Four Taiwanese employees at Chinese facilities that make products for Apple have been detained by local authorities, Taiwanese officials said, the latest example of corporate detentions that have hurt business confidence.
The employees worked at a complex run by Taiwan’s Foxconn Technology Group in Zhengzhou, China, said Taiwanese agencies responsible for managing relations with China. One of the agencies said the employees were accused of an offense akin to breach of trust, although the exact nature of the allegations couldn’t be determined.
The Zhengzhou facility plays a central role in Apple’s iPhone supply chain and has sometimes been called iPhone City.
Taiwan’s Mainland Affairs Council, which handles policy toward Beijing, quoted Foxconn as saying that the company didn’t suffer any financial loss connected to the actions of the employees. Foxconn didn’t reply to a request for comment.
The council described the allegations as bizarre and said improper detention could severely damage investor confidence in China. It urged Chinese authorities to conduct a swift and transparent investigation into the matter.
The council in June upgraded its alert level for travel to China to the second-highest level, saying Taiwanese people should avoid nonessential trips. It said Beijing’s tightened national-security laws have led to Taiwanese citizens being illegally detained or interrogated.
The move came after China announced new rules targeting individuals it labels as “Taiwan independence die-hards,” threatening them with the death penalty. Taiwanese officials said such measures put many Taiwanese working in China at risk.
Taiwan’s semiofficial Straits Exchange Foundation said it has met with Foxconn and the families of the detainees and is helping them. The foundation handles contacts with China, mostly on business matters.
Representatives of the Zhengzhou police department couldn’t immediately be reached for comment. Apple didn’t reply to a request for comment.
In 2023, Foxconn faced an investigation by Chinese tax and land authorities, coinciding with a short-lived attempt by Foxconn founder Terry Gou to run for president of Taiwan. Foxconn later paid a small fine to one province’s tax authority.
Foreign businesses in China have been spooked by detentions in recent years. A Japanese pharmaceutical executive was formally arrested in October 2023 after being detained in March, while an Australian journalist was held for more than three years before her release last year.
Chinese officials have said they want to encourage foreign investment. In August, the Shanghai city government said one of its most pressing economic challenges was the hollowing out of the “fruit chain”—a reference to Apple’s move to diversify production of some electronics to countries such as India and Vietnam.
Write to Joyu Wang at joyu.wang@wsj.com
