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[BUSINESS] · China, United States · 10 sources

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Starbucks expands into Xinjiang amid U.S. political criticism

Starbucks has opened its first two stores in the Xinjiang Uygur Autonomous Region, marking a new expansion phase in China, its second-largest market. The locations are situated in Urumqi at the Grand Bazaar and the Tianshan International Airport. The stores feature locally inspired menus and interior designs incorporating regional elements such as Atlas silk.

The expansion follows a recent joint venture agreement where Chinese venture capital firm Boyu Capital holds a 60% stake in Starbucks’ China retail operations. Starbucks China CEO Molly Liu stated the move aims to engage deeply with the market and build lasting connections with local customers.

However, the expansion has drawn sharp criticism from U.S. lawmakers. John Moolenaar, chairman of the House Select Committee on the CCP, called the decision “morally bankrupt,” urging the company to close the stores due to reported human rights abuses against the Uyghur population in the region. While China denies allegations of repression, claiming policies target terrorism and extremism, human rights organizations argue the commercial presence helps normalize the situation in Xinjiang.

Entities

Boyu Capital · John Moolenaar · Molly Liu · Starbucks · Urumqi · Xinjiang Uygur Autonomous Region