are considerable risks, as well. Capricious trade rulings, rampant IP piracy, product health and safety concerns… the list goes on and on. In short, China can be a supply chain professional’s worst nightmare. From O’Marah: (more…)

Or, maybe a better title for this post is: Walmart FINALLY Pulls Miley Cyrus Jewelry Over Cadmium Concerns.

Yes, Walmart is in the news, again, for selling Miley Cyrus-brand jewelry that reportedly contains high levels of the toxic chemical cadmium.

Back in January, the Associated Press published the results of an investigation that showed some jewelry items sold at Walmart and other retailers were as much as 91 percent cadmium by weight.

The issue is making fresh headlines this week because in April, AP sent reporters to eight Walmart stores throughout the country to see if the contaminated pieces were still for sale. According to AP, all but one of the 13 tainted items remained on store shelves.

These items were tested, and of 61 total samples, 59 contained at least five percent cadmium by weight. 53 measured 10 percent or higher cadmium by weight. (See the full AP article here.) (more…)

Microsoft’s supplier network is back in the spotlight once again after The National Labor Committee published a report last week detailing deplorable working conditions at one of the company’s manufacturing plants in southern China.

Specifically, the report describes long working hours, low pay, insufficient food and limited freedoms for workers at the KYE Systems Corp. factory in Dongguan. (KYE makes Microsoft’s Basic Optical Mouse, as well as an assortment of products for other companies, including Hewlett Packard, Best Buy, Samsung, Foxconn, Acer, Wi/IFC/Logitech and Asus-Rd.)

The conditions described in the report are appalling –particularly because the workers profiled are young teens, some only 14 years old. For example, according to The National Labor Committee: (more…)